Markets Close in Green Led By PSU Stocks

Building up on the last two day's gains, the markets had a stellar trading session today on the back of a slew of positive bites from various quarters. Rising exports, expanding manufacturing sector growth and higher vehicle sales coupled with government’s divestment program boosted market sentiment. The Sensex closed up 329 points at 19,850 and Nifty closing at 5961 gaining 98 points. In the process, the Sensex has surged 713 points in the last three straight sessions. Today's rally was mainly led by the PSU index. The shares from this segment were in limelight on the bourses after the strong response elicited by the ongoing disinvestment programme wherein the government has achieved more than 50% or Rs 23,000 crore of the total target of Rs 40,000 crore for the current fiscal. On the global front, European stocks climbed for the first time in four days, rebounding from an eight-week low, as Chinese manufacturing expanded for a fourth straight month. U.S. index futures and Asian shares gained. BHP Billiton Ltd. and Rio Tinto Group advanced more than 2 percent as copper rose on the London Metal Exchange. Banco Santander SA and Bilbao Vizcaya Argentaria SA, Spain’s biggest lenders, led a rebound in bank shares. Carrefour SA plunged the most in seven months after the world’s second-largest retailer cut its 2010 earnings forecast.