Sensex gains 44 points; all eyes on FDI vote in Parliament
Rising for the second day, the BSE benchmark Sensex today gained about 44 points to close at a new 19-month high on hopes government would get the Parliament approval to the decision allowing FDI in multi-brand retail.business Updated: Dec 05, 2012 17:41 IST
Rising for the second day, the BSE benchmark Sensex today gained about 44 points to close at a new 19-month high on hopes government would get the Parliament approval to the decision allowing FDI in multi-brand retail.
Led by Reliance Industries, the Sensex settled the day at 19,391.86, higher by 43.74 points, or 0.23 per cent -- the highest closing since 19,448.69 on April 27, 2011.
The broad-based National Stock Exchange index Nifty regained the 5,900 level by rising 11,25 points, or 0.19 per cent to 5,900.50.
"Expectations are building up that the way government has handled the FDI issue, it will be able to push through more Bills in the Parliament once it secures the vote on retail," said Rikesh Parikh, Vice-President–Equities, Motilal Oswal Securities Ltd.
Parliamentarians will vote later in the day on the government decision to allow FDI in the retail sector.
Heavyweights including ITC, HDFC Bank, RIL, SBI, Sterlite Ind, Tata Motors, Tata Steel and Hindalco attracted buying in Sensex.
However, Infosys, Tata Power, HDFC, Bajaj Auto and M&M closed with losses in the 30-share Sensex.
"A weaker dollar, strong FII investments and overall bullish sentiments are helping markets to inch up higher," said Milan Bavishi, Head Research, Inventure Growth & Securities.
Overall in the broader market, shares of realty and metal sectors firmed up while scrips from the IT sector suffered losses. Analysts said a softer dollar kept pressure on performance of IT stock prices.
Globally, Chinese stocks jumped to lead gains for Asian markets. European makets were trading higher in their afternoon trade.