Sensex below 24,000; PSU scrips in demand

BHEL, ONGC, L&T among the top gainers in noon deals

After breezing past 24,000 levels, the benchmark indices have marginally come off day highs. Markets have been on fire ever since the exit polls indicated that the BJP-led NDA would form the government and kick start reforms to stimulate growth.
 
At 1300 hrs, the Sensex was up 335 points at 23,886 and the Nifty advanced 101 points to trade at 7,115.
 
In the broader markets, the mid and smallcap indices gained 1% each, keeping in line with the BSE benchmark index which was up 1.2%.
 

On the sectoral front, Health Care index down 0.2% continued to remain the weak pocket.

 
Metal and banking index up 0.3% each were the other laggards in noon deals.
 
Meanwhile, Capital Goods, Power and IT indices surged 2-3%.
 
Dr Reddys Lab and Coal India down 1-2% were the losers among Sensex-30.
 
HDFC Bank and Hindalco were also marginally in red.
 
Shares of public sector undertakings (PSU) companies across all sectors including banks are in demand after the exit polls data showed the Bharatiya Janata Party led National Democratic Alliance (NDA) is set to cross the magic mark of 272 in the just-concluded elections.
 
BHEL up 10.5% was the top gainer Sensex gainer followed by ONGC, L&T, Tata Power, Maruti Suzuki, Wipro, Infosys, Sesa Sterlite and Gail India all up 2-3.5%.

 
In individual stocks, Bank of Baroda gained over 5% at Rs 882 after the public sector bank announced a healthy set of Q4 numbers.
 
NHPC gained nearly 4% to Rs 20.10 after the company announced that an agreement was signed between NHPC and Kerala State Electricity Board (KSEB) on 08 May 2014 for the development of solar power projects in the state of Kerala.
 
Adani Group companies such as Adani Enterprises, Adani Ports and Special Economic Zone (SEZ) and Adani Power are in focus, trading higher by up to 10% each, after exit polls showed that the Narendra Modi-led NDA could probably win the most seats in national parliamentary elections.

 
Among individual stocks, Adani Ports and SEZ has surged by 11% to Rs 227, also its fresh 52-week high, on the Bombay Stock Exchange (BSE).
 
The market breadth was positive on BSE. 1426 stocks advanced while 1256 stocks declined.
 
Rupee
 
The Indian rupee also gained sharply against the dollar after exit polls showed that the BJP-led NDA would form the government at the centre. Further, the sharp gains in equities and foreign fund inflows also helped improve sentiment. The rupee was trading higher at Rs 59.91 against the previous close of Rs 60.05.
 
Asian Markets

 
Asian shares and the dollar rose on Tuesday as tensions in Ukraine were eclipsed by a strong performance on Wall Street, with Indian equities rallying on hopes an election victory for the business-friendly opposition party would spur a revival in the region's third-biggest economy.
 
MSCI's broadest index of Asia-Pacific shares outside Japan advanced 0.6% and Tokyo's Nikkei gained 2%.