Sensex closes 95 points up as BSP says will support FDI
In volatile trade, the BSE benchmark Sensex on Thursday wiped out early losses to close with a 95-point gain on late buying amid BSP throwing its weight behind the UPA government on FDI issue in Rajya Sabha.business Updated: Dec 06, 2012 18:40 IST
In volatile trade, the BSE benchmark Sensex on Thursday wiped out early losses to close with a 95-point gain on late buying amid BSP throwing its weight behind the UPA government on FDI issue in Rajya Sabha.
After dipping to 19,186.24 intra-day on profit-booking, the Sensex rebounded to end higher by 94.94 points, or 0.49% to 19,486.80 on good buying support in Tata Motors, Sterlite, Bajaj Auto, Reliance Industries and HDFC.
The gauge has gained 182 points in three days now.
However, IT, Tech and Healthcare stocks did not fare well on Thursday. Wipro, TCS and Infosys fell in 1.2-2.4% range on growth outlook worries, triggered by a Cognizant US filing.
The broad-based National Stock Exchange index climbed 30.40 points, or 0.52%, to 5,930.90 led by stocks of realty, power and banking sectors. It had fallen to 5,838.90 at the outset on heavy profit-booking.
Brokers said the buying activity gathered momentum after after BSP decided to support FDI in retail in the Rajya Sabha.
"We have decided to vote in favour of government on FDI in multi-brand retail issue tomorrow," BSP chief Mayawati, whose party has 15 members in the Rajya Sabha, said participating in the debate.
The party had on Wednesday staged a walkout in the Lok Sabha, helping bail out the government in the vote.
A firming global trend amid optimism US lawmakers will agree on a budget, and before the European Central Bank unveils 2014 forecasts, remained supporting factors for the domestic market, they added.
After the government secured victory in the vote on FDI issue in Lok Sabha, the retail sector stocks remained in demand and picked up sharply. Provogue India gained 6.68% to Rs 18.40, Koutons Retails by 4.94% to Rs 9.98 and Pantaloon Retails by 0.55%to Rs. 239.15.