Markets remain range-bound; BSE Midcap index up 0.5%

Benchmark indices are trading in a narrow range with positive bias led by firm European cues along with select blue-chip companies leading the gains.

At 14:03 pm, the S&P BSE Sensex was up 40 points at 28,639 and the Nifty50 gained 27 points at 8,807. In the broader markets, the BSE Midcap and Smallcap indices were up 0.5% each.

Asian shares advanced on Monday as markets wagered the US Federal Reserve would skip a chance to raise rates this week, while oil bounced on talk of an OPEC deal on output and reports of fighting around Libyan oil ports.

In Europe, British, French and German bourses have started about 1% higher, while MSCI's broadest index of Asia-Pacific shares outside Japan gained 1.2%, led by the technology, financial and energy sectors.

Back home, shares of sugar companies continued to trade higher for the second straight day with stocks of Dharani Sugars & Chemicals, Mawana Sugars, Kesar Enterprises, Triveni Engineering & Industries, Dalmia Bharat Sugar and Rajshree Sugars rallying more than 15% each in the past two trading sessions.

State Bank of India (SBI) on Monday announced its plans to invest Rs 100 crore each for developing commercial and residential facilities. The stock has gained nearly 1%.

Shares of Heritage Foods has soared 9% to Rs 888, also its record high on the BSE, on media reports that Future Group is in talks to acquire the retail business of the company.


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Updated at 11:50 am


Benchmark share indices continued to trade firm in late morning trade on Monday led by TCS after the IT major said it was recognized in the Global Dow Jones Sustainability Index 2016 for the fourth consecutive year.

At 11:50am, the S&P BSE Sensex was up 92 points at 28,691 and the Nifty50 gained 35 points at 8,815. In the broader markets, the BSE Midcap and Smallcap indices were up 0.5%-0.6% each. Market breadth was strong with 1386 advances and 992 losers on the BSE.

Meanwhile, investors are keenly awaiting signals from central banks in Japan and the US with their respective policy meets scheduled this week.

Foreign institutional investors were net buyers in equities worth Rs 661 crore on Friday, as per provisional stock exchange data.

TCS was the top Sensex gainer up over 2% after the company in a release said that it has been  recognized in the Global Dow Jones Sustainability Index 2016 for the fourth consecutive year.

ICICI Bank was up over 1.4% after the initial public offer of its insurance arm ICICI Prudential Life Insurance's IPO, worth up to Rs 6,057 crore opened for subscription today.

Among the other index heavyweights, ITC and Reliance Industries were up over 0.6% each.

Axis Bank was down 0.5%. The private banking major announced revision in its Marginal Cost of Funds based Lending Rate (MCLR) with effect from 17 September 2016.

Auto shares witnessed profit taking after gains in the previous sessions. Maruti Suzuki was down over 1%. Japanese automobile major Suzuki plans to harness the strengths of Maruti Suzuki to grow its two-wheeler business in the world’s largest market.

In the two-wheeler space, Bajaj Auto and Hero MotoCorp were down 0.5%-0.9% each.

Among others, Shares of select textile companies were trading higher by up to 8% on the BSE on expectation of pick- up in sales in coming months in light of good monsoon, 7th pay commission payouts and festive season. Raymond, Alok Textiles, Himatsingka Seide, Aarvee Denims, Trident, DCM and Maxwell Industries were up over 2% each.