RTTNews - The Indian market rallied further on Monday on the back of strong global cues, positive earnings surprises and strong institutional buying.
Sharp gains in the IT sector led by TCS following its better-than-expected results and speculation that the government's stance in a gas-sale dispute between Ambani brothers would help Reliance Industries, also helped the rally.
The BSE Sensex made a gap-up opening at 14,854 and rose sharply to 15,209 before finishing at 15,191, up 446 points or 3.03% from its previous close. Likewise, the S&P CNX Nifty rose 127 points or 2.91% to 4,502, while the small-cap and the mid-cap indexes on the BSE advanced over 2.5% each. On the BSE, gainers outnumbered losers by 1837 to 832, with 72 stocks closing unchanged.
TCS(up 15.34%), Wipro(up 7.14%), ICICI Bank(up 6.01%), Infosys(up 5.66%), DLF(up 5.38%), Hindalco(up 5.05%) and Reliance Industries(up 5.03%) were the top gainers. The other prominent gainers include Jaiprakash Associates, ACC, Sterlite Industries, Tata Motors, State Bank of India, Larsen & Toubro, Bharti Airtel and HDFC Bank. Sector-wise, IT, realty, banking, oil/gas, metal and capital good stocks led the gainers.
On the other hand, ITC fell nearly 2%, Reliance Infrastructure and Reliance Communication fell around 1.20% each, Tata Steel ended down 0.42%, HDFC edged down 0.34%, Hindustan Unilever declined 0.19% and Sun Pharma slipped 0.02%. The FMCG index ended down 0.49%, while the power and public sector indexes closed with modest gains.
DLF jumped 5.38% on reports that it is in discussions with two European companies, Gaz de France Suez and renewable energy group Akuo Energy, to sell its wind energy business. Time Technoplast gained 3.77% after it announced plans to set up manufacturing operations in Tinajin region in China.
Petronet LNG fell 4.77% after reporting a modest 2% year-over-year decline in its net profit for the three months ended June. Gujarat NRE Coke climbed 17% even as ts net profit for the June quarter tumbled 96% year-over-year.
JSW Steel ended up 0.43% despite reporting a 6.5% decline in its June-quarter consolidated net profit. Sterlite Technologies was locked at the 5% upper circuit limit after it reported a five-fold increase in its June-quarter net profit.
HDFC Bank rose 2.44% after the bank cut its benchmark lending rate by 25 basis points to 15.75 percent. Alstom Projects India rallied 5.39% after it bagged an order worth Rs 373 crore from BHEL for supply of boiler components.
Reliance Industries soared 5.03% after the Supreme Court adjourned hearing on the gas-sale dispute between Ambani brothers for September 1. ONGC gained 1.83% and Cairn India surged up over 6% after crude oil futures rose above $64 a barrel in Asian trading on Monday, tacking higher regional markets and a weaker U.S. dollar.
Nagarjuna Construction gained 4.17% after it bagged three orders totaling Rs 776 crore from various vendors for construction related works. Flawless Diamond added 5.76% after it secured two export orders worth Rs 32 crore for its diamond and branded and non branded diamond designer jewellery.
IFCI jumped over 10% after it bought a 5 per cent stake in MCX Stock Exchange from Financial Technologies (India).Dish TV India soared 5.64% on reports that it has raised prices of set-top boxes by Rs.100 each.
Better-than-expected quarterly results helped Kajaria Ceramics rise 3.43%, Supreme Industries rally 6.80%, GTL Infrastructure add 3.97%, BASF India surge up 9.70%, State Bank of Mysore jump 8% and Avaya Global Connect advance 5%.
Elsewhere, the other Asian markets open for trading ended in positive territory on optimism that the worst for the global economy is over, European stocks were last trading in the green, led by banks following news that lender CIT Group managed to avoid bankruptcy and U.S. stocks are set to open on a positive note Monday morning, as better-than-expected corporate results fortified expectations of a second-half recovery.
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