Indian shares ended modestly higher on Monday, with realty, consumer durable and capital goods stocks leading the late-session rally. Shrugging off mixed global cues, the benchmark 30-share BSE Sensex ended the session up 76 points or 0.43 percent at 17,633, with 19 of its components advancing.
The broader Nifty index also moved in a narrow range before seeing a late-session surge to end 27 points or 0.52 percent higher at 5,348, while the BSE mid-cap and small-cap indexes rose about half a percent each.
Investors now await monthly inflation data slated for release tomorrow for clues on whether the RBI will cut rates further. The rupee failed to maintain early gains, although the euro held steady against the dollar on optimism about expected ECB policy action.
ONGC rose half a percent on solid Q1 results. Maruti Suzuki gained about 2 percent on speculation it may resume operations at its violence-hit Manesar unit next week. Drug-maker Sun Pharma added a percent after the drug maker sweetened a deal to mop up the remaining shares in Israeli generic-drugs maker Taro Pharma.
State-run lender SBI rose 0.9 percent, reversing early losses after a number of brokerage houses downgraded the stock, citing worsening asset quality as one of the reasons. HDFC Bank also gained 0.9 percent amid reports that it will not follow SBI in cutting rates on auto loans. ICICI Bank shares edged down half a percent, while mortgage lender HDFC soared 3.7 percent.
Bharti Airtel advanced 1.6 percent on bargain hunting in the wake of last week's sell-off. DLF rallied 3.5 percent on media reports that it has agreed to sell a 17.5 acre plot of land in central Mumbai for Rs.2,750 crore.
Retailers Shoppers Stop and Pantaloon Retail rose 1-3 percent on speculation the government may ease foreign direct investment norms in single-brand retail. L&T Construction gained a percent on winning new orders.
Kingfisher Airlines hit the 20 percent upper circuit limit despite reporting a bigger-than-expected loss for the April-June quarter. Ashok Buildcon jumped 5.5 percent after private equity funds jointly managed by SBI and Australia's Macquarie Group agreed to invest $150 million in its infrastructure arm.
Tata Motors, which had gained 5 percent last week, ended 1.6 percent lower on profit taking, while Tata Steel, Hindalco, Hero MotoCorp and Hindustan Unilever ended down over a percent each.
On the global front, other Asian stocks ended mostly lower, as weak Japanese GDP figures as well as doubts over whether the ECB will adopt bold anti-crisis measures weighed on markets. Chinese shares led the declines, with the benchmark Shanghai Composite index falling about 1.5 percent, after China didn't announce any sort of stimulus measures as some analysts had expected over the weekend.
European stocks were swinging between gains and losses after German economy minister Philipp Roesler expressed disappointment at Greece's efforts to implement necessary reforms tied to its international aid program. Meanwhile, Italy today raised 8 billion euros through a 12-month bill auction at slightly higher interest rates compared to an earlier auction.
by RTT Staff Writer
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