Sensex, Nifty Hit New Highs Despite Weak Global Cues

Indian shares rose notably on Thursday to hit fresh record highs despite weak cues from global markets and concerns about high valuations.

Global sentiment was fragile amid an impending French snap election and due to anxiety ahead of a major U.S. presidential debate in Atlanta later in the day and the release of U.S. PCE inflation data on Friday.

The benchmark S&P/BSE Sensex zoomed 568.93 points, or 0.72 percent, to close at 79,243.18 amid buying in blue-chip stocks.

The broader NSE Nifty index closed at 24,044.50, up 175.70 points, or 0.74 percent, from its previous close.

UltraTech Cement soared 5.5 percent after its board approved acquisition of 23 percent stake in India Cements. Shares of the latter jumped 11.1 percent.

Wipro, NTPC, Grasim and LTIMindree rallied 3-4 percent while Shriram Finance and Larsen & Toubro both fell around 1 percent.

Globally, Asian and European markets fell today after U.S. chipmaker Micron Technology beat estimates for third-quarter revenue but offered a somewhat middling outlook on earnings.

The dollar edged lower in early European trade while Treasury yields were higher as investors await the U.S. PCE price index data on Friday, which is the Federal Reserve’s preferred inflation gauge.

Gold edged up slightly to trade above $2,300 per ounce on Thursday after a two-day decline.

Oil prices were a tad higher as heightened geopolitical tensions in the Middle East offset official data showing a surprise inventory build.