Sensex, Nifty over 2-month high; extend gains for 3rd week

Mumbai,: Stock markets rose for the third straight week with the benchmark BSE Sensex reclaiming 28,000-mark and NSE Nifty closing well above 8,400-level, as monsoon worries eased and RBI allayed fears of any impact of Greek crisis on the country.

The domestic bourses, that bucked the global market trend as a result of Greek debt-deal stand-off, closed at two-and-a-half-month high levels.

The 30-share Sensex resumed lower at 27,451.07 and hovered in a range of 28,135.43 points to 27,209.19 points during the week. It finally settled the week at 28,092.79 points, showing a gain of 280.95 points or 1.01 per cent over previous week.

The Sensex has shot up by a whopping 1,667.49 points, or 6.31 per cent in three weeks.
The CNX Nifty also climbed 103.80 points, or 1.24 per cent to 8,484.90. It has also gained 502.00 points, or 6.29 per cent in the same period.

Analysts said the market witnessed initial sluggishness due to weak global cues weighed by Greece’s uncertain status over debt default and exit from Eurozone. The bourses gained despite small bouts of profit-booking and choppiness, they added.

Also, investors factored in positive domestic cues, including sufficient monsoon across the country, slew of government sops led by capital support to PSU banks, and improved macroeconomic data as country’s core infra sectors jumping to a six-month high by expanding to 4.4 per cent.

Optimism also strengthened after Reserve Bank Governor Raghuram Rajan allayed fears over Greek crisis on the country.

Meanwhile, foreign investors turned net-sellers amid caution ahead of Sunday’s Greek referendum.
Buying was mainly led by FMCG, Power, Banks, Capital- Goods, Consumer Durable, HealthCare, PSUs, Oil&Gas, Power, Auto and Teck sectors.

Shares of MidCap and Smallcap companies witnessed good buying activity. While, IT, Realty and Metal segments saw profit-booking.