Sensex soars over 300 pts; Midcap, Smallcap gain strength too

Moneycontrol Bureau12:58 pm Market Update: Equity benchmarks gained further in afternoon trade following positive global cues. The Sensex rose 345.26 points or 1.43 percent to 24533.63 and the 50-share NSE Nifty climbed 103.90 points or 1.41 percent to 7454.90.Reliance Industries, ICICI Bank, L&T, Axis Bank, Tata Motors, Adani Ports, SBI and Bharti Airtel topped buying list on Sensex, up 2-5 percent.12:40 pm Boardroom: HCL Tech has recorded broad-based growth, is the word coming in from Anant Gupta, CEO of HCL Technologies; while Anil Chanana, the CFO says he continues to maintain EBIT margin band of 21-22 percent."If you see this quarter, there has been a significant improvement in margins. If you see our EBITDA margins, which are now at 21.5 percent — an increase of 90 basis points, and at an EBIT level too margin has increased. While revenue increased by 1.4 percent, our income at EBIT level increased by something like 5 percent," Gupta told CNBC-TV18.HCL Technologies' second quarter profit beat analysts' expectations on Tuesday while revenue and operational numbers matched estimates.12:20 pm Market Expert: In the past few weeks a lot of smart money has flown (back) to US treasury due to market concerns like deflation and growth crisis, which have taken hold of the entire world, says Nandita Parker of Karma Capital.Amidst the tensions, India does not remain untouched by the same. Despite the needful in terms of government spending and higher interest rates, investors are confused about the stimulus measures in both fiscal and monetary policies, Parker tells CNBC-TV18.Not just this, the market hasn't taken cognizance of the fact yet that India's nominal Gross Domestic Product (GDP) growth is lower than the real GDP growth. She is of the view that there is a need to recalibrate the earnings expectations and further expects a lower earnings cycle and a de-rating in fast moving consumer goods (FMCG) sector. Markets are due for a snap-back rally, she says.Also read - H2 will be better than H1; maintain 21-22% EBIT margin band: HCL Tech12:00 pm Market Check

Bulls have taken a charge over Dalal Street today as short covering and value buying in banks & index heavyweights drove equity benchmarks nearly 1 percent higher. Asian markets also extended gains in their afternoon trade.

The 30-share BSE Sensex rallied 225.80 points to 24414.17 and the 50-share NSE Nifty rose 65.20 points to 7416.20. The BSE Midcap and Smallcap indices also gained strength, rising nearly 1 percent.

The market breadth was positive as about 1390 shares advanced against 925 declining shares on the Bombay Stock Exchange.Asian markets extended rally with Shanghai rising nearly 3 percent followed by Hang Seng (up 1.4 percent). European markets are also expected to open strong, indicated by its futures trade. CAC, DAX and FTSE futures gained around 1-1.5 percent.