Sensex ends 131 points up
The BSE benchmark index today gained 131.06 points to close at 18,460.38 points on expectations that the government will take more reform measures to support the economy in the winter session of Parliament which is starting tomorrow.business Updated: Nov 21, 2012 17:21 IST
The BSE benchmark index today gained 131.06 points to close at 18,460.38 points on expectations that the government will take more reform measures to support the economy in the winter session of Parliament which is starting on Thursday.
A bout of volatility was witnessed in early trade and key benchmark indices slipped into the red as euro-zone finance ministers failed to reach an agreement on conditions to release the next tranche of financial aid for Greece.
However, buying by funds in realty, FMCG, consumer durables and banking stocks lifted the market with sectoral indices posting gains between 1.27% and 2.47%.
"Recovery was supported by value buying in some of the heavyweights like Reliance Industries, ICICI Bank, HDFC Bank and Cipla which contributed to the overall gains," Nidhi Sarswat-Sr.Research Analyst-Bonanza Portfolio, said.
Brokers said the government is expected to take more reform measures, including placing of bills regarding insurance and pension sectors, in the winter session of Parliament starting tomorrow, which lifted the markets.
Some short-covering was also seen ahead of expiry of derivatives contract on November 29, pushing the BSE benchmark Sensex up, they added.
The NSE 50-share Nifty also firmed up by 43.25 points or 0.78% to close at 5,614.80 points.
Persistent capital inflows from foreign funds into equity market also boosted the market sentiment, brokers said.
Private banks ICICI Bank and HDFC Bank gained up to 2% as Banking Laws Amendment Bill, 2011, which seeks an increase in the voting rights of large shareholders in private banks to 26% from 10%, will be tabled in the winter session.
Heavyweight Reliance Industries rose by nearly 1%, while IT major Infosys gained over 1%.