As the market closed for the week, investors returned home with big gains on Friday. It was a massive rally on the Dalal Street with a steady swift upmove. The Sensex soared 269.69 points or 1.39% at 19683.23 while the Nifty closed at 5945.70 up 82.40 points or 1.41%.
The market remained its uptrend move on global cues but investors will now be keenly watching inflation and IIP data which will be announced next week.
Strength in metals, oil &gas and banking stocks led to the massive rally on the Dalal Street. Top gainers on the Sensex was Jindal Steel (5.7 percent) while HDFC, GAIL, HDFC Bank and Tata Steel were up between 2-4 percent each.
Aviation stocks saw a renewed interest among buyers.
Shares of Jet Airways rallied 10 percent to close at Rs 554.10 on hopes that the stake sale to Gulf-based Etihad Airways will be inked shortly. According to the latest information, Etihad may buy 10-12 percent in Jet from the promoters for a price between Rs 700-750 per share, reports CNBC-TV18, quoting unnamed sources. It will buy the additional stake through a preferential allotment of shares, sources said.
Shares of Kingfisher Airlines (KFA) were locked at 5 percent upper circuit after the company agreed to pay six months' salary to its employees. The stock closed at Rs 10.03 up 4.8 percent on the BSE.
Banking stocks have been rallying on the hopes of a rate cut by the Reserve Bank of India in its monetary policy on March 19. IndusInd Bank (up 3.9 percent), Kotak Mahindra Bank (up 2.3 percent) and HDFC Bank (up 2.4 percent) were the biggest gainers.
Another big mover of the day was Orchid Chemicals and Pharmaceuticals which ended the day at Rs 80.45 gaining 15 percent on the BSE. The stock extended its previous day's rally on back of heavy volumes on the Sensex.
On the downside were Maruti Suzuki, Infosys, Wipro, Tata Morors and TCS losing around 1 percent each. IT stocks corrected today after a heady run this week.
Analyst SP Tulsian feels that probably the position is shifting more into the high beta stocks or maybe into the other non-IT stocks.
"I am not too worried about the profit corrections across the board, which can bring down the Nifty. The positive view continues to remain ahead of the RBI meet where it is seen that probably the rate cut of at least 25 bps will be seen. It will be quite positive for the banking and automobile stocks and because of that I expect that Nifty can breach 6,000 in the next week. Maybe one can look about 6,050 also on the Nifty future probably then the caution maybe exercised in the market at those levels," he adds.
However, Sudarshan Sukhani, s2analytics.com recommends to take profits now. "We cannot ask for more. The market is rallying and it is always wise for a trader to sell into a rising market. You actually get positive slippage. Let us not get carried away, next week will be another week. The chances are we will get dips when we will again buy. So this is a week where we need to go light into the weekend," he explains.
Equity benchmarks rose 1.5 percent in afternoon trade, helped by buying in financials, oil & gas, FMCG and metals shares.
The market continued its uptrend for the fourth consecutive session today with the BSE Sensex rising 282.5 points or 1.46 percent to 19,696 at 14:46 hours IST. Meanwhile, the NSE Nifty moved up 1.5 percent or 88 points to 5,951.2.
The Nifty rallied 4 percent in four days and Bank Nifty spiked nearly 5%.
Among heavyweights, housing finance company HDFC topped the buying list, rising 4 percent while cigarette major ITC jumped nearly 2 percent.
Oil & gas producers Reliance Industries and ONGC spiked nearly 2 percent each. Country's largest lenders State Bank of India and ICICI Bank were up 1.8 percent each while their rival HDFC Bank climbed over 2 percent.
Engineering conglomerate Larsen & Toubro jumped 2.6 percent.
Metals stocks rallied too - Jindal Steel surged 6 percent while Tata Steel gained nearly 3 percent.
However, technology majors Infosys, TCS and Wipro were down 0.5-1 percent due to profit booking after rising in three consecutive sessions.
Commercial vehicle maker Tata Motors and top car producer Maruti Suzuki declined 0.7 percent and 2 percent, respectively.
The BSE benchmark Sensex was up over 170 points in afternoon trade, heading for its biggest weekly gain since the week ended December 1, 2012 after three previous consecutive days of gains.
The gains in global stocks are underpinning risk sentiment, although US monthly jobs data later in the day may be the key.
Expectations that the RBI will cut rates later this month boosting banks: HDFC is up over 2 percent, HDFC Bank is up 1.45 percent, while ICICI Bank gains 1.04 percent at 1:38 pm.
Technology shares fall on profit-taking: Infosys shares are down 1.5 percent after rising on Thursday to its highest since April 13, 2011 while Tata Consultancy Services declines 0.6 percent after touching a record high on Thursday.
