Markets end near day's high ahead of trust vote decision

22 July 2008

Markets ended on a stronger note on hopes that UPA government is likely to win vote of confidence today. This news will be indicative that early election won't be happening in India and nuclear deal will progress further. Main drivers for today's session were power, FMCG, metal, capital goods, banking and oil stocks. Markets shrugged off negative cues from European markets. This rally has helped broader indices, Sensex bounced back above 14000 mark and Nifty above 4200 level.

Sensex closed with a gain of 254.16 points or 1.84% at 14,104.20 after hitting an intraday high of 14,206.13 and low of 13,798.18. Nifty Fifty surged 80.6 points or 1.94% to settle at 4240.10. It has hit a high/low of 4262.45 and 4137.95, respectively.

CNBC-TV18 estimates on vote of confidence suggest that 272 seats will be in favour of UPA government and 265 seats against of them.

Top contributors in the gain of indices were BHEL, Reliance Comm, ITC, SAIL, SBI, Wipro, ICICI Bank, Tata Steel and ONGC.

Nifty Futures have seen fresh long build up; premium Inched up a bit. Covered call strategy was being adopted in Nifty. Fresh long build up has seen in ADAG stocks. Active Call options were 4300, 4400 and 4500.

FMCG Index outperformed other indices, gained 88.28 points or 4.35% at 2,117.94. This outperformance has been led by United Spirits, ITC, Marico, Tata Tea, Ruchi Soya and HUL.