Key benchmark indices extended initial gains and hit fresh intraday high in morning trade. The barometer index, the S&P BSE Sensex, and the 50-unit CNX Nifty, both, hit their highest level in more than a week. The Sensex was up 251.28 points or 1.22%, up close to 225 points from the day's low. All the thirteen sectoral indices on BSE were in the green. All the shares from the 30-share Sensex pack rose. The market breadth, indicating the overall health of the market, was strong. The rupee edged higher against the dollar on broad dollar weakness. Indian government bond prices rose, tracking gains in rupee against the dollar.
Metal stocks edged higher. Index heavyweight and cigarette major ITC gained.
The market surged in early trade. The market extended initial gains and hit fresh intraday high in morning trade. The Sensex, and the 50-unit CNX Nifty, both, hit their highest level in more than a week.
The market sentiment was boosted by data showing that foreign funds remained net buyers of Indian stocks on Thursday, 28 November 2013. Foreign institutional investors (FIIs) bought shares worth a net Rs 102.91 crore on Thursday, 28 November 2013, as per provisional data from the stock exchanges.
Domestic institutional investors (DIIs) bought shares worth a net Rs 330.51 crore on Thursday, 28 November 2013, as per provisional data from the stock exchanges.
At 10:20 IST, the S&P BSE Sensex was up 251.28 points or 1.22% to 20,786.19. The index jumped 252.96 points at the day's high of 20,787.87 in morning trade, its highest level since 20 November 2013. The index gained 24.02 points at the day's low of 20,558.93 in early trade.
The CNX Nifty was up 71.80 points or 1.18% to 6,163.65. The index hit a high of 6,170.05 in intraday trade, its highest level since 20 November 2013. The index hit a low of 6,103.80 in intraday trade.
The market breadth, indicating the overall health of the market, was strong. On BSE, 1,102 shares rose and 526 shares dropped. A total of 100 shares were unchanged.
All the shares from the 30-share Sensex pack were in green. Cipla (up 2.32%), ICICI Bank (up 2.38%) and GAIL (India) (up 2.14%) gained.
Index heavyweight and cigarette major ITC was up 2.09% at Rs 320.15. The scrip hit high of Rs 320.50 and low of Rs 313 so far during the day.
Metal stocks edged higher. Hindalco Industries (up 1.03%), Jindal Steel & Power (up 0.43%), Tata Steel (up 0.84%), Sail (up 1.18%), Hindustan Copper (up 0.88%), JSW Steel (up 0.74%), Hindustan Zinc (up 2.01%), Sesa Sterlite (up 2.51%) and National Aluminum Company (up 1.07%) gained.
In mid-November 2013, China released a broad outline for structural reform of the economy. China is the world's largest consumer of copper and aluminum.
Tech Mahindra rose 0.83% after the company said its board approved the amalgamation of Mahindra Engineering Services with the company. The announcement was made during trading hours today, 29 November 2013. As per the amalgamation scheme approved by the Tech Mahindra's board, shareholders of Mahindra Engineering Services (MES) will receive five shares of Tech Mahindra for every 12 shares of MES. The appointed date of the scheme would be 1 April 2013. All assets and liabilities of MESL are to be transferred and vested in Tech Mahindra.
MES is a global engineering consultant and service provider catering to automotive, aerospace, defense and manufacturing industries. MES had revenue of Rs 250.59 crore for the year ended 31 March 2013 (FY 2013). Tech Mahindra said that the merger will see the creation of one of the prominent players providing engineering services from India with strengths in aerospace and automotive verticals. MES will benefit due the larger global reach and deeper resource pool of Tech Mahindra, while Tech Mahindra will get access to some of the key automotive clients across the globe.
NHPC rose 2.25% as the company's buyback offer commences from today, 29 November 2013. NHPC plans to buyback around 123 crore fully paid up equity shares of Rs 10 each at a price of Rs 19.25 per share, aggregating Rs 2368 crore, from the open market. The buyback offer will close on 12 December 2013.
In the foreign exchange market, the rupee edged higher against the dollar on broad dollar weakness. The partially convertible rupee was at 62.32, compared with its close of 62.41/42 on Thursday, 28 November 2013.
Indian government bond prices rose, tracking gains in rupee against the dollar. The yield on 10-year benchmark federal paper, 7.16% GS 2023, was hovering at 8.994%, lower than its close of 9.0138% on Thursday, 28 November 2013. Bond yields and bond prices are inversely related.
On macro data front, the government unveils Q2 September 2013 GDP growth data after trading hours today, 29 November 2013. The GDP growth for Q2 September 2013 is projected at 4.7%, as per the median estimate of a poll of economists carried out by Capital Market. India's GDP grew at its slowest pace in four years at 4.4% in Q1 June 2013.
The Reserve Bank of India (RBI) announces next Mid-Quarter Review of Monetary Policy for 2013-14 on 18 December 2013. The Third Quarter Review of Monetary Policy for 2013-14 is scheduled 28 January 2014.
Asian stocks edged lower in choppy trade on Friday, 29 November 2013. Key benchmark indices in Indonesia, South Korea, Singapore, and Japan were down 0.04% to 1.18%. Key benchmark indices in China, Hong Kong and Taiwan were up 0.03% to 0.47%.
Consumer prices excluding fresh food, the Bank of Japan's gauge for its 2 percent inflation target, rose 0.9% in October from a year earlier, a fifth straight gain, according a government report today.
Trading in US index futures indicated that the Dow could gain 30 points at the opening bell on Friday, 29 November 2013. The US stock market will close early at 1:00 p.m. today, 29 November 2013. The market was closed on Thursday, 28 November 2013, for the Thanksgiving holiday.
Investors have been keeping watch on economic data in the United States as the Federal Reserve monitors the pace of recovery to gauge when it will begin to reduce monetary stimulus for the US economy, which has been aimed at encouraging growth. The US government will release the influential US non-farm payrolls data for November 2013 on Friday, 6 December 2013. The Fed has said improvement in the labor market is a key factor in its policy assessment.
The Federal Open Market Committee (FOMC) holds a two-day policy meeting on interest rates in the United States on 17-18 December 2013. The US central bank currently buys bonds worth $85 billion a month in a bid to hold interest rates low and encourage economic growth in the world's biggest economy. Minutes of the Fed's October meeting released on 20 November 2013 showed officials may reduce their $85 billion a month of bond buying if the economy improves as anticipated.
Powered by Capital Market - Live News
