Sensex pares gains ahead of F&O expiry, broader markets underperform

Index heavyweight RIL soaring above 7-year high, and positive Asian markets capped the losses

Extending gains for the sixth straight session, the benchmark indices on Wednesday continued to trade higher thanks to over 10% surge in index heavyweight Reliance Industries, while globally, positive trend seen in Asian markets also contributed to the gains.  

However, index heavyweight Reliance Industries soaring above 8-year high, and positive trend seen in Asian markets capped the losses. 

At 02:24 pm, the S&P BSE Sensex was trading at 28,812, up 51 points, while the broader Nifty50 was ruling at 8,911, up 4 points. 

The broader market underperformed the frontline indices with BSE Midcap and BSE Smallcap indices shedding 0.6% and 0.4%, respectively. 

The market breadth, indicating the overall health of the market, turned negative from positive in afternoon trade. On the BSE, 1,557 shares fell and 1,099 shares rose. A total of 185 shares were unchanged.

RIL stock hogged the limelight with it spiking as much as 10% to Rs 1199, hitting its 8-year high, after investors welcomed plans by its telecom unit Reliance Jio to start charging customers for services.

Castrol India fell as the company warned of volatility in the first half of 2017, although it reported a 10.7% rise in Dec-quarter profit on Tuesday.

Shares of Bharat Electronics lost ground and were trading over 3% lower to Rs 1,511. The company's offer for sale, which began today, got fully subscribed by afternoon on the first day of stake sale. 

Overseas, Asian stocks edged up as investors cheered upbeat factory activity in Europe and solid earnings on Wall Street.