Nifty ends above 5900; realty, metal, power lead recovery
13 Dec 2010
The Nifty closed the day on a strong note. The pullback rally, which started on Friday, further gained momentum today and recovered nearly 200 points in last two trading sessions. The Nifty found good support around 5700-mark.
Realty stocks led the rally for markets in trade today. BSE Realty Index was up close to 3%. Heavy buying was also seen in power, metal, capital goods and PSU stocks. All BSE sectoral indices ended in green barring FMCG.
The broader markets outperformed largecaps in terms of recovery today. BSE Midcap and Smallcap index were up 1.8% and 2.1% respectively.
The Sensex shut shop at 180.06 points or 0.92% at 19688.95, and the Nifty ended up 50.30 points or 0.86% at 5907.65. About 2040 shares advanced, 918 shares declined, and 502 shares remain unchanged.
Cautioning on investors, Ajay Srivastava, CEO of Dimensions Consulting said that Indian markets will underperform compared to other markets. He said midcap and smallcap space is going to be a liquidity trap for people looking to get in. ''They were trapped, if you look at last week; they sold at all kind of prices, you saw the gyrations in the market and it's going to happen again,'' he explained.
According to Srivastava, it is best to look at the less fancied sector like pharmaceuticals, consumer, IT and banks. ''Commodities are volatile. Capital goods are in terrible shape,'' he added.
