Record gain in Sensex

It proved as the most eventful week on the stock markets. What started as a bloodbath on the street ended with a solid recovery. Taking their cue from firm global markets, share prices surged today with the Sensex registering its biggest ever single day rise in absolute terms on a closing basis.

The 30-share BSE Sensex provisionally ended up 1158.85 points or 6.73% to 18380.59, its biggest percentage gain on a closing basis since 23 January 2008. It is also the first-ever, four-digit single day gain for the index.

Stocks across the globe were buoyed by several factors including strong corporate sentiment in Germany and a return of some confidence in the US economy after solid employment data and a congressional fiscal package. The Bush administration's fiscal package includes $150 billion of tax rebates and business incentives meant to prevent a slowdown in the country's economy.

Hindalco, Reliance Energy and ICICI Bank spurted. All the sectoral indices in BSE were in green. Realty stocks surged. Market breadth was strong. However, volumes were low. Asian markets, which opened before Indian markets, soared. European markets, which opened after Indian markets, were trading firm.

India's wholesale price index rose 3.83% in the 12 months to 12 January 2008 marginally higher than the previous week's rise of 3.79%, government data showed on Friday, 25 January 2008. The annual inflation rate was 6.15% during the corresponding week of the previous year.

Meanwhile, all-India bank strike has prompted stock exchanges, BSE and NSE, to cancel clearing and settlement of trades, scheduled to be held today. Settlement of trades done on Wednesday, 23 January 2008, will be now done on Monday, 28 January 2008.

The Sensex had opened with a positive gap of 262.26 points. Continual buying in index pivotals led the index gain 1184.51 points at the day's high of 18,406.25 touched at the fag end of the trading session.

The broader CNX S&P Nifty provisionally ended up 351 points or 6.97% to 5384.45.

BSE clocked a turnover of Rs 5199 crore compared to Rs 6,379.33 crore on Thursday, 24 January 2008.

The market breadth was strong. On BSE, 1573 shares advanced as compared to 1153 that declined. 32 remained unchanged.

India’s largest private sector firm by market capitalization and oil refiner Reliance Industries (RIL) rose 4.60% to Rs 2605.

India’s largest private sector bank by assets ICICI Bank surged 11.57% to Rs 1263.

India’s leading engineering and construction firm by revenue Larsen & Toubro jumped 9.95% to Rs 3890.40.

Among the Sensex gainers, Hindalco Industries surged 15.09% to Rs 175, Reliance Energy soared 11.74% to Rs 2029, NTPC spurted 9.67% to Rs 223.40, Bajaj Auto sprout 9.02% to Rs 2300 and Mahindra & Mahindra jumped 8.69% to Rs 680.

In Europe, key indices in UK, France and Germany were up by 0.52% to 1.52%.

In Asia, key indices in Hong Kong, South Korea, Taiwan, Singapore, and Japan were up by 0.93% to 6.73%.

The US stocks finished higher overnight after the Bush administration and lawmakers announced details of an economic stimulus plan aimed at stemming mortgage market losses. Dow closed up 108.44 points or 0.88% at 12,378.61, the Nasdaq climbed 44.51 points or 1.92% to 2,360.92 and the S&P 500 added 13.47 points or 1.01% to 1,352.07.

Crude oil prices rose in Asian trade Friday as stock markets around the world firmed, China revealed strong growth and on expectations that OPEC will not increase crude output next week. In Asian deals Thursday, crude was trading at $89.77 a barrel. Light, sweet crude for March delivery jumped $2.42 to settle at $89.41 a barrel on the New York Mercantile Exchange on Thursday.