Sensex gains 116 points; rupee unchanged

IANS

Mumbai

A benchmark index of Indian equities markets recovered after posting initial losses and closed more than 100 points (provisional) up in volatile trade yesterday.

The session, in which the market initially lost around 171 points, saw metal, healthcare and capital goods stocks lose. However, consumer durables, automobile, fast moving consumer goods (FMCG) and oil and gas scrip gained.

The 30-scrip Sensitive Index (Sensex) of the S&P Mumbai Stock Exchange (BSE), which opened at 27,008.12 points, closed trade at 27,206.74 points, up 116.32 or 0.43% from the previous day’s close at 27,090.42 points.

The Sensex touched a high of 27,254.80 points and a low of 26,918.93 points in intra-trade.

The S&P BSE metal index lost 148.78 points, healthcare index was down by 125.22 points and capital goods index fell 29.97 points.

However, consumer durables index gained 299.12 points, automobile index increased by 198.33 points, FMCG index was up 141.85 points and oil and gas index moved up by 96.43 points.

The wider 50-scrip Nifty of the National Stock Exchange (NSE) too ended in positive territory. It was up 24.85 points or 0.31% at 8,146.30 points.

Major Sensex gainers included Tata Motors, up 3.93% at Rs539.40; ONGC, up 3.48% at Rs419.10; ITC, up 3.12% at Rs370.65; Hero MotoCorp, up 1.65% at Rs2,999.80; and State Bank of India (SBI), up 1.30% at Rs2,601.95.

Major Sensex losers included Cipla, down 2.27% at Rs613.55; BHEL, down 2.09% at Rs222.10; Tata Steel, down 1.86% at Rs500.90; Hindalco Inds, down at 1.37% at Rs162.05; and Infosys, down 1.36% at Rs3,650.95.

Meanwhile, the Indian rupee ended little changed yesterday after gaining in each of the previous four sessions as investors turned more cautious a day before a preliminary survey on China’s manufacturing sector.

Worries about the health of China’s economy have been a major drag in emerging market assets over the past week, while uncertainty also remains about the US Federal Reserve’s near-zero interest rate policy.

Meanwhile, the rupee is also likely to remain range-bound ahead of the Reserve Bank of India’s policy review on September 30. Although the central bank is widely expected to keep interest rates unchanged, markets will focus on the tone of its statement.

“Rupee should be range-bound, given that we are seeing inflows and state-owned banks are buying (dollars) in the market,” said Ashtosh Raina, head of foreign exchange trading at HDFC Bank.  Raina expects the rupee in a 60.50 to 61.50 range in the near term.

The partially convertible rupee ended at 60.8150/8250 per dollar, compared with its close of 60.81/82 on Friday.