Equity indices touch new highs, IT and auto stocks rally

Equity benchmark indices hit fresh record highs on Friday tracking positive global cues and optimism about an economic recovery.

The BSE S&P Sensex closed 689 points or 1.43 per cent higher at 48,783 while the Nifty 50 jumped by 210 points or 1.48 per cent to 14,347.

Except for Nifty metal and PSU bank, all sectoral indices at the National Stock Exchange were in the positive terrain with Nifty IT gaining by 3.6 per cent, auto by 3.3 per cent and realty by 1.4 per cent.

Among stocks, Maruti Suzuki was star of the day with gains of 5.8 per cent to close at Rs 8,003.90 per share. Eicher Motors moved up by 3.8 per cent and Hero MotoCorp by 3.3 per cent.

IT stocks gained on positive global cues with Tech Mahindra advancing by 5.3 per cent, Wipro by 5.2 per cent and Infosys by 3.9 per cent.

Agro-chemicals manufacturer UPL added gains of 4 per cent at Rs 502.30 per share while Power Grid Corporation ticked up by 3.4 per cent to Rs 203.80.

However, metal stocks fell with Hindalco losing by 1.9 per cent, Tata Steel by 1.3 per cent and JSW Steel by 0.8 per cent. IndusInd Bank, State Bank of India, HDFC, ITC, GAIL and Bharti Airtel too traded with a negative bias.

Meanwhile, Asian shares rose to record highs with Japan's Nikkei hitting a three-decade peak as investors looked beyond rising coronavirus cases and political unrest in the United States.

The upbeat mood came after Wall Street hit record highs a day earlier as markets bet a new Democratic-controlled government will lead to heavy spending and borrowing to support the US economic recovery.

The cheerful mood lifted MSCI's broadest index of Asia Pacific shares outside Japan was up by 1 per cent, touching a record high. Seoul's Kospi led the way by moving up 3.9 per cent.

In Tokyo, the Nikkei added 2.36 per cent, hitting its highest level since August 1990. Hong Kong's Hang Seng rose by 1.2 per cent.

( With inputs from ANI )