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Benchmark indices continue to trade higher ahead of the Union Budget 2015-16 to be tabled on Saturday on hopes of bolder reforms to kickstart the ailing economy. A broad based rally is observed with frontliners including Infosys, HDFC and Tata Motors contributing nearly 150 points to the rise on the 30-share Sensex.
At 1.10 PM, the 30-share Sensex is up 203 points at 29,028 and the Nifty has gained 59 points at 8,821 mark.
Global rating agency Moody's today said fiscal policies and structural reforms will determine India's sovereign credit profile, and not recent revisions to the economic growth data.
Foreign institutional investors were net buyers in the cash market to the tune of Rs 697 crore on Tuesday, as per provisional stock exchange data. They also remained net buyers in futures and options segment to the tune of Rs.815 crore
KEY STOCKS
Barring BSE Healthcare index, all other indices are trading in the positive territory with BSE Oil & Gas index leading the rally up 1% followed by Realty, Teck, Auto and IT indices trading higher up to 1%.
Infosys is up 2%. According to reports, India’s second-largest information technology services firm Infosys would soon invest in a start-up that develops cloud-based air quality detectors.
Financials have gained across the exchanges with mortgage lender HDFC up 2% on expectations that the upcoming Budget would announce benefits for low-cost housing.
Reliance Industries is up nearly 1% on short covering at lower levels after the stock witnessed profit taking in the previous few sessions.
ONGC is up 1.6%. The government has suspended a director in the country’s biggest oil public sector unit, Oil & Natural Gas Corporation Limited (ONGC), over alleged irregularities.
Odisha Mining Corporation (OMC) has started the process to scrap bauxite mining joint venture (JV) projects with Hindalco and Sesa Sterlite after the state government said the state-run miner can take a decision to do so. Hindalco is flat and Sesa Sterlite is up 1.6%.
Tata Motors, which had two years earlier objected to the creation of quadricycles as a new vehicle category, citing low safety standards, now seems to be toeing a very different line. The automaker, India’s largest by revenues, is quietly developing under ‘project Bravo’ its own quadricycle with a new petrol engine, Business Standard has learnt. The stock gained 1.3%.
Healthcare shares are witnessing selling pressure in today’s trade. Sun Pharma, Dr Reddy’s Lab are down between 0.6-1.4%.
In the broader market, the BSE Mid-cap and Small-cap indices are under performing the large counter parts and up 0.3% each.
Market breadth is positive with 1,350 gainers and 1,278 losers on the BSE.
