Sensex, Nifty hold gains as buying continues

Source : SIFY
Last Updated: Tue, Aug 07, 2012 06:35 hrs
BSE Sensex seen opening lower, GDP data eyed

The market, which opened on a firm note this morning, remains well placed in positive territory thanks to sustained buying at several front line counters.

Expectations of announcement of some positive fiscal measures from the government following the finance minister's assurance on Monday, some fairly good numbers from India Inc and a firm trend in global markets amid easing worries about the financial situation in Europe are all contributing to the market's positive show.

Information technology stocks are trading higher thanks to a good performance by Cognizant Technology Solutions Inc in the April-June quarter. Automobile stocks are moving ahead on strong buying support. Realty, metal and bank stocks too are mostly up with smart gains.

Select capital goods, PSU and healthcare stocks are trading higher. Power, FMCG, oil and consumer durables stocks are a bit subdued. A fair amount of buying is taking place in midcap and smallcap segments.

The Sensex, which rose to 17,549.36, is currently up 118.82 points or 0.68% at17,531.78. The Nifty index of the National Stock Exchange is up with a gain of 37.10 points or 0.7% at 5319.65.

In the currency market, the rupee moved up 20 paise to 55.32 against the dollar in early trade this morning. A stronger euro and selling of the American currency by exporters aided the rupee's surge. On Monday, the rupee had ended at 55.52 against the greenback, gaining 23 paise.

Tata Motors, the top gainer among Sensex stocks, is up 3.6% at Rs 237. Bajaj Auto has notched up a gain of 2%, Maruti Suzuki is up nearly a percent and Mahindra & Mahindra is trading 0.4% up, while Hero Motocorp trades weak, losing about 1.5%.

IT majors Infosys and Tata Consultancy Services are trading higher by about 1.5% at Rs 2248 and Rs 1248, respectively. Wipro is up with a modest gain of 0.4% at Rs 347.

Jindal Steel has gained 2%. ICICI Bank, State Bank of India, BHEL, Hindalco, GAIL India, Sterlite Industries and Tata Steel are up 1% - 1.8%. ONGC, HDFC, Tata Power, Sun Pharmaceutical Industries, Larsen & Toubro, Hindustan Unilever, Bharti Airtel and Dr Reddy's Laboratories are also trading notably higher.

Reliance Industries, NTPC and HDFC Bank are the other losers in the Sensex, besides automobile major Hero Motocorp.

Oil India Limited shares spurted more than 8% on strong results. The company has reported a three-fold jump in net profit at Rs 65.89 crore for the quarter ended June 30, 2012, on back of higher realisation. Net sales grew 33% at Rs 477 crore on year-on-year basis.

The cement and cement products maker has surpassed its entire previous fiscal net profit of Rs 31.81 crore, during first three months of current financial year. The company had reported a net profit of Rs 24.77 crore in previous year quarter.

Escorts is up 6% following the company reporting a more than two-fold jump in net profit at Rs 26.88 crore for the quarter ended June 30, 2012, thanks to new launches, better product mix and low inventory costs. The company had posted a net profit of Rs 13.22 crore in the corresponding quarter previous fiscal.

Bajaj Finserv is up more than 4%. Zee Entertainment, Engineers India, Thermax, Sun TV Network, Voltas, Dish TV India, HCL Technologies, Axis Bank, Aurobindo Pharma and Bharat Forge are all trading higher by 2% - 4%.

ACC, Apollo Tyres, Jaiprakash Associates, Wockhardt, Reliance Capital, IPCA Laboratories, Glenmark Pharmaceuticals, DLF, Jubilant Foodworks and IndusInd Bank are also up with strong gains.

Castrol India is trading lower by 2.6%. United Spirits, EIH, Strides Arcolab, Power Grid Corporation, Indian Oil Corporation, Tata Global Beverages, ABB, BPCL and Alstom T&D are down on profit taking after recent gains.

Standard Chartered Plc shares plunged more than 7% on reports reports that the New York's top bank regulator has threatened to strip the state banking license of Standard Chartered Plc, on violating of U.S money laundering law by conducting $250 billion of transactions with Iranian banks.

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