Date:11/03/2006 URL: http://www.thehindubusinessline.com/2006/03/11/stories/2006031104220100.htm

Back IT, banking stocks rally, lift Sensex 191 points

Our Bureau

Mumbai , March 10

Renewed buying by foreign and domestic funds fuelled share prices for the second day running on Friday with the benchmark BSE Sensex up 191.62 points at an all-time high of 10,765 points.

The 50-share S&P CNX Nifty rose by 54.8 points (1.75 per cent) to close at 3183.90 points.

Friday's rally was led by frontline IT stocks such as Infosys