Sensex, Nifty move higher on global cues: Tuesday closing report

Moneylife Digital Team 04 March 2014

Only a close below 6,245 may bring back weakness in the Nifty

In Monday’s closing report we had mentioned that the Nifty and Sensex may give up more gains, but a close above any previous day's high, would be the first sign of a reversal of the downtrend. On Tuesday, both the indices opened marginally higher and soon picked upward momentum and shot up before lunch and stayed firm. The global bourses sighed in relief after media reports said Russian President Vladimir Putin ordered his troops back to base. This raised hopes of a peaceful solution to the recent geopolitical tensions in Ukraine.

The BSE 30-share Sensex opened at 20,947 while the NSE 50-share Nifty opened at 6,217, hitting the intra day low almost at the same level the indices edged higher. At the close of the session Sensex hit a high of 21,225 and closed at 21,210 (up 263 points or 1.26%) while Nifty hit a high at 6,302 and closed at 6,298 (up 77 points or 1.23%). Today’s gain on the Sensex is the highest since 13 January 2014, while the gain on the Nifty is the highest since 15 January 2014. The NSE recorded a volume of 59.57 crore shares.

Trade Minister Anand Sharma on Tuesday said, he had taken up with the finance ministry, the issue of easing some curbs on gold imports imposed last year to narrow the current account deficit.

Markit Economics will unveil the result of a monthly survey on the performance of India's services sector for February 2014 tomorrow.

The US indices closed in the red on Monday following the standoff between Russia and Ukraine. In the US, the data on manufacturing expanded at a faster pace than projected in February, a sign the industry was beginning to overcome bad weather across much of the country. The Institute for Supply Management's manufacturing index rose to 53.2 in February from 51.3 a month earlier.

Except for Shanghai Composite (down 0.18%), Seoul Composite (down 0.54%) and Taiwan Weighted (down 0.55%) all the other Asian indices closed in the green. Hang Seng (0.70%) was the top gainer.

European indices were trading 1.5%-2.2% higher and the US Futures were also trading sharply higher. In Europe, a policy meeting of the Governing Council of the European Central Bank will be held on Thursday, 6 March 2014, in Frankfurt to decide euro zone interest rates.

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