The market was holding firm after a long weekend as investors seem to building hopes on a rate cut by the Reserve Bank of India in its monetary policy review on May 3. The Sensex was up 37.92 points at 19054.44 and the Nifty gained 25.25 points to be at 5808.35.
Rate sensitive stocks were holding up the market. BSE Bankex, Capital Goods and Metal index gained more than 1 percent each.
Coal India (up 3.3 percent), HDFC Bank (up 2.4 percent), L&T, Tata Steel and ICICI Bank were the lead gainers of the day.
Continuing its rally from last week, HMT surged 7 percent as Rs 1080 crore revival plan for the company has been approved by the government that aims to modernise the company and help turn it around in the next five years.
MTNL gained 3 percent after the government formed a panel to look into the revival of BSNL and MTNL.
Meanwhile, investors were still actively offloading technology stocks as Wipro led down the index by around 10 percent. It hit lowest level since July 2012 post disappointing earnings and Q1FY14 guidance of -0.6 percent to +1.6 percent.
Infosys continued to be sellers’ this morning as the stock lost another 3 percent. Other major stocks that dragged in the Sensex were Dr Reddys’ Lab, M&M and ONGC.
The market opened on a positive note. The Sensex was up 64.62 points or at 19081.08, and the Nifty gained 26.45 points at 5809.55. Investors are building hopes on reform action as the Parliament session resumes today.
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