Sensex past 16k, recovers morning losses

Today's major news

Wipro buys Yardley’s personal care businesses for $45.5 million; the stock ends 0.42% higher.

Banks to refinance $750 million loan to Suzlon Energy; the stock closed 13.33% higher.

Reliance Industries becomes the first private firm to buy Cairn crude; the stock ends the day 1% higher.

Maytas Infrastructure bags Rs790 crore worth of road contract; the stock closed the session 4.99% higher.

Employee union threatens strike against State Bank of Indore-State Bank of India merger; the stock closed the day 1.14% lower.

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Post market summary

Global signals

The US markets on Wednesday gave a mixed bag overnight performance, while the European indices rose sharply by over 1% each. In today's trade, the European indices opened weak and were trading lower with marginal losses, including FTSE 100 that was trading at 5070 with loss of 38 points or 0.74% down at the time of writing this report. The traders in the US will be keenly watching the data on the initial and continuing claims.
In today's trading session, all the major Asian indices closed in red with losses in the range of 0.20-1.29%, except for the Sensex and the Shanghai Composite were up by 1.00% and 0.85% respectively. SGX Nifty that opened weak ended the day 53 points higher.

Indian indices
The domestic market that fell sharply in the early trades recovered over 500 points or 3% from its day’s low and closed in green. The bellwether opened weak with marginal gains of 14 points and again witnessed high volatility on the back of heavy profit booking in early trades. However, the market bounced back in the closing hours and ended the day over 152 points higher, despite weak closing of the Asian indices and negative cues from the European markets. The positive comments coming in from the finance ministry on direct tax code and the home ministry on the divestment of all unlisted non-loss making public sector units helped the market to surge in the closing hours.
The Sensex opened marginally higher but slipped from this level to see the low of 15565. However it surged from that point and made a high of 16092 in the closing trade. It closed slightly lower from the day’s high and ended the day at 16064, gaining 152 points or 0.95% in intra-day’s trade and closed above the significant psychological level of 16000.
The market rallied strongly on the back of heavy buying in realty and metal stocks for the second consecutive day, followed by power stocks. Nifty gained 55 points to end the day at 4766.

Sensex sentiment
The market breadth was very positive, as out of 2,745 stocks traded on the BSE, 1,827 stocks advanced, whereas 841 stocks declined. Seventy-seven stocks closed unchanged. The volumes rose across the board.

Sectoral and stock screening
Among the sectoral indices, every index closed in green except BSE IT and BSE FMCG, which fell marginally. BSE Metal advanced the most with gains of 2.93%, followed by BSE Realty that rose over 2.58%. The other remaining indices ended the day higher in the range of 0.39% to 2.56%.
On stocks’ front, Spice Communications jumped the most and surged by 18.17% followed by IFCI that gained over 13.78%, while Suzlon Energy, Rashtriya Chemical and Fertilisers, Hindustan Copper and Reliance Capital rose by over 9% each. Among the losers, Ambuja Cement fell the most by 3.33%, followed by India Cement that slid 3.16%. Container Corporation of India, Madras Cement, GVK Power and Power Finance declined by over 1.50% each.

Viewing volumes
On turnover front, Over 2.95 crore shares of Suzlon Energy changed hands on the BSE followed by IFCI (2.48 crore shares), Unitech (1.78 crore shares), Reliance Natural Resources (0.94 crore shares) and Ispat Industries (0.85 crore shares).