Sensex extends gains on selective buying; auto stocks fall

The benchmark BSE Sensex extended gains on selective buying by funds rising by 98 points in morning deals on the last trading day of 2014.
Stocks of metal, power, banking, capital goods and realty witnessed buying today, brokers said.
However, auto stocks fell up to 1.56 per cent due to profit booking on reports that government may withdrew excise duty cuts announced to the sector.
Mahindra & Mahindra was the biggest loser among Sensex scrips, falling by 1.56 per cent in morning trade. Maruti and Bajaj Auto too dropped, limiting the Sensex gains.
Prices of cars and durable goods like TV and fridge are expected to go up from Thursday as government plans to end the excise duty concessions given in February.

On the other hand, Hindalco (1.47 per cent), BHEL (1.12 per cent), Dr Reddy (1.10 per cent), Axis Bank (1.06 per cent), ICICI Bank (1.00 per cent) and Tata Power (0.86 per cent) were among major gainers.

The Sensex resumed lower at 27,358.30 and hovered between 27,502.41 and low of 27,346.00. It was quoting at 27,501.69 at 1015 hrs, showing a gain of 98.15 points, or 0.36 per cent.
Besides, Mid Cap index and Small Cap index also rose by up to 0.79 per cent.
Sentiments were positive on firm Asian markets and overnight gains in the US markets.
Also, Foreign portfolio investors (FPIs) bought shares worth a Rs 277.92 crore yesterday, as per provisional data available with stock exchanges.

The CNX 50-share Nifty also up by 31.20 points or 0.38 per cent to 8,279.45.