Sensex off day's high, HCL Q3 lifts Wipro, TCS
Duvvuri Subbarao, governor of the Reserve Bank of India, spoke extensively to NDTV Profit about the thinking behind the rate cut, and what to expect going forward.
The BSE Sensex traded off the day's high despite firmness in Asian markets. At noon, the Sensex advanced 116 points or 0.67% at 17,474 while the broader Nifty index gained 42 points to 5,332.
FMCG stocks witnessed profit booking. They were the only group of stocks trading lower on the BSE. Cigarette major ITC (-1.4%) was the top Nifty loser. HUL (-0.24%), India's biggest FMCG company, also traded lower.
Only six stocks traded lower on the Nifty index. Coal India (-0.54%) also witnessed profit taking after sharp gains yesterday.
HCL Tech (5.9%), India's fourth largest software exporter, extended gains and traded near the day's highest point on the back of robust Q3 numbers. The company beat estimates by posting Rs 603 net profit.
HCL Tech's performance lifted sentiments in other IT stocks. Both Wipro (1.6%) and TCS (1.2%) traded with gains. The two firms will report numbers next week. However, Infosys (-0.5%) continued to be under selling pressure.
Bajaj Auto (3.1%) and Ambuja Cements (3%) were the other big gainers on the Nifty index. HDFC Bank (1.3%) traded higher ahead of reporting Q4 numbers.
The market breadth was positive with over 80% stocks rising on the broader BSE 500 index.
Meanwhile, Asian stocks extended gains. China's Shenzen index jumped 2.3% while Japan's Nikkei 225 traded 2.1% higher. Global cues improved on the back of a successful bond auction in Spain and a positive outlook on global growth by the IMF. The Dow Jones index rose 1.5% to 13,115 overnight.