Sensex gains 182 pts as telecom stocks surge
The Bombay Stock Exchange benchmark Sensex surged by 182 points on Friday on heavy buying at telecom counters following an upgradation of their credit ratings by a global agency.business Updated: Jul 09, 2010 16:55 IST
The Bombay Stock Exchange benchmark Sensex surged by 182 points on Friday on heavy buying at telecom counters following an upgradation of their credit ratings by a global agency.
The Sensex, which had gained 180 points in the previous session, jumped up further by 181.81 points to 17,833.54 after touching its highest level in three weeks.
The rally was led by telecom stocks after global financial services firm Credit Suisse upgraded the rating of companies like Bharti Airtel and Idea Cellular to 'outperform' from 'neutral'.
Bharti Airtel jumped up by Rs 27.25 to Rs 308.10 and Idea Cellular rose by Rs 7.85 - the most in 13 months - to Rs 66.85, after Credit Suisse raised their ratings, citing stable tariffs and reduced prospects of further price wars.
On the 30-share index, 22 stocks closed higher while eight finished in the red zone. Barring FMCG, all sectoral indices registered gains.
The broad-based National Stock Exchange index Nifty rose by 55.60 points to 5,352.45 after touching an intra-day high of 5,359.05.
The trading sentiment also picked up on fund buying in information technology major Infosys ahead of the announcement of the company's quarterly earnings, based on expectations that an improvement in the global economy has boosted business.
Infosys Technologies, the second heaviest scrip by market capitalisation on the Sensex, surged by Rs 46.15 to Rs 2,871.90.
Over 40 per cent of the Indian IT industry's software revenue comes from US and European markets.
A firming trend in Asia in the wake of a higher closing in the US markets on positive economic data, coupled with a better opening in Europe this afternoon, supported the uptrend.