Stocks of pharmaceutical companies and private sector banks led gains as key benchmark indices edged higher on the first trading session of the week. The barometer index, the S&P BSE Sensex, rose 194.62 points or 0.75% at 26,033.33, as per the provisional closing data. The 50-unit Nifty 50 index gained 56.20 points or 0.71% at 7,917.25, as per the provisional closing data. The Sensex provisionally closed above the psychological 26,000 level. The barometer index alternately moved above and below that mark after crossing that psychological level in afternoon trade. After opening with a small to minuscule upward gap, key indices traded in positive terrain throughout the trading session.
The Sensex hit 3-1/2-week high when it rose 234.70 points or 0.9% at the day's high of 26,073.41 in late trade. The Sensex rose 18.15 points or 0.07% at the day's low of 25,856.86 at the onset of the trading session. The Nifty hit its highest level in almost four weeks when it rose 76.15 points or 0.96% at the day's high of 7,937.20 in late trade. The index rose 1.95 points or 0.02% at the day's low of 7,863, at the onset of the trading session.
The market breadth indicating the overall health of the market was positive. On BSE, 1,541 shares rose and 1,153 shares fell. A total of 260 shares were unchanged. The BSE Mid-Cap index provisionally rose 0.14%. The BSE Small-Cap index provisionally gained 0.47%. Both these indices underperformed the Sensex.
The total turnover on BSE amounted to Rs 2582 crore, lower than turnover of Rs 2732.75 crore registered during the previous trading session.
Pharma stocks rose. Sun Pharmaceutical Industries (up 2.88%), Cipla (up 0.96%), Lupin (up 1.97%), Dr Reddy's Laboratories (up 3.67%), Divi's Laboratories (up 0.55%) and Strides Shasun (up 0.88%) gained.
Reliance Industries (RIL) rose 0.65% after the company's telecom unit Reliance Jio Infocomm yesterday, 27 December 2015, announced the soft launch of its fourth generation (4G) telecom services for RIL group employees, their families and business partners. Reliance Jio Infocomm didn't disclose when commercial operations will begin, according to news reports.
Shares of other telecom companies dropped as the RIL's re-entry into the telecom business is likely to intensify competition in the telecom sector, particularly in the lucrative data business. Bharti Airtel (down 2.25%), Tata Teleservices (Maharashtra) (down 5.02%), Reliance Communications (RCom) (down 0.41%) and Idea Cellular (down 0.78%) declined.
Steel Strips Wheels (SSWL) rose 3.08% after the company said that it has secured a contract worth Rs 50 crore from Mahindra Tractors for its new project. The total expected volume over a period of 7 years is 3.66 lakh tractor wheels. Mass supplies are expected from January 2017. Separately, SSWL during market hours today, 28 December 2015 announced that meeting of its board of directors will be held on 15 January 2016 to consider issue of 2.08 lakh equity shares of the company to Kalink Co. (non-promoter category) at Rs 640 per share by way of preferential allotment.
In overseas stock markets, European stocks edged lower on slumping crude oil prices and on concerns over Chinese growth and finances. Chinese stocks moved lower after weaker-than-expected industrial profit data for November and a looming revamp of the country's initial public offering (IPO) system. In mainland China, the Shanghai Composite ended 2.59% lower. Hong Kong's Hang Seng index lost 0.99%. Other Asian markets witnessed a mixed trend. US stocks closed slightly lower in a truncated trading session on Thursday, 24 December 2015, as investors remained on the sidelines ahead of a long weekend.
Powered by Capital Market - Live News
