Frontline indices the Sensex and the Nifty ended over a percent higher each on the last day of April Futures and Options (F&O) series expiry on gains led by a mixed bag of heavyweights such as Reliance Industries, Infosys, Hindustan Unilever, ICICI Bank and Larsen & Toubro.
The Sensex opened 477 points higher and traded in the green as most largecap stocks found favours from investors. The 30-share pack eventually closed 702 points, or 1.23 percent, higher at 57,521.06 with 26 stocks in the green and only four stocks - Bharti Airtel (down 0.84 percent), Mahindra & Mahindra (down 0.54 percent), HCL Tech (down 0.31 percent) and HDFC Bank (down 0.12 percent) - ended in the red on April 28.
Mid and smallcaps underperformed as the BSE Midcap index closed 0.83 percent higher while the smallcap index clocked a mild gain of 0.12 percent. The Nifty50 index closed 207 points, or 1.21 percent, higher at 17,245.05.
Among the sectoral indices, FMCG, with a gain of 2.08 percent, ended as the top gainer, followed by power and utilities indices that rose almost 2 percent each. BSE Telecom ended as the lonely laggard, ending 0.78 percent lower.
Nearly 150 stocks, including Reliance Industries, Reliance Industrial Infrastructure, Adani Power, Bombay Dyeing, CRISIL and DCM Shriram, hit their 52-week highs in intraday trade on BSE.
Shares of Reliance Industries climbed 1.49 percent to end at ₹2,819.20 after hitting the all-time high of ₹2,850 in intraday trade, and with this, the market capitalisation of the stock has now reached ₹19,07,176 crore.
Shares of Hindustan Unilever (HUL) climbed 4.55 percent to close at ₹2241.80, a day after the FMCG major announced its March quarter scorecard which beat Street estimates despite higher inflation.
Crude oil benchmark Brent Crude traded near the $105 a barrel mark while the rupee closed with a tepid gain of 4 paise at 76.49 per dollar.
"Investors preference is shifting to safe-haven assets due to volatile equity market and global uncertainties indicated by rising US Dollar index. FPIs are in a selling mode while domestic investors are positive and will focus on defensives like consumption and domestic growth sectors like infra and capital goods," said Vinod Nair, Head of Research at Geojit Financial Services.
The market has been volatile of late amid concerns over inflation and looming rate hikes while geopolitical tensions and mixed quarterly earnings have kept the sentiment fragile.
"Volatility is expected to continue in the short-term due to weakening global trade and we suggest investors have rationale expectations focusing on domestic growth sectors like CAPEX, banking and defensives," said Nair.
"Volatility is beginning to be the new normal for investors as a haze over rising inflation, possible interest rate hikes and fluctuating oil prices have kept equity as an asset class on a tight leash. If the trend continues, investors may have to brace for more volatility in the new F&O series as well," said Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities.
Disclaimer: The views and recommendations made above are those of individual analysts and not of Mint Genie.