Sensex scales 76,000 peak, Nifty hits new high before closing lower; IndusInd, L&T, SBI biggest gainers

Sensex scaled the 76,000 level for the first time while Nifty hit a new lifetime peak before closing marginally down on Monday as investors booked profits at record levels amid high volatility ahead of the results of Lok Sabha polls. The 30-share BSE Sensex closed lower by 19.89 points or 0.03 per cent lower at 75,390.50. Intra-day, the barometer climbed 599.29 points or 0.79 per cent to an all-time peak of 76,009.68 following gains in select banking, financial and IT shares. However, investors preferred to book profits at record levels and the index declined around 835 points from the day's high to hit a low of 75,175.27.

Broader Nifty of the NSE declined by 24.65 points or 0.11 per cent, to end at 22,932.45. The 50-issue barometer rose by 153.7 points or 0.66 per cent to hit a new lifetime high of 23,110.80 during the day. However, it tanked around 240 points at the fag-end due to selling in oil, energy and FMCG shares.

Index heavyweight Reliance Industries declined nearly 1 per cent, dragging the benchmark indices into the negative. Selling in FMCG giant ITC also eroded gains.

Equity benchmarks were on a record-breaking rally for the third straight day ahead of the results of Lok Sabha polls and a rally in global markers. The results of the ongoing general elections will be declared on June 4.

Sensex breached the historic 75,000-mark for the first time on April 9. It took 31 trading sessions for the benchmark to climb 1,000 points to reach the 76,000-mark on Monday. The BSE benchmark took 21 trading sessions to reach 75,000-mark on April 9 after hitting the 74,000-level on March 6.

From the Sensex pack, Wipro, NTPC, Sun Pharma, Mahindra & Mahindra, ITC and Reliance Industries were among the biggest laggards.

IndusInd Bank, Axis Bank, Bajaj Finance, HDFC Bank, Larsen & Toubro and State Bank of India were among the major gainers.

"The bulls are facing stiff resistance at 23,000 levels as investors start booking profit at higher levels to avoid any knee-jerk reaction in the market ahead of the election result. Better earnings growth, the expectation of a revival in private capex, and a moderation in FIIs selling intensity are the key positive triggers in the market," Vinod Nair, Head of Research, Geojit Financial Services, said.

"Nifty ended almost flat in a volatile session after hitting record highs in the early part of the session," said Deepak Jasani, Head of Retail Research, HDFC Securities.

Ajit Mishra - SVP, Research, Religare Broking Ltd said that the tone was positive in the first half, but profit-taking in heavyweights in the second half erased all the gains.

In the broader market, the BSE midcap gauge climbed 0.63 per cent while smallcap index dipped 0.09 per cent.

Among the indices, oil and gas declined 0.71 per cent. Commodities (0.61 per cent), power (0.49 per cent), utilities (0.37 per cent) and consumer discretionary (0.15 per cent) also dropped.

Financial Services, industrials, IT, bankex, realty and services were among the gainers.

Analysts said that the presence of resistance around the 23,100 level in the Nifty, along with a rise in the volatility index, India VIX, limited the upside. India VIX, which measures market volatility surged nearly 7 per cent to 23.13 points.

"Nifty remained mostly volatile during the day as India awaits the final phase of the general election (on June 1)," Rupak De, Senior Technical Analyst, LKP Securities said.

In Asian markets, Seoul, Tokyo, Shanghai and Hong Kong settled in the positive territory. European markets were also quoting in the green. Wall Street ended with gains on Friday.

Global oil benchmark Brent crude climbed 0.38 per cent to USD 82.44 a barrel.

Foreign Institutional Investors (FIIs) offloaded equities worth Rs 944.83 crore on Friday, according to exchange data.

On Friday, the BSE benchmark dipped 7.65 points or 0.01 per cent to settle at 75,410.39.

The Nifty breached the 23,000 mark for the first time on Friday. It, however, pared all the gains and ended with a marginal decline of 10.55 points or 0.05 per cent at 22,957.10.