726 stocks log fresh 52-week highs, Sensex zooms 319 pts
25 May 2014 4:12 AM IST
As many as 726 stocks on Friday hit 52- week highs on the Bombay Stock Exchange (BSE) as the benchmark index Sensex recorded a new closing peak on hopes of a big reforms push under the incoming Narendra Modi-led BJP government.Some of the prominent ones were: Ashok Leyland, Bank of India, Canara Bank, GVK Power, HCL Infosystems, IOB, JSW Steel, Maruti Suzuki, MTNL, NHPC, NTPC, PNB, REC, Reliance Power, SBI, Tata Power, Tata Comm and TVS Motor.The BSE Sensex spurted by 319 points, or 1.31 per cent, to end at a new historic closing high of 24,693.35.
The index surpassed its previous record closing of 24,376.88 reached on 20 May. The 319-point rise was its best single-day gain since 13 May, 2014 when it increased by 320 points.
Jignesh Chaudhary, Head of Research, Veracity Broking Services said: ‘Local equities continued to trade strong. It is expected that the new government will form business friendly economic policies which will remove bottlenecks and will eventually help the economy to grow.’
Among the 30 Sensex stocks, 22 ended the day in green with SBI leading the chart.Out of the 13 BSE sectoral indices, 11 ended the day in positive territory led by power index.
In all, 2,267 stocks advanced, while 912 declined.‘Amid volatility, the benchmarks were seen registering decent gains on Friday and ended close to the day's high. In absence of any major domestic cue, positive global market and better than expected result from the PSU banking major SBI, the sentiments remained on positive side,’ said Jayant Manglik, President-retail distribution, Religare Securities.The indices also logged third straight week of gains.Both Sensex and Nifty have gained 10 per cent in three weeks.
Similarly, wide-based 50-issue CNX Nifty of National Stock Exchange (NSE) flared up by 90.70 points, or 1.25 per cent, to end at new closing peak of 7,367.10. It crossed previous peak of 7,276.40 (22 May).Country’s largest bank SBI, was the top gainer from the Sensex pack with a rise of 9.69 per cent despite decline in the Q4 net profit but asset quality showed signs of improvement. ‘SBI reported healthy performance on the asset quality front while operating performance came ahead of our estimates,’ said
Angel Broking.
RIL, ONGC, L&T, HDFC, Maruti Suzuki, ICICI Bank, Sesa Sterlite and M&M were among the 22 Sensex gainers.Investors heavily bought into power stocks, including NTPC and Tata Power, on reports that Modi-led NDA government is likely to harness solar power and give a fillip to development of offshore wind energy. Adani Power, Reliance Power, Power Grid and JP Power also hogged the limelight.
NTPC Ltd gained 4 per cent, while Tata Power Co was up 6.4 per cent. ITC fell 0.77 per cent after reporting in-line January-March earnings. India’s biggest cigarette maker ITC Ltd said its fourth-quarter net profit grew 18 per cent. But its sales volumes fell 3 per cent as customers cut discretionary spending. Anil Manghnani, director of Modern Shares & Stock Brokers, says the markets could have more steam as foreign investors are increasing their exposure to midcap stocks.
A clear mandate for the BJP has rekindled hope for structural reforms and better investment climate and the country’s growth is likely to accelerate to 6.5 per cent in FY16, a Goldman Sachs report said on Friday.Undercurrent remained strong and will remain intact till the forming of the new government and then only the market may see some correction, a broker said.
The next trigger will be announcement of RBI’s monetary policy early next month and also declaration of Union Budget proposals in the month of July.Asian shares closed higher as investors lapped up signs of improving momentum in the global markets. Key benchmark indices in China, Hong Kong, Japan, Singapore, South Korea and Taiwan closed up between 0.05 per cent and 0.87 per cent. European markets were trading mixed with upward bias in their late morning deals. The CAC was up by 0.13 per cent, the DAX by 0.24 per cent while the FTSE was down by 0.14 per cent.
Turning to the local market, other gainers were Maruti Suzuki (5.32 per cent), ONGC (3.68 per cent), SSLT (3.38 pct), Bhel (3.28 per cent), Bharti Airtel (3.01 per cent), Reliance Ind (2.41 per cent), M&M (2.12 per cent), Larsen (2.02 per cent), Coal India (1.95 per cent) , Hero Motocorp (1.77 per cent), HDFC (1.45 per cent), Tata Steel (1.38 per cent), Axis Bank (1.29 per cent) and Wipro (1.14 per cent). Among the S&P BSE sectoral indices, Power rose by 3.66 per cent, Oil & Gas 2.16 per cent, Capital Goods 2.15 per cent, Realty 2.10 per cent, Auto 1.72 per cent and Bankex 1.64 per cent.
