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Market surges in early trade on firm Asian stocks

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Capital Market
Last Updated : Sep 10 2013 | 11:55 PM IST

Key benchmark indices rallied in early trade on firm Asian cues. The stock market had remained closed on Monday, 9 September 2013, on account of Ganesh Chaturthi. The S&P BSE Sensex was up 445.15 points or 2.31%, up 270.55 points from the day's low and off 6.12 points from the day's high. The market breadth, indicating the overall health of the market, was strong. Asian stocks hit three-month high on Tuesday ahead of a fresh round of Chinese economic data and signs that Syrian tensions are easing.

Foreign institutional investors (FIIs) bought shares worth a net Rs 800.71 crore on Friday, 6 September 2013, as per provisional data from the stock exchanges.

At 9:25 IST, the S&P BSE Sensex was up 445.15 points or 2.31% to 19,715.21. The index surged 451.27 points at the day's high of 19,721.33 in early trade. The index gained 174.60 points at the day's low of 19,444.66 in early trade.

The CNX Nifty was up 129.85 points or 2.29% to 5,810.25. The index hit a high of 5,814.85 in intraday trade. The index hit a low of 5,738.20 in intraday trade.

The market breadth, indicating the overall health of the market, was strong. On BSE, 690 shares gained and 147 shares fell. A total of 28 shares were unchanged.

The total turnover on BSE amounted to Rs 140 crore by 09:25 IST.

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Among the 30-share Sensex pack, 28 stocks gained and only two of them declined. HDFC (up 6.17%), Bharti Airtel (up 4.58%) and Tata Motors (up 3.84%) edged higher from the Sensex pack.

Index heavyweight and cigarette maker ITC gained 2.17%.

Reliance Industries rose 1.33% to Rs 879.10.

Bharat Heavy Electricals (Bhel) shed 0.21%. The company said after market hours on Friday, 6 September 2013 that consequent upon the merger of Bharat Heavy Plate & Vessels (BHPV) with the company the BHPV plant is renamed as Heavy Plates & Vessels Plant (HPVP) and designated as the 17th manufacturing unit of Bhel located at Vishakhapatnam, Andhra Pradesh.

Jindal Steel & Power rose 2.25%. The company after market hours on Friday, 6 September 2013 announced buyback of its shares worth Rs 1000 crore at the maximum price of Rs 261 a share. The buyback process will be through open market transaction and will open on 16 September 2013. The company said in a statement to the stock exchanges that at the maximum quantity of shares that can be bought back would be 3.83 crore equity shares. The company's board had approved the resolution for buy back on 30 August 2013.

The Reserve Bank of India said on Thursday, 5 September 2013 that it will release the next Mid-Quarter Review of Monetary Policy 2013-14 at 11 IST on 20 September 2013 instead of 18 September 2013 as indicated in the First Quarter Review of Monetary Policy 2013-14. This will be followed by Governor Dr. Raghuram Rajan addressing the media in the afternoon.

Asian stocks hit three-month high on Tuesday ahead of a fresh round of Chinese economic data and signs that Syrian tensions are easing. Key benchmark indices in China, Hong Kong, Indonesia, South Korea, Singapore and Japan rose by 0.22% to 2.06%. Taiwan's Taiwan Weighted index shed 0.32%.

US markets ended higher on Monday, helped in part by hopes that the threat of a U.S. military intervention in the Middle East could be abating.

Russia on Monday proposed to work with Damascus to put its chemical weapons under international control, a move that President Barack Obama said could be "potentially positive".

Investors across the globe are eyeing the next policy meeting of the Federal Open Market Committee (FOMC) scheduled this month, with their focus squarely on the timing of tapering of Federal Reserve's bond purchases. The FOMC holds a two-day policy meeting on 17-18 September 2013 to decide on interest rates in the United States. The US central bank currently buys $85 billion a month in US debt and mortgage-backed securities in a bid to hold interest rates low and encourage economic growth. Federal Reserve Chairman Ben Bernanke has on several occasions stressed that the tapering process is dependent on an improvement in data. Fed's bond-buying program has kept global markets flush with liquidity in recent years.

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First Published: Sep 10 2013 | 9:30 AM IST

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