Sensex reverses losses to end 51 pts up

The index,rebounded in the last 30 minutes of trade and closed at 17,367 pts higher than yesterday.

After falling over 120 points,Sensex today bounced back to close 51 points higher,snapping a four-day downtrend,on buying in pharma,IT and banks.

The BSE benchmark index,which had lost 360 points in last four trading sessions,fell by 123 points to a 4-week low of 17,367.55 in the morning on cautious trading amid expiry of current month’s derivatives contracts.

The index,however,rebounded in the last 30 minutes of trade and closed at 17,367.55,50.83 points higher than yesterday’s close on brisk buying.

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Brokers said trading sentiment bolstered on smooth expiry of August month series in the derivatives segment as traders covered their pending positions and placed a record business volume of Rs 3.33 lakh crore.

In the 30-share Sensex,21 stocks led by Hindalco Industries (up 2.27 per cent),Cipla (1.57 pc) and HDFC Bank (0.98 pc) gained. Nine counters,however,ended with losses led by Gail (2.32 pc) and Maruti (2.13 pc). TCS,which hit new a high of Rs 1,378.50,closed 1.68 per cent. ITC shares also touched a new high of Rs 271.50 but closed flat.

“Shares climbed to day’s high in the latter half. Volatility was higher due to F&O expiry. Recovery was prominent in realty and banking. Global markets were,however,muted after weak retail sales data from Japan,” said Nidhi Sarswat,Senior Research Analyst,Bonanza Portfolio.

All eyes are on the country’s first quarter GDP data to be announced tomorrow,said dealers.

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In the broader market,1,401 stocks rose with realty,healthcare,IT,banks and power leading the charge. Metal,oil & gas and auto stocks were prominent among the 1,327 shares that ended down today.

The 50-share National Stock Exchange index Nifty rose by 27.25 points,or 0.52 per cent to 5,315.05.

The global markets today were under pressure ahead of the much-awaited speech from US Federal Reserve Chairman Ben Bernanke at an annual gathering of central bankers in Jackson Hole tomorrow.

Asian stocks ended lower today after the latest data showed Japan’s retail sales declined 0.8 per cent in July. Key indices in China,Hong Kong,Japan,Singapore,South Korea and Taiwan fell in the 0.03-1.19 per cent range.

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European markets were also trading lower in the afternoon deals. The CAC was down by 0.14 per cent,the DAX by 0.56 per cent and the FTSE by 0.10 per cent.

Back home,other major gainers from the Sensex pack were Tata Motors (1.26 pc),Wipro (1.23 pc),HDFC (1.21 pc),BHEL (1.18 pc) and Tata Power (0.96 pc). Among major losers,Tata Steel dropped by 2.06 per cent,Jindal Steel by 2.03 per cent,Hero Motocorp by 1.47 per cent and Sterlite by 1.46 per cent.

Among the sectoral indices,BSE-Realty firmed up by 1.83 per cent,followed by BSE-HC (0.74 pc) and BSE-IT (0.70 pc).

The total turnover shot up to Rs 2,597.55 crore from the yesterday’s level of Rs 1,838.90 crore.

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Foreign Institutional Investors (FIIs) bought shares worth Rs 143.30 crore (net) yesterday as per provisional data with stock exchanges.