Sensex inches higher; capital goods, auto gain

Reuters Market Eye - The BSE Sensex gains 0.29 percent and the broader Nifty is up 0.25 percent. The indexes are not far from record highs posted on April 10, with gains led by capital goods and auto stocks, which are experiencing good foreign buying according to dealers.

Larsen and Toubro gains 3.4 percent while Mahindra and Mahindra is up 3.5 percent.

Lenders also gain as bonds have rallied after RBI fully sold the 200 billion rupees ($3.31 billion) worth of debt on offer on Thursday, contrary to some fears of devolvement. State Bank of India gains 1.2 percent.

Wipro Ltd fell 5.4 percent after company's revenue guidance for the current April-June quarter were seen below estimates.

 

(Reporting by Indulal P)