Short covering push

STOCKS REPORT

Bargain hunting and encouraging corporate results lifted the sentiment as the benchmark BSE Sensex rallied more than 100 points in intra-day trades.

Recovering from an intra-day low of 6,069, the Sensex finally ended 57 points higher to close at 6,163. The Nifty ended 23 points higher to close at 1,932.

Brokers said, short covering and bargain hunting at lower levels in select frontline stocks was highlight of Tuesday's trading. The undertone in the market was positive with gainers outnumbering losers by 1351:895. Of the 30 Sensex stocks, 22 stocks advanced with 8 stocks ending negative.

"The roll over in the future and option segment for the current series has been lower, as investors have cut down their positions before the expiry."

A senior executive with a domestic broking firm said, "While markets recovered on short covering, we are advising our clients to book profits at every higher levels. The approach is cautiously optimistic at current levels."

Heavyweights such as technology, banking and select auto stocks contributed to the gains of the index.

Among heavyweights, ITC was up Rs 14 to Rs 1,359, HLL was up Rs 2 to Rs 149, SBI was up nearly 2 per cent to Rs 582, while ICICI Bank ended 1.61 per cent higher to close at Rs 344. Reliance Industries, however, ended lower to close at Rs 501. HDFC Bank stock spurted 5.92 per cent to Rs 518.65.

Banking stocks witnessed a rally with BSE Bankex rising 2.50 per cent to close at 3,439.

Among the gainers, Andhra Bank soared 10 per cent to Rs 80, Bank of India stock was up 7.28 per cent to Rs 81, while Indian Overseas Bank, Canara Bank, Union Bank, OBC and Corporation Bank gained in the range of 1-5 per cent. UTI Bank and J&K Bank, however, ended 2.93 per cent and 2.88 per cent lower to close at Rs 199 and Rs 312, respectively.

Auto pivotals Tata Motors gained 3.36 per cent to close at Rs 479, Maruti Udyog was up 2.68 per cent to Rs 421 and Hero Honda ended 1.78 per cent higher to close at Rs 523. Bajaj Auto, however, lost ground to end 1.72 per cent lower at Rs 1,005.

Tech pivotals Satyam Computer was up 2.76 per cent to Rs 383.90, Wipro was up 1.50 per cent to Rs 657 and Infosys Tech was up 0.44 per cent to Rs 1,911.90. BHEL was up 1.81 per cent to Rs 693.20 and Maruti Udyog was up 2.68 per cent to Rs 421.50 after the government said that it plans to sell a 10 per cent stake in the power equipment major and less than 8 per cent in carmaker Maruti.