Rising for the fourth straight day,the BSE Sensex today surged 256 points by close on buying in IT stocks as the country’s second largest software exporter Infosys Ltd posted smart quarterly numbers and raised annual sales forecast,amid a firming global trend.
After making a firm start at 20,559.69,the 30-share index fell to a low of 20,434.51 before settling 255.68 or 1.26 points higher at 20,528.59. BSE Sensex had gained 378 points in the past three sessions.
Similarly,the broad-based NSE Nifty shot up by 75.25 points,or 1.25 per cent,to 6,096.20,after climbing to day’s high of 6,107.60. The SX40 index on the MCX Stock Exchange closed higher by 138.72 points at 12,217.87.
Brokers said the current rally was led by information technology stocks boosted by Infosys Ltd starting the second quarter earnings season.
Its net profit rose by 4.79 per cent to Rs 3,273.90 and it revised its dollar guidance upwards to 9-10 per cent for the current fiscal from 6-10 per cent earlier,saying its dollar revenue will rise as economic recovery in the US and Europe would prompt clients to boost spending.
A firming trend in global stock markets on speculation that US lawmakers would reach an agreement on raising the nation¿s debt limit to avoid a default,further supported the uptrend,brokers added.
Sectorally,the IT sector index gained the most by rising 3.12 per cent to 8,514.18 followed by bank index by 3.09 per cent to 12,087.53. Capital goods index rose by 2.77 per cent to 8,472.56 and realty index by 2.66 per cent to 1,354.47.
BSE Sensex gains as Infosys Ltd,property shares rally
(Reuters) The BSE Sensex jumped more than 1 percent to a three-week high as technology shares advanced after Infosys Ltd raised the lower end of its fiscal year revenue guidance,while property developers gained after the country unveiled new REIT regulations.
Infosys Ltd shares rose 4.7 percent. Although India’s second-largest software services exporter posted quarterly profit that missed analyst estimates,investors cheered the change to the lower end of its revenue guidance.
Shares of real estate developers including DLF Ltd and Unitech Ltd gained after the market regulator announced draft rules to allow the establishment of real estate investment trusts (REITs) in the country.
The BSE Sensex rose 1.26 percent,while broader NSE Nifty ended up 1.25 percent higher,both marking their highest close since Sept. 19.