Sensex gains 300 points, Nifty nears 8,450; HDFC & ITC up 2%

Markets are trading at day’s high led by significant buying among index heavyweight HDFC and ITC.

By 10:43AM, the 30-share Sensex was higher by 301 points at 27,760 and the Nifty gained 81 points at 8,423.

Bharti Airtel is the top Sensex gainer, up 4%. HDFC, ITC, Cipla, M&M and L&T have surged between 1-3%.

Benchmark indices have extended gains and are trading near day’s high tracking Asian cues along with strong buying among select financials, FMCG and capital goods shares leading the upmove.

By 10:00AM, the 30-share Sensex was higher by 245 points at 27,704 and the Nifty gained 68 points at 8,409.

However, the broader markets are outperforming the benchmark indices- BSE Midcap and Smallcap indices are up 1.4-2.1%.

Markets breadth is positive on the BSE with 921 advances and 201 declines.

Meanwhile, foreign portfolio investors (FPIs) sold shares worth a net Rs 320.52 crore on Friday, as per provisional data. Domestic institutional investors (DIIs) bought shares worth a net Rs 674.76 crore on Friday, as per provisional data.

In the currency front, the rupee fell by 17 paise to 62.58 against the US dollar in early trade today at the Interbank Foreign Exchange due to rise in the American currency's value against other global currencies amid month-end demand for the dollar from importers.

Asian stock markets were subdued on Monday in a week book-ended with Easter holidays across the globe and a US jobs report that could affect the timing of the first hike in interest rates there.

MSCI's broadest index of Asia-Pacific shares outside Japan eased 0.4%, with Australia's main index down 1.4% amid weakness in commodity prices.

Japan's Nikkei dithered on either side of zero though there was some talk of demand for the new month and quarter. Seoul edged 0.2% into the black.

BSE Capital Goods index has surged over 1.5% followed by counters like Consumer Durables, FMCG, Auto, Banks, Healthcare, Oil & Gas, Power and Realty, all gaining between 0.5-1.2%.

According to media reports, Bharti Airtel is likely to provide 4G services across the country as it bagged requisite spectrum in the concluded spectrum auction. The stock is the top Sensex gainer, up over 2%.

Housing Development Finance Corporation (HDFC) has launched a school — The HDFC School — in Gurgaon. HDFC has gained nearly 2%.

Country's largest lender State Bank of India has received all necessary approvals to buy residential properties of cash-starved national carrier, Air India, in south Mumbai for Rs 90 crore. The stock has risen over 1%.

Other notable gainers are M&M, Cipla, L&T, ITC, Sesa Sterlite and HUL.

On the losing side, Hindalco, Bajaj Auto, GAIL, Tata Power and Dr Reddy’s Labs have slipped between 0.3-1.2%.

Shares of Fortis Healthcare are trading higher by 4% at Rs 170 on the National Stock Exchange (NSE) in early morning trade after the company sold its Singapore hospital to Concord Medical Services (International) Pte Ltd for Rs 251 crore.

Shares of defence equipment and manufacturers are in focus and have rallied by up to 6% on reports that the government sanctioned a Rs 5,113 crore project to develop a next-generation Airborne Warning and Control System (AWACS).

Bharat Electronics are up 4% at Rs 3,241 on the NSE. Dynamatic Technologies up 6% to Rs 3,979, after hitting high of Rs 4,026 in intra-day trade on the NSE. BEML up 4% at Rs 1,054, followed by Astra Microwave Products (3% at Rs 137), Pipavav Defence and Offshore Engineering Company (2% at Rs 57.80) and Walchandnagar Industries (2% at Rs 181).