Longest winning streak in 16 months for Sensex

STOCK REPORT

The benchmark Sensitive Index climbed for an eighth day, its longest winning streak in 16 months. Cipla Ltd., the worst performer on the index in 2007, gained after some investors judged the 28 percent drop this year excessive.

"The stock has been battered, and was looking oversold on the charts,'' said R.K. Gupta, who manages the equivalent of $75 million of stocks at Credit Capital Asset Management in New Delhi.

Tata Motors , India's biggest truck and bus maker, fell after sales in August declined 0.4 per cent, its fourth monthly drop as demand remained sluggish due to high interest rates.

The Bombay Stock Exchange's Sensex rose 43.35, or 0.3 per cent to 15,465.40. The eight-day gain is the longest since May 10, 2006. Fourteen stocks advanced while 16 declined in the index. The S&P/CNX Nifty Index on the NSE added 4.50, or 0.1 per cent to 4,479.25.

Nifty futures for September delivery slid 0.2 percent to 4,434.

Cipla, the nation's third-biggest drugmaker, rose Rs 7.65, or 4.5 per cent, to 179.6, extending a two-day 4.1 per cent advance.

The stock's relative strength index, a moving average based on advances and declines in the previous 14 days, was below 30 on August 30. A reading lower than 30 indicates to some analysts the stock is poised to rise.

Tata Motors declined Rs 11.95, or 1.7 per cent, to Rs 691. The company sold 45,144 commercial and passenger vehicles in India and overseas last month. Sales of cars and sport-utility vehicles in the local market declined 5 percent to 16,620 units.

Overseas investors bought a net Rs 6.77 billion ($167.6 million) of Indian shares on August 31, according to the latest information on Securities & Exchange Board of India's Web site.