Sensex jumps 182 pts to 1-mth high; reform hopes, monsoon help

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Mumbai: The S&P BSE Sensex today jumped by 181.58 points to one-month high of 19,577.39, making investors richer by Rs 90,000 crore, with FII buying getting a boost on hopes of further economic reforms and above-average Monsoon.
Extending its winning run for the third session, the 30-share benchmark was supported by gains in bluechips, including RIL, L&T and Maruti, on persistent buying triggered by resumption of foreign capital inflows into equity market despite mixed trends in global markets.
Sensex resumed lower at 19,352.48, but recovered afterwards to touch day's high of 19,598.43 before ending at 19,577.39, a net gain of 181.58 points or 0.94 per cent. This is Sensex's highest close since 19,610.48 on June 3.
It has surged by 1,025.18 points or 5.53 per cent in 3 sessions. Similarly, the wide based National Stock Index, Nifty, closed 56.65 points, or 0.97 per cent higher at 5,898.85. Also, SX40 index, the flagship index of MCX-SX, rose by 126.46 points, or 1.10 per cent, at 11,620.81.
Shares of Realty, Power, Capital Goods, FMCG, Metal and Auto sectors firmed up on good buying enquiries while IT stocks suffered losses on fears that Infosys may scale down its FY'14 revenue guidance. Brokers said energy stocks, led by heavyweight Reliance Industries, continued their upward march after the government last week agreed to hike natural-gas prices.
Major Sensex gainers were RIL, which closed 2.43 per cent higher at Rs 882.80 and Larsen and Toubro up 3.26 per cent at Rs 1,449.95. Tata Power rose by 2.73 per cent to Rs 88.40 after the company raised its tariff and NTPC jumped up by 2.78 per cent to Rs 147.70.
Sentiment also received a boost after Foreign Institutional Investors (FIIs) turned net buyer and bought shares worth a net Rs 1,124.31 crore on last Friday as per provisional data from bourses. Foreign funds snapped a 13-day long selling streak and turned net buyers in the last two sessions, traders added. Asian stocks ended mixed while European indices were trading higher in afternoon trade.