The Nifty 50 Of India Rises On An Auto Boost; Midcap Stocks Rise

(CTN News) – There was a touch of strength in India’s blue-chip Nifty 50 index on Monday after last-hour buying boosted the index as automakers gained following the revival of monsoon rains in some parts of the country, while midcap stocks climbed sharply too.

Nifty closed 0.14% up at 18,691.2, while the S&P BSE Sensex fell 0.01% to 62,970.00, while the Nifty midcap 100 index climbed 0.9%. On the other hand, the Nifty midcap 100 index rose 0.9%.

Despite concerns of political instability in Russia and a subsequent rise in oil prices following the short-lived mutiny by Russian mercenaries against Moscow, domestic equities appeared to brush off worries about political instability in Russia.

After hitting an all-time high on the Sensex, the Nifty consolidated just shy of record levels, while the Nifty eased off after hitting an all-time high, with hawkish central bank remarks weighing on it.

During Monday’s session, the major indexes struggled to find direction for a large part of the session, before automakers and pharmaceutical companies triggered some buying.

Rahul Sharma, equity99’s market strategist and head of research, said that a revival of monsoon is going to boost rural India’s discretionary spending and would increase the sale of motorcycles, especially two-wheelers, in the coming months.

Hero MotoCorp, a company that makes two-wheeler motorcycles, gained 2.7%, while Mahindra and Maruti Suzuki both gained over 1.5%.

During this period, the Nifty Pharma index rose by 1.5%, with Divi’s Lab and Cipla rising 2.1% and 3.3%, respectively, on the Nifty 50 index.

According to an NDTV report, Shree Cement’s share price plunged by 5.7% after the company was found to have evaded taxes in the amount of 230 billion rupees based on surveys carried out by the Rajasthan Income Tax Department with respect to the company.

In response to Reuters’ request for comment on the report, Shree Cement did not immediately respond to Reuters’ queries. The company stated in a statement released late Saturday that the survey was still in progress.

The share price of ICICI Securities, a unit of the private lender ICICI Bank, rose 10.5% after the company announced that it was considering delisting its shares, likely through the swapping of its shares with those of the private lender.

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