Sensex regains 29K-mark, Nifty tops 8800 level after SBI results boost

Mumbai: The benchmark Sensex gained 289.83 points to reclaim 29,000 mark and Nifty jumped 94 points to end above 8,800 level Friday on stellar SBI earnings, rising hopes of a progrowth budget and positive global cues.

Logging their fourth successive session of gains, benchmark indices wrapped up the week in style after ending in the red for the preceding two weeks.

Shares of FMCG, healthcare, banking, auto and metal sectors were the major gainers of the day.

Country’s largest public sector lender SBI today reported over 30 percent jump in net profit December quarter. Its shares zoomed nearly 8 percent, adding about 86 points alone to Sensex’s 289.83 point surge.

The BSE Sensex resumed higher at 28,888.99 and shot up further to 29,154.67 before ending at 29,094.93, showing a gain of 289.83 points or 1.01 percent.

Besides SBI, major contributors to the index’s gain include TCS, ITC, M&M and ICIC Bank, HDFC and Sun Pharma.

The Sensex has now gained 867.54 points, or 3.07 percent, in four days.

Similarly, the CNX 50share Nifty rose by 93.95 points, or 1.08 percent, to close at 8,805.50.

“Supporting global cues, ceasefire in Ukraine and expectations of progrowth budget, helped markets overcome the results of the Delhi assembly elections. Betterthanexpected numbers from SBI, M&M also helped sentiments and so also the lowerthanexpected CPI numbers,” said Kotak Securities, Head Private Client Group Research, Dipen Shah.

On the macro front, the rate of inflation based on the consumer price index (CPI) accelerated to 5.11 percent in January 2015 but was well within RBI’s target while slowing IIP growth in December 2014 has made the case stronger for more monetary easing this year.

In the overseas markets, European stocks were trading higher, boosted by the signs that the Eurozone economy may be recovering and hopes that Greece is closer to an overhaul of its bailout.

Meanwhile, Foreign Portfolio Investors sold shares worth a net Rs 406.28 crore yesterday as per provisional data while Domestic Institutional Investors bought shares worth a net Rs 705.53 crore.

Key indices in France, Germany and the UK rose by 0.48 percent to 0.57 percent.

Asian stocks also ended higher. Key indices in China, Hong Kong, Singapore, South Korea and Taiwan rose by 0.21 percent to 1.07 percent while Japan’s Nikkei eased by 0.37 percent.

US stocks climbed yesterday with major benchmarks nearing record highs, buoyed by a truce deal in Ukraine and strong quarterly earnings reports.

As many as 24 stocks out of the 30share Sensex pack ended higher while only six finished lower.
In terms of gains, biggest Sensex winners were SBI (7.96 percent), M&M (5.11 percent), TCS (3.08 percent), Coal India (2.37 percent) and ITC (2.01 percent).

Wipro (1.99 percent), Sun Pharma (1.77 percent), Maruti Suzuki (1.74 percent), Hero MotoCorp (1.53 percent), ICICI Bank (1.33 percent) and HDFC (1.13 percent) also notched up good gains.

However, Gail India fell by 3.96 percent, BHEL by 3.12 percent, ONGC by 1.99 percent and HDFC Bank by 1.09 percent.

Among the sectoral indices, FMCG index rose by 1.77 percent, Healthcare 1.56 percent, Bankex 1.32 percent, Auto 1.08 percent and Metal 1.01 percent.

The total market breadth remained positive as 1,456 stocks ended in green, 1,429 finished in green while 98 ruled steady. The total turnover rose further to Rs 4,038.18 crore from 3,842.48 crore yesterday.

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