Nifty gains on optimism, up 22 points

The Indian bourses rose for the third consecutive session on firm buying in frontline shares, riding on optimism over upcoming earning results and well perceived WPI inflation data with the benchmark CNX Nifty gaining 21.80 points at the National Stock Exchange (NSE).
Opening lower, amid selling in recent rallied Infosys and some metal shares ahead of government WPI inflation data the market traded range-bound in early hours. The release of lower than expected June WPI inflation at 4.86 per cent slightly higher than last May's 4.7 per cent, which is below contemplated 5 per cent of the RBI, helped the benchmark to break from its wobbly trend.

High optimism over the forthcoming earning results in blue chip companies and firm Asian and European markets also supported the sentiment.
Good buying in banking, FMCG, infra and PSU sector led the Nifty to end the session on a positive note.
The 50-share index moved between a low of 5,980.95 and touched high of 6,038.20 and ended at 6,030.15, up 21.15 points or 0.36 per cent.
"The market is helped by WPI inflation data, though accelerated is maintained below 5 per cent, which raised our hope of rate cut" a dealer said.

The smart gainers were PNB, JP Associates, Cairn India and Hindalco shares.

The losers were NTPC, Coal India, Infosys, Tata Steel and Tata Motors were the key losers.
Turnover in the cash segment declined to Rs 8,647.49 crore from Rs 10,457.26 crore last Friday. A total of 5,454.23 lakh shares changed hands in 48,68,876 trades. The market capitalisation stood at Rs 64,17,666 crore.