Indian Share Market Is Up For Second Day In A Row, Reliance Industries Has Reached A New High

By Kaushiki Ghosh Published on April 21, 2022, 14:23 IST

Indian Share Market Is Up For Second Day In A Row, Reliance Industries Has Reached A New High

Risk appetite was upbeat in the short term as investors took profits across the board notwithstanding concerns about sky-high inflation, as heavyweight Reliance Industries hit a record high and helped Indian equities gain on Thursday.

As of 0440 GMT, the NSE Nifty 50 index (.NSEI) was up 0.66 percent at 17,249.60, and the S&P BSE Sensex (.BSESN) added 0.69 percent to 57,435.77. In the previous session, both indexes surged substantially as beaten-down technology firms recovered and Reliance Industries (RELI.NS) advanced.

Despite recent gains, the indexes are indeed down more than 1% in April, weighed down by fears over the Ukraine situation, rising prices, and a sell-off in technology equities following disappointing earnings from Tata Consultancy Services and Infosys.

All major Nifty sub-indices increased on Thursday, with the small-cap index (.NIFSMCP100) up 1.25 percent and the mid-cap index (.NIMDCP50) up 0.9 percent.

Reliance was one of the top three gainers on the Nifty 50 index for a third session, rising as much as 2.15 percent.

Morgan Stanley boosted its target price for the conglomerate’s stock to 3,253 rupees ($42.61) from 2,926 rupees, saying it expects the company’s net asset value to rise by up to 10% in expectation of faster hydrogen monetization.

Reliance Industries, founded by billionaire Mukesh Ambani, has announced intentions to minimize its reliance on its staple oil-to-chemicals sector and invest in clean energy projects over the last year.

Reliance’s gains propelled Nifty’s energy sub-index (.NIFTYENR) up by 1.1 percent.

After announcing a partnership with Valeo and Honda Power Pack Energy India for electric vehicles with battery swapping solutions, three-wheeler maker Atul Auto (ATUL.NS) jumped 15.8% to a three-month high.

However, ahead of their quarterly reports, IT services provider HCL Technologies (HCLT.NS) and food and beverage business Nestle India (NEST.NS) both declined 0.3 percent and 1.5 percent, respectively.