Sensex up 30 pts in cautious trade amid debate on FDI
Mumbai: In listless trading, the BSE Sensex gained over 30 points at 18,537 Monday on investor caution amid all-party meet to break the Parliamentary logjam over FDI in multi-brand retail and weak global markets.
Rise in heavyweights such as Infosys, L&T, HUL, Bharti Airtel, Tata Motors, Tata Steel and Wipro supported the rise. However fall in M&M, HDFC Bank and ICICI Bank restricted the surge. Tata Steel gained 1.96 percent following the announcement to cut 900 jobs at its UK units.
The BSE 30-stock index, Sensex, opened higher and moved in a narrow range of 18,590.33 and 18,508.79 before closing the day at 18,537.01, up 30.44 points of 0.16 percent.
The NSE 50-share Nifty also moved up 9.30 points or 0.17 percent to 5,635.90.
Marketmen said the gains were also restricted ahead of the monthly settlement in the derivative contracts this week, besides mixed investor cues from global markets amid plans to finalise a bailout deal for Greece and budgetary impasse in the US. Asian stocks showed a narrowly mixed trend, while European markets were trading lower in the afternoon.
Adjournment of Parliament for the third day without taking any decision on economic reforms also weighed on the market sentiment.
Meanwhile, consensus eluded an all-party meeting called on FDI issue even as Samajwadi Party and BSP provided comfort to the government by not insisting on voting and Trinamool Congress sprang a surprise by speaking in a similar tone.
In the broader market, Jet Airways stock rose amid reports of talks between the airline and UAE's Etihad Airways for stake sale in the company. It shot up by 10.81 percent.
Meanwhile, Hindustan Copper plunged 20 percent to hit its lower daily limit for the second consecutive day to trade after government's stake sale.
Globally, key indices in Japan, Singapore and Taiwan finished higher, while in China, Hong Kong and South Korea the markets were down.
European markets were trading lower in their afternoon trade ahead of another Eurogroup meeting on Greece. Indices in France, Germany and UK eased by up to 0.75 percent.
In all, 18 of the 30 Sensex-based stocks made gains, while 11 others finished in the red. Cipla held stable.
Wipro gained 2.50 percent, followed by Sterlite (2.23 percent), Infosys (1.71 percent), Bharti Airtel (1.62 percent), Hindalco (1.58 percent), Dr Reddy's Lab (1.57 percent), HUL (1.45 percent), L&T (1.28 percent), Tata Power (1.22 percent) and Tata Motors (0.94 percent).
However, M&M declined 3.37 percent, Sun Pharma (1.72 percent), BHEL (1.40 percent), HDFC Bank (1.07 percent), Gail India (0.81 percent) and ICICI Bank (0.66 percent).
Among sectoral indices, the BSE-Teck rose 1.35 percent, IT (1.24 percent), Consumer Durables (1.20 percent) and Metal (0.98 percent).
Reflecting fresh participation of retail investors, the BSE-Smallcap and BSE-Midcap outperformed the Sensex, rising by 0.85 percent and 1 percent respectively.
The market breadth was positive as 1,577 stocks ended with gains while 1,223 that settled with losses. The total market turnover improved further to Rs 2,401.96 crore from Rs 2,101.35 crore last Friday.
Foreign institutional investors (FIIs) were net buyers of Rs 366.37 crore on last Friday as per provisional data from the stock exchanges.