Sensex crosses 71k led by IT stocks

BSE Sensex crossed the 71,000 points mark on Friday led by heavyweight IT stocks.

BSE Sensex was up 559 points at 71,108 points

The biggest gainer in the Sensex are IT stocks with HCL Tech up by 5 per cent, Infosys up by 4 per cent, TCS up by 4 per cent, Tech Mahindra up by 3 per cent.Tata Steel is up 3 per cent.

Market is likely to consolidate after the run up in the first half of this month and positive news flows and buy on dips can keep the market resilient, says V.K. Vijayakumar, Chief Investment Strategist at Geojit Financial Services.

The strongest tailwind for the market now is the sharp dip in the US bond yield (the 10-year is around 3.95 percent) triggering large capital flows to emerging markets like India, he added.

Since large cap financials and IT are reasonably valued and have been FII’s favourite sectors, these segments will continue to do well, he said.