Sensex makes new record; over 120 stocks at 52-week highs on BSE

NEW DELHI: The S&P BSE Sensex rose nearly 300 points to hit its new life high of 22,046.58 in trade on Monday, led by strong buying in banks, realty, power and oil & gas stocks.

Tracking the momentum, as much as 123 stocks rose to their fresh 52-week highs; which include names like Adani Enterprises, Apollo Tyres, Bata India, MOIL, MRF, TVS Motors, Voltas, etc, on the Bombay Stock Exchange (BSE).

At 01:56 p.m.; Sensex was trading 296.89 points higher at 22,052.21. It hit a low of 21,827.50 and a high of 22,071.63 in trade today.

Banking stocks were leading the rally. The BSE Banking index rose over 2.5 per cent in trade, led by gains in ICICI Bank, IndusInd Bank, Axis Bank Yes Bank, etc.

Stark improvement seen in macro fundamentals of the Indian economy and NDA-led government at the Centre are a couple of factors which have somewhat insulated the markets from major global uncertainties such as Ukraine crisis, further tapering by US Federal Reserve and concerns over a slowdown in China.

“Markets already understand these factors. Market expects that China will face a weak macroeconomics for the next several years. Ukraine crisis is also expected to continue for a long period of time. These should not have too much impact on the markets. Global markets are likely to go up slowly over this year,” said Dr Vikas Gupta, Executive Vice President, Arthveda Fund Management Pvt Ltd.

“So, we would not recommend taking investment decisions based on the market levels. Markets are likely to hover around 22,000. There is nothing that is expected in terms of data or events before the elections (except opinion polls and exit polls) that should move the markets,” he added.

Tracking the momentum, HDFC Bank, ICICI Bank rose to their fresh record highs on the BSE Sensex. HDFC Bank rallied as much as 2.4 per cent to hit its fresh 52-week high of Rs 749.50, while ICICI Bank rose 4 per cent in trade to touch its fresh 52-week high of Rs 1,245.75.

Mitesh Thacker of miteshthacker.com is of the view that investors should be focussed on the buying side. There are two reasons for that, one is that we have had a sideways consolidation; so, market paused for a bit before continuing its uptrend.

“If somebody has not been long, today’s breakout suggests that the momentum should come back and the uptrend should resume and we should look at levels of around 6,700-plus on the Nifty over here,” added Thacker. “So, I would be a buyer in the stocks,” he concluded.

In the midcap space, as much as 10 stocks rose to their new record highs. These include Apollo Tyres, Bajaj Electricals, Bata India, Kajaria, MOIL, Kirloskar Oil Engines Ltd, MRF, Sulabh Engineers, TVS Motor Company and Voltas Ltd.

On the BSE Small-cap index as much as 30 stocks rose to their fresh record highs, which include names like Atul Auto, BEML, Finolex Cables, KEC International, KSB Pumps, SRF Ltd, Swaraj Engines, etc.

We have compiled a list of stocks which rose to their fresh 52-week highs in trade on Monday: