Mumbai: Stock market indices today scaled record highs on sharp fall in wholesale inflation, persistent foreign capital inflows and good bluechip earnings with benchmark Sensex rising 106.02 points to end at fresh closing peak of 28,046.66.
Similarly, buying mainly in realty, metal and refinery counters lifted the NSE Nifty index by 32.05 points, or 0.38 percent, to end at new closing high of 8,389.90.
The wholesale price inflation dropped to a 5-year low of 1.77 percent in October due to fall in food prices. The Wholesale Price Index (WPI) based inflation was at 2.38 percent in September and 7.24 percent in October 2013.
This data comes after easing of consumer price index.
"We expect that milder-than-expected inflation and low industrial growth are strong reasons to expect a 25-bp policy rate cut at the RBI's coming 2nd December monetary policy meet," said a Anand Rathi Institutional Research report.
Besides, data showing that Foreign Portfolio Investors (FPIs) buying shares worth a net Rs 690.61 crore yesterday, also gave a boost to the buying momentum.
"News flow both domestic and globally has been in favour of equity markets and that makes Indian markets one of the favourite destinations for the flow of risk investments," said Hiren Dhakan, Associate Fund Manager, Bonanza Portfolio.
In bluechip earnings, State-run State Bank of India posted 30.5 percent growth in net profit at Rs 3,100.41 crore for the quarter ended September 30, pushing its shares up by 2.55 percent.
The BSE Sensex resumed higher at 27,949.54 and shot up further to 28,093.23 before concluding at all-time closing high of 28,046.66, a gain of 106.02 points or 0.38 percent.
The CNX 50-share Nifty also firmed up by 32.05 points or 0.38 percent to all-time closing high of 8,389.90 after touching a high of 8,400.65.
Asian equities ended mixed as key indices in Hong Kong, Japan, Singapore and Taiwan moved up by 0.02 percent to 0.56 percent while China and South Korea moved down by 0.27 percent to 0.78 percent. European markets were also trading narrowly mixed as indices in Germany and UK declined by 0.13 percent to 0.27 percent while France CAC was quoting higher by 0.12 percent.
Jignesh Chaudhary, Head of Research, Veracity Broking Services said: "Local quities traded strong for the day, with the help of bluechip companies backed by FII buying."
Major gainers were Hindalco (3.59 percent), Coal India (2.63 percent), SBI (2.55 percent), Gail India (2.50 percent), ONGC (2.05 percent), Tata Steel (1.87 percent), Sesa Sterlite (1.59 percent), Bajaj Auto (1.56 percent), HDFC Bank (1.43 percent), Hero Motocorp (1.15 percent), Wipro (0.93 percent) and TCS (0.69 percent).
However, Cipla dropped by 2.45 percent, followed by Sun Pharma 2.43 percent, Dr Reddy's Lab 1.15 percent, HUL 1.05 percent, Tata Motors 0.47 percent and Bharti Airtel 0.40 percent.
Among the S&P BSE sectoral indices, Metal rose by 2.53 percent, followed by Realty 2.35 percent, Oil&Gas 1.06, Bankex 0.72 percent and Power 0.52 percent while Healthcare dropped by 1.22 percent.
The total market breadth turned positive as 1,581 stocks finished in green, 1,450 stocks closed in red while 117 ruled steady. The total turnover fell to Rs 3,456.37 crore from Rs 3,529.31 crore yesterday.
