Scrips Rally On Bull Run

Another strong rally in RIL shares lifted the benchmark index to close 21.79 points or 2.5 per cent higher at 853.86 points on the Delhi Stock Exchange (DSE) yesterday following frantic purchases by foreign as well as domestic financial institutions coupled with huge short covering.

According to stock brokers, expectations that the RIL might come out with higher earnings for the first half of the current fiscal year on October 14 mainly provided strong rally in its prices.

They said speculators were also keen on larging their positions ahead of the Sebi board meeting to decide on the Varma Committee recommendations on the revised carry forward trading system.

RIL shares rallied at a rapid pace to close at a three year high of Rs 420.85, showing a sharp rise of Rs 36.85 on aggressive buying by foreign investors and speculators amidst huge short covering.

ITC shares also remained the foreign funds fancy and gathered another Rs 41.75 or nearly 7 per cent up at Rs 627.90. ACC shares were also in good demand among speculators and ended Rs 15.15 higher at Rs 1179.85 while L&T gained 75 paise at Rs 223.10.

BSES on hectic buying by Mumbai-based operators and speculators shot up by Rs 11 at Rs 207. ICICI, IPCL, MTNL, Telco, Bajaj Auto, Escorts, LML, Hindustan Motors, Apollo Tyres, Arvind Mills and Asian Hotels also ended on a bullish note.

Cash group shares which were in some demand were HDFC Bank, Bank of Rajasthan, Bank of Rajasthan, Reliance Capital, Reliance Petroleum, Colgate, Saw Pipes, Tata Tea, Satyam Computers and BLB shares. The undercurrent at close remained bullish and volume of business good.