Mumbai: The benchmark BSE Sensex today bounced back almost 183 points to close at over two-week high of 25,958.63 as investors lapped up realty, auto and metal stocks amid hopes of a breakthrough on GST Bill in Parliament and mixed cues from global markets. Pick-up in rollover of November derivative contracts to the December series helped.
The market barometer managed to snap the two-day falling streak in which it had lost almost 93 points as value-buying in several blue-chip stocks surfaced. Sentiment got a big lift on hopes that the government might pull off a compromise on the crucial GST Bill in the Winter Session of Parliament, which began today, brokers said.
The BSE 30-share gauge ended 182.89 points, or 0.71 per cent, higher at 25,958.63, a level last seen on November 9. Among the 30-Sensex constituents, 22 shares ended higher. The broad-based NSE Nifty also closed the day higher by 52.20 points, or 0.67 per cent, at 7,883.80. During the day, it shuttled between 7,897.10 and 7,832.
Covering-up of outstanding short positions by traders in view of the November expiry supported the recovery. Globally, premier stocks in Asia closed mixed with an upward bias while Europe was higher in late morning deals.
Back home, Tata Motors was back in demand and gained the most by rising 5.51 per cent, followed by Sun Pharma (up 3.96 per cent) after the company announced that it has shelved plans to invest in wind energy business in the US.
GAIL, ITC, M&M, RIL and Hero MotoCorp registered gains. Hindalco and Tata Steel rose up to 1.76 per cent as prices of base metal pack recovered at the London Metal Exchange. Vedanta held flat at Rs 90.30.
In contrast, Dr Reddy’s was hardest hit, falling 8.21 per cent on reports that US FDA might withhold approval of the company’s fresh drugs and stop import if no corrective action is taken.
Among BSE sectoral indices, realty gained most followed by auto, metal, consumer durables and power. The broader markets continued to shine on persistent buying by investors, with the small-cap index ending 0.45 per cent higher while mid-cap rose 0.26 per cent.
Foreign Portfolio Investors (FPIs) remained net sellers as they sold shares worth Rs 540.12 crore on Tuesday, as per provisional data. The markets were closed yesterday on account of Gurunanak Jayanthi.