 "Capital goods shares extend rally, L&T surges 7%")
Shares of capital goods companies continue their upward march with the S&P BSE Capital Goods index hitting a 15-month high in trade on Friday.
Larsen and Toubro (L&T), Sadbhav Engineering, Crompton Greaves, IL&FS Transportation Networks, Havells India, Siemens, BHEL and Punj Lloyd are up 2-7% on the BSE.
The S&P BSE Capital goods index, the largest gainer among the sectoral indices, is up 5% or 490 points at 11,273 points, as compared to 0.65% or 140 points gain in benchmark S&P BSE Sensex. The capital goods index hits high of 11,317 in intra-day trades, its highest level since December 2012.
Since February 17, the capital goods index has rallied 18% after Finance Minister P Chidambaram, in the Interim Budget for 2014-15 fiscal, reduced the excise duty on capital goods has been reduced from 12% to 10%. The benchmark index gained 6% during the same period.
L&T, the largest gainer among capital goods stock, has rallied 7% to Rs 1,218 on the BSE. The engineering major had bagged contract worth of around Rs 7,000 crore in past one week.
Among the other individual stocks, Sadbhav Engineering, Crompton Greaves and Havells India are up 3% each, while IL&FS Transportation Networks, Havells India, Siemens, BHEL and Punj Lloyd are trading higher by 2% each.
Larsen and Toubro (L&T), Sadbhav Engineering, Crompton Greaves, IL&FS Transportation Networks, Havells India, Siemens, BHEL and Punj Lloyd are up 2-7% on the BSE.
The S&P BSE Capital goods index, the largest gainer among the sectoral indices, is up 5% or 490 points at 11,273 points, as compared to 0.65% or 140 points gain in benchmark S&P BSE Sensex. The capital goods index hits high of 11,317 in intra-day trades, its highest level since December 2012.
Since February 17, the capital goods index has rallied 18% after Finance Minister P Chidambaram, in the Interim Budget for 2014-15 fiscal, reduced the excise duty on capital goods has been reduced from 12% to 10%. The benchmark index gained 6% during the same period.
L&T, the largest gainer among capital goods stock, has rallied 7% to Rs 1,218 on the BSE. The engineering major had bagged contract worth of around Rs 7,000 crore in past one week.
Among the other individual stocks, Sadbhav Engineering, Crompton Greaves and Havells India are up 3% each, while IL&FS Transportation Networks, Havells India, Siemens, BHEL and Punj Lloyd are trading higher by 2% each.