Budget 2012-13: Sensex stays positive; WWIL, Hathway Cable, Dish TV up 3-5%

The BSE Sensex maintained its uptrend amid volatility ahead of Union Budget 2012-13 as majority of experts expect fiscal deficit around 4.9-5.4%. The market would react negatively if it comes above these levels.

Managing Director of Morgan Stanley Chetan Ahya tells CNBC-TV18 that the market will not be swayed by promises, but will keep an eye out for execution and how the targets are met.

Morgan Stanley expects FY13 fiscal deficit at 4.9%, but Ahya says that the key thing to watch out for is how the target is met.

The BSE benchmark rose 63 points to 17,738.79 and the NSE benchmark gained 23.6 points 5,404.10.

WWIL, Hathway Cable and Dish TV shot up 3-5% as analysts feel the government may reduce import duty on set-top box.

At 10:41 hours IST: Sensex rises 0.5%; Educomp, Edserv, NIIT spike

The BSE Sensex continued to trade higher since opening trade, rising 0.5% while the broader markets gained 0.8%. Even the market breadth too improved, which was negative in early trade, ahead of Union Budget 2012-13; about three shares advanced for every share falling on the National Stock Exchange.

Akash Prakash of Avansa Capital feels the market wants to hear fiscal deificit at 5% of GDP from Finance Minister Pranab Mukherjee.

The 30-share BSE Sensex rose 83 points to 17,758.86, supported by 21 components and the 50-share NSE Nifty rose 30.55 points to 5,411.05.

Analysts firmly believe the government may increase education spending in the Budget. Educomp Solutions, Edserv Softsystems and NIIT jumped 1.6-3%.

Fortis Healthcare rose 3% and Apollo Hospitals gained 0.7% as experts feel the FM may give infra status to healthcare sector.

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At 10:23 hours IST: Nifty holds 5400; Jet Airways, Kingfisher on buyers' radar

The NSE Nifty stayed above the 5400 level ahead of Union Budget 2012-13, supported by banks & financials, capital goods, power and technology stocks. However, the fall in auto stocks and index heavyweight Reliance Industries has limited the upside.

Market experts feel Finance Minister Pranab Mukherjee will majorly focus on fiscal deficit, food subsidy bill, increase in foreign money inflow and inflation.

The BSE Sensex was up 76 points at 17,751.95 and the NSE Nifty gained 29 points at 5,409.45. The Nifty March future was trading at 5439, with 34 points premium over spot.

Aviation stocks have been on buyers' radar since yesterday as analysts feel the Pranab Mukherjee may clear long pending FDI in the sector. SpiceJet, Jet Airways and Kingfisher Airlines gained 1-3%.

Jain Irrigation and EPC Irrigation rose 3% and 7%, respectively as analysts feel the Finance Minister may focus more on agriculture sector.

At 9:50 hours IST: Sensex moderately higher; Tata Motors, Maruti drop 2%

The BSE Sensex was moderately higher in early trade amid volatility. It seemed to have priced in all negative factors like RBI credit policy, rupee depreciation and political uncertainty for the time being. Now its entire focus is on Union Budget 2012-13, though majority of experts don't expect any major reforms.

As Sandeep Bhatia, Executive Director & Head of Sales, Kotak Institutional Equities says, "expectations from Budget are very low." He expects tax rates to rise and tax exemption limits to shrink.

Fiscal deficit is very important factor in today's Budget. Consensus estimate is at around 5.1-5.4%. Bhatia says he expects 4.7% fiscal deficit announcement.

The 30-share BSE Sensex was up 48 points at 17,724.06 and the 50-share NSE Nifty gained 18 points at 5,398.45.

Banks and financials stocks like HDFC Bank, HDFC and ICICI Bank were up nearly 1% while rival SBI was up 0.5%.

State-run BHEL rose 2% while engineering and construction major Larsen & Toubro moved up 0.3%.

However, auto stocks like Tata Motors and Maruti tanked nearly 2% as experts feel there would be increase of excise duty on diesel cars. Even Bajaj Auto and Hero Motocorp were up 0.7-1%.

Index heavyweight and oil & gas producer Reliance Industries was down 1%.

The market breadth was in favour of advances; about 702 shares advanced while 346 shares declined on the National Stock Exchange.

At 9:19 hours IST: Sensex gains over 50 pts ahead of Union Budget 2012-13

The BSE Sensex opened flat on Friday ahead of the Union Budget speech by Pranab Mukherjee, but soon gained momentum and rose over 80 points. Even the NSE Nifty clawed back above the 5400 level.

Frontliners, BHEL, L&T, JP Associates, ICICI Bank, Grasim, Sterlite, SBI and Sesa Goa were on buyers' radar.

However, Tata Motors, M&M and Maruti were down 1-1.5% as market experts feel that there may be excise duty on diesel cars.

Reliance Industries and Kotak Mahindra Bank too were down.

The CNX Midcap Index was up 15 points at 7744 The market breadth was positive.

In the second line shares, HMT and ITI were up 3.5-6%.

Jain Irrigation rose 3% ahead of likely outcome on agricultural sector in the Budget.

Kingfisher was up 3% as long pending event of FDI in aviation may be cleared in the Union Budget.

Titan Industries fell 1.5% as Economic Survey pointed out some duties on gold.

Infrastructure stocks like GVK Power and GMR Infra too gained over 1%.

Education stocks like NIIT, Edserv Softsystems and Educomp Solution gained more than 1%