Budget, Reliance take Sensex to 17K level

Mumbai, Mar 3(PTI) The Bombay Stock Exchange benchmark
Sensex Wednesday regained the psychological 17K-mark after six
weeks by ratcheting up 227 points on hectic buying by foreign
funds across the counters, stretching the Budget rally to the
third day.

The market leader Reliance Industries led the rally,
gaining by 3.90 per cent after US media reports said Lyondell
Basell had rejected the USD 14.5-billion takeover bid by the
domestic petrochem giant for the bankrupt US chemicals major.
The foreign institutional investors (FIIs) continued to
buy across the board and the demand was so strong that all
sectoral indices ended in the green with oil & gas, realty,
power, Fast moving consumer goods (FMCG) and banking leading.
Apart from Reliance, JP Associates and Tata Power, NPTC
and M&M too aided the market with a 6.14-per cent and 5.08 per
cent rally respectively.
The BSE 30-share barometer remained in the green through
out the day after opening 120 points up and closed above the
psychological 17,000-mark, a level not seen since January 21,
netting a gain of 227.45 points or 1.36 per cent at 17,000.01
points after touching the day's high of 17,012.61. The Sensex
surged by 520 points in the past two sessions since the
Budget.
The wide-based National Stock Exchange (NSE) index Nifty
50 also surged by 71.10 points, or 1.42 per cent at 5,088.10.
It touched a high of 5,093.25 points after opening 35.55
points up.
Angel Broking chairman Dinesh Thakkar said, "FIIs are
buying heavily since the Budget. The good side of the Budget
is still not discounted in the prices. The post-Budget rally
will continue for sometime more as FIIs have ample liquidity
now. It seems positive side of the Budget is overweighing the
current negative global cues."

Among the 30 Sensex stocks, 25 closed with gains, while
all the sectoral indices closed in the green gaining from half
percentage points to 2.28 per cent.
The market heavyweight Reliance surged by 3.90 per cent to
Rs 1,021.95, on reports that LyondellBassel had rejected its
offer, which was considered by investors as overvalued.
The biggest private power firm Tata Power rose to six
weeks high after it was upgraded to "buy" from "add" by Kotak
Equities. The stock rose by 5.08 per cent to Rs 1,334.55.
Asian stocks, except Hong Kong, ended with marginal gains
Wednesday as metal and oil prices rose after concerns about
the Greece sovereign debt problems eased.
FIIs pumped in a whopping Rs 1,335.32 crore on March 2
while DIIs pulled out Rs 977.36 crore on the same day.
Among the BSE sectoral indices, oil& gas flared up 2.28
per cent, realty 2.16 per cent, power 1.93 per cent, FMCG 1.49
per cent and Bankex 1.42 per cent.
The gainers pack was led by JP Associates which spurted
by 6.14 per cent, Tata Power 5.08 per cent, NTPC 2.27 percent,
M&M 2.11 per cent, DLF 2.05 per cent, HDFC Bank 1.80 per cent,
HDFC 1.75 per cent, HUL 1.69 per cent, SBI 1.57 per cent,
Grasim 1.36 per cent and Tata Motors 1.30 per cent.
The market breadth remained positive with 1,966 gaining
against 891 losing on the BSE.
Volume too improved to Rs 5,036.60 crore from Rs 4,199.13
crore yesterday. ARSS Infra, which was listed today, was the
most active counter with Rs 812.69 crore turnover, followed by
RIL (Rs 145.57 crore), Tata Motors (Rs 142.75 crore), Ranbaxy
(Rs 97.31 crore) and Tata Steel (Rs 95.43 crore). PTI VMP
MRD