Key benchmark indices moved in a narrow range in positive zone in early afternoon trade. The barometer index, the S&P BSE Sensex, was up 15.51 points or 0.07%, up about 45 points from the day's low and off almost equal points from the day's high. The market breadth, indicating the overall health of the market, was strong.
Realty stocks extended their recent gains triggered by ICICI Bank, State Bank of India and HDFC cutting interest rates on home loans. Pharma stocks gained on renewed buying. Shares of Sesa Sterlite fell on reports Central Bureau of Investigation (CBI) has started a probe into possible irregularities in its stake buy in Hindustan Zinc. Shares of tyre maker Apollo Tyres surged.
The Sensex edged higher in early trade on firm Asian stocks. A bout of volatility was witnessed as key benchmark indices alternately swung between positive and negative zone in morning trade. Intraday volatility continued as key benchmark indices trimmed losses after hitting fresh intraday low in mid-morning trade. The Sensex regained positive terrain in early afternoon trade.
The market may remain volatile this week, which is a truncated trading week, as traders roll over positions in the futures & options (F&O) segment from the near month December 2013 series to January 2014 series. The near month December 2013 derivatives contract expire on Thursday, 26 December 2013. The stock market remains closed tomorrow, 25 December 2013, on account of Christmas.
Foreign institutional investors (FIIs) bought shares worth a net Rs 135.42 crore on Monday, 23 December 2013, as per provisional data from the stock exchanges.
At 12:20 IST, the S&P BSE Sensex was up 15.51 points or 0.07% to 21,116.54. The index rose 55.89 points at the day's high of 21,156.92 in early trade. The index fell 27.94 points at the day's low of 21,073.09 in mid-morning trade.
Also Read
The CNX Nifty was up 8.35 points or 0.13% at 6,292.85. The index hit a high of 6,301.50 in intraday trade. The index hit a low of 6,278.15 in intraday trade.
The market breadth, indicating the overall health of the market, was strong. On BSE, 1,321 shares gained and 846 shares fell. A total of 143 shares were unchanged.
Among the 30-share Sensex pack, 17 stocks gained and rest of them declined. Bajaj Auto (up 1.68%), Bhel (up 1.54%) and L&T (up 1.17%) gained.
Shares of Sesa Sterlite fell 2.63% on reports Central Bureau of Investigation (CBI) has started a probe into possible irregularities in its stake buy in Hindustan Zinc. Shares of Hindustan Zinc dropped 3.07%. A Sterlite unit bought a 26% stake in Hindustan Zinc from the government in 2006. The unit now owns 64.92% while the government has a 29.54% stake in Hindustan Zinc.
London-listed Vedanta Resources Plc, owner of Sesa Sterlite, said in October it won the backing of its shareholders to offer up to $3.48 billion to buy the Indian government's minority stakes in Hindustan Zinc and Bharat Aluminium Co.
Pharma stocks gained on renewed buying. Cipla (up 0.35%), Dr Reddy's Laboratories (up 0.67%), Lupin (up 1.58%), Ranbaxy Laboratories (up 3.4%) and Sun Pharmaceutical Industries (up 0.23%) gained.
Realty stocks extended their recent gains triggered by ICICI Bank, State Bank of India and HDFC cutting interest rates on home loans last week. The reduction in home loan rates by these three major lenders could lead to a revival of interest in the real estate sector, which has been hit by high prices amid a sluggish economy. Purchases of both residential and commercial property are largely driven by finance. DLF (up 0.53%), D B Realty (up 2.87%), and Sobha Developers (up 0.08%) gained. Unitech shed 0.32%.
GMR Infrastructure rose 1.89% on reports Malaysia Airport Holding Berhard has offered 225 million euros to acquire GMR's 40% stake in Turkey's Sabiha Gokcen Airport and its operating company LGM Tourism. GMR Infrastructure (GMR) today, 24 December 2013, said that it has received a notice from Malaysia Airport Holding Berhard (MAHB) seeking to exercise its right of first refusal (ROFR) for acquisition of GMR's 40% equity stake in Sabiha Gokcen International Airport (ISGIA) and its operating company LGM Tourism (LGM). GMR said it is evaluating the exercise of ROFR by MAHB and will intimate the stock exchange further developments in this regard.
MAHB holds a 20% stake in ISGIA. Limak Holding, Turkey (LIMAK) is the third consortium partner in ISGIA. The consortium took over operations of the airport on 1 May 2008 and the new international terminal commenced commercial operations on 31 October 2009.
Apollo Tyres jumped 8.51% to Rs 101.40 after hitting 52-week high of Rs 101.80 in intraday trade. The stock rose on high volumes. On BSE, 24.83 lakh shares changed hands on the counter, compared with average daily volume of 8.73 lakh shares in the past one quarter.
T D Power Systems lost 0.3% to Rs 236.10 after three block deals aggregating 4.38 lakh shares were executed in the counter on BSE at 9:20 IST. A block deal of 1.46 lakh shares was executed at Rs 190 per share. Another block deal of 1.46 lakh shares was executed at Rs 225 per share. One more block deal of 1.46 lakh shares was executed at Rs 190 per share. The three block deals constitute 1.31% of T D Power Systems' equity.
In foreign exchange market, rupee edged higher against the dollar on global risk on sentiment. The partially convertible rupee was hovering at 61.875, compared with its close of 61.9525/9625 on Monday, 23 December 2013.
Most Asian stocks edged higher on Tuesday, 24 December 2013, after data showed the US economic recovery gaining momentum. US economy is the world's biggest economy. Key benchmark indices in Hong Kong, Japan, Singapore and South Korea rose 0.12% to 1.13%. Key benchmark indices in China, Indonesia and Taiwan shed by 0.07% to 0.41%..
China's central bank conducted the first reverse-repurchase agreements in three weeks, helping to ease the tightest financing conditions since a record cash crunch in June.
In Japan, the Cabinet Office released its December economic report today, 24 December 2013. The report dropped a reference to the word deflation for the first time since October 2009, saying "prices are holding firm."
Trading in US index futures indicated a flat opening of US stocks on Tuesday, 24 December 2013. US stocks on Monday jumped to new records after strong economic data gave new momentum to last week's rally. US household purchases, which account for almost 70 percent of the economy, rose 0.5% after a 0.4% gain in October that was larger than previously estimated, the Commerce Department reported in Washington. A separate report showed consumer confidence increased in December. The Thomson Reuters/University of Michigan final index of consumer sentiment climbed to 82.5 from 75.1 a month earlier.
The US Federal Reserve said after a two-day monetary policy review on 18 December 2013 that it will cut its monthly bond purchases to $75 billion from $85 billion starting in January 2014 amid an improved outlook for the job market in the world's largest economy. The US central bank is poised to continue winding down its stimulus measures gradually over the next year.
Powered by Capital Market - Live News