Sensex gains nearly 200 points; HDFC, oil shares lead

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Benchmark indices continue to trade firm following strong global cues along with sustained buying among index heavyweight shares like HDFC, Tata Motors and oil shares leading the upmove.

By 10:15, the 30-share Sensex was higher by 188 points at 29,190 and the Nifty has gained 55 points at 8,818 mark.

Among broader markets, BSE Midcap and Smallcap indices are up 0.5-1%. Market breadth in BSE is positive with 1,264 advances against 634 declines.

GLOBAL MARKETS

Asian stocks rose on Wednesday, taking their cues from Wall Street's gains after Federal Reserve Chair Janet Yellen suggested the Fed would not rush into raising interest rates.

Shares extended gains after an index of Chinese factory activity eked out a rise to a four-month high in February, though export orders shrank at their fastest rate in 20 months.

Activity in China's mammoth factory sector edged up to a four-month high in February but export orders shrank at their fastest rate in 20 months, a private survey showed, painting a murky outlook that argues for more policy support.

The flash HSBC/Markit Purchasing Managers' Index (PMI) inched up to 50.1 in February, a whisker above the 50-point level that separates growth in activity from a contraction on a monthly basis.

SECTORS & STOCKS

BSE Oil & Gas index has surged over 1.5% followed by counters like Banks, IT, Metal, Power and Realty, all gaining nearly 1% each. However, BSE FMCG index is trading marginally in red.

From the Oil & Gas space, ONGC and RIL are up 1.5-2.2%. The government has suspended a director in the country’s biggest oil public sector unit, Oil & Natural Gas Corporation Limited (ONGC), over alleged irregularities.

Odisha Mining Corporation (OMC) has started the process to scrap bauxite mining joint venture (JV) projects with Hindalco and Sesa Sterlite after the state government said the state-run miner can take a decision to do so. Hindalco has gained over 0.6% whereas Sesa Sterlite has risen nearly 2%.

Tata Motors, which had two years earlier objected to the creation of quadricycles as a new vehicle category, citing low safety standards, now seems to be toeing a very different line. The automaker, India’s largest by revenues, is quietly developing under ‘project Bravo’ its own quadricycle with a new petrol engine, Business Standard has learnt. The stock is up over 1%.

Other notable gainers are HDFC, Bharti Airtel, M&M, ICICI Bank and NTPC.

On the losing side, HUL, ITC, Sun Pharma and Bajaj Auto have slipped 0.1-1%.

Among other shares, Dewan Housing Finance Corporation (DHFL) has dipped 3% at Rs 486 on BSE in early morning trade in otherwise firm market after housing finance company has fixed a floor price for its qualified institutional placement (QIP) issue.

Rail related stocks are trading mixed on the Bombay Stock Exchange (BSE) ahead of the Railway Budget due on 26 February.

Kalindee Rail Nirman, Stone India, Texmaco Rail and Engineering and Cimmco are up 1-6%, while Titagarh Wagons and Kernex Microsystems are trading weak between 2 -4%

Meanwhile, over the past two trading sessions, all these six stocks have slipped between 3-12% with Titagarh Wagons seeing the biggest fall of 12% during this period.


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