Sensex rises 450 points on positive global cues, metals, banks, tech gain

As mentioned in our morning update markets opened positive on the back of strong global cues. As expected all the SENSEX stocks were trading higher with Metals, banking and IT stocks among the star performers. Sterlite Industries was the top gainer. The stock surged 8 per cent to Rs 113. ICICI Bank advanced 6 per cent to Rs 824. Jindal Steel, Hindalco, Tata Motors, DLF, Infosys, Tata Steel, J P Associates, HDFC Bank and Wipro also climbed 3.6 per cent-5 per cent each in the opening deals.

On the sectoral front, BSE Metal index was the top gainer, up 4.4 per cent or 457 points to 10,809. Bankex advanced 4.3 per cent or 427 points to 10,389 and The IT index was up 3.6 per cent to 5,339. Realty, Consumer Durables, Auto, Capital Goods, Power Oil & Gas, Healthcare and FMCG indices also gained 1.2 per cent-3 per cent each.

Sesa Goa, SAIL, Coal India, Hindustan Zinc NCDC, JSW Steel, Bhushan Steel and NALCO were the prominent gainers among the metal stocks. From the banking space, Axis Bank was the top gainer, up 6.4 per cent to Rs 1,013. Indusind Bank, Yes Bank, Kotak Mahindra Bank, IDBI Bank, HDFC Bank and Federal Bank also jumped -6 per cent each in the opening deals.    

The market breadth, indicating the overall health of the market, is strong. On BSE, 1711 shares rose and 422 shares fell. A total of 63 shares remained unchanged.

In conclusion, we expect the market to remain positive for the remainder of the day and advice reader to wait and watch for the European markets to open as they may be the deciding factor for sustainability of this rally. Nevertheless we shall keep updating you regularly through our market commentary.