Positive global cues help Sensex close above 18,500

Positive global cues help Sensex close above 18,500

New Delhi: Brushing aside weak March-quarter GDP numbers, India stocks rallied more than 1.5% on strong cues from global equity markets. Stock markets in Asia rallied on expectations that European leaders will approve additional financial assistance to Greece as part of a larger strategy to stave-off a debt crisis in the region. By noon the momentum gained strength as a rally in the European markets aided investor sentiment.

Sensex: 18,503 +1.49%

Nifty: 5,560 +1.59%

Dax: 7,303 +2.00%

Except SAIL and Cipla, all stocks in the Nifty 50 closed the day with gains. JP Associates, Ambuja Cement and ACC rallied over 3.5% each. Banking stocks such as HDFC Bank, State Bank of India and Axis Bank also registered smart gains of over 2.7% each.

JP Associates: 86 +4.97%

Ambuja Cement: 139 +3.81%

HDFC Bank: 2,382 +3.22%

State Bank of India: 2,301 +2.85%

Punjab National Bank: 1,100 +2.76%

All BSE sectoral indices closed the day with gains. Real estate, FMCG, banking and metal stocks led the gains.

BSE Realty: 2,177 +2.52%

BSE FMCG: 3,850 +2.06%

BSE Bankex: 12,533 +2.05%

Buying in key index stocks such as DLF and Unitech helped the BSE Realty index close the day as biggest sectoral gainer on the BSE. The latest economic data pointed towards continuing traction in construction industry. In the March quarter, the construction segment grew by 8.2%.

Orbit Corporation: 45 +4.21%

DLF: 239 +3.52%

Sobha Developers: 270 +3.17%

HDIL: 167 +3.07%

Unitech: 35 +2.46%

Rebound in the agriculture sector boosted sentiment in FMCG stocks. The farm sector grew 7.5% in the March quarter. In the year-ago period, the segment registered a growth of 1.1%. Investors bought FMCG stocks on expectations that the robust growth in agriculture sector will raise rural incomes, thereby increasing demand for FMCG products.

Marico: 149 +8.38%

Dabur India: 116 +3.36%

ITC: 193 +3.07%

Overall, about six-tenths of the stocks traded on the BSE closed the day with gains.