Select bluechip and information technology (IT) sector stocks settled with modest gains on the Bombay Stock Exchange (BSE) today, even as war fears continued to linger.
Snapping its two-session losing streak, the BSE sensitive index (Sensex) finished with a modest gain of 13.41 points at 3,160.24. On the NSE, the S&P CNX Nifty index rose 3.45 points to 1,041.65.
Gainers outnumbered the losers, indicating a positive undertone amid heavy volumes.
Brokers attributed the improved market sentiment to India's moderate response after market hours on Tuesday to a toughly worded speech by Pakistan president Pervez Musharraf.
Media and technology stocks led the rally. Media giant Zee Telefilms settled 8.68 per cent higher at Rs 138.35 on renewed buying after a recent fall from higher levels.
Satyam Computer bounced back from the day's low of Rs 215 after a recent fall from higher levels. The scrip gained 6.03 per cent at Rs 228.55.
Other technology stocks such as HCL Tech (up 3.37 per cent to Rs 220.75) and Infosys Technologies (up 0.78 per cent to Rs 3,537.85) also recovered from lower levels.
Value-based buying pushed both Reliance group stocks higher. Reliance Industries settled 1.96 per cent higher at Rs 265.15, while Reliance Petroleum gained 2.17 per cent at Rs 23.50.
ITC settled 0.75 per cent higher at Rs 594 on fund-based buying. However, FMCG giant Hindustan Lever slipped 3.39 per cent to Rs 192.45 on sustained selling by a leading domestic fund.
Refining major HPCL rose from Rs 245.25 to a high of Rs 260, before settling at Rs 255.90, up 1.77 per cent over Tuesday's close.
Select auto stocks witnessed hectic activity. Tata Engineering recovered from the day's low of Rs 117.25 to Rs 124.50, before settling at Rs 123.75, up 3.69 per cent over its previous close.
Other key stocks such as Bajaj Auto (up 1.46 per cent to Rs 485.20) and Hero Honda Motor (up 0.20 per cent to Rs 321.25) ended in the positive territory on selective buying interest.
However, defensive pharma stocks remained weak. GlaxoSmithKline (down 0.91 per cent to Rs 357.85) and Cipla (down 0.51 per cent to Rs 1,020.90) ended in the red on selling pressure.
Derivatives rise
The derivatives market ended in positive territory, with all the three futures ending at a premium. There was a spurt in volumes in all the three contracts. Open interest rose for the June contract. Positions shifting to June futures with the May contract expiring tomorrow.
The S&P CNX Nifty closed 3.45 points higher at 1041.65 points while May Nifty futures ended 6.35 per cent higher at 1045 points.
The near month May Sensex futures also ended higher while the June contract fell. The near month futures ended at a premium. Volumes in the May contract rose while those in the June futures declined. In the cash market, the Sensex closed 13.41 points higher at 3160.24 points, while May Sensex futures closed higher by 44.30 points at 3169.40 points.
