Sensex zooms 400 points to hit 52-week high

Private lenders were the top gainers while IT shares recovered on renewed buying interest

 

Benchmark stock indices touched fresh 52-week highs in late trades, amid firm European cues, with private lenders and autos leading the gains while IT majors witnessed renewed buying interest amid attractive valuations.

At 14:42 pm, the S&P BSE Sensex was up 419 points at 28,322 and the Nifty50 surged 130 points to 8,738. In the broader market, the BSE Midcap and Smallcap indices were up nearly 1% each.

Foreign portfolio investors (FPIs) bought shares worth Rs 287 crore on Monday, as per provisional stock exchange data.

European markets edged higher with stocks in Germany and France gaining the most while stocks in the UK were flat after trading resumed after a holiday on Monday. CAC and DAx were up 1% each while FTSE-100 was flat with positive bias.

Private lenders HDFC Bank and ICICI Bank were among the top gainers up over 1.5% each while IT majors witnessed renewed buying interest at lower levels.

In the IT space, Infosys which recently hit 52-week low was up 1.5% at Rs 1,038 while TCS was up 1.3%.

Coal India was up after it announced that it has fixed 9 September 2016 as the record date for the purpose of buyback of equity shares.

Mahindra & Mahindra gained after announcing the incorporation of a subsidiary company viz. Bristlecone Middle East DMCC, for providing business consulting, software implementation and related support services.

Wipro announced a partnership with Stibo Systems, a global leader in multi-domain Master Data Management (MDM) solutions. As part of the partnership, the two companies will collaborate to offer MDM solutions.

Among other shares, Gujarat Mineral Development Corporation (GMDC) hit a 52-week high of Rs 101, up 11% on the BSE, after the company reported 60% year on year jump in net profit of Rs 115 crore for the quarter ended June 30, 2016 (Q1FY17), on the back of healthy operational performance.

TD Power Systems has soared 9% after the company said that it has received an order for supply of 45 railway application generators from a major multi-national company (MNC) for installation in North America.

State-owned Indian Oil Corp (IOC) on Monday reported a 25% jump in first quarter net profit, as it also declared a 1:1 bonus share. The stock has gained over 1%.

eClerx Services has surged 9% to Rs 1,775, also its 52-week high on the BSE in early morning trade, after the board approved a proposal for buyback of equity shares of the company at a price not exceeding Rs 2,200 per share through tender offer.