Sensex up 150 pts; Consumer Durables surge; Infy up 3%

The benchmark indices continue to trade firm in the morning trades on emergence of buying by funds and retail investors in  stocks. Index heavy weights Infosys, ITC and ICICI Bank  are contributing nearly 100 points to the rise on the Sensex.

 

 At 11.00 AM, the Sensex is up 188 points at 25,670 and the Nifty has climbed 64 points to trade at 7,667.

 

Broader markets are in line with the large counterparts both the mid and smallcap indices have surged by 0.7 and 1.1%, each.

 

The market breadth is positive with 1541 stocks advancing while 655 stocks declining on BSE.
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(updated at 11 AM)
The markets have opened on a firm note tracking positive Asian cues. Strong Auto sales numbers have further boosted the sentiment. Index heavyweights ICICI Bank, ITC and L&T are contributing the most to the rise on the Sensex.

 

The Sensex is up 87 points at 25,568 and the Nifty is up 31 points at 7,633 levels.

The market breadth is positive with 897 shares advancing and 226 shares declining.

The broader markets are outperforming the counterparts. BSE Midcap and Smallcap indices are up 0.7% and 1% each.
 

Global Markets

 

Steep weekly falls on Wall Street pressured Asian shares on Monday, as concerns over geopolitical tensions and Argentina's debt default eclipsed U.S. economic data that argued against an earlier start to the Federal Reserve's rate-tightening cycle.

 

Japan's Nikkei average .N225 fell 0.4 percent while MSCI's broadest index of Asia-Pacific shares outside Japan was off 0.05 percent. SGX Nifty is quoting at 7,669.50 up by 54.50 points.

 

Rupee

 

The weakness in rupee is seen limited this week and currency dealers believe the depreciation may be capped at Rs 61.50 a dollar. This is because the US job growth slowed a bit in July and the unemployment rate unexpectedly rose. Currency traders believe the slow recovery could lead to the US Fed keeping interest rates low for a while. The US job data was released on Friday after market hours.

 

Car makers in India reported a 11.3 per cent jump in sales in July, the third month of rising demand. Eight of India’s leading makers who released their data on Friday sold 183,176 units in the month compared to 164,572 units in July 2013. Leading the tally was Maruti Suzuki, which clocked a growth of 19.9 per cent to sell 90,093 units in the domestic market last month. 

Sectors & Stocks

 

On the sectoral front, all indices are trading positive. BSE Consumer Duarbles index is leading the rally up 1.7%, followed by BSE Power, Realty, Capital goods, FMCG and Metal indices up between 0.5-1.2%.

 

The financial shares are witnessing fresh buying in the morning trades with Axis Bank, ICICI Bank, SBI and HDFC twins up between 0.5-1.3%.

 

The Auto pack barring M&M and Hero Mottocorp have gained on the back of positive Auto sales numbers. TaTa Motors and Maruti Suzuki have climbed up 0.5%.Car makers in India reported a 11.3 per cent jump in sales in July, the third month of rising demand. Eight of India’s leading makers who released their data on Friday sold 183,176 units in the month compared to 164,572 units in July 2013. Leading the tally was Maruti Suzuki, which clocked a growth of 19.9 per cent to sell 90,093 units in the domestic market last month. 

 

L&T which dipped almost 7% on Thursday after posting less than expected quarterly results is up by 1%.
 

India's largest cigarette maker, ITC has surged nearly 1%. 

 

Power stocks which lost sheen on Friday have edged up in the early trades. NTPC and Tata Power are up by 0.5% and 1.5%, each.

 

The metal shares are rallying. Sesa Sterlite, Coal India, Hindalco and Tata Steel have gained between 0.3-1%.

 

Some notable gainers are Bharti Airtel, Cipla and Infosys among others.

 

On the flip side, IT  major TCS is down nearly 1%.

 

Among other shares, TVS Motor Company has surged 5% to Rs 160 after reporting 32% year-on-year growth in vehicle sales at 203,902 units during the month of July 2014, driven by scooters, which rose by 64%. The two-wheelers maker had recorded sales of 153,676 units in the month of July 2013.

 

Syndicate Bank has tanked 6% to Rs 136 on NSE in otherwise firm market after the Central Bureau of Investigation (CBI) has arrested S K Jain, chairman and managing director (CMD) of the bank, for allegedly accepting bribes from private companies to extend credit facilities.