The benchmark stock market indices closed first day of trading session (May 16) on a positive note marked by volatility.
At close, the Sensex was up 180.22 points or 0.34 percent at 52,973.84. The Nifty was up 60.10 points or 0.38 percent at 15,842.30. About 2,180 shares have advanced, 1,138 shares declined, and 172 shares are unchanged.
Eicher Motors, Apollo Hospitals, NTPC, UPL and Bajaj Finance were among the top Nifty gainers. Losers included UltraTech Cement, Shree Cements, Asian Paints, Grasim Industries and ITC.
At noon, the indices were witnessing volatile trading with a positive bias on Monday as losses in infra and IT stocks were offset by gains in banking and auto scrips. The 30 stock S&P BSE Sensex was trading 63.72 points or 0.12 percent higher at 52,857.34 points at 12.54 PM, against its previous session's close at 52,793.62 points. The broader Nifty 50 of the National Stock Exchange was trading 44.60 points or 0.28 per cent higher at 15,826.75 points against its previous session's close at 15,782.15 points.
Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities Ltd, said, the recent spate of negative news have prompted investors to cut equity exposure. At one point, benchmark indices were going great guns, but profit taking once again saw the markets pare most of their early gains to end marginally higher. There are concerns that rising interest rates to quell higher inflation could hurt growth and may result in further correction.
The Nifty moved within a range of 15,765-15,950 and the texture of the chart suggests a strong possibility of the continuation of a range bound activity in the near future. For the bulls, 15,950/53,300 would be the immediate resistance level and above the same, we could see a sharp intraday pullback rally till 16,000-16,100. On the other hand, 15,750 could be the immediate support level, and below the same chances of hitting 15,700-15,600 would turn bright, Chouhan added.
ACC, Ambuja Cements shares rally after Holcim India deal
Shares of ACC and Ambuja Cements were in huge demand on Monday after Gautam Adani's group clinched a deal to acquire a controlling stake in Holcim Ltd's businesses in India for $10.5 billion. The stock of ACC jumped 3.70 per cent to settle at Rs 2,192 on the BSE. During the day, it rallied 7.79 per cent to Rs 2,288.15.
Shares of Ambuja Cements ended at Rs 368.10, a jump of 2.59 per cent. During the day, it gained 5.21 percent to Rs 377.50.
Rupee inches one paisa higher
The rupee pared its initial gains and settled just 1 paisa higher at 77.49 (provisional) against US dollar on Friday, as inflation concerns and strength of the American currency weighed on the local unit.
Forex traders said the rupee consolidated in a narrow range, as the weakness in regional currencies and depressing economic data weighed on the domestic unit, while intervention from the Reserve Bank of India (RBI) restricted the losses.
At the interbank forex market, the rupee opened at 77.35 against the greenback and moved in a range of 77.26 to 77.49 in the day's trade.
The rupee finally ended at 77.49, higher by just 1 paisa over its previous close.
(With inputs from Agencies)
