Foreign inflows drive Sensex to fresh all-time high

The BSE Sensex hit a fresh all-time high of 63,588 on Wednesday despite cautious global cues.

Even Nifty attempted to touch new highs, but fell short by 12 points. The index finally closed with a gain of 40 points at 18,857 points, said Siddhartha Khemka, Head of Retail Research, Motilal Oswal Financial Services.

Sectorally, it was a mixed bag with major buying seen in financial services, especially NBFCs. Consistent foreign inflows into Indian equities backed by the country’s strong macroeconomic data have driven investors’ confidence, Khemka said.

Vinod Nair, Head of Research at Geojit Financial Services, said that despite hitting record highs, the domestic market failed to sustain its upward trajectory due to prevailing concerns over global issues and a delayed monsoon.

Furthermore, market volatility was exacerbated by consecutive days of net selling by FIIs, while mid-cap stocks maintained their steady gains.