Sensex, Nifty extend gains; midcaps underperform

The benchmark indices continued to trade higher after European markets opened in green, although investors remained cautious ahead of the earnings season for December quarter. 

Sentiment on the Street was subdued as investors awaited Budget 2017, scheduled on February 1, and caution ahead of key global events such as Donald Trump's swearing-in as US president later this month, also prevailed.

At 02:00 pm, the S&P BSE Sensex was trading at 26,884, up 158 points, while the broader Nifty50 was ruling at 8,278, up 43 points. 

In the broader market, the BSE Midcap index underperformed the headline indices and BSE Smallcap. Midcap index was up 0.3%, while Smallcap index added 0.6%. 

The market breadth, indicating the overall health of the market was strong. On the BSE, 1,587 shares rose and 1,049 shares declined. A total of 124 shares were unchanged.

Among sectors, All but BSE Realty (down 0.3%) was trading higher. BSE Industrials, BSE Energy, BSE Oil & Gas, BSE Consumer Durables and BSE Auto were the top performers and gained between 1.1-0.8%. 

Among individual stocks, Tata Motors surged nearly 3% to Rs 515 after earlier hitting its highest since November 11 as the sales of Jaguar Land Rover (JLR) rose 20% to a record last year.

Max Ventures and Industries (MaxVIL) surged 18% to Rs 79.15 after New York Life Insurance Company, the largest mutual life insurance company in the United States picked up 22.51% stake for Rs 121 crore in the company.

Engineers India (EIL) was up 5% to Rs 161 after the company said it has received a project worth Rs 2,500 crore from the state-owned oil marketing company Hindustan Petroleum Corporation (HPCL) for execution of Vizag Refinery Modernization Project (VRMP).

Meanwhile, eight sugar stocks hit their respective 52-week highs on the BSE on the ack of heavy volumes.

Balrampur Chini Mills, DCM Shriram Industries, Dhampur Sugar Mills, Dwarikesh Sugar, EID Parry, Indian Suncrose, KM Sugar Mills and Triveni Engineering & Industries hit their respective 52-week highs in intra-day trade.