Home / Business / Money / Sensex reclaims 27000 amid consolidation; Cipla top gainer

Sensex reclaims 27000 amid consolidation; Cipla top gainer


The News International Team

Sensex reclaims 27000 amid consolidation; Cipla top gainer

Benchmark indices managed to clock marginal gains amid consolidation on Friday as investors remained cautious ahead July industrial output and August CPI data due later in the day.

The 30-share BSE Sensex reclaimed 27000 level, up 65.17 points to close at 27061.04 and the 50-share NSE Nifty too climbed above 8100-mark, rising 19.80 points to 8105.50. The broader markets continued to hold positive momentum with the BSE Midcap and Smallcap indices gained 0.2 percent 0.5 percent, respectively.

The consolidation may continue in near term but sharp upside won’t be possible at least till the government dilutes stake in big names ONGC and Coal India, say experts, adding the 8150 will act as a resistance and 7800 as a strong support.

“Largecaps have so far had a good run but with these sorts of largecap paper supplies coming through, even though this rally at the moment looks unstoppable that (paper supplies) might be a trigger that forces market to stall here if not move lower,” said Gaurav Mehta, VP – Institutional Equities, Ambit Capital. He feels from a very near-term point of view, this market is getting a bit too complacent.

As far as medium to long term perspective is concerned, the market is in a structural uptrend. For the last 12-15 months, he has been very positive on Indian equities and he continues to remain so for the next 12 months as well.

His year-end (FY15) target stands at 30,000 on the Sensex.

For the week, the Sensex and Nifty closed flat but the broader markets beat benchmarks with the CNX Midcap and BSE Smallcap indices surging 3 percent and 5 percent, respectively. Investors will closely watch the outcome of FOMC’s two-day meet scheduled to begin on September 16.

Drug maker Cipla was the biggest gainer in last couple of hours of trade, up 6.4 percent followed by ITC, HDFC, Bharti Airtel, State Bank of India, Maruti Suzuki, Sesa Sterlite and Hero Motocorp with 1-2 percent.

However, drug maker Sun Pharma continued to fall for the second straight day, down 2 percent in addition to 5 percent loss in previous session on surprise audit of Halol facility in Gujarat by USFDA team. Its subsidiary Taro Pharmaceutical has recalled an anti-clotting drug, Warfarin generic from the US markets due to USFDA concerns on quality.

Among others, shares of Larsen and Toubro, Hindalco Industries, NTPC and Tata Power fell 1-2 percent.

In the midcap space, Exide Industries, Indraprastha Gas, Bhushan Steel, Aurobindo Pharma, Eicher Motors, M&M Financial, Britannia, Union Bank, Amara Raja Batteries, Chennai Petroleum, Gujarat Pipavav, GSFC and Carborundum Universal gained 2-9 percent.

Oracle Financial surged over 6.5 percent as it declared second interim dividend of Rs 485 per share.

About 1725 shares advanced while 1338 shares declined on the Bombay Stock Exchange.


Check Also

Rupee recovers 6 paise to 67.01

The rupee today recovered some lost ground by rising 6 paise to ...

Notes ban to have positive impact on economy

NEW DELHI: The government’s demonetisation move has led to widespread adoption of ...