Indian stocks end higher thanks to automatic boost, vaccine cheer; inflation in focus
BENGALURU, Oct. 12 (Reuters) – Indian stocks closed higher on Tuesday, boosted by auto stocks and an emergency sign for Bharat Biotech’s COVID-19 shot in children, as investors await inflation data from the details of the country expected later today.
The NSE Nifty 50 Index (.NSEI) ended up 0.26% at 17,991.95, while the S&P BSE Sensex (.BSESN) closed up 0.25% at 60,284.31 after having fallen earlier in the day. Both indices had reached record highs the previous session.
A group of experts from India’s drug regulator on Tuesday recommended Bharat Biotech’s Covaxin for emergency use in children aged two to 18, making it the first COVID-19 vaccine in the country to obtain a green light for use in children under 12 years old. Read more
Regarding India-specific triggers, the news on Covaxin certainly helped sentiment, said Anita Gandhi, full-time director at Arihant Capital Markets in Mumbai.
Looking ahead, the focus is on retail inflation data expected after market close on Tuesday, with a Reuters poll of economists showing the number likely fell again in September to a low of five months. Read more
Plentiful liquidity, growing coverage of COVID-19 vaccinations and easing restrictions have propelled Indian markets to outperform their Asian peers this year.
Nifty auto stocks (.NIFTYAUTO) ended up 0.88% after rising 1.32% to their highest level since May 2018 during the session.
Tata Motors (TAMO.NS), parent company of Jaguar Land Rover (JLR), climbed 1.23% to mark a fourth straight session of gains. The company said Monday that the group’s global second-quarter wholesale sales were up 24% from a year earlier.
The Nifty IT Index (.NIFTYIT) thwarted some of the gains, which fell 0.88%, with sector heavyweight Infosys (INFY.NS) closing 0.34% a day ahead of quarterly results . HCL Technologies (HCLT.NS), which was due to release its results on Thursday, was down 4%.
Report by Rama Venkat in Bengaluru; edited by Uttaresh.V
Our standards: Thomson Reuters Trust Principles.