Indian stocks advance as auto stocks gain on bullish selling data
BENGALURU, Aug. 9 (Reuters) – Indian stocks rose on Monday, led by auto stocks after monthly data showed retail sales edging up in July, with Mahindra and Mahindra recording quarterly gains last week.
As of 05:30 GMT, the blue chip NSE Nifty 50 (.NSEI) rose 0.34% to 16,293.30 and the benchmark S&P BSE Sensex (.BSESN) rose 0.36% to 54,472.37.
“There are good buys from foreign institutional investors, and we can expect the market to rise further this week and the next,” said Gaurav Garg, head of research at CapitalVia Global Research.
Indian stocks posted gains for four out of five sessions last week, hitting record highs on Wednesday on abundant liquidity and strong momentum in corporate earnings. Both indices gained 3% last week.
The Nifty Auto Index (.NIFTYAUTO) rose 0.48% on Monday, after data from the Federation of Indian Automobile Dealers Associations showed total retail vehicle sales for July rose 34.12% compared to a year ago.
Car maker Mahindra & Mahindra (MAHM.NS) and financial services firm Bajaj Finserv (BJFS.NS) were the top two winners of the Nifty, adding 2.5% and 2.0% respectively.
The automaker reported first-quarter profit on Friday as demand for passenger vehicles and tractors improved. Read more
Shares of industrial machinery parts maker Rolex Rings (ROLE.NS) rose 40.3% when they debuted in the market.
Meanwhile, Nifty’s Metals (.NIFTYMET) and Energy sub-indices fell 0.19% and 0.18% respectively.
Benchmarks in the United States closed at record highs on Friday following strong employment data, while broad Asian stocks edged down Monday morning amid steep losses in gold prices and oil.
Report by Rama Venkat in Bengaluru; Edited by Ramakrishnan M.
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