Sensex gains 64 pts in early trade on Asian cues
- Author: Anthony Vega Apr 21, 2017,
Apr 21, 2017, 3:25
Mumbai: The benchmark BSE Sensex advanced nearly 64 points to 29,400.14 in early trade today on sustained buying by domestic institutional investors amid firm Asian cues. Overseas, Asian markets ended mixed as the crisis in Russian Federation and Syria and heightened tensions between the U.S. and North Korea hurt investor sentiment.
Back home, mid and small-cap stocks attracted value buying after a week-long consolidation, which added to the momentum.
At 10.59 a.m, the Sensex was trading up 84.28 points or 0.29% at 29,420.85 with 15 components gaining.
The NSE Nifty also remained under pressure and was down 11.50 points, or 0.13 per cent, to close at 9,139.30.
In terms of investments, provisional data with the exchanges showed that the foreign institutional investors (FIIs) sold scrip worth Rs 168.84 crore, while the domestic institutional investors (DIIs) purchased scrip worth Rs 8.82 crore.
Anand James, Chief Market Strategist, Geojit Financial Services, said: "The US and Australia's visa norms turned up the heat on IT companies, while higher possibilities of El Nino put sentiments under check". Large indexes are consolidating in line with global market while mid and small caps continue to rally.
Infosys, which lost about 5 per cent since the company announced a lower-than-expected revenue guidance, recovered by 0.96 per cent to Rs. 927.65, while TCS rose 1.16 per cent to Rs. 2,328.35.
Net NPAs rose to 0.81 percent of net loans disbursed from 0.29 percent earlier.
Meanwhile, Yes Bank, was the top loser in Nifty, down 3.76 per cent as the private sector lender reported almost doubling of stressed assets in the March quarter.
Among other Asian markets, Hong Kong's Hang Seng was down 0.72% while Japan's Nikkei shed 0.09% in early trade.
Apart from the larger indices, midcaps indices gained nearly a percent, but the Bank Nifty witnessed weak movements as it fell 0.30 percent at 21,491.40.
Overnight Nasdaq closed in green, up by 0.23 per cent while FTSE 100 was in red, down by 0.47 per cent at the closing on Wednesday.
Of the 30-share Sensex pack, 21 scrips ended higher while 9 declined.
Major Sensex losers were: Tata Steel, down 2.55 per cent at Rs 450.25; Coal India, down 2.34 per cent at Rs 279.10; Sun Pharma, down 1.76 per cent at Rs 665.30; Asian Paints, down 1.68 per cent at Rs 1,040.95; and Reliance Industries, down 1.48 per cent at Rs 1,370.45.
BSE power index made the maximum advance, rising 2.04 per cent, followed by realty, metal and capital goods. Meanwhile private banks including Yes Bank, who's stressed loans almost doubled in the March quarter compared to the December quarter, fell almost 4 per cent capping overall index gains.