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Rediff.com  » Business » Markets end higher led by metals

Markets end higher led by metals

Last updated on: July 04, 2012 16:17 IST

Key benchmark indices closed for the day marginally higher amidst volatile trades with the Sensex closing up 37 points at 17,463 and the Nifty added 15 points to end the day at 5,302. The ones leading the gains were banks and metal scrips.

Meanwhile, the broader markets managed to hold on to its gains with the midcap and the smallcap indices up 0.8 per cent each as compared to the Sensex up 0.2 per cent.

Country's services sector in June expanded for the eighth straight month although at a slower clip, but new orders picked up and firms hired workers at the fastest pace in a year, a business survey showed on Wednesday.

HSBC's services purchasing managers' index, which gauges the activity of around 400 firms in India, dropped to 54.3 in June from 54.7 in May. However, it has kept above the 50 mark that signifies growth since November.

In the Asian markets, except Hang Seng and Shanghai Composite all the other markets closed in the green. Japan's Nikkei share average advanced 0.4 per cent to close at a two-month high on Wednesday, driven by energy and resource companies following a rise in oil prices and bolstered by improved risk appetite amid expectations that central banks will act to support flagging global growth.

However, European shares edged back from two-month highs on Wednesday after three days of gains made on hopes of more monetary stimulus from central banks and progress made in dealing with the euro zone debt crisis.CAC, DAX and FTSE lost 0.2-0.6 per cent.

Back home, among the sectoral indices, Metal index gained 2 per cent as shares of metal and mining companies such as Sesa Goa, Sterlite Industries, JSW Steel, Jindal Steel and Power and Kalyani Steels rallied on reports that the government may lift ore mining ban in Karnataka this month. The ones leading the gains were Sterlite Industries, JSW Steel, and Sesa Goa up 4-5 per cent.

Realty, Consumer Durables, Capital Goods and Power index which added between 0.6-2 per cent were the other top sectoral gainers. On the other hand, Oil & Gas, FMCG and IT indices closed in the negative zone, losing 0.4-0.6 per cent.

The top gainers among the Sensex stocks were Maruti Suzuki, Bharti Airtel, SBI, Bajaj Auto and L&T up 1-2.5 per cent.

On the losing side were ONGC, Dr Reddys Lab, Wipro, Hindustan Unilever and Coal India down 1-2 per cent.

Among other stocks, Idea Cellular soared 6 per cent to Rs 86.50, extending its Tuesday's 5.4 per cent rally on reports that the company along with other GSM operators, Bharti Airtel and Vodafone said that they will continue to offer third generation services on a pan-India basis, after the Telecom Disputes Settlement Appellate Tribunal (TDSAT) reported a split verdict on the 3G roaming case.

3i Infotech surged 9 per cent at Rs 12.18, extending its past four days rally, after allotting 225.9 million shares to lenders under its corporate debt restructuring (CDR) package at Rs 19.74 per share.

The market breadth was positive on the BSE. 1771 stocks advanced while 1121 stocks declined.

Jinsy Mathew in Mumbai
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