A positive trend in global markets on the back of recent encouraging economic data from the U.S. and China, some upbeat results from India Inc and easing concerns about political uncertainty following the Congress' strong victory in the Karnataka Assembly elections lifted sentiment on the Indian bourses on Wednesday.
Despite moving in a choppy fashion for a better part of the session, the BSE benchmark did well to sail past the psychological 20,000 mark in late afternoon trade to 20,037.27, a 14-week high. It however, settled below that mark, at 19,990.18 for the day, recording a gain of 101.23 points or 0.51%. The Nifty index of the National Stock Exchange closed at 6069.30, gaining 25.75 points or 0.43%.
FMCG stocks ITC (2.3%), Hindustan Unilever (1.3%) and Tata Global Beverage (1.3%) ended on a firm note.
Among the stocks in the Bankex, HDFC Bank and IndusInd Bank closed stronger by 1.4% and 1.6%, respectively. Bank of India, Bank of Baroda and Union Bank of India ended notably lower, while ICICI Bank, Yes Bank and Axis Bank lost 0.2% - 0.9%.
Among other stocks in the banking space, Allahabad Bank and Uco Bank declined sharply on weak results. Union Bank of India, Indian Bank and J&K Bank also ended weak, while Syndicate Bank ended more than a percent up.
Housing finance stock HDFC ended nearly 4% up following the company reporting a 17% year-on-year jump in net profit at Rs 1,555 crore for the quarter ended March 31, 2013. The company had posted a net profit of Rs 1,326 crore in the corresponding quarter last year. Net interest income or the difference between income from operations less interest expenses grew by 14% to Rs 2,121 crore against Rs 1,867 crore in the year ago quarter.
Lupin, up 2.6%, also ended on a high note thanks to impressive quarterly results. The company posted a net profit of Rs 1260.43 crore for the year ended March 31, 2013 as compared to Rs 804.47 crore for the year ended March 31, 2012.
Hindalco, Coal India, Tata Motors, Tata Consultancy Services, Ultratech Cement, Power Grid Corporation, BPCL, IDFC, Punjab National Bank and Sesa Goa closed with notable gains. Reliance Industries, Infosys, ONGC and Wipro edged up marginally.
Ranbaxy Laboratories declined by over 3% on weak results. The pharma major has reported a net profit of Rs 70.15 crore for the quarter ended March 31, 2013 as compared to Rs 827.23 crore for the quarter ended March 31, 2012. Total income decreased from Rs 1920.16 crore for the quarter ended March 31, 2012 to Rs 1433.96 crore for the quarter ended March 31, 2013.
Bharti Airtel lost around 2.3%. Tata Steel, Hero Motocorp, Mahindra & Mahindra, NMDC, Jindal Steel & Power, Reliance Infrastructure, Asian Paints, Larsen & Toubro, NTPC, Maruti Suzuki, ACC and Bajaj Auto also ended notably lower.
Dewan Housing Finance, Glenmark Pharmaceuticals, Glaxosmithkline Pharmaceuticals, Shiram Transport Finance, Corporation Bank, RPG Lifesciences and Brigade Enterprises rose sharply on impressive results, while Jubilant Life Sciences and KEC International declined on weak numbers.
The market breadth was even. Out of 2033 stocks traded on BSE, 975 stocks moved up. 974 stocks declined and 84 stocks ended flat.