Thaindian News

Mumbai, Dec 2 (IANS) Backed by positive cues from the European bourses and stepped up buying by foreign funds, a benchmark index for Indian equities Friday closed 363 points higher, putting up the best weekly performance in two-and-half years, and adding around 1,151 points during the week.

The 30-scrip sensitive index (Sensex) of the Bombay Stock Exchange (BSE), which opened at 16,493.98 points, closed at 16,846.83 points, 363.38 points or 2.2 percent up from its previous close at 16,483.45 points.

It had slipped to an intra-day low at 16,428.66 points in early trade and started moving up in the afternoon. For the week, the index closed 7.34 percent or 1,151.4 points higher from the previous weekly close at 15,695.43 points.

The 50-scrip S&P; CNX Nifty of the National Stock Exchange also ended higher at 5,050.15 points, up 2.29 percent or 113.3 points from its previous close. For the week, the Nifty added 7.22 percent or 340.1 points.

Broader markets too rose, with the BSE 500 index closing 2.13 percent up. The BSE midcap index rose 1.43 percent up while the BSE smallcap index moved up 1.08 percent.

Banking, power, telecom and IT stocks were among major gainers. All 13 sectoral indices ended in the green as the buying was across the market breadth.

“Short covering and fresh buying was witnessed in the markets. On back of positive equity sentiment across the globe, gains to the tune of 9 percent was witnessed from the lows,” said Shrikant Chouhan, head of technical research, Kotak Securities.

The market breadth was positive, with 1,757 stocks advancing and 1,030 declining. Another 123 remained unchanged.

Of the 30 scrips on the Sensex, 29 gained. Prominent among these were three Tata bluechips — Tata Power, Tata Motors and Tata Steel. Heavyweights like SBI, ICICI Bank, HDFC and RIL too managed healthy gains.

There was only one loser, Cipla, which closed 0.3 percent down at Rs.2,083.55.

According to the Security and Exchange Board of India (SEBI), FIIs bought shares worth Rs.175.17 million dollars.

European markets rose after a successful bond auction by Spanish and French governments, easing concerns of further downside risks to the Euro zone economy.

Britain’s FTSE 100 was ruling 1.46 percent up at 5,569.34 points, while the German DAX was trading 1.6 percent higher at 6,132.4 points.

The French CAC 40 was ruling 1.66 percent up at 3,181.82 points.

Asian markets managed to move up after a weak start and consolidated on Thursday’s rally.

The Japanese Nikkei closed 0.54 percent up at 8,643.75 points. Hong Kong’s Hang Seng nudged up 0.2 percent at 19,040.39 points.

The Chinese Shanghai composite index was trading 1.1 percent lower at 2,360.66 points.