Rally in broader market continues; Metal Index up 2%

Profit taking in blue chips is capping upside gains even as value buying in the broader market continues

After a sluggish start benchmark share indices firmed up in noon deals but upside gains remain capped on profit taking in blue chips even as value buying was seen in the broader markets.

At 1PM, the 30-share BSE index was up 45 points at 24,851 and 50-share NSE index was trading at 7,425, up 23  points.

The broader markets, BSE Midcap and Small cap, continue to outperform, the midcap and smallcap indices have gained 1-1.5% each.

The Indian rupee remains unchanged on reports of uneven demand and supply transactions of dollars. The rupee is currently trading 59.2 against the US dollar.

Asian equity markets were trading mixed on as traders braced themselves ahead of the European Central Bank meeting. Traders are hopeful of interest rate cuts, cheap loans to banks or even a Federal Reserve-style asset purchase program. China's Shanghai Composite was up  15 points to 2040 and Japan's Nikkei surged 11 points to 15,070.On the other hand,  Hong Kong's Hang Seng declined 11 points to 23,140 and Singapore's Straits Times dipped 2.9 points to 3,277.


Metal shares extended recent rise triggered by strong Chinese data with Tata Steel hitting a 52-week high with Sesa Sterlite, Hindalco and Tata Steel up 2-7%, each.

Select Auto stocks such as Tata motors and Bajaj Auto appreciated .5-1.5%, each.

Among capital stocks, BHEL and Larson were up 1%, each.

Private banks such as HDFC bank slipped 1.7% and ICICI bank plunged .09%. Other financials including HDFC lost 1%. On the other hand, SBI and Axis bank are up 1.2% and .2%, respectively.

Among the index heavyweights Infosys and ITC were down 0.4-0.9% each.

In the pharma sector Cipla and Dr Reddy’s Lab, were down 1% and .9%, respectively. Whereas, its peer Sun pharma is up .18%

Among other shares, Cement stocks have gained ground in today's trade on reports that cement companies have gone ahead with a price hike in the range of 3-30% across various regions. Some of the major gainers were Shree Cement, Prism Cement, Mangalam Cement, India Cements, Heidelberg Cement, all up 4-8%. Birla Corp, ACC, Ambuja Cement and Ramco Cements added a pecent each

Market breadth was strong with 1,983 gainers and 803 losers on the BSE.