Benchmark indices are trading higher by nearly 0.5% each on gains in financials, information technology and select auto stocks while the losses in metal and select pharmaceuticals have kept the hopes of a strong rally diminished by limiting gains at higher levels.
At 12:45PM, the 30-share Sensex was up 136 points at 27,342 and the 50-share Nifty was up 39 points at 8,262.
In the broader market, both the BSE Midcap and Smallcap indices, up nearly 0.5% and 1% each have performed better than the front-liners. Market breadth in BSE is positive with 1,434 advances against 926 declines.
Buzzing Stocks
Only two out of the 12 sectoral indices of BSE are trading lower. BSE Metal index down over 1% is the top loser while BSE FMCG and Healthcare indices, up 0.7% each are the top gainers.
Financials are gaining in today’s session as sustained fall in consumer inflation prices has given boost to hopes of a rate-cut by Reserve Bank of India. Mortgage lender, HDFC and Axis Bank have gained 1.4% each, SBI has gained over 2% while ICICI Bank has shed 0.6%.
From the rate-sensitive pack, auto shares are too trading higher. M&M has gained nearly 2%, Tata Motors has gained 0.8% and Maruti Suzuki is up 0.4%.
Capital Goods stocks like L&T and BHEL have gained 1.1% and 0.3% each.
Bharti Airtel has gained nearly 2%. According to media reports, Bharti Airtel has started commercial 4G services in Chennai, India on a trial basis.
Metal stocks are under pressure with Tata Steel losing over 1%. According to the statement released to BSE, Tata Steel expects to take a non-cash writedown of $785.3 million in the quarter ended March 31, 2015 relating to its loss making business in UK.
Vedanta has shed 1.3%. According to media reports, due to a hefty drop in crude oil prices Vedanta had to incur an impairment charge worth $4.5 billion related to its Indian oil and gas business.
[“source-business-standard.com”]
