Money on the markets
A maturing market amid the mayhem
The BSE Sensex ended on a strong note on Monday, extending gains to more than 3 percent on hopes of fresh economic stimulus measures and another round of rate cuts by the Reserve Bank of India (RBI).
Gains were led by heavyweights like Reliance Industries, which was up 3.3 percent; ICICI Bank, which rose 5.1 percent, and State Bank of India which added 2.6 percent.
Amongst sectors, the Metals Index topped the charts, gaining over 4 percent mainly on a surge in steel makers. Bhushan Steel jumped 16.98 pct while Tata Steel and Welspun Gujarat rose 7.2 pct and 7.3 pct respectively.
For the second day in a row, the Sensex registered small gains after a volatile session.
A surge in Asian markets helped the benchmark add over 2 percent by late morning, but the gains could not be sustained and the index ended marginally higher at 9202 as investors booked profits in stocks such as Reliance Industries.
Indian markets remained volatile throughout the day but the Sensex managed to close nearly 1 percent higher, tracking gains in global bourses.
A weak early morning session was followed by a bounce back, leading the benchmark index to 9302. But it pared gains later to close at 9149.
The week started on a negative note today, as the Sensex dropped more than 350 points to close 3.8 pct down.
Investor sentiments have been hit yet again by weak U.S. data for the fourth quarter and a survey that showed Indian manufacturing activity fell for a third straight month in January.
The BSE Sensex saw a choppy start today but buying by domestic funds lifted it into positive territory.
The 30-share sensitive index rose 2 percent to 9,424.24, its highest close since January 7, as domestic funds focussed on blue chips with earnings potential, such as Reliance Industries.
It was another bright day for Indian investors as gains across world markets allayed concerns over risk aversion and triggered short covering ahead of the expiry of monthly derivatives contracts on Thursday.
The Sensex took a hit on Friday as disappointing corporate results outlook and fading hopes of a rate cut sent it down to its lowest close in two months. The benchmark index dropped 1.5 percent to close at 8,674.
Energy giant Reliance Industries bucked the trend and rose 1.8 percent on lower-than-expected fall in quarterly profit.
Outsourcer Satyam jumped 31 percent. U.S.-listed iGate has told the Satyam board that it is interested in buying the firm.
It was a results packed day as big companies like Reliance Industries, Bharti Airtel and Ranbaxy reported their quarterly earnings.
The profits of Reliance Industries, India’s largest listed company, fell 9.8 percent, its first drop in three years. Ranbaxy Labs’ foreign exchange losses pushed it into the red in the December quarter.
It was a day of weak trade on Dalal Street as the Sensex ended with a small gain of six points.
Worries over domestic quarterly numbers continue to weigh on sentiments as investors look for cues from U.S. President-elect Barack Obama’s inaugural speech, due on Tuesday, which should give some idea about his likely policy measures for growth.