Indian stocks rise for day three thanks to automatic boost
BENGALURU, Oct. 11 (Reuters) – Indian stocks rose for a third straight session on Monday, led by auto stocks on expectations of increased sales ahead of the holiday season, while IT companies were driven down by a decline in Tata Consultancy Services.
The NSE Nifty 50 Index (.NSEI) rose 0.45% to 17,974.35, hitting an all-time high, while the S&P BSE Sensex (.BSESN) was up 0.34% to 60,256, 42 at 04:50 GMT.
“There were no surprises last week, and the absence of negative triggers supports positive movements,” said Anita Gandhi, director of Arihant Capital Markets in Mumbai.
Indian stocks posted their best week in more than a month on Friday after the central bank kept key interest rates unchanged as expected and pledged adequate liquidity to support the economic recovery. Read more
The main gains on Monday were automakers (.NIFTYAUTO), adding 2.89%. Their order books are expected to be higher before the holiday season, Gandhi said.
Jaguar Land Rover (JLR) parent company Tata Motors (TAMO.NS) climbed 8.5%, its highest level since January 2018, and was the first winner of the Nifty 50 index. up about 23% this month, after gaining 16% in September.
The company said on Friday that JLR’s global retail orders were at record levels.
Energy stocks advanced as Coal India (COAL.NS) rose 6% to be among the top winners on Nifty.
Reliance Industries (RELI.NS) rose 1.82% to an all-time high after the company announced it would buy Norwegian solar panel maker REC Solar Holdings and up to 40% stake in Indian companies Sterling and Wilson Solar (STEN.NS). Read more
Sterling and Wilson Solar rose 17% to their highest level in almost two years.
The Nifty IT Index (.NIFTYIT) was the only major sub-index to drop, led by a 6% drop from Tata Consultancy Services (TCS.NS).
TCS reported higher than expected quarterly earnings on Friday, but analysts have signaled signs of moderation in deals and margin pressure in the coming quarters. Read more
Reporting by Chandini Monnappa in Bengaluru; Edited by Ramakrishnan M.
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