Sensex crosses 60k for the first time, Nifty above 17,900.

Hitting an important milestone, Sensex breached the 60,000 mark for the first time ever on Friday as the stock market continued to rally ignoring some of the risks and uncertainty coming from the US and China. Nifty also inched closer to 18,000 mark.

The outperformance of India during September so far is stunning but the market exuberance has pushed valuations to very high levels. India's valuation premium to EM peers is above 80 per cent now. This is difficult to sustain, said an analyst.

Investors may think of reducing portfolio risk by moving to the safety of high quality largecaps. Partial profit booking in the mid- and small-cap segment and moving some money to fixed income also may be considered," said VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services.

How are bluechips doing

After opening in the green, benchmark indices jumped further higher. At 9.22 am, BSE flagship Sensex was up 366 points, or 0.61 per cent, to 60,251. ..

source: economictimes