Sensex gains; state-run oil firms surge

Tags: Stock Market
The BSE Sensex rose on Friday, led by gains in state-owned oil and gas companies such as ONGC, which surged for a second consecutive session after the government's diesel price hike was seen reducing their subsidy burden.

Producer Oil and Natural Gas Corp Ltd and Oil India Ltd provisionally closed up 7.3 percent each.

Among refiners, Hindustan Petroleum Corp Ltd gained 5.6 percent, and Indian Oil Corp rose 10.8 percent, while Bharat Petroleum Corp Ltd ended 10.4 percent higher.

The BSE Sensex provisionally gained 0.26 percent to close above 20,000 level for the first time since January 6, 2011, while the 50-share Nifty ended up 0.42 percent.

Markets @ 10.30 AM (PTI)

The BSE benchmark Sensex continued to rule above the 20,000 level during late morning session due to buying in refinery and PSU sectors.

The operators feel lower oil subsidy burden will improve government's finances after it allowed PSU oil manufacturing companies to change diesel prices by a small margin from time to time.

Sustained capital inflows from foreign funds also boosted the market sentiment.

The BSE-30 share index, Sensex, resumed higher at 20,038.67 and moved up further to 20,126.55 before quoting 20,086.62 points at 1030 hrs.

It showed a net gain of 122.59 points or 0.61 per cent from its last close. Foreign institutional investors (FIIs) bought shares worth a net Rs 564.20 crore yesterday, as per provisional data from the stock exchanges.

The NSE 50-share index, Nifty, also moved up by 31.55 points or 0.52 per cent quoting 6,070.15 at 1030 hrs.

Major gainers were - ONGC (7.97 per cent), Maruti (3.44 pc), Gail India (3.07 pc), Coal India (1.57 pc), SBI (1.48 pc), Cipla (1.25 pc) and Hindalco (1.19 pc).

Asian stocks also rose after economic reports in the world's two largest economies, the US and China, beat estimates.

Key benchmark indices in Hong Kong, Indonesia, Japan, Taiwan, Singapore and South Korea rose by 0.36 to 2.56 per cent.

Markets @ 09.00 AM (PTI)

The BSE benchmark Sensex today gained over 123 points in early trade on sustained buying in ONGC and RIL as government has virtually deregulated diesel prices in a key economic reform measure.

The 30-share barometer rose 123.75 points, or 0.62 per cent, to 20,087 with stocks of oil and gas, auto, PSUs, metal and banking sectors extending support.

Similarly, the wide-based National Stock Exchange index Nifty moved up by 36.90 points, or 0.61 per cent, to 6,076.10.

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