Sensex up 50 points as stocks edge higher in early trade; United Spirits jumps on huge volumes

Last Updated: Mon, Nov 12, 2012 04:26 hrs

Stocks edged higher in early trade on the Indian bourses this morning with investors shrugging weak cues from Asian markets and indulging in some selective buying.

The BSE benchmark Sensex, which opened marginally up at 18,691, advanced to 18,750.92 and is currently up 50 points or 0.26% at 18,733.68.

The Nifty index of the National Stock Exchange is up 15.40 points or 0.27% at 5701.65. Earlier, the index had advanced to 5718.90 after opening around 5688.

FMCG stocks are among the notable gainers in opening trades. Information technology, power, bank and capital goods stocks are also finding reasonably good support. Pharmaceuticals, oil and automobile stocks are a bit subdued. Realty and metal stocks have also opened on a cautious note.

GAIL India, IDFC, Reliance Infrastructure, Asian Paints, ICICI Bank, HCL Technologies and Bharti Airtel are up 0.75% - 1.5%.

Sun Pharmaceutical Industries, Sesa Goa, Infosys, Mahindra & Mahindra, NTPC, Power Grid Corporation, Tata Consultancy Services, Hindustan Unilever, HDFC Bank and BHEL are also trading higher.

Coal India is down by about half a percent at Rs 345. The stock rose to around Rs 348.50 in early trades. The copany announced after trading hours on Friday that its consolidated net profit rose 18.7% to Rs 307.08 crore in the July - September 2012 quarter, as compared to the corresponding quarter last year. Net sales rose 10.8% to 14,572.54 crore in the second quarter, the company said.

Tata Steel is down 1.3% due to disappointing quarterly results. DLF is down by about 1%. Maruti Suzuki, Hero Motocorp, State Bank of India, Jaiprakash Associates and Dr Reddy's Laboratories are also trading weak.

United Spirits has vaulted 17% to Rs 1586 on heavy volumes. On the National Stock Exchange, the United Spirits counter has clocked a volume of over 7 million shares so far this morning. The stock is up following the British liquor giant Diageo Plc. making an open offer to acquire 26% stake held by public in United Spirits, at a price of Rs 1440 per share. The British firm had signed a deal on Friday to buy 27.4% stake in the Indian liquor major. With the open offer for 26% stake, Diageo will own 53.4% in United Spirits.

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