Cement stocks up on strong demand

DALAL STREET SPIKES

Cement sector stocks gained on Thursday on improved volumes. Gujurat Ambuja was in limelight gaining more than 4 per cent in intra day to a high of Rs 317. The stock finally closed at Rs 316.70. More than 4.7 lakh shares was traded on the BSE.

Others pivotals such as Grasim was up 2.96 per cent to Rs 1,071.10 and ACC was up 2.03 per cent to Rs 266.35.

Cement stocks attracted huge volumes accounting for nearly 10 per cent of the total volume on both the exchanges. About 36 million shares changed hands, up 24 per cent compared with yesterday's volumes of 29 million shares.

The sector is attracting renewed buying in anticipation of firm cement prices and despatches after the monsoon. Cement stock, however, are witnessing volatile trading pattern.

Gujurat Ambuja stock had in fact lost more than 2 per cent on Wednesday before gaining nearly 1.5 per cent on Thursday.

Analysts expects that the favourable demand-supply dynamics should support the current cement prices.