Pre-Diwali rally on bourses; Nifty reclaims 7,900 mark

Indian markets continued their strong uptrend for the third consecutive session after breathtaking host of reforms bolstered investors' confidence with the benchmark Nifty reclaiming the psychological 7,900 mark on the National Stock Exchange (NSE).
Sentiment turned highly buoyant after the Prime Minister Narendra Modi's latest move on reforms along with the stellar electoral performance.
The government late yesterday announced that it would bring an ordinance to deal with the implications of the Supreme Court's order in the coal case, a move that will enable it to acquire the land of these mines along with plants for auction later to clear the mess arising out of the cancellation of coal blocks.

This follows a weekend decision by the government to decontrol diesel prices and put in place a new gas pricing regime.
Despite a strong start, the key indices briefly fell back to trade in red before rebound smartly towards the fag-end.
Meanwhile, other Asian equities retreated after a overnight stellar rally amid caution even as better Chinese growth data failed to lift the sentiment.

The benchmark CNX Nifty swung between high of 7,936.60 and a low 7,874.35 before concluding at 7,927.75, registering a smart gain of 48.35 points, or 0.61 per cent.
Financial heavyweights mainly provided the market a much-needed boost on expectations of improving asset quality following the government decision to revive the process of coal block allocation.

Infra, metal, realty, auto, technology and fmcg counters too attracted good amount of buying interest even as mid-cap and small-cap rose firmly.
However, energy and healthcare stocks succumbed to heavy selling pressure.
ICICI Bank topped the buying list followed by Axis Bank, SBI, Kotak Bank, Indusind Bank, IDFC and HDFC Bank. Other key index gainers included Tata Motors, Sesa Sterlite, L&T, Wipro, Power Grid, Gail, Bharti Airtel, HUL, Maruti, BHEL, NTPC, Hero Motoco, TCS, ZEE and TechM.
Among the key laggards were ONGC, Infosys, Reliance, M&M, Ultracemco, Lupin, Coal India, ITC, PNB and BPCL.
Turnover in the cash segment rose to Rs 16,232.61 crore against Rs 15,817.71 crore yesterday. A total of 7,150.84 lakh shares changed hands in 67,27,295 trades, while market capitalisation stood at Rs 90,82,977 crore.