Market rises for sixth straight day; FMCG shows the way

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NEW Delhi, Dec 03 :
Sensex ended with a marginal gain of 47 points at 36,241; Nifty edged up by 7 points to 10,883.75
Equity benchmarks continued their rising streak for the sixth straight session on Monday despite headwinds in form of rising crude, sliding rupee and weak GDP numbers.
The benchmark Sensex after opening on a higher note in early trade turned choppy as the day progressed, surrendering strong initial gains. The 30-share gauge ended with a marginal gain of 47 points at 36,241.
Similarly, the broader NSE Nifty edged up by 7 points to 10,883.75.
The overall subdued trend on the domestic bourses was a result of weakening rupee, which depreciated by a massive 73 paise to 70.31 (intra-day) against the U.S. dollar as concerns related to higher crude oil impacting India’s current account deficit resurfaced.
Brent crude, the international benchmark, was trading 3.80% higher at $61.72 per barrel.
Moreover, India’s September quarter GDP growth slowing to 7.1% from 8.2% in the April-June period of the ongoing fiscal made investors cautious.
However, investors across the world heaved a sigh of relief, reflecting on global bourses, after the two dominating economies the U.S. and China seemed to have called a temporary truce in their ongoing trade tariff tiff, which shooked the global markets in recent months.

“Market swung between gains and losses as positive sentiment from the U.S.-China trade truce was offset by rebound in oil prices and weak INR. The concern on OPEC’s production cut and slow growth in Q2 GDP impacted sentiment. While global markets stay positive due to ease in trade tensions,” Vinod Nair, Head of Research, Geojit Financial Services Ltd., said.

Besides, investors are looking ahead to the outcome of the Reserve Bank of India’s (RBI’s) monetary policy this week, which is expected to be status quo but a likely cut in inflation forecast and measures towards improving liquidity will support the market, analysts said. The 30-share Sensex settled 46.70 points, or 0.13%, higher at 36,241, while the broader NSE Nifty edged up by 7 points, or 0.06%, finish at 10,883.75.

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