Sensex rises 31 pts; banking and healthcare stocks gain
The BSE benchmark Sensex today closed 31 points up on funds buying mainly in banking and healthcare stocks as inflation eased to over three years low.business Updated: May 14, 2013 17:01 IST
The BSE benchmark Sensex on Tuesday closed 31 points up on funds buying mainly in banking and healthcare stocks as inflation eased to over three years low.
After a better start, the Sensex fell to the day's low of 19,652.69 before ending with a gain of 30.62 points, or 0.16%, to 19,722.29.
Brokers said the buying activity was mostly confined to banking and healthcare sectors as inflation eased to over three years low.
Softening food prices pulled down inflation to over three year low of 4.89% in April, giving RBI space to further ease interest rates.
The market also improved on speculators covering their pending short positions created in the previous session's steepest fall in one year, traders added.
With the general firming trend, the broad-based National Stock Exchange index Nifty rose by 14.95 points, or 0.25%, to 5,995.40.
The MCX-SX flagship index SX40 closed 17.20 points up, or 0.15%, to 11,679.54 points.
Sun Pharma at Rs 963.65 was the biggest gainer by rising 2.03% followed by ONGC by 1.78% at Rs. 326.50 and Bharti Airtel by 1.78% at Rs. 317.20.
In 30-BSE index components, 15 stocks gained while other 15 closed with losses.
State Bank of India stocks spurted by 0.75% to Rs. 2,291.30 and HDFC Ltd by 0.66% to Rs. 868.95 on hopes the easing inflation might provide enough room for the Reserve Bank of India to cut interest rate.
The healthcare sector index gained the most by 0.67 per cent to 8,880.47 followed by teck index by 0.64% to 3,604.51. Power index rose by 0.40% to 1,754.88 and oil and gas index by 0.33% to 8,716.85.