Markets end choppy session in green
Markets flip-flopped for most part of the day, State Bank of India put downward pressure on Sensex but frontliners like HDFC Bank, Infosys, TCS and ICICI Bank contributed 84 points and helped Sensex recover in last leg of trade. The Sensex opened in the green at 20,851 and touched an high of 20,984, profit booking in financials dragged the index to the day's low of 20,763, down 89 points. Finally, the benchmark surged 80 points and ended at 20,932 and the Nifty rose 28 points to close at 6302.
Analysts say that the current rally has not lost steam and there is further upside for the markets."Historically, the markets have peaked out at around 26x to 28x forward P/E (Price to Earnings) ratio. Currently, the Sensex is trading at 21x forward earnings. Hence, we have not run ahead of valuations," TS Harihar, Senior VP, ICICI Securities said.
On the global front, the Asian markets have closed on a mixed note. The key indices Hang Seng ended down 1% at 24,710 while the Nikkei shut shop at 9,694, losing 0.3%. However, Jakarta Composite gained 0.7% to close at 3,726 while Taiwan Weighted and Seoul Composite ended flat.