The index surpassed its previous record closing of 24,376.88 reached on 20 May. The 319-point rise was its best single-day gain since 13 May, 2014 when it increased by 320 points.
Jignesh Chaudhary, Head of Research, Veracity Broking Services said: ‘Local equities continued to trade strong. It is expected that the new government will form business friendly economic policies which will remove bottlenecks and will eventually help the economy to grow.’
Among the 30 Sensex stocks, 22 ended the day in green with SBI leading the chart.Out of the 13 BSE sectoral indices, 11 ended the day in positive territory led by power index.
In all, 2,267 stocks advanced, while 912 declined.‘Amid volatility, the benchmarks were seen registering decent gains on Friday and ended close to the day's high. In absence of any major domestic cue, positive global market and better than expected result from the PSU banking major SBI, the sentiments remained on positive side,’ said Jayant Manglik, President-retail distribution, Religare Securities.The indices also logged third straight week of gains.Both Sensex and Nifty have gained 10 per cent in three weeks.
Similarly, wide-based 50-issue CNX Nifty of National Stock Exchange (NSE) flared up by 90.70 points, or 1.25 per cent, to end at new closing peak of 7,367.10. It crossed previous peak of 7,276.40 (22 May).Country’s largest bank SBI, was the top gainer from the Sensex pack with a rise of 9.69 per cent despite decline in the Q4 net profit but asset quality showed signs of improvement. ‘SBI reported healthy performance on the asset quality front while operating performance came ahead of our estimates,’ said
Angel Broking.
RIL, ONGC, L&T, HDFC, Maruti Suzuki, ICICI Bank, Sesa Sterlite and M&M were among the 22 Sensex gainers.Investors heavily bought into power stocks, including NTPC and Tata Power, on reports that Modi-led NDA government is likely to harness solar power and give a fillip to development of offshore wind energy. Adani Power, Reliance Power, Power Grid and JP Power also hogged the limelight.
NTPC Ltd gained 4 per cent, while Tata Power Co was up 6.4 per cent. ITC fell 0.77 per cent after reporting in-line January-March earnings. India’s biggest cigarette maker ITC Ltd said its fourth-quarter net profit grew 18 per cent. But its sales volumes fell 3 per cent as customers cut discretionary spending. Anil Manghnani, director of Modern Shares & Stock Brokers, says the markets could have more steam as foreign investors are increasing their exposure to midcap stocks.
A clear mandate for the BJP has rekindled hope for structural reforms and better investment climate and the country’s growth is likely to accelerate to 6.5 per cent in FY16, a Goldman Sachs report said on Friday.Undercurrent remained strong and will remain intact till the forming of the new government and then only the market may see some correction, a broker said.
The next trigger will be announcement of RBI’s monetary policy early next month and also declaration of Union Budget proposals in the month of July.Asian shares closed higher as investors lapped up signs of improving momentum in the global markets. Key benchmark indices in China, Hong Kong, Japan, Singapore, South Korea and Taiwan closed up between 0.05 per cent and 0.87 per cent. European markets were trading mixed with upward bias in their late morning deals. The CAC was up by 0.13 per cent, the DAX by 0.24 per cent while the FTSE was down by 0.14 per cent.
Turning to the local market, other gainers were Maruti Suzuki (5.32 per cent), ONGC (3.68 per cent), SSLT (3.38 pct), Bhel (3.28 per cent), Bharti Airtel (3.01 per cent), Reliance Ind (2.41 per cent), M&M (2.12 per cent), Larsen (2.02 per cent), Coal India (1.95 per cent) , Hero Motocorp (1.77 per cent), HDFC (1.45 per cent), Tata Steel (1.38 per cent), Axis Bank (1.29 per cent) and Wipro (1.14 per cent). Among the S&P BSE sectoral indices, Power rose by 3.66 per cent, Oil & Gas 2.16 per cent, Capital Goods 2.15 per cent, Realty 2.10 per cent, Auto 1.72 per cent and Bankex 1.64 per cent.
Next Story
