Sensex gains 361 points, Nifty gets past 7,700
Aug 12 2014 , Mumbai
After trending lower for the whole of last week, the stock market’s benchmark indices Sensex and Nifty registered second consecutive day of gain by 1.42 per cent and 1.33 per cent respectively.
The Sensex gained 361 points to close at 25,880 and Nifty gained 101.10 points to close at 7,727.05.
Easing of international crude oil prices also helped boost sentiment, with Brent crude oil price in the international market ruling at $103-104 per barrel.
“Rising geopolitical temperatures combined with the threat of rising US interest rates have led global investors to scale back risk and take cash levels to two-year highs,” said a report based on Bank of America Merrill Lynch fund manager survey for August 2014.
Foreign institutional investors (FIIs) were net buyers of equities worth Rs 370.83 crore, reversing the trend after turning net sellers last week. On Monday, domestic institutions were net sellers of equity assets worth Rs 39.78 crore as per provisional data.
Tata Motors shares gained 5.92 per cent after its consolidated profit rose three times and brokers raised the fair value of the stock. GAIL also gained 6.02 per cent after reporting healthy profit.
Rakesh Goyal, senior vice president, Bonanza Portfolio said, "Stocks like Tata Motors, GAIL, Apollo Hospitals, Oil India gain-ed after posting healthy Q1 FY15 numbers. Power and pharma stocks were also in the limelight. Easing of crude oil prices and healthy quarterly numbers has boosted market sentiment and value
buying is seen from lower levels."
Market buzz about merger of HDFC Bank with HDFC boosted the share price of HDFC by 5.39 per cent and HDFC Bank by 1.71 per cent. Other big Sensex gainers on BSE were ONGC (3.21 per cent), Sun Pharma (2.69 per cent) and NTPC (2.69 per cent).
Gains in the broader market were moderate compared to the blue chips, with BSE Midcap gaining 0.49 per cent and BSE Smallcap gaining 0.45 per cent.
All sectoral indices closed with gains, top gainer being BSE Auto (1.79 per cent), BSE Oil & Gas (1.67 per cent), BSE Bankex (1.41 per cent) and BSE Healthcare (1.29 per cent).
Market breadth was positive, with 1,531 scrips gaining and 1,388 scrips losing on BSE out of the total 3,034 scrips traded.