Sensex snaps 5-day falling streak; closes 68 points up
The Sensex today snapped 5-day falling streak and gained over 68 points to close at 18,090.62 on emergence of value buying in fundamentally strong stocks, led by Reliance Industries.business Updated: Feb 02, 2011 16:41 IST
The Sensex on Wednesday snapped 5-day falling streak and gained over 68 points to close at 18,090.62 on emergence of value buying in fundamentally strong stocks, led by Reliance Industries.
The Bombay Stock Exchange benchmark Sensex, which had lost 1,130 points in last five straight sessions, recovered by 68.40 points to 18,090.62 as the heaviest-weighted Reliance Industries climbed on hopes that rising crude prices would improve refining margins.
Similarly, the broad-based National Stock Exchange index Nifty spurted by 14.80 points to 5,432, as most beaten realty and refinery stocks rebound.
The gauge, among the worst performers globally so far this year, lost nearly 11% in January.
On Tuesday, it dipped to its lowest level since August amid concerns that accelerating inflation will prompt further tightening in monetary policy, hitting growth and corporate profits. Besides, Egyptian crisis weighted on foreign funds.
However, investors bought Indian equities today amid firm Asian trend and higher opening in European stock markets.
Reliance Industries, the largest company by market value, increased 2.88% to Rs 921.40.
Tata Consultancy, the largest software exporter, rose 2.48% to Rs 1,178.90, snapping a three-day losing streak as expansion in US manufacturing boosted confidence in global economic recovery.
Growth in US, the largest export market for Indian IT firms, prompted speculation that demand for software supplies will rise. US and Europe are the largest markets for Indian IT companies.
The most beaten realty sector index gained the most by rising 2.40% to 2,189.97 followed by oil and gas sector index by 1.85% to 9,454.57. Tech index rose by 1.09% to 3,726.26.