×
Home Companies Industry Politics Money Opinion LoungeMultimedia Science Education Sports TechnologyConsumerSpecialsMint on Sunday
×

Markets rise 0.3%; Reliance, banks lead

Markets rise 0.3%; Reliance, banks lead
Comment E-mail Print Share
First Published: Mon, Jul 04 2011. 05 00 PM IST
Updated: Mon, Jul 04 2011. 05 00 PM IST
Mumbai: Markets edged 0.3% higher on Monday, tracking world equities as risk appetite returned after Greece avoided an early default and on signs China’s economy was not heading towards a sharp slowdown, but traders maintained a cautious view.
Energy major Reliance Industries was among the biggest gainers, with a 0.8% rise, after falling 4.1% on Friday.
The retail subsidiary of the conglomerate has appointed two former Wal-Mart executives to run the operations, the Economic Times reported on Monday, ahead of an expected opening up of the retail sector.
The 30-share BSE index firmed 0.28%, or 51.68 points, to 18,814.48 points, extending last week’s 2.9% gain. Nineteen of its components closed in the green.
“We have run the upward course, and a correction looks due,” said Arun Kejriwal, director of research firm KRIS.
Traders said a revival in foreign fund buying underpinned India -- one of the world’s worst performing major markets this year-- in the last few sessions, but profit booking could come in now.
“People are waiting for first-quarter results. Any spike on good news will be used to sell,” Kejriwal said.
Investors massively returned to emerging market equity funds in the week ended 29 June as hopes that Greece would avoid imminent bankruptcy encouraged risk taking, fund tracker EPFR Global said on Friday.
Inflows into their funds hit a 12-week high during the week, after three consecutive weeks of outflows, according to the fund-tracker.
Data from Nomura showed foreigners preferred Indian equities the most in Asia in the week to July 1, and pumped in $1.1 billion.
The 50-share NSE index gained 0.4% to end at 5,650.50.
Gainers thrashed losers in the ratio of 2.1 to 1 on the NSE, on a volume of 549 million shares, lower than the 90-day daily average volume of 589 million shares
Top-listed real estate firm DLF jumped 6% to 233.60 rupees, after RBS upgraded the stock to “buy” from “sell” and raised its target price, citing improving cash-flow and a ramp-up in sale of its non-core assets.
“We believe the worst is over for DLF and expect a gradual recovery,” RBS analysts said in a note late on Friday.
The banking sector index rose 1.1%, attempting to cover up for a poor show so far this year. It is still down 3.5% in 2011.
Leading lenders State Bank of India , ICICI Bank and HDFC Bank gained between 0.5% and 1.2%.
The MSCI all-country world stock index rose 0.4% by 1015 GMT, while emerging market equities firmed 1%.
STOCKS
Sugar producers, including Shree Renuka Sugars , Dhampur Sugar Mills and Bajaj Hindusthan , gained between 4.1 and 6.7%, after a report the government may discuss easing restrictions on the sector.
UltraTech Cement and Jaiprakash Associates rose 1.5% and 1.7%, respectively, after they reported higher June cement shipments.
Hotel Leelaventures rose 2.4% to Rs 41.90 after it said on Saturday it plans to expand its property in Goa by adding 20 rooms and bring its total to 206 rooms.
Comment E-mail Print Share
First Published: Mon, Jul 04 2011. 05 00 PM IST
More Topics: Markets Update | BSE | NSE | Sensex | Nifty |