A bout of volatility was witnessed in early trade as key benchmark indices trimmed gains after a firm start. Firmness in Asian stocks supported domestic bourses. The barometer index, the S&P BSE Sensex, was up 52.14 points or 0.25%, off close to 60 points from the day's high. The market breadth, indicating the overall health of the market, was strong. The market sentiment was also boosted by data showing that foreign funds remained buyers of Indian stocks on Friday, 27 December 2013.
Adani Power rose after the board of directors of the company at its meeting held on 28 December 2013, approved demerger of the transmission line business of the company to its wholly owned subsidiary company. HCL Technologies scaled record high. Sesa Sterlite gained after the company said that it has received permission from the Supreme Court appointed Monitoring Committee to resume the mining activities at its Karnataka mine.
The market sentiment was boosted by data showing that foreign funds were net buyers of Indian stocks on Friday, 27 December 2013. Foreign institutional investors (FIIs) bought shares worth a net Rs 295.76 crore on Friday, 27 December 2013, as per provisional data from the stock exchanges.
At 9:32 IST, the S&P BSE Sensex was up 52.14 points or 0.25% to 21,245.72. The index jumped 111.12 points at the day's high of 21,304.70 in early trade. The index gained 50.08 points at the day's low of 21,248.64 in early trade.
The CNX Nifty was up 17.80 points or 0.28% to 6,331.60. The index hit a high of 6,344.05 in intraday trade. The index hit a low of 6,327 in intraday trade.
The market breadth, indicating the overall health of the market, was strong. On BSE, 675 shares gained and 135 shares fell. A total of 31 shares were unchanged.
Also Read
Among the 30-share Sensex pack, 23 stocks gained and rest of them declined. Tata Motors (up 1.23%), ICICI Bank (up 0.73%) and Bharti Airtel (up 0.65%) gained.
State Bank of India (SBI) rose 0.89%. The bank said before market hours that the Central Government, has appointed Shri P. Pradeep Kumar, Deputy Managing Director, State Bank of India, as Managing Director, State Bank of India, from the date of taking over the charge of the post and upto 31 October 2015 i.e. the date of his attaining the age of superannuation or until further orders, whichever is earlier.
Sesa Sterlite gained 0.95% after the company said on Saturday, 28 December 2013 that it has received permission from the Supreme Court appointed Monitoring Committee to resume the mining activities at its Karnataka mine. Accordingly, the company has commenced its mining operations on that day, in accordance with stipulated conditions. The Supreme Court of India had earlier given the clearance for resumption of mining operations for A and B category mines in Karnataka, vide its order dated 18 April 2013.
Shares of AXIS Bank fell 0.38%. The Reserve Bank of India on Friday, 27 December 2013 notified that consequent upon approval from Government of India for increase in foreign investment from 49% to 62% of the paid up equity share capital of AXIS Bank, the aggregate share holdings through Foreign Institutional Investor (FII)/ Non Resident Indian (NRI)/Person of Indian Origin (PIO)/Foreign Direct Investment (FDI)/American Depository Receipt (ADR)/Global Depository Receipt (GDR) in AXIS Bank have gone below the prescribed threshold caution limit stipulated under the extant FDI Policy. Hence, the restrictions placed on the purchase of shares of the above company are withdrawn with immediate effect.
The Cabinet Committee on Economic Affairs (CCEA) had approved the proposal of AXIS Bank for increase in foreign investment ceiling in the bank to 62% from 49%, subject to the aggregate foreign institutional investors holding not exceeding 49% of the paid up equity share capital of the bank. The approval would result in foreign investment of Rs 7250 crore (approximately) in the country, a government statement said on Thursday, 26 December 2013.
HCL Technologies rose 0.98% to Rs 1,261.55 after hitting record high of Rs 1,263 in intraday trade. The company after market hours on Friday, 27 December 2013 announced that Vineet Nayar, Director of the company since 2008, has decided to retire from the Board in order to devote more time to his Foundation. HCL Technologies also announced on Friday, 27 December 2013 the appointment of Vineet Nayar as a Senior Advisor to HCL Technologies and HCL Corporation.
"Vineet has been a friend and a colleague for over two decades now. His bold ideas and passion for the organisation, has inspired many others to think and dream big. His contribution to HCL and the Board has been a benchmark for others to follow and we all are very proud of him. On behalf of the Board, I thank him for all that he has done and I look forward to his continued association with HCL as a Senior Advisor," said Shiv Nadar, Chief Strategy Officer and Chairman HCL Technologies.
"I am grateful to Shiv, Board Members and the employees of HCL Technologies, for giving me an opportunity to dream, learn, explore and experiment along with them. There are very few organisations where one could rise up the ranks and become the CEO and Vice Chairman. I applaud Shiv for creating such a culture at HCL and thank him for his mentorship, guidance and friendship over these years. As I pursue my dream, of creating a Million Smiles through Sampark Foundation, I carry with me goodwill, best wishes and lots of learning. I also hope to continue to add value to both HCL Technologies and HCL Corporation through my continued association. I wish all the HCLites, exciting and energized years' ahead." said Vineet Nayar Founder, Sampark Foundation.
As a Senior Advisor, Vineet will advise HCL Corporation on key strategic issues and also work with the Board of HCL Technologies on initiatives such as driving a high performance culture amongst senior managers and new strategies for growth.
Adani Power rose 1.27% after the company said before market hours today, 30 December 2013 that the board of directors of the company at its meeting held on 28 December 2013, approved demerger of the transmission line business of the company to its wholly owned subsidiary company (WOS) subject to requisite approvals and also approved the valuation report (by BSR & Associates, Chartered Accountants), fairness opinion (by ICICI Securities) and the Scheme of demerger. The board also approved appointment of Mr. Vinod Bhandawat as Chief Financial Officer of the company.
In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 61.9575, compared with its close of 61.85 on Friday, 27 December 2013.
The next major trigger for the market in Q3 December 2013 corporate earnings. The Q3 earnings season will begin around mid-January 2014 and continue till mid-February 2014. Investors and analysts will closely watch the management commentary that would accompany the result to see if there is any revision in their future earnings forecast of the company for the current year and/or the next year.
Asian stocks climbed on Monday, with Japan's Nikkei 225 Stock Average poised for its biggest annual gain since 1972, as the yen touched a five-year low versus the dollar. Key benchmark indices in China, Hong Kong, Indonesia, Japan, Taiwan, South Korea and Singapore were up 0.03% to 0.99%.
US stocks slipped on Friday on light trading after stocks reached record highs earlier last week.
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