Nifty ends above 200 DMA led by IT, metal, auto, banks

23 April 2009

After three days of consolidation, the benchmark indices broke out and witnessed strong rally. This upsurge was mainly led by shares of technology, metal, auto, infrastructure, cement, oil & gas exploration and banking companies.

The Sensex closed above the 11,100 level while the Nifty ended above its 200 DMA (Daily Moving Average) of 3,495 as well as above the 3400 mark. The broader indices also followed the same trend but the benchmark indices outperformed these broader indices.

Heavyweights like Wipro shot up 11%; Reliance Industries, Infosys, NTPC, ONGC, SAIL, ICICI Bank, TCS, SBI, L&T, Reliance Communication, BHEL, DLF and Tata Steel gained 2-9%. However, only Bharti, Unitech, Sun Pharma, ITC and ABB ended in the red.

The 30-share BSE Sensex touched an intraday high of 11,203.28, before closing the day at 11,134.99, gain of 317.45 points or 2.93% over previous close. The 50-share NSE Nifty ended 2.8% or 93.40 points higher at 3423.70, after witnessing a high/low of 3439.90 and 3310.50, respectively.

Inflation was a non-event for the markets, it come in at 0.26% for the week-ended April 11 compared to 0.18% week-on-week (WoW). The Wholesale Price Index (WPI) for all commodities was up 0.3% at 228.8 (WoW). Inflation for the week-ended February 14 has been revised to 3.18% versus 3.36% (Provisional).
 
The BSE IT and Metal indices outperformed other sectoral indices; the IT Index surged 5.22% or 126.38 points, to settle at 2,549.71, as Wipro surged 11.11%. Tech Mahindra, Mphasis, Infosys and TCS were up 4.6-8.6%.

Metal stocks like JSW Steel, Tata Steel, SAIL, Sterlite, JSL, Jindal Steel and Hindalco gained 4-9%, which helped the respective Index to close at 7,086.02, up 5.2% or 350.14 points.