NEW DELHI: Rising for the first time in three sessions, equity benchmarks Sensex and Nifty closed higher on Tuesday owing to gains led by bank, energy, metal and FMCG stocks.
Buying was observed in most sectors, as positive inflation numbers influenced market sentiment. A government data on Monday showed that retail inflation fell to a 9-month low of 4.17 per cent in July on declining vegetable prices.
After hitting a four-year high in June, the WPI inflation ebbed a little to 5.09 per cent in the month of July, official data released on Tuesday showed.
Still, the unabated fall in the rupee remained an overhang. The local currency, in line with other emerging markets currencies, has been in a hole for some time now, as it went past the 70-mark for the first time ever on Tuesday.
However, the heat on Turkish lira moderated today, as after three weeks of losses, the currency improved a little thanks to the intervention by the country's central bank.
Sensex climbed 207 points, or 0.55 per cent, closing the day at 37,852, with 18 stocks advancing and 13 declining.
The Nifty50 settled 79 points, or 0.70 per cent, up at 11,435, with 30 stocks in the green and 20 in the red.
BSE Midcap and Smallcap indices moved up by 0.89 per cent and 0.53 per cent, respectively.
IT and pharma stocks rose on falling rupee. Energy, bank and realty stocks also witnessed decent traction.
Reliance Industries, ICICI Bank, Sun Pharma and Axis Bank emerged as the top contributors to the rally in the market.
However, HDFC twins, Larsen & Toubro, Hero MotoCorp and Bharti Airtel failed to perform.
Surging nearly 7 per cent, Sun Pharma topped the pack of Sensex gainers. The drug major on Tuesday beat Street estimates to report a consolidated profit of Rs 982.51 crore for the June quarter against Rs 424.92 crore loss reported for the corresponding quarter of last financial year.
Shares of Allahabad Bank plunged 6.32 per cent after the bank reported a loss of Rs 1,944 crore for the June quarter. It had earned Rs 29 crore profit in the corresponding quarter last fiscal.
IDBI Bank on Tuesday reported a net loss of Rs 2,410 crore against Rs 853 crore loss reported for the corresponding quarter of last financial year. Shares of the company closed almost flat.
Sectoral indices on the BSE were predominantly in the green. Barring, BSE Industrials, telecom, capital goods and power, all went home with gains.
Among the Asian peers, Shanghai SE Composite Index and Hang Seng closed in the red, whereas Nikkei jumped over 2 per cent.
[contf]
[contfnew]
ET Markets
[contfnewc]
[contfnewc]
