Volatility continued as the barometer index, the S&P BSE Sensex, regained positive zone soon after slipping into the red from green for a brief period in afternoon trade. At 13:15 IST, the Sensex was up 37.24 points or 0.14% at 26,182.91. The gains for the 50-unit Nifty 50 index were higher in percentage terms than those for the Sensex. The Nifty was currently up 18.40 points or 0.23% at 7,953.65. The market breadth indicating the overall health of the market was positive. On BSE, 1,490 shares rose and 1,075 shares fell. A total of 122 shares were unchanged. The BSE Mid-Cap index was up 0.48%. The BSE Small-Cap index was up 0.31%. Both these indices outperformed the Sensex.
The Reserve Bank of India (RBI) kept its benchmark interest rate viz. the repo rate unchanged at 6.75% after a monetary policy review today, 1 December 2015. The central bank also kept the cash reserve ratio (CRR) for commercial banks unchanged at 4% of net demand and time liability (NDTL). The decision was announced at 11:00 IST. Retaining the easing stance of monetary policy, the RBI said that it will use the space for further accommodation when available.
In overseas stock markets, Asian shares edged higher amid speculation that the European Central Bank will announce a round of fresh measures to boost the eurozone economy at its regular monetary policy review scheduled later this week.
FMCG stocks were in demand on renewed buying. Hindustan Unilever (up 3.16%), Britannia Industries (up 1.66%), GlaxoSmithkline Consumer Healthcare (up 1.8%), Dabur India (up 1.66%), Godrej Consumer Products (up 1.35%), Marico (up 0.07%), Nestle India (up 0.38%), Procter & Gamble Hygiene and Health Care (up 0.27%), Bajaj Corp (up 0.95%) rose.
Tata Global Beverages (down 1.74%), Colgate-Palmolive (India) (down 0.6%) and Jyothy Laboratories (down 0.68%) fell.
Cement stocks gained. Ambuja Cements (up 1.99%) and ACC (up 0.9%) gained. Shares of Shree Cement were unchanged at Rs 11,100.
More From This Section
UltraTech Cement rose 1.83% on reports that a foreign brokerage has maintained outperform rating on the stock. The foreign brokerage reportedly said that higher urban housing demand could lead to strong FY 2017 financials for UltraTech Cement.
Shares of Grasim Industries were up 0.07% at Rs 3,742.15. Grasim has exposure to the cement sector through its holding in UltraTech Cement.
Steel Strips Wheels (SSWL) rose 4.14% after the company announced securing an export order from Jaguar Land Rover. This order is one of SSWL's biggest export order. The company will supply products to JLR's UK and one more European facility, SSWL said. The wheels will be supplied from SSWL's Chennai plant in India with the first supplies planned to start from February 2016, the company said. SSWL said it looks to forging a strong working relationship with JLR.
On macro front, India's gross domestic product (GDP) rose 7.4% in Q2 September 2015 over Q2 September 2014, with growth mainly driven by pick-up in the manufacturing sector, which has grown by 9.3% in Q2. The GDP growth has shown a pick up from 7% growth recorded in Q1 June 2015. Meanwhile, the GDP growth remained below 8.4% rise recorded in the corresponding quarter of the last year. The Q2 GDP data was announced after market hours yesterday, 30 November 2015. The finance ministry is expecting the economy to grow in the vicinity of 7.5% in the year ending 31 March 2016 (FY 2016).
Meanwhile, the outcome of a monthly survey showed tepid growth in India's manufacturing sector last month. The seasonally adjusted Nikkei India Manufacturing Purchasing Managers' Index (PMI) fell to a 25-month low of 50.3 in November 2015.
Powered by Capital Market - Live News