BSE Sensex up 1 pct as software firms lead

The BSE Sensex (^BSESN : 16683.83 +243.27) rose more than 1 percent on Wednesday morning after a choppy start, led by software firms such as Infosys Technologies (INFOSYS.BO : 2290 +71.8) on hopes of improving demand and supported by gains elsewhere in Asia. Software companies gained ground after The Economic Times reported the president of industry body Nasscom expected the industry to grow 4-7 percent in the current fiscal year and return to growth of more than 10 percent next year. At 11:52 a.m. (0622 GMT), the 30-share BSE Index was up 1.02 percent at 16,608.88, with 23 components gaining.
"I think the market is moving up purely on liquidity as global cues are supportive. But as such, it is fairly priced at current levels," said Rajen Shah, chief investment officer at Angel Broking. The benchmark fell 0.35 percent on Tuesday, after rising 7.1 percent over the previous four sessions.
It has risen more than 70 percent this year as foreign funds bought a net $14.5 billion of equities, and some investors have expressed concern about the rapid advance. Top software firm Tata Consultancy (TCS.NS : 641.7 +15.05) rose 2.2 percent, second-ranked Infosys Technologies was up 2.5 and third-ranked Wipro (WIPRO.NS : 615.5 +21.8) climbed 3.1 percent.
Top bank State Bank of India (SBIN.NS : 2354.05 -14.85) led the losses, as traders locked in gains after the recent rally. It was down 1.1 percent after rising 10.7 percent in three previous sessions. Second-ranked ICICI Bank (ICICIBANK.NS : 911.55 +15) was up 1 percent at 903.70 rupees. On Tuesday, its chief executive said bad loans had peaked and loan quality should improve.
In the broader market, gainers outpaced losers in a ratio of 1.7:1, with 174 million shares changing hands on the Bombay Stock Exchange.
The 50-share NSE (^NSEI : 4962.85 +81.15) index was up 1.23 percent at 4,939.40
STOCKS ON THE MOVE
* Top vehicles maker Tata Motors (TATAMOTORS.BO : 621.6 +40.95) rose 3.5 percent to 614.65 rupees. Data showed Indian car sales in October rose 34 percent from a year ago, boosted by festival demand and easier availability of loans.
* Rural Electrification Corp rose 4.25 percent to 226.05 rupees. The power sector lender said it had government approval for its follow-on public offer of 171.73 million shares.
MAIN TOP 3 BY VOLUME
* Suzlon Energy on 3.9 million shares
* Neyveli Lignite on 2.7 million shares
* Ispat Industries (NIPPONDEN.NS : 0 0) on 2.5 million shares.

Nitika

PGDM-3rd sem

sec-B