Bulls on rampage! Sensex, Nifty hit record highs

Equity benchmarks Sensex and Nifty rallied for the seventh straight session to hit fresh lifetime highs on Wednesday, driven by gains in index majors Reliance Industries, ITC and L&T amid persistent foreign fund inflows.

Besides, receding crude oil prices in international markets also boosted sentiment, traders said.

The 30-share BSE Sensex surged 357.59 points, or 0.52 per cent, to settle at a new record of 69,653.73.

The barometer rose to 69,744.62 during intra-day.

The broader index Nifty also climbed 82.60 points, or 0.40 per cent, to hit its fresh peak of 20,937.70.

"Post-state elections, market optimism thrives, confirming policy continuity and meeting investor expectations.

“A robust FII reversal is fuelled by receding inflation and dropping yields in US and Indian markets.

“The allure of Indian market gains post-China credit rating downgrade and decline in oil prices was followed by ease in geopolitical tensions," said Vinod Nair, head of Research at Geojit Financial Services.

As many as 20 shares of the 30-share index closed the session with gains, while 30 stocks of the Nifty's 50 firms ended in positive territory.

Among major Sensex movers, Wipro closed with the maximum gain of 3.85 per cent, followed by ITC -- 2.51 per cent higher. L&T and TCS gained 2.31 per cent and 2.13 per cent, respectively. Tata Motors, Nestle India, Infosys and Bajaj Finance were other gainers.

On the other hand, NTPC, Axis Bank, UltraTech Cement and ICICI Bank ended the session with a loss of up to 1.58 per cent.

Analysts said the sustained equity buying by foreign institutional investors was attributed to declining US bond yields, while the domestic players were betting big on favourable macroeconomic data and expectations of longer political stability in the country.

Besides, investors are also expecting the Reserve Bank to maintain the status quo on the interest rate in its bi-monthly monetary policy decision to be announced on Friday, they added.

Foreign institutional investors purchased shares worth Rs 5,223.51  crore on Tuesday, according to exchange data.

Meanwhile, in Asian markets, Hang Seng and Nikkei 225 finished with gains of 0.90 per cent and 2.04 per cent, respectively, while China's Shanghai Composite lost 0.11 per cent.

On Wednesday, global oil benchmark Brent crude was trading 0.31 per cent lower to $76.96 a barrel.