Sensex zooms over 300 points on Greece bailout package

Markets reacted with relief on news of a Greece deal, with the Nifty reclaiming 8,450 mark

Markets extended gains on renewed buying interest after eurozone leaders reached an agreement with Greece and approved a bailout package.

At 1:50PM, the 30-share Sensex was up 309 points at 27,971 and the 50-share Nifty was up 95 points at 8,456.

HDFC, ITC, ICICI Bank and Reilance Industries along with IT majors TCS and Infosys were the top Sensex gainers.

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(Updated at 12:40PM)
Benchmark indices have gained momentum in the noon trades tracking strength in the European peers. Meanwhile, talk of Greece deal according to which the cash strapped nation has approved the bailout package has lifted the mood of the investors.

At 12:40 PM, the Sensex is up 182 points at 27,843 and the Nifty has climbed 57 points at 8,418. Top 5 gainers on the Sensex include GAIL, Sun Pharma, Cipla, Maruti Suzuki and Wipro are up between 1.5-3%.

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(updated at 12:40 PM)

Markets are trading flat as investors remain wary ahead of the CPI numbers due later during today and WPI data due to be unveiled tomorrow. Meanwhile, weak IIP numbers, slowdown in the progress of monsoon amid ongoing crisis in Greece has dampened the sentiments.

At 11:40 AM, the Sensex and Nifty are trading flat at flat 27,663 levels and 8,364 levels, respectively. In the broader market, BSE Midcap and Smallcap indices are trading higher by 0.3% each.

KEY DEVELOPMENTS

Europe is still struggling to strike a deal with Greece to keep the country in the euro zone. However, Greece was told on Sunday it wouldn't get the massive bailout it urgently needs unless it commits to the economic reforms and depicts it can deliver them.

Caution continues to prevail on the bourses after Fed Reserve Chair, Janet Yellen maintained her stance for an interest-rate hike this year at a speech in Cleaveland.

The index of industrial production (IIP) for the month of May stood in at 2.7%, dropping from 4.1% owing to a sharp fall in capital goods and consumer goods data.

CRUDE

Oil prices fell Monday as Iran and global powers appeared close to a historic deal that would loosen sanctions in exchange for curbs on Tehran's nuclear program.

RUPEE

The rupee depreciated by 7 paise to trade at 63.46 against the dollar on fresh demand from importers and gains in the American currency against major currencies globally.

STOCK TRENDS

On the sectoral front, BSE Metal, Realty, Bankex, Capital Goods indices are trading lower between 0.2-1%. However, BSE Healthcare, IT, Oil & Gas indices are trading higher up to 1%.

Gail has gained 3% after media reports stated that the company has launched a tender to buy to liquefied natural gas (LNG) cargoes for prompt delivery, linked to demand for gas by various local fertiliser companies.

Defensive stocks are trading firm in today’s trade on the back of a weak rupee. Sun Pharma, Cipla, Lupin, Dr Reddys’s Lab from the healthcare pack and TCS and Wipro from the IT space are trading higher up to 1.5%.

M&M plans to raise up to Rs. 5000 crore through issuance of securities on private placement basis in local and global markets after an approval from its shareholders. The stock is up 0.6%

According to a top official from Vedanta, the company will be closing the merger deal with Cairn India by March 2016. Vedanta is down 1% while Cairn India is down 2%.

Foreign brokerage, CLSA maintained its buy call on Maruti Suzuki for target price of Rs 4,450 per share. The stock is up over 1%.

Capital Goods shares are taking a beating in today’s trade on the back of weak IIP numbers. L&T, BHEL are down 1%.