India shares auto rally ahead of sales figures

People pass by the Bombay Stock Exchange (BSE) building on March 9, 2020 in Mumbai, India. REUTERS/Francis Mascarenhas

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BENGALURU, Aug 1 (Reuters) – Indian stocks closed August trading on a positive note on Monday, after posting their best gains since November 2020 last month, driven by sharp progress in automakers.

The NSE Nifty 50 index (.NSEI) rose 0.6% to 17,261.05 as of 0500 GMT, and the S&P BSE Sensex (.BSESN) climbed 0.55% to 57,887.50.

Anita Gandhi, Whole Time Director, Arihant Capital Markets, said positive global cues, buying by foreign investors in July and fall in oil prices have boosted sentiments. Gandhi said the monthly sales data of automakers on Monday would also be a guiding factor.

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Foreign investors bought a net $618.05 million in Indian equities in July, the first monthly inflow of funds since September 2021, according to data from Refinitiv.

Meanwhile, weak July manufacturing data from China and Japan weighed on oil prices, weighing on demand outlook, while investors braced for this week’s meeting on supply adjustments from OPEC and other top producers. Were.

In domestic trade, Mahindra & Mahindra Ltd (MAHM.NS) and Tata Motors Ltd (TAMO.NS) were the top losers on the Nifty 50 index, rising 6.2% and 3.7%, respectively.

Nifty Auto (.NIFTYAUTO) hit a record high, turning the best-performing sub-index, after gaining 3.3% in morning trade. The index jumped 7.2% in July.

SpiceJet (SPJT.NS) climbed up to 5.6% in individual stock moves as it said flight operations returned to normal, following the aviation regulator’s order to halve fleet capacity. read more

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Indian Oil Corp Ltd (IOC.NS) on Friday slipped 3% after the country’s top refiner reported a quarterly net loss for the first time in more than two years, as it sold fuel at a discount. read more

In broader Asia, stocks were sluggish on Monday as disappointing Chinese economic data cast doubt on Wall Street’s rally.

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Reporting by Rama Venkat in Bengaluru and additional reporting by Gaurav Dogra; Editing by Sherry Jacob-Phillips and Dhanya Ann Thopipil

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