Sensex recovers early losses, trading remains volatile
In a volatile morning trade, the BSE benchmark Sensex today recovered from early losses but was still quoted lower by 12 points in late morning deals on the back of weak Asian cues.business Updated: Jun 03, 2013 17:14 IST
The BSE benchmark Sensex today erased early losses to close nearly 68 points up at over one-week high on smart rise in auto scrips like Tata Motors and M&M, ahead of much-awaited March quarter GDP data release.
Volatility marked the session with the the 30-share Sensex slipping between alternate bouts of selling and buying amid expiry of monthly derivative contracts today.
After touching the day's low of 20066.14, the Sensex bounced back to close higher by 67.76 points, or 0.34 %, at 20215.40 on brisk buying in last 30 minutes of trade.
This is the highest closing since 20,223.98 on May 20.
All eyes are on fourth quarter GDP data release tomorrow even as growth is expected to be around 4.8-5 %, said experts. Positive trend in European markets also influenced the domestic markets, they added.
On similar lines, the National Stock Exchange index Nifty rose by 19.75 points, or 0.32 % to 6,124.05 led by stocks of auto and FMCG sectors.
"While the broader markets moved in a narrow band, movement in the stocks was determined by their quarterly numbers...it was a rangebound session on the day of expiry," said Nagji K Rita, CMD, Inventure Growth & Securities.
Sectorally, the auto sector index gained the most by 2.29 % to 11,369.08 as Mahindra and Mahindra and Tata Motors surged on better quarterly earnings. The FMCG sector was second best performer as it rose 1.88 % to 6,925.17 as ITC shot up by 3.15 % to Rs 324.25.
The market was also supported by gains in HDFC, HDFC Bank, NTPC, Sun Pharma, Bharti Airtel, BHEL and TCS. Fall in Cipla, Hero MotoCorp, ICICI Bank and Infosys capped the gains.
Giving a perspective on F&O expiry, Sahaj Agrawal, deputy vice president – Derivatives Research, Kotak Securities said: Nifty gained nearly 3 % on expiry basis. Banking space broadly consolidated with a positive bias."