Sensex ends below 21,000; Tata Power up 5.5%
Markets extended gains for a second consecutive session to close at its highest level in more than a month with the Sensex up 39 points or 0.2% at 20,996 and the Nifty gained 19 points or 0.3% to close the week at 6,260.
For most part of the trading session, markets hovered around the dotted lines briefly slipping into the negative in early noon trades. Gains in ITC, NTPC, L&T and ONGC helped the index edge higher in the closing hour.
Broader markets were steady through the day with the midcap index up 0.5% and the smallcap index advanced 0.4%, both outperforming the BSE benchmark index which was up 0.2%.
The rupee was marginally higher for a third session, tracking euro gains after the ECB gave no indication of policy easing. The pair was at 61.62 versus 61.75 Thursday close.
On the sectoral front, only IT index was in the red, down 0.1%.
Meanwhile, Power index up 2% and Consumer Durables up 1.2% were the top sectoral gainers.
Bankex, Capital Goods, Realty, Oil & Gas, Metal, Auto, FMCG and Health Care indices added 0.3-0.8%.
HDFC, Hindalco, HUL and Bharti Airtel down 1-1.5% were the top losers among Sensex-30.
HDFC Bank, RIL, Infosys and Maruti Suzuki down 0.2-0.8% rounded off the losers list.
Among the gainers were Tata Power, Coal india, NTPC and Hero MotoCorp, up 2-5.5%.
Sesa Sterlite, ONGC, L&T, Jindal Steel, Dr Reddys Lab, ITC, Bajaj Auto, Sun Pharma and TCS up 0.5-1.3% were the other notable gainers.
Shares of sugar manufacturer were in focus as the sugar industry will be getting a loan of Rs 7,200 crore from the banks, for which the Centre will give an interest subvention of 12% .
Oudh Sugar Mills, Bajaj Hindustan, Shree Renuka Sugars, Balrampur Chini Mills, Mawana Sugar, Jeypore Sugar, Dhampur Sugar Mills and Dwarikesh Sugar are up 2-12%.
Shares public sector undertakings companies were trading higher by up to 8%. BEML, Engineers India and HMT are up more than 2% each, while Shipping Corporation of India, STC and Power Grid Corporation were up between 1-2%.
Jubilant Life Sciences was down 6% at Rs 118, extending its previous day’s 10% fall, after the company said that US drug regulator has issued a warning letter with regards to its facility in the US.
The market breadth was psoitive.1,328 stocks advanced while 1,178 stocks declined on the BSE.
Asian shares spent much of the day in a state of suspended animation as tension mounted ahead of jobs data that could make or break the case for an imminent scaling back in U.S. stimulus.
Government borrowing costs from Japan to Australia hit fresh highs on trepidation the Federal Reserve could start tapering its $85 billion of monthly debt purchases at its policy meeting on December 17 and 18.
Japan's Nikkei at least managed to steady after steep falls the previous two days. It closed up 0.8% on Friday, outperforming the rest of Asia.
MSCI's broadest index of Asia-Pacific shares outside Japan was flat, while Shanghai stocks slipped 0.5% .SSEC as China set its yuan at a record high, continuing the slow appreciation of the currency.
However the European markets over looked the cautious mood looked and started in the green. CAC, DAX and FTSE added 0.4-0.6%.
Image: A trader speaks on phones while trading at a stock brokerage in Mumbai.
Photographs: Arko Datta/Reuters