Metal index leads the rally

STOCK REPORT

Even as the sectoral indices helped the market regain, it was the Metal index and the BSE Consumer Durables index that supported the rally in a big way. Both gained 7.35 per cent and 4.95 per cent, respectively.

Metal Index had been a major laggard over the last few trading sessions losing around 18.17 per cent since 16 May.

"The US GDP data is eagerly anticipated and good numbers would lead to outflow from commodity indices into equities." said Giri Saladi, head (Commodities research), Angel Broking. He said that strikes at Chile and Peru mines was keeping spirits high in the metals index. Steel stocks also rallied late after China`s largest steel company said it might hike prices.

Among the heavyweights that propelled the Sensex were metal stocks such as Tata Steel and Hindalco. Tata Steel rose 7.87 per cent to Rs 510, while Hindalco was up 6.29 per cent to Rs 191.

Also, cement stocks were up with Grasim Industries and Gujarat Ambuja Cements Ltd ending 9.09 per cent and 5.09 per cent higher respectively.

Some power and power equipment stocks were in the limelight with BHEL, NTPC and Reliance Energy rising 6.32 per cent, 4.83 per cent and 6.30 per cent to Rs 2013.25, Rs 117.10 and Rs 549.25 respectively.

Wipro surged 9.60 per cent to Rs 482 while Tata Power jumped 8.82 per cent to Rs 555. Reliance Industries (RIL) advanced 3.40 per cent to Rs 963.

The company had announced a diesel price hike of Rs 2 per litre. Some of the heavyweights that lost ground was Dr Reddy's, which closed 2 per cent down and Hero Honda which lost 1.80 per cent to close at Rs 800.

The Chinese Steel company announcement had a positive impact on many steel stocks. Steel Authority of India (SAIL) was the major gainer, up 14 per cent to Rs 76.40.

Bhushan Steel & Strips was up 16.80 per cent to Rs 206, Lloyds steel went up 19.95 per cent to Rs 12.03, Uttam Galva Steel (up 8.90 per cent to Rs 36.10).