India shares end near 10-month high
Wednesday, 10 June 2009
MUMBAI, June 9 (Dow Jones): Value buying by institutions and retail investors in bellwether stocks helped Indian shares reverse previous losses and end near a 10-month high Tuesday.
The Bombay Stock Exchange's Sensitive Index, or Sensex, rose 3.1 per cent, or 461.08 points, to close at 15,127 after trading between 14,526.69 and 15,161.22.
The index, which lost 2.9 per cent Monday, last closed above this level on August 12 at 15,212.13. It is up nearly 57 per cent so far this year.
Traders said there was increased participation from retail investors, who used Monday's market correction to buy value stocks at lower levels.
Out of the 30 index stocks, 28 ended higher, with 13 of them surging between 4.0 per cent and 10 per cent.
"Money sitting on the sidelines came into the markets after the correction," said Ambareesh Baliga, vice-president, Karvy Stock Broking.
Baliga said the Sensex may rise another 300-400 points this week as funds continue to flow into the market.
Dow Jones Newswires technical analysis tips the Sensex to trade in a 14,500-15,550 range for the rest of the week.
On the National Stock Exchange, the 50-stock S&P CNX Nifty rose 2.7 per cent, or 121.05 points, to close at 4,550.95.
The total traded volume on the Bombay Stock Exchange was INR79.92 billion, compared with Monday's INR73.33 billion. Gainers beat losers 1,494 to 1,290, while 42 stocks were unchanged.
Real Estate and Information Technology (IT) indexes gained the most among the 13 sectoral BSE indexes, rising 6.3 per cent and 4.8 per cent, respectively.
DLF, one of Monday's major losers, rose 10.1 per cent to INR402.70, ending as the biggest per centage gainer among the Sensex components.
Jaiprakash Associates, which plunged more than 10 per cent Monday, advanced 8.2 per cent to INR224.20, while Tata Steel erased some of Monday's losses to end up 5.3 per cent to INR438.55.
Among index heavyweights, Reliance Industries, India's biggest company by market capitalization, rose 3.8 per cent to INR2,271.90, engineering and construction company Larsen & Toubro jumped 6.4 per cent to INR1,573.80, while ICICI Bank added 1.6 per cent to INR735.55.
The three stocks have a combined weight of about 31.5 per cent on the Sensex.
Reliance Communications was another big gainer, rising 7.4 per cent to INR332.25. The stock fell 8.7 per cent Monday.
Technology stocks continued to gain on the back of a weaker Indian rupee, which fell to a low of 47.78 to the U.S. dollar during the session. It was last seen trading at 47.58 against Friday's close of 47.56.
Infosys Technologies gained 3.6 per cent to INR1,795.55, Tata Consultancy Services soared 6.0 per cent to INR782.05, while Wipro advanced 4.4 per cent to INR423.75.
Beyond the Sensex, Satyam Computer Services hit its 10 per cent upper limit to trade at INR66.85 after the company - which is recovering from India's biggest-ever corporate scandal - surprised the market with a profit announcement.
The company said it chalked up an unaudited consolidated net profit of INR1.60 billion in the October-December quarter and that it had a cash balance of INR3.73 billion on March 31.
Subsequently, shares in Tech Mahindra, which bought 31 per cent of Satyam via a preferential share issue at INR58 per share in April, surged 25.5 per cent to close at INR744.20.
The Bombay Stock Exchange's Sensitive Index, or Sensex, rose 3.1 per cent, or 461.08 points, to close at 15,127 after trading between 14,526.69 and 15,161.22.
The index, which lost 2.9 per cent Monday, last closed above this level on August 12 at 15,212.13. It is up nearly 57 per cent so far this year.
Traders said there was increased participation from retail investors, who used Monday's market correction to buy value stocks at lower levels.
Out of the 30 index stocks, 28 ended higher, with 13 of them surging between 4.0 per cent and 10 per cent.
"Money sitting on the sidelines came into the markets after the correction," said Ambareesh Baliga, vice-president, Karvy Stock Broking.
Baliga said the Sensex may rise another 300-400 points this week as funds continue to flow into the market.
Dow Jones Newswires technical analysis tips the Sensex to trade in a 14,500-15,550 range for the rest of the week.
On the National Stock Exchange, the 50-stock S&P CNX Nifty rose 2.7 per cent, or 121.05 points, to close at 4,550.95.
The total traded volume on the Bombay Stock Exchange was INR79.92 billion, compared with Monday's INR73.33 billion. Gainers beat losers 1,494 to 1,290, while 42 stocks were unchanged.
Real Estate and Information Technology (IT) indexes gained the most among the 13 sectoral BSE indexes, rising 6.3 per cent and 4.8 per cent, respectively.
DLF, one of Monday's major losers, rose 10.1 per cent to INR402.70, ending as the biggest per centage gainer among the Sensex components.
Jaiprakash Associates, which plunged more than 10 per cent Monday, advanced 8.2 per cent to INR224.20, while Tata Steel erased some of Monday's losses to end up 5.3 per cent to INR438.55.
Among index heavyweights, Reliance Industries, India's biggest company by market capitalization, rose 3.8 per cent to INR2,271.90, engineering and construction company Larsen & Toubro jumped 6.4 per cent to INR1,573.80, while ICICI Bank added 1.6 per cent to INR735.55.
The three stocks have a combined weight of about 31.5 per cent on the Sensex.
Reliance Communications was another big gainer, rising 7.4 per cent to INR332.25. The stock fell 8.7 per cent Monday.
Technology stocks continued to gain on the back of a weaker Indian rupee, which fell to a low of 47.78 to the U.S. dollar during the session. It was last seen trading at 47.58 against Friday's close of 47.56.
Infosys Technologies gained 3.6 per cent to INR1,795.55, Tata Consultancy Services soared 6.0 per cent to INR782.05, while Wipro advanced 4.4 per cent to INR423.75.
Beyond the Sensex, Satyam Computer Services hit its 10 per cent upper limit to trade at INR66.85 after the company - which is recovering from India's biggest-ever corporate scandal - surprised the market with a profit announcement.
The company said it chalked up an unaudited consolidated net profit of INR1.60 billion in the October-December quarter and that it had a cash balance of INR3.73 billion on March 31.
Subsequently, shares in Tech Mahindra, which bought 31 per cent of Satyam via a preferential share issue at INR58 per share in April, surged 25.5 per cent to close at INR744.20.