Sensex extends rally, up 107 points on positive macro data

Mumbai: The benchmark Sensex zoomed about 107 points to 27,354.08 in early trade today, continuing its rally for the fourth straight session, on the back of positive macro-economic data and encouraging corporate earnings.

Besides, a firming trend on other Asian bourses also buoyed sentiment here.

The 30-share barometer, after spurting to 27,459.75 at the outset, was trading 106.92 points, or 0.39 percent, higher at 27,354.08 with all the sectoral indices, led by IT, teck, oil&gas and metal rising by up to 0.88 percent.

The gauge had gained 520.57 points in previous three days.

The NSE index Nifty climbed 26.90 points or 0.32 percent to 8,434.10.

Brokers said buying activity picked up on positive economic data as industrial production in November grew by 5.7 percent compared to a contraction of 3.4 percent in the same month a year ago due to better performance of manufacturing, mining and electricity sectors coupled with larger offtake of capital goods, considered a barometer of investment.

According to brokers, retail inflation easing further to multi-year low of 3.41 percent in December too had a positive impact.

Shares of Infosys was trading lower by 0.60 percent at Rs 994 apiece, reacting to Q3 earnings.

The IT major today reported a 7 percent growth in its consolidated net profit at Rs 3,708 crore for the October-December quarter and revised its revenue guidance in constant currency to 8.4-8.8 percent as against earlier 8-9 percent.

Stocks of TCS, country's biggest software services firm, was however quoting 0.50 percent higher at Rs 2,357.95 apiece after the company yesterday reported a 10.9 percent jump in profit to Rs 6,778 crore.

Among other Asian markets, Japan's Nikkei rose 0.52 percent while Hong Kong's Hang Seng was up 0.51 percent in early trade. China's Shanghai Composite index gained 0.12 percent.

The US Dow Jones Industrial Average, however, closed 0.32 percent lower in yesterday's trade.