The market started off week on a positive note with Sensex rising more than 150 points. The rally was mainly led by index heavyweights Reliance Industries and Infosys along with Bharti, FMCG and pharma stocks. However, fall in metals and banking stocks capped upside.
The 30-share BSE Sensex rallied 150.32 points to 27364.92 and the 50-share NSE Nifty rose 36.90 points to 8275.05. The broader markets marginally outperformed benchmarks with BSE Midcap and Smallcap indices gaining 0.7 percent and 0.8 percent, respectively.
The market has gradually been rising for last couple of weeks, which may take Nifty towards 8400, the immediate resistance, feel experts.
India has been lucky to not witness a sell-off like other emerging markets and it is clearly among the best of all EMs, says Pankaj Vaish, head-markets and securities at Citi South Asia.
Reliance Industries has maintained its top slot among Sensex gainers, up 5.6 percent after strong set of September quarter earnings. Profit increased by 3.8 percent and gross refining margin rose to USD 10.6 a barrel from USD 10.4 a barrel on sequential basis.
Infosys has acquired US-based IT company Noah Consulting for USD 70 million. The stock gained 1.7 percent.
Hero Motocorop advanced over a percent ahead of Q2 earnings that will be on Tuesday. A CNBC-TV18 poll expects profit to fall 6 percent year-on-year to Rs 717.2 crore and revenue to decline 3.4 percent to Rs 6,681 crore during the quarter.
HCL Technologies rebounded in late afternoon trade, up 1.9 percent. Dollar revenue came in slightly below estimates at USD 1,544 million in Q1FY16, up half a percent over June quarter. The company said it maintained FY16 EBIT margin guidance of 21-22 percent.
UltraTech Cement declined 1.8 percent after bottomline missed expectations. Profit in Q2 declined 3.9 percent year-on-year to Rs 394 crore against forecast of a 5 percent rise.
Among others, Bharti Airtel surged 4 percent followed by Sun Pharma, Dr Reddy’s Labs, HUL and Cipla with 1-2 percent. L&T, Tata Motors, ICICI Bank, ONGC, Tata Steel and Hindalco Industries lost 1-2 percent.
The market breadth was positive as about 1553 shares advanced against 1162 shares declining on the Bombay Stock Exchange.
Global markets were mixed in trade. In Asia, Nikkei lost 0.9 percent and Hang Seng & Shanghai Composite closed flat after China’s Q3 GDP came in better-than-expected at 6.9 percent. In Europe, Germany’s DAX rose 0.9 percent and France’s CAC gained 0.4 percent while Britain’s FTSE was down 0.15 percent (at 16 hours IST).
Disclosure: Network 18, which publishes moneycontrol.com, is now part of the Reliance Group.