BSE Sensex soars 372 pts; BHEL, L&T, BPCL gain 4-5%
Indian equity benchmarks soared quite smartly on Friday morning after the higher-than-expected gas price hike by the government. Coal India shares soared 4 percent after the cabinet approved Coal Regulatory Authority Bill.
June 28, 2013 / 11:25 IST
Moneycontrol Bureau
Live Market Commentary
10:59am The BSE Sensex is up 371.96 points or 1.97 percent at 19247.91, and the Nifty is up 111.45 points or 1.96 percent at 5793.80.ONGC and BPCL shares surged 5 percent while BHEL, Larsen & Toubro, Reliance Infrastructure and Coal India gained 4 percent each.10:55am Cabinet Committee on Economic Affairs (CCEA) has approved divestment of 7.64 percent stake in National Fertilisers. The stock rallied more than 4 percent amid high volumes.Shares of private sector lender YES Bank gained 1.5 percent after Foreign Investment Promotion Board approved a proposal to increase FII limit in the bank. The proposal was to raise foreign equity up to 60 percent via QIP.10:45am Rohit Ahuja, oil & gas analyst of ICICI Securities feels ONGC is the biggest beneficiary of gas price hike followed by Oil India while volume ramp-up will be key for Reliance Industries (RIL).Religare Enterprises shares slipped for the second consecutive session today, losing another 2 percent on top of previous day's 6 percent fall. Religare Finvest board has approved Religare Enterprises' banking license application.10:35am Coal India shares soared 4 percent after the cabinet approved Coal Regulatory Authority Bill.Finance minister P Chidambaram says the government is hopeful that Coal Regulatory Bill be passed as soon as possible in parliament.Suven Life Sciences surged 6 percent after the company received 2 product patents for new chemical entities in Japan and US.10:20am Technology stocks declined on profit booking after the Indian rupee rose above the 60 mark on Friday. Technology majors Tata Consultancy Services (TCS) and Infosys fell 1 percent and 0.5 percent, respectively.ONGC and Reliance Industries have been the big outperformers from Thursday, rising 3-5 percent after the gas price hiked from USD 4.2 mmBtu to USD 8.4 mmBtu by CCEA.10:10am Indian equity benchmarks soared quite smartly on Friday morning after the higher-than-expected gas price hike by the government. The BSE Sensex is up 294.48 points or 1.56 percent at 19170.43, and the Nifty is up 88.10 points or 1.55 percent at 5770.45. The rally is also led by positive global cues after three US Federal Reserve officials sought to downplay market fears that the central bank would soon ease its unprecedented bond-buying stimulus programme known as quantitative easing or QE, reports Reuters.Asian markets rallied for the third consecutive session and amongst them, Shanghai snapped four days losing streak, rising 0.8 percent.Nikkei outperformed its global peers, surging 3.6 percent. Hang Seng, Straits Times and Kospi gained 1 percent each.Indian rupee recovers by 38 paise to 59.80 per dollar, continuing gains for the second consecutive session today after hitting record closing low of 60.71 on Wednesday.Karun Mutha of HSBC Invest Direct feels today's rally is also on the back of short covering."A lot of short was built up in the June series and eventually when we were at the triple-witching day - the expiry day - yesterday, we saw short covering happening. The rollovers were not that exciting. We have seen in the marketwide rollovers of around 43 percent and the Nifty also slightly down, which clearly depicts that the rollovers were not enthusiastic and in fact the longs were seen at poor rolling over. The impact of this is definitely to be seen in the July series, which is starting with a lower figure of the marketwide in terms of value," Mutha explains.Advancing shares outnumbered declining ones by 964 to 364 on the Bombay Stock Exchange. Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
