India’s Sensex sets record intra-day high as sentiment brightens

Mumbai: India’s benchmark Sensex index pared gains from a record intraday high following a US interest rate cut that spurred expectations that foreign funds might be attracted to Indian shares.

The S&P BSE Sensex climbed 0.2 per cent to 40,129.05 at the 3:30pm close in Mumbai, gaining for a fifth day. The NSE Nifty 50 Index advanced 0.3 per cent.

Seventeen of 26 Nifty companies that have reported earnings so far have either beaten or matched estimates, while one had no estimates, according to Bloomberg calculations. Indian Oil Corp reported net income below the lowest analyst estimate.

Seventeen of 25 Nifty companies that have reported earnings so far have either beaten or matched estimates, while one had no estimates, according to Bloomberg calculations. Indian Oil Corp. is due to report results today.

Strategist View

“The rate cut by the US. Federal Reserve should promote the inflow of foreign funds,” said Chokkalingam G, the Mumbai-based founder of Equinomics Research & Advisory Pvt, which advises clients on equity investments. “Although the Sensex is close to a record, there are many stocks available at good valuations in the broader market.”