Mar 08, 2013, 04.54 PM IST
As the market closed for the week, investors returned home with big gains on Friday. It was a massive rally on the Dalal Street with a steady swift upmove. The Sensex soared 269.69 points or 1.39% at 19683.23 while the Nifty closed at 5945.70 up 82.40 points or 1.41%.
The market remained its uptrend move on global cues but investors will now be keenly watching inflation and IIP data which will be announced next week.
Strength in metals, oil &gas and banking stocks led to the massive rally on the Dalal Street. Top gainers on the Sensex was Jindal Steel (5.7 percent) while HDFC, GAIL, HDFC Bank and Tata Steel were up between 2-4 percent each.
Aviation stocks saw a renewed interest among buyers.
Shares of Jet Airways rallied 10 percent to close at Rs 554.10 on hopes that the stake sale to Gulf-based Etihad Airways will be inked shortly. According to the latest information, Etihad may buy 10-12 percent in Jet from the promoters for a price between Rs 700-750 per share, reports CNBC-TV18, quoting unnamed sources. It will buy the additional stake through a preferential allotment of shares, sources said.
Shares of Kingfisher Airlines (KFA) were locked at 5 percent upper circuit after the company agreed to pay six months' salary to its employees. The stock closed at Rs 10.03 up 4.8 percent on the BSE.
Banking stocks have been rallying on the hopes of a rate cut by the Reserve Bank of India in its monetary policy on March 19. IndusInd Bank (up 3.9 percent), Kotak Mahindra Bank (up 2.3 percent) and HDFC Bank (up 2.4 percent) were the biggest gainers.
Another big mover of the day was Orchid Chemicals and Pharmaceuticals which ended the day at Rs 80.45 gaining 15 percent on the BSE. The stock extended its previous day’s rally on back of heavy volumes on the Sensex.
On the downside were Maruti Suzuki, Infosys, Wipro, Tata Morors and TCS losing around 1 percent each. IT stocks corrected today after a heady run this week.
Analyst SP Tulsian feels that probably the position is shifting more into the high beta stocks or maybe into the other non-IT stocks.
"I am not too worried about the profit corrections across the board, which can bring down the Nifty. The positive view continues to remain ahead of the RBI meet where it is seen that probably the rate cut of at least 25 bps will be seen. It will be quite positive for the banking and automobile stocks and because of that I expect that Nifty can breach 6,000 in the next week. Maybe one can look about 6,050 also on the Nifty future probably then the caution maybe exercised in the market at those levels," he adds.
However, Sudarshan Sukhani, s2analytics.com recommends to take profits now. "We cannot ask for more. The market is rallying and it is always wise for a trader to sell into a rising market. You actually get positive slippage. Let us not get carried away, next week will be another week. The chances are we will get dips when we will again buy. So this is a week where we need to go light into the weekend," he explains.
The BSE benchmark was up over 170 points in afternoon trade, heading for its biggest weekly gain since the week ended December 1, 2012 after three previous consecutive days of gains.
At 12.10 hrs IST, the Sensex moved up 147.25 points at 19560.79 and the Nifty was up 47.55 points at 5910.85. About 1503 shares advanced, 850 shares declined, and 1153 shares remain unchanged. The midcap index was up 1%.
Key equity benchmarks continued to rise as Sensex soars nearly 150 points, while NSE benchmark Nifty is up nearly 50 points. About 1448 shares have advanced, 722 shares declined, and 1336 shares are unchanged.
At 09.24 hrs IST, the Sensex is up 101.44 points or 0.52 percent at 19514.98, and the Nifty up 29.50 points or 0.50 percent at 5892.80.
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