Share Market Reverses Early Loss To Hit Record High Led By IT Stocks

The IT index gained 0.5%. LTIMindtree rose 2.5% after it reported a bigger-than-expected rise in first-quarter profit.

Share Market Reverses Early Loss To Hit Record High Led By IT Stocks

Indian shares reversed early losses to hit record highs on Thursday, led by information technology stocks, after software services provider LTIMindtree posted a revenue beat in the June quarter.
The NSE Nifty 50 added 0.09% to 24,634.9 while the S&P BSE Sensex rose 0.11% to 80,796.07, as of 10:37 a.m. IST. Both the indexes rose about 0.25% to hit record highs, recovering from a negative start.

- Seven of the 13 major sectors logged gains.

The IT index gained 0.5%. LTIMindtree rose 2.5% after it reported a bigger-than-expected rise in first-quarter profit on Wednesday.

A positive start to the earnings season has aided a markets' rally to newer peaks, said Anil Rego, founder and fund manger at Right Horizons.

"Despite high valuations, every dip is being bought due to the availability of ample liquidity and is supported by hopes of policy continuity in the national budget," Rego added.

Analysts expect the government to announce measures to boost consumption while continuing its focus on infrastructure and manufacturing in its budget proposal on July 23.

"Any deviation from market expectations, especially on capital gains tax, could attract some negative reaction in the short term," said Neeraj Chadawar, head of research at Axis Securities.

Among individual stocks, IDBI Bank rose 4% after a report said that the divestment of the lender is likely to proceed after Reserve Bank of India completed vetting of the bidders.

Paintmaker Asian Paints lost 2% after it posted earnings below expectations in the quarter ended June 30, hurt by weak demand and price cuts.

Listen to the latest songs, only on JioSaavn.com The broader, more domestically focussed small- and mid-caps lost about 0.75% each, respectively.

(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)