Markets continue to show strength; Sensex trades above 27750 level

Going strength to strength, local equity markets were trading higher with gains of around half a percent due to across the board buying activity by funds and retail investors amidst positive global cues. Besides, value buying by participants also influenced the sentiments. At day’s high, both Sensex and Nifty were trading above crucial 27,750 and 8,400 levels respectively, with gains of around half of a percent. Meanwhile, the session also remained upbeat for broader indices, which were trading with gains in the range of 0.20-0.40%.

On the global front, Asian shares were trading mostly higher, led by Nikkei index, which surged to a 15-year high level after Japan's better-than-expected economic growth. Data released before the market open showed Japan’s economy grew at a 2.4 per cent annualised rate in the January-March period, which is its fastest pace in a year, beating the consensus estimate for 1.5 per cent growth.

Closer home, most of the sectoral indices were trading in positive territory, however stocks from Metal, Auto and Fast Moving Consumer Goods counters were the prominent losers of the session. On the flip side, stocks from Information Technology, infrastructure and Banking counters were the prominent gainers of the session. IT stocks were trading strong on account of rupee weakness as most of these software companies derive lion share of their revenue from exports. On the flip side, FMCG counters were a major drag after reports suggested that El Nino conditions in the tropical Pacific region were likely to strengthen, according to Australian Bureau of Meteorology, which closely tracks weather in the region.

The BSE Sensex is currently trading at 27790.29, up by 144.76 points or 0.52% after trading in a range of 27743.99 and 27903.01. There were 20 stocks advancing against 10 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index was up by 0.22%, while Small cap index up by 0.38%.

The top gaining sectoral indices on the BSE were IT up by 1.53%, TECK up by 1.36%, INFRA up by 0.93%, Bankex up by 0.83%, Consumer Durables up by 0.56% while, Metal down by 0.75%, Auto down by 0.35%, FMCG down by 0.04% were the losing indices on BSE.

The top gainers on the Sensex were Tata Power up by 1.78%, TCS up by 1.71%, Wipro up by 1.33%, SBI up by 1.32% and HDFC Bank up by 1.28%. On the flip side, Bajaj Auto down by 2.73%, Tata Steel down by 2.49%, BHEL down by 1.32%, Hindalco down by 1.14% and Tata Motors down by 0.73% were the top losers.

Meanwhile, Retail inflation based on consumer price index for rural labourers (CPI-RL) eased to 5.49 percent in March from 6.19 percent in previous month, while the rate of price rise based on consumer price index for agricultural labourers (CPI-AL) too softened to 5.24 percent in March from 6.08 percent in February. The retail inflation eased due to fall in prices of some food items. Inflation based on food index of CPI-AL and CPI-RL stood at 4.05% and 4.31% respectively during March, 2015.

The All-India Consumer Price Index Numbers for Agricultural Labourers remained stationary at 803 points and for Rural Labourers, with the increase of 1 point, stood at 807 points during March. As per the Labour Ministry data, the rise/fall in index varied from State to State. In case of Agricultural Labourers, it recorded an increase between 1 to 9 points in 13 States and a decrease between 1 to 6 points in 7 States.  Haryana with 902 points topped the index table whereas Himachal Pradesh with the index level of 664 points stood at the bottom. In case of Rural Labourers, it recorded an increase between 1 to 10 points in 13 States and a decrease between 1 to 6 points in 7 States.  Haryana with 898 points topped the index table whereas Himachal Pradesh with the index level of 695 points stood at the bottom.

The Consumer Price Index Numbers for Agricultural Labourers in respect of Tamil Nadu and West Bengal States registered the maximum decrease of 6 points each and for Rural Labourers, West Bengal State registered the maximum decrease of 6 points due to decrease in the prices of rice, wheat atta, onion and vegetables & fruits. Whereas the Index Numbers for Agricultural Labourers for Tripura State registered the maximum increase of 9 points and for Rural Labourers, Jammu & Kashmir State registered the maximum increase of 10 points mainly due to increase in the prices of maize, bread, pulses, meat goat, vegetables & fruits and knitted garment wool The CNX Nifty is currently trading at 8408.60, up by 42.95 points or 0.51% after trading in a range of 8391.45 and 8440.35. There were 31 stocks advancing against 19 stocks declining on the index.

The top gainers on Nifty were Tech Mahindra up by 3.10%, HCL Tech. up by 2.23%, Tata Power up by 1.71%, TCS up by 1.64% and HDFC Bank up by 1.31%. On the flip side, Bajaj Auto down by 2.92%, Tata Steel down by 2.54%, Cairn India down by 1.52%, BHEL down by 1.47% and Idea Cellular down by 1.15% were the top losers.

Asian markets were trading mostly higher; FTSE Bursa Malaysia KLCI trading higher by 0.86 points or 0.05% to 1,810.58; KOSPI Index trading higher by 18.69 points or 0.88% to 2,139.54; Jakarta Composite trading higher by 26.91 points or 0.51% to 5,296.28; Shanghai Composite trading higher by 72.72 points or 1.65% to 4,490.27 and Nikkei 225 trading higher by 170.18 points or 0.85% to 20,196.56.

On the flip side, Hang Seng down by 64.77 points or 0.23% to 27,628.77;  Taiwan Weighted down by 31.46 points or 0.32% to 9,685.31 and  Straits Times down by 14.93 points or 0.43% to 3,439.11 were among the top losers.