At 13.37 hrs IST, the Sensex is up 175.82 points or 0.91% at 19589.36, and the Nifty up 57.00 points or 0.97% at 5920.30.
At 12.10 hrs IST, the Sensex moved up 147.25 points at 19560.79 and the Nifty was up 47.55 points at 5910.85. About 1503 shares advanced, 850 shares declined, and 1153 shares remain unchanged. The midcap index was up 1%.
Shares in cash strapped aviation player Kingfisher Airlines rose 4.91 percent after CEO Sanjay Aggarwal met DGCA officials on Thursday. Sources said Aggarwal assured the regulator that the airline will pay six-month salary to the airline staff soon.
RCF jumped more than 4 percent. The floor price for its offer for sale (OFS) has been set at Rs 45 per share. The government will sell 12.5% stake in the company through the OFS today. The offer has received bids for nearly 25% shares as on 11:45 am. ( More details )
Jindal Steel remained the top gainers on the Sensex rising 2.49 percent. Hero Motocorp (2.45%), HDFC (2.22%), GAIL (2.12%) and Tata Steel (1.81%) were the other gainers.
Cairn India saw nearly 2% gains after CLSA said that it has a buy on the stock with a target of Rs 425. The broking firm added that Cairn's stock price highlights a disbelief in its ability to deliver on its guidance and hence the stock is undervalued, pricing in Brent at just USD 75. Cairn India is CLSA's top pick in the Indian oil and gas space.
On the flipside, IT giant Infosys slipped 1.32 percent followed by Dr Reddys Labs (1.17%), Tata Motors (0.78%), TCS (0.68%) and Hindalco (0.4%).
MCX was down nearly 3 percent after 2% equity changed hands on BSE in a block deal at over Rs 1,026 a share.
Meanwhile, the rupee continued to rule firm in late morning trade on sustained selling of dollar. The Indian unit resumed higher at 54.52 per dollar against the last closing level of 54.56.
Most Asian markets were trading on a positive note. Japan's Nikkei touched to a new four-and-half-year high led by a weaker Yen.
Key equity benchmarks continue to rise as Sensex soars nearly 150 points, while NSE benchmark Nifty is up nearly 50 points. About 1448 shares have advanced, 722 shares declined, and 1336 shares are unchanged.
Top gainers on the Sensex: Jindal Steel (3.38 percent), Hero Motocorp (2.44 percent), GAIL (2.29 percent), HDFC (2.10 percent) and ONGC Rs (2.02 percent).
United Breweries up more than 6 percent, top gainer in BSE mid-cap index.
HDIL is up almost 5 percent in trade; the stock is up more than 20 percent so far this week.
IT majors Infosys and TCS are down after three days of heady run up. Infosys is up 1.29 percent and TCS is up 0.72 percent.
Meanwhile, the rupee is trading at 54.48/49, after hitting 54.45 in early deals, its highest since March 1 and higher than its previous close of 54.56/57 on Thursday.
The euro rallied on Thursday, posting its largest one-day gain in two months against the dollar, as European Central Bank President Mario Draghi gave no indication that the bank would cut interest rates further in the euro zone.
Traders also expect dollar inflows towards the stake-sale in a government firm. The government will sell a 12.5 percent stake in state-run Rashtriya Chemicals and Fertilizers through an auction of shares to raise about $57 million.
The pair is seen moving in a 54.40 to 54.70 range initially in the session. Traders, however, expect importers to come in to buy the greenback at lower levels, limiting a very sharp slide.
At 10.59 hrs IST, the Sensex is up 134.07 points or 0.69% at 19547.61, and the Nifty up 42.70 points or 0.73% at 5906.00.
Key equity benchmarks opened on a positive note, buoyed by gains in US stocks and Chinese exports beating forecast underpinning investor risk sentiment. The dollar rose to a fresh three-and-a-half-year peak against the yen and nudging up Asian shares on Friday while weighing on safe-haven gold.
At 09.24 hrs IST, the Sensex is up 101.44 points or 0.52 percent at 19514.98, and the Nifty up 29.50 points or 0.50 percent at 5892.80.
Kingfisher rises nearly 5 percent to Rs 10.05, while Jet is up marginally.
Cairn India is up more than 1 percent and RIL rises 0.9 percent.
M&M shares are up more than 1 percent in opening trade, Sun Pharma up marginally.
Bank of America Merrill Lynch downgraded automakers Mahindra and Mahindra and Bajaj Auto Ltd to "underperform" from "buy" each, citing share gains since mid-2012 and valuations it considered "not compelling."
BofA Merrill also cut its price target on Bajaj Auto by 16 percent to Rs 1,925, and its price target on M&M to Rs 883 from Rs 965, according to its report dated March 8.