Sensex ends on a two-week high on GST Bill optimism

Mumbai, November 26

Indian markets surged on Thursday as investors lapped up realty, auto and metal stocks amid hopes of a breakthrough on Goods and Services Tax in Parliament and mixed cues from global markets.

Pick-up in rollover of November derivative contracts to the December series helped.

Sensex snapped a two-day fall as value buying in several blue-chip stocks surfaced.

The possibility of a compromise on the GST in the Winter Session of Parliament also pushed up the barometer, brokers said.

The 30-share BSE benchmark surged 0.71 per cent to end at 25,958.63 — a level last seen on November 9.

Among the 30-Sensex constituents, 22 shares ended higher.

The broad-based NSE Nifty also closed ended 0.67 per cent up at 7,883.80. During the day, it shuttled between 7,897.10 and 7,832.

Covering-up of outstanding short positions by traders in view of the November expiry supported the recovery.

Globally, premier stocks in Asia closed mixed with an upward bias while Europe was higher in late morning deals.

Back home, Tata Motors gained the most as it rose 5.51 per cent. Sun Pharma ended up 3.96 per cent higher after the company announced that it has shelved plans to invest in wind energy business in the US.

GAIL, ITC, M&M, RIL and Hero MotoCorp also registered gains.

Hindalco and Tata Steel rose up to 1.76 per cent as prices of base metal pack recovered at the London Metal Exchange. Vedanta held flat at Rs 90.30.

In contrast, Dr Reddy's had the hardest fall of the day, closing 8.21 per cent down on reports that US FDA might withhold approval of the company's fresh drugs and stop import if no corrective action is taken.

Among BSE sectoral indices, realty gained most followed by auto, metal, consumer durables and power.

The broader markets continued to shine on persistent buying by investors, with the small-cap index ending 0.45 per cent higher while mid-cap rose 0.26 per cent.

Foreign Portfolio Investors (FPIs) remained net sellers as they sold shares worth Rs 540.12 crore on Tuesday, according to provisional data.

  The markets remained closed on Wednesday for Gurunanak Jayanthi. — PTI