Key benchmark indices trimmed gains in morning trade. At 10:15 IST, the S&P BSE Sensex was up 75.21 points or 0.27% at 28,318.50. The Nifty 50 index was up 18.55 points or 0.21% at 8,756.65. Gains on domestic bourses were supported by positive Asian stocks.
The Sensex rose 159.36 points or 0.56% at the day's high of 28,402.65 in early trade, its highest level since 29 September 2016. The barometer index rose 63.13 points or 0.22% at the day's low of 28,306.42 in early trade. The Nifty rose 40.20 points or 0.46% at the day's high of 8,778.30 in early trade, its highest level since 29 September 2016. The index rose 13.50 points or 0.15% at the day's low of 8,751.60 in early trade.
In overseas stock markets, Asian stocks rose after data showing expansion in US manufacturing boosted optimism over the health of the world's largest economy. US stocks closed lower yesterday, 3 October 2016 as investors digested key economic news and kept an eye on oil prices.
Closer home, the broad market depicted strength. There were almost two gainers against every loser on BSE. On BSE, 1,310 shares gained and 662 shares fell. A total of 73 shares were unchanged. The BSE Mid-Cap index was up 0.16%. The BSE Small-Cap index was up 0.24%. Both these indices underperformed the Sensex.
Interest rate sensitive auto stocks were mixed ahead of the Reserve Bank of India's (RBI) monetary policy meeting today, 4 October 2016. Purchases of automobiles, including that of cars, utility vehicles and commercial vehicles are substantially driven by financing.
Bajaj Auto (up 0.36%), TVS Motor Company (up 0.89%), Tata Motors (up 0.85%) and Eicher Motors (up 0.49%) gained. Mahindra & Mahindra (M&M) (down 0.35%), Ashok Leyland (down 0.73%) and Maruti Suzuki India (down 0.03%) fell.
Hero MotoCorp rose 1.11% after the company's total sales rose 11% to 6.74 lakh units in September 2016 over September 2015. The company registered highest ever sales in any month so far in September 2016. The announcement was made after market hours yesterday, 3 October 2016. The growth momentum was backed by a series of positive factors such as the successful market launch of the Splendor iSmart 110; augmented leadership in the 125 cc segment with the 'Glamour', emerging as the largest- selling 125 cc motorcycle in the country and the positive trend maintained by the new scooter portfolio.
Cement stocks fell. Shree Cement (down 1.28%), Ambuja Cements (down 0.31%) and ACC (down 0.08%) slipped. UltraTech Cement rose 1.17%.
Grasim Industries was up 0.07% at Rs 4,906.15. Grasim has exposure to the cement sector through its holding in UltraTech Cement.
The major event today, 4 October 2016 is the Reserve Bank of India's (RBI) fourth bi-monthly monetary policy meeting. The RBI after the third bi-monthly monetary policy on 9 August 2016, decided to keep the policy repo rate unchanged at 6.5%. Consequently, the reverse repo rate remained unchanged at 6%. RBI also kept the cash reserve ratio (CRR) of scheduled banks unchanged at 4%.
The latest monetary policy meeting will be the first meet where the interest rate decision is taken by a panel. Urjit Patel, the RBI governor, will be one among the six-member Monetary Policy Committee (MPC) recently notified by the government.
Powered by Capital Market - Live News
Disclaimer: No Business Standard Journalist was involved in creation of this content
