Indian shares are edging higher on Thursday, albeit posting modest gains as traders square off their positions ahead of F&O expiry. The underlying mood remains slightly positive after Prime Minister Manmohan Singh talked about formulating an economic revival plan to reverse the climate of pessimism and 'revive the animal spirit in the country's economy.'
Other Asian markets are turning in a mixed performance amid lingering worries over the ability of European policymakers to agree a package of measures to tame the region's debt crisis.
The benchmark 30-share Sensex is currently at 17,004, up 36 points or 0.21 percent from its previous close, while the broader Nifty index is rising by 10 points or 0.19 percent to 5,151.
Power, capital goods, metal, FMCG and realty stocks are leading the gainers, but heavyweight banking IT, banking and auto stocks are largely unchanged.
Hindalco Industries is up 0.9 percent as it reported a 38 percent increase in consolidated net profit for the financial year ended March 2012 on the back of a strong performance by its wholly-owned subsidiary, Novelis Inc.
Brigade Enterprises is climbing over 8 percent. Brigade Group and Government of Singapore Investment Corp have entered into a 51:49 joint venture partnership to develop Hindustan Unilever property in Whitefield Main Road.
Tata Motors is down 0.8 percent after it decided to suspend production at its Jamshedpur factory for three days in order to "align production with demand." Ranbaxy Laboratories is edging down marginally after Sandoz Inc reportedly filed a petition with the US FDA against the company over blockbuster drug Nexium.
Dr Reddy's Laboratories, HDFC Bank and Wipro are trading down less than half a percent each on going ex-dividend. Axis Bank is losing 1.4 percent and Yes Bank is declining a percent on reports that HSBC will likely raise up to Rs.2,450 crore by selling its stake in the private sector lenders.
Indian shares rose modestly on Wednesday, with expectations of positive announcements on economic reforms and firm global cues underpinning sentiment. The benchmark 30-share Sensex moved in a narrow range before ending up 61 points or 0.36 percent at 16,968, while the broader Nifty index rose by 21 points or 0.41 percent to 5,142.
On Wall Street, stocks saw further upside overnight, adding to the previous session's gains, as traders reacted positively to a batch of relatively upbeat data on durable goods orders and pending home sales. The Dow and the tech-heavy Nasdaq rose about 0.7 percent each, while the S&P 500 added 0.9 percent.
by RTT Staff Writer
For comments and feedback: editorial@rttnews.com
Market Analysis