Indian stocks rebound on Greece bailout package

Indian stocks rebound on Greece bailout package

Mumbai: Indian stocks rallied on Friday as a $229-billion aid package for Greece calmed investors concerns about debt crisis in the region. Overnight, Euro zone leaders agreed to a $229 billion bailout package for Greece and empowered the rescue fund to buy stressed debt across the euro nations.

Sensex: 18,722 +1.55%

Nifty: 5,633 +1.67%

Nikkei: 10,132 +1.22%

FTSE 100: 5,953 +0.90%

Axis Bank, Bharti Airtel, Reliance Communications, Mahindra & Mahindra and Grasim Industries led the gains in Nifty shares. Except Jindal Steel and ITC, all Nifty shares closed the day with gains. Axis Bank surged 4.5% after the bank reported a net profit of 942 crore in the June quarter. A Reuters poll had forecast the bank to report a net profit of 920 crore. Shares of Bharti Airtel surged 4% on reports that the telecom service provider have raised call tariffs by 20% in six circles.

Axis Bank: 1,296 +4.5%

Bharti Airtel: 410 +4.0%

Reliance Communications: 93 +3.37%

Mahindra & Mahindra: 724 +3.0%

Grasim Industries: 2,224 +3.0%

At the sectoral level, banking, automobiles, capital goods and information technology shares led the rally on the BSE. Except consumer durables, all BSE sectoral indices closed the day with gains.

BSE Bankex: 12,908 +2.1%

BSE Auto: 8,859 +1.7%

BSE Capital Goods: 13,711 +1.72%

BSE Information Technology: 5,932 +1.55%

After facing selling pressure for the last two days, banking stocks staged a smart comeback on short covering and value buying. Union Bank stock surged 5.1% despite the bank reporting lower than expected profits in the first quarter. The bank reported a net profit of 460 crore in the quarter ending June. Analysts were expecting the bank to post a profit of 596 crore. Read more...

Union Bank of India: 309 +5.1%

Yes Bank: 329 +3.6%

ICICI Bank: 1,068 +2.6%

Punjab National Bank: 1,169 +2.5%

Robust results from Praj Industries and Thermax also lifted capital goods stocks. Praj Industries stock jumped 16.6% after the company said its June quarter profits rose 32% to 13.6 crore. Thermax stock rose 2.2% after the company reported a 28% rise in June quarter profits. Read more...

Praj Industries: 93 +16.6%

Punj Lloyd: 75 +2.6%

Alstom Projects: 593 +2.5%

Areva T&D: 258 +2.4%

Thermax: 599 +2.2%

Overall, it has been a good day for the Indian stock markets. 56.66% of the shares traded on the BSE closed the day with gains.