Nifty ends above 4600; sharp run up in Banks, Realty stks

Bulls have come back with full force and took charge over bears. The markets have rallied quite sharply on the back of buying support from banking, realty, oil & gas and capital goods stocks, particularly rate sensitive sectors like banks and realty but volumes remained low, which seemed that institutional buying was very less. Strong trading in European markets also helped Indian markets quite well. Midcap and small cap stocks were on buyers' radar. All BSE indices ended in green. Market breadth has remained in favour of advances.

Markets had opened on a quiet note and remained flat for first one hour of trade. But after that bulls came in limelight with big surprise and supported the markets for rest of the day. The Nifty closed above 4600 and the Sensex above 15500 levels.

The Sensex shot up by 1.96% or 301.08 points to settle at 15,696.90, after hitting an intraday high of 15,732.75 and low of 15,357.98. The Nifty touched a high/low of 4664.05 and 4561.75, before ending the day at 4653, up 80.5 points or 1.76%.

CNX Nifty Junior jumped 3.59% to close at 7752.80, which led mostly by banking stocks like IOB, Axis Bank, Syndicate Bank, Kotak Mahindra, Bank of India, Bank of Baroda, IDBI Bank, Vijaya Bank, Canara Bank, Union Bank and Aurobindo Pharma, up over 5%.

Market breadth was positive; about 1784 shares have advanced while 880 shares declined. Nearly 457 shares remained unchanged.

Amongst frontliners, HDFC was up 6.32%, HDFC Bank 5.60%, Maruti Suzuki 5.31%, SBI 4.59% and ONGC 4.77% while NALCO fell -2.07%, Cairn India -1.26%, Bharti Airtel -0.93%, Dr Reddy's Labs -0.92%, Reliance Communication -0.92%, Satyam -0.85% and Grasim -0.25%.

BSE Bankex was the star performer of the day, surged 4.29% or 311.54 points to settle at 7,567.17 on the back of buying in IOB, Axis Bank, Kotak Mahindra, Bank of India, Bank of Baroda, Union Bank, HDFC Bank, SBI and ICICI Bank.

Another leader is Realty Index, which rose by 3.89% or 228.32 points at 6,099.19 as buying seen in Indiabulls Real, Unitech, Anant Raj Ind, Peninsula Land, Parsvnath, DLF and HDIL.

Oil & Gas stocks like ONGC, Essar Oil, HPCL, Reliance Ind, BPCL, Petronet LNG and IOC have moved up higher barring Cairn India. Index was up 2.25% or 225.73 points at 10,241.79.

Sharp run up also seen in capital goods stocks like Triveni Engg, Areva T&D, L&T, Punj Lloyd, Alstom Projects, Jyoti Structures and BHEL. Index jumped by 260.07 points or 2.15% at 12,363.27.

Power stocks like GVK Power, Reliance Infrastructure, Reliance Power, Torrent Power, Power Grid Corp, NTPC and Suzlon Energy have gained. Index was up 1.32% at 2,703.40.

Buying witnessed in FMCG stocks like Colgate, Tata Tea, HUL, United Spirits, Godrej Consumer, Britannia and ITC. Index closed at 2,301.59, up 1.24%.

Auto Index shot up by 1.23% at 4,174.77 due to strong drive in auto stocks like Escorts, Maruti Suzuki, Apollo Tyres, Hero Honda, TVS Motor, Ashok Leyland and Tata Motors.

Metal Index gained 0.92% to settle at 15,516.86 after remaining flat for major part of the day. Metal stocks like Ispat Industries, Jindal Steel, SAIL, Sesa Goa, Hindalco and Jindal Saw have shined.

IT Index was up 0.61% at 4,440.20, which led by stocks like i-Flex Solution, Tech Mahindra, Mphasis, Wipro, Patni Computer and TCS.

Healthcare Index rose marginally by 0.58% at 4,548.97 due to buying in Divis Labs, Aurobindo Pharma, Novartis India, Ranbaxy Labs, Cadila Health, Matrix Labs and Sun Pharma Adv.

