* BSE index ends 0.52 pct higher; NSE index closes up 0.37
* Banks, capital goods stocks gain
* Broader gains capped by continued profit-taking
By Indulal PM
MUMBAI, April 23 (Reuters) - Indian shares hit record highs
for a third session in a row as infrastructure companies such as
Larsen & Toubro extended recent gains while lenders including
Yes Bank advanced on hopes the worst was over in terms of asset
Sentiment was also supported as foreign investors remained
net buyers for a third consecutive session on Tuesday, though of
shares worth a modest $30.80 million, bringing their net total
to $135.24 million since Thursday.
Still, broader gains were capped by continued profit-taking
in recent outperformers such as Tata Motors Ltd, and
by falls in regional shares after a survey showed manufacturing
activity in China was still contracting in April.
Analysts expect gains to be limited in the near-term as
companies post their financial results and India continues its
five-week-long election process.
Markets will remain shut on Thursday when Mumbai goes to the
"This is the time to be cautious as markets have spiked up
substantially. You will have to look out for good quality
stocks, where valuation comfort is still there," said Daljeet S
Kohli, head of research at IndiaNivesh Securities.
The benchmark BSE index gained 0.52 percent to
close at 22,876.54. The index earlier rose as much as 0.63
percent to a record high of 22,912.52.
The broader NSE index closed 0.37 percent higher at
6,840.80, after gaining as much as 0.68 percent to hit a life
high of 6,861.60.
Investors continued to accumulate infrastructure and capital
goods stocks, with Larsen and Toubro gaining 2.21
percent in a fourth consecutive winning session.
Bharat Heavy Electricals Ltd gained 1.5 percent,
adding to its 0.24 percent gain on Tuesday.
Lenders also gained on hopes the worst may be behind them in
terms of asset quality which had been a drag in the sector.
Yes Bank Ltd shares rose 1.6 percent after its
January-March net profit rose 18.8 percent, while provisions
fell 25.9 percent to 722.9 million rupees.
ICICI Bank Ltd rose 0.75 percent and Axis Bank Ltd
added 1.3 percent ahead of their financial results on
Mahindra & Mahindra Ltd gained 1.2 percent after
Credit Suisse upgraded the stock to "outperform" from "neutral,"
saying its four-wheeler autos and commercial vehicles will
benefit from even a short-lived economic recovery.
However, recent outperformers continued to see profit-taking
with Tata Motors Ltd losing 0.87 percent, adding to
its 0.8 percent fall on Tuesday, while Wipro ended 1.1
percent lower, falling for the third straight session.
Among the laggards, Cairn India Ltd ended 3.1
percent lower, ahead of its earnings later in the day.
For additional stocks on the move double click
FACTORS TO WATCH
* Aussie sinks after low inflation, German PMI helps euro
* Brent oil holds above $109 on economic data, Ukraine supports
* Share rally peters out, euro lifted by PMI boost
* Foreign institutional investor flows
* For closing rates of Indian ADRs
ASIA-PACIFIC STOCK MARKETS:
Pan-Asia........ Japan....... S.Korea...
S.E. Asia....... Hong Kong... Taiwan....
Australia/NZ.... India....... China.....
Wall Street .... Gold ....... Currency..
Eurostocks..... Oil ........ JP bonds...
ADR Report ..... LME metals. US bonds..
Stocks News US.. Stocks News Europe
DIARIES & DATA:
Indian Data Watch Asia earnings diary
U.S. earnings diary European diary
Indian diary Wall Street Week Ahead
Eurostocks Week Ahead
For top Asian company news, double click on:
U.S. company news European company news
Forex news Global Economy news
Technology news Telecoms news
Media news Banking news
Politics/General Asia Macro data
($1 = 60.8850 Indian Rupees)
(Reporting by Indulal PM; Editing by Anupama Dwivedi)