Eco Survey, global cues lift markets
The investor sentiment got boosted with the economic survey suggesting for early recapitalisation of banks along with full rights to recover from debt ridden promoters.
Mumbai: The investor sentiment got boosted with the economic survey suggesting for early recapitalisation of banks along with full rights to recover from debt ridden promoters. Also positive global cues led the smart rally in banking shares on Friday. Thus, the markets snapped a three-day losing streak ahead of the union budget.
Highlighting the downside risks, the survey pointed out that the slowdown in the global economy may worsen exports, and if crude prices rise may also effect the consumption. And the combination of both will be much more risky.
The markets welcomed the survey by increasing the benchmarking indices with Sensex closed 185 points higher at 23,161 and Nifty up 56 points to close at 7,027. In the broader markets, no buying in smallcaps as its index close 0.4 per cent lower, on the other hand midcaps gained by 0.3 per cent.
On the sectoral front, the banks surged with BankNifty up 1.7 per cent as both PSBs and private banks including Axis Bank, SBI, Federal Bank, Bank of Baroda, PNB, Kotak Bank, HDFC Bank, Yes Bank and ICICI Bank gained up to 3.5 per cent each. Other gaining sectors include capital goods and metal stocks, while pharma, consumer durables and autos stocks declined.
The gainers: Coal India, up 3.96 per cent at Rs 311.35; State Bank of India (SBI), up 2.86 per cent at Rs 156.25, NTPC, down 2.41 per cent at Rs 121.35; Larsen and Toubro (L&T), down 2.19 per cent at Rs 1,110.70 and Axis Bank, down 1.81 per cent at Rs 386.05.
The losers: Bajaj Auto, down 3.49 per cent at Rs 2,236.85; Hero MotoCorp, down 2.52 per cent at Rs 2,557.15; Lupin, down 1.73 per cent at Rs 1,727.65; Bhari Airtel, down 1.47 per cent at Rs 318.50; and Gail, down 0.44 per cent at Rs 303.60.