Small Cap Index was up 112.19 points or 1.46% at 7,781.30. Amongst small cap stocks, Vaibhav Gems, Unichem Labs, FDC, Sasken Comm, Indo Tech Trans, Oil Country, Saregama India, Ashiana Housing, Aptech, ISMT and Paper Products were up 8-20%.

Midcap Index shot up by 100.46 points or 1.59% at 6,400.18. Buying has seen in Atlas Copco, Torrent Pharma, Bank of Mah, Essar Shipping, UCO Bank, Shree Renuka Sugar, Sterlite Techno, Shree Precoated, EID, Syndicate Bank and EIH, which gained around 7-20%.

Top traded counters on the bourses were Reliance Industries, Larsen & Toubro, Ranbaxy Labs, ICICI Bank and Reliance Petroleum.

Total turnover traded by the markets stood at Rs 58912.06 crore. This includes Rs 10974.53 crore from NSE Cash segment, Rs 42624.38 crore from NSE F&O and the balance Rs 5313.15 crore from BSE Cash segment.

On the global front, Asian markets ended mixed. Shanghai Composite was down 2.8%, Jakarta Composite 0.8%, Nikkei 0.04%, Straits Times 0.3% and Kospi 0.57% while Hang Seng was up 0.12% and Taiwan Weighted 0.4%. European markets were trading strong, at the time of writing market report. FTSE 100 was up 1.6%, CAC 0.9% and DAX 1.3%.

Markets Snapshot

• Markets end near day's high led by banking & real estate stocks
• Sensex ends up 300 pts at 15697; NIfty ends up 80.5 pts at 4653
• CNX Midcap Index up 2%, BSE Small-cap Index up 1.46%, NIfty Junior up 3.6%
• All BSE Sectotal Indices end in the green
• BSE Bank Index up 4.3%; HDFC Bank up 5.6%, SBI up 4.6%, ICICI Bank up 2.9%
• BSE Realty Index up 3.9%; Unitech up 4.2%, DLF up 3.12%
• Index Gainers; HDFC up 6.3%, MUL up 5.35, ONGC up 4.5%, L&T up 4%, Power Grid up 3%, RIL up 2.2%
• Bank Stocks: Bank of Mah up 16.5%, IOB up 8.5%, Axis Bank up 8%, Kotak Mah Bank up 7.5%, BOI up 6.2%
• Midcap Buzzers: Sasken Comm up 14.3%, Bank of Mah up 16.5%, Unichem Lab up 17.9%, Gwalior Chem up 10%
• Stocks locked at 20% circuit: Transwarranty Fin, Vaibhav Gems, Raj TV, Torrent Pharma, Atlas Copco, Salora Int
• NSE Advance Decline at 3:1
• Total market turnover at Rs 58912 cr Vs Rs 55401 cr on Monday
• F&O turnover at Rs 42624 cr Vs Rs 40167 cr on Monday

F&O Snapshot

• Nifty futures discount at 14 pts Vs 2 pts yesterday; add 41.7 lakh shares in OI
• Build up of long positions seen in real estate, bank and momentum stocks
• Action seen in single stocks futures; traders continue to hedge their positions by taking short positions on NIfty
• Options :
  Nifty 4600 call adds 10 lakh shares
  Nifty 4600 put adds 6.9 lakh shares
  Nifty 4700 put adds 1.9 lakh shares
  Nifty 4500 call sheds 1.8 lakh shares
  Nifty 4800 put sheds 1.7 lakh shares
• Long Buildup
  RPL up 3%; add 25.7 lakh shares in OI
  RNRL up 2.5%; add 22.5 lakh shares in OI
  Suzlon up 1.3%; add 16.5 lakh shares in OI
  Ranbaxy up 3.55; add 11.5 lakh shares in OI
  SAIL up 2.5%; add 10.5 lakh shares in OI
  SBI up 4%; add 3.5 lakh shares in OI
  Unitech up 5.2%; add 3.3 lakh shares in OI
  Shree Renuak up 8.5%; add 3.1 lakh shares in OI
• Short Covering
  GMR Infra up 3.2%; shed 5.6 lakh shares in OI
  IDFC up 4.1%; shed 2.3 lakh shares in OI
  DLF up 3.2%; shed 1.3 lakh shares in OI
  IDBI up 6.2%; shed 1.3 lakh shares in OI

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