Mumbai: After a sell-off on Friday, Indian stocks staged a smart pull back on Monday morning as prices of commodities such as crude oil and iron ore eased.
Spot iron ore prices fell on Monday on concerns of weak steel demand in China. According to Reuters, Indian ore rates fell to $186-$188 a tonne, down from $190 they were quoting last week. (Read more) Brent crude for June settlement is down $0.42 to $123 a barrel. The fall in prices comes after Saudi Arabia said that global markets have enough oil supply.
Sensex: 19,626 +1.24%
Nifty: 5,889 +1.12%
Except IT, all sectoral indices are trading with gains on the BSE. Consumer durables, automobiles and capital goods indices are leading the gains.
BSE Consumer Durables: 6,515 +2.10%
BSE Auto: 9,626 +1.99%
BSE Capital Goods: 14,187 +1.49%
BSE Oil & Gas: 10,167 +1.36%
Two wheeler makers Bajaj Auto and Hero Honda are leading the gains in the automobile pack. Strong demand in the domestic market is helping automobile stocks despite the threat of a further hike by the RBI in May.
Hero Honda: Rs 1,940 +5.96%
Bajaj Auto: 1,448 +2.14%
Mahindra & Mahindra: Rs 738 +1.98%
Maruti Suzuki: Rs 1,279 +1.68%
Stocks of metal companies also witnessed a sharp rebound in morning deals.
Hindustan Zinc: Rs 145 +1.92%
Sterlite Industries: Rs 174 +1.87%
Bhushan Steel: Rs 525 +1.45%