Nifty closes above 5275 as metals, realty rally

Posted by blog master Tuesday, January 5, 2010

MUMBAI: Equities ended on a positive note on Tuesday following gains in metals, realty and power stocks. Broader markets outperformed the
benchmarks even as traders discounted negative cues from Europe. ( Watch )

The indices have been hitting new yearly highs on hopes of 6.75 per cent GDP growth for 2009-10. Traders are optimistic of third quarter results from India Inc taking cues from surge in auto sales and cement dispatches.

“We have been bearish but markets seems to be gung-ho about third quarter results. It needs to be seen how the results pan out,” said Ajay Parmar, head of research, Emkay Shares and Stock Brokers.

Bombay Stock Exchange’s Sensex closed at 17,686.24, up 127.51 points or 0.73 per cent. The index touched an 52-week high of 17729.78 and low of 17555.77.

National Stock Exchange’s Nifty ended at 5277.90, up 45.7 points or 0.87 per cent. The broader index hit a 52-week high of 5288.35 and low of 5242.40.

BSE Midcap Index was up 1.2 per cent and BSE Smallcap Index gained 0.85 per cent.

Amongst the sectoral indices, BSE Metal Index moved higher by 3.82 per cent, BSE Realty Index advanced 1.14 per cent and BSE FMCG Index moved up 0.87 per cent. BSE Auto Index was down 0.25 per cent.

Metals witnessed a sharp spurt, particularly with shares of aluminium manufacturers Hindalco and NALCO hogging the spotlight on speculation of rise in Chinese alumina prices. Shares of NALCO ended 14.96 per cent higher on NSE.

“Overall demand is improving and there are signs of development in the US and China. Not only aluminium, but prices of iron ore and sponge iron have moved up. This has resulted in rise in share prices,” Parmar added.

Biggest Sensex gainers comprised Hindalco Industries (7.39%), Jaiprakash Associates (5.79%), Sterlite Industries (4.57%), Reliance Communications (3.51%) and Grasim Industries (3.36%).

Maruti Suzuki (-2.27%), Tata Motors (-1.99%), ACC (-1.37%), NTPC (-1.08%) and Reliance Industries (-0.54%) resisted the upmove.

Godrej Properties had a stellar listing. The scrip ended at Rs 536.05, up Rs 46.05 or 9.40 per cent on NSE. It touched a high of Rs 586.80 and low of Rs 502.15 during the day.

Market breadth was positive on the BSE with 1768 advances and 1119 declines.

European markets bounced back into the green led by banks and the US markets were likely to open flat. At 4:50 pm IST, Dow Jones stock futures was up 0.05 per cent, S&P 500 moved 0.02 per cent higher and Nasdaq 100 declined 0.08 per cent.
source-http://economictimes.indiatimes.com