Sensex up 299 pts, closes at 9,370

The markets finally shrugged off the Satyam shock on Wednesday with benchmark Sensex recording a gain of nearly 300 points on buying support, led by market leader Reliance Industries and blue-chips Reliance Communication Infosys Technologies.

The BSE barometer, which had lost nearly 17 percent in a string of losses since January 7 when Satyam fraud came to light, today jumped 299.13 points to close at 9,370.49.

Similarly, the wide-based National Stock Exchange index Nifty also shot up by 90.35 points at 2813.45.

Reliance Communications soared 10.38 percent to come out as the biggest gainer among the Sensex stocks today. Reliance Industries, the most valued private sector company, surged nine percent as the stock looked more attractive following reports that promoters have increased their stake in the company to over 49 percent as of December quarter.

IT bellwether Infosys which yesterday posted over 33 percent growth for the December quarter rose for the second day in succession. With today's gain of 6.07 percent, the software company has jumped over 12 percent in two days. Mahindra & Mahindra, which launched the multipurpose vehicle Xylo was the another prominent gainer at 5.39 percent.

RIL and Infosys together carry nearly 23 percent weightage on the Sensex.

Expectations of further fall in inflation, the weekly data for which will be announced tomorrow, and firm global trend weres other boosting factors for the equity markets.

Among sectoral indices, Oil & Gas index was the best performer today at 5.85 percent, followed by IT index at 5.02 percent. Tech, reatly and metal indices also closed higher in the range of over 4 percent.

Read more...

Sensex Rises 1% on new years' 1st day

The year 2009 commenced on a promising note as the Bombay Stock Exchange benchmark Sensex on Thursday surged over 256 points on heavy buying by funds on falling inflation data and expectations of another stimulus package from the government.

The 30-share BSE Sensex gained 256.15, or 2.66 per cent, at 9,903.46, as traders started buying for the new year, buoyed by hopes of an economic package and rate cuts, after it slumped more than half in 2008 -- its worst annual fall.

The key index touched the day's high of 9,921.70 and a low of 9,711.64 with some investors offloading shares on fears that the market boosters might not give a sharp turnaround to the economy amid dismal corporate earnings and the global economic downturn and financial market turmoil.

The 50-share National Stock Exchange benchmark Nifty oscillated between 3,039.25 and 2,963.30 before ending with a gain of 74.30 points at 3,033.45.

Marketmen said the inflation rate falling to a 10-month low at 6.38 per cent and the prospect of another stimulus package and the RBI's rate cuts boosted trading sentiment.

They said general investors are still not confident of joining the rally, and are offloading.

The realty sector index gained the most, by 6.52 per cent, to 2,422.43 on the expectation of another round of interest rate cuts. The metal sector index was the second-best performer, rising 6.02 per cent at 5,528.38, influenced by a rally at the London Metal Exchange last evening.

Read more...