Sensex, Nifty hit new highs

Mumbai: The stock markets gained for the seventh straight month and sixth straight session in August as investors cheered steps taken by the Modi government to place the economy on high growth path.

Blue chips gained amid volatility as monthly derivative contracts expired on Thursday. According to analysts, the market is consolidating at higher levels in the current week, as the month reported a gain of 3 per cent. A good number of mid-caps found buyers and outperformed, they added.

The markets will be closed on Friday on account of Ganesh Chaturthi. Thursday would be last trading day of this week and also month in which Sensex gained over 743 points.

On Friday, the Sensex gained 77.96 points to close at 26,638.11 and Nifty gained by 18.30 points to end at 7,954.35. While in 30-share Sensex, 17 stocks led by BHEL, L&T, ICICI Bank, ONGC, Wipro and GAIL gained and 12 stocks declined.

Oil market companies, HPCL, BPCL and IOCL gainded upto 3 per cent and Gail raised by over 2 per cent. Dr Reddy's, HUL and ITC are among the gainers and Tata Power, Tata Steel, SBI, Infosys and NTPC are among declined stock.

Outlook
Closing crucial
Nifty is closed with a gain of 18 points amid narrow and choppy movement. August derivative series and the month closed at the highest level. However, a wide range is expected early next week in view of the very narrow trading range in the last two weeks. Nifty continued to close above 7900 mark and short term bullishness would be terminated only if it closes below 7860 and further strength would be reinforced only when it surpasses 8000 mark. Nifty spot is expected to encounter resistance at 8000, 8035 and find support at 7915, 7875 for Monday. Global cues and funds flow may guide the market, which may display generally bullish trend in the forenoon and the closing is quite crucial in view of the likely huge volatility -Dr B Amaranatha Sastry.