Market capitalisation of the Bombay Stock Exchange (BSE) crossed Rs 1.12 lakh crore intraday on Tuesday on account of buying in frontline bluechip counters. Market sentiments turned bullish on expectation of further delay in interest rate hike by the US Federal Reserve on account of slower than expected US jobs data in August. Tuesday’s rally also helped Nifty to surpass 8,900-mark for the first time since March 5, 2015. Market cap of BSE was at Rs 1.11 lakh crore on September 2. Firm opening of European markets further supported market sentiments in the afternoon trade.
Firm rupee and sustained inflow by foreign institutional investors also supported market sentiments in Tuesday’s trade. At 12.50 pm, rupee was trading 28 paise up at 66.55 against dollar on account of selling of dollars by banks and exports. Equity markest also got some boost with report that growth in India’s service industry accelerated to its fastest pace in more than 3-1/2 years in August. The Nikkei/Markit Services Purchasing Managers’ Index climbed to 54.7 in August, its highest since January 2013, from 51.9 in July.
In the 30-share index, Axis Bank, Tata Motors, Tata Steel, Maruti Suzuki and NTPC were trading higher by 4.06 per cent, 3.26 per cent, 3.22 per cent, 2.33 per cent and 2.16 per cent, respectively. On the other hand, Coal India, TCS and Wipro were down by 1.95 per cent, 0.76 per cent and 0.30 per cent, respectively. (at 12.53 pm).