Biggest single day gain for Sensex; Bankex up 10 per cent

23 July 2008

Markets closed at day's high after D day verdict as UPA government has won vote of confidence by 19 votes wherein 275 seats were in favour of them and 256 in against of them. It was biggest single intraday points gain for Sensex since March 25, 2008. In last five trading session the Sensex has recovered around 20% from its recent lows of 12576 (July 16, 2008).

All BSE sectoral indices were closed in green. Strong buying interest was seen in bank, realty, capital goods, power, metal and oil and gas sectors, which were up anywhere between 5% and 10%. The BSE midcap and small cap indices were also closed with good gains; they were up 5% and 4% respectively.

For quite some time markets were trading under pressure as political concern, rising crude price, inflation, rupee depreciation. Out of these, now political concern is out of the way after UPA government wins. There are sign of crude cooling off and which will auger well for rupee appreciation. So one can expect further rally in the coming days.

The Sensex was up 838.08 points or 5.94% at 14942.28, and the Nifty was up 236.70 points or 5.58% at 4476.80.

Market breadth was positve, about 2371 shares have advanced, 574 shares declined, and 205 shares are unchanged.

Top gainers on the bourses were SBI at Rs 1,543.30 up 9.97% , HDFC Bank at Rs 1,205.75 up 9.57%, DLF at Rs 495.55 up 9.12% and Jaiprakash Asso at Rs 172.80 up 8.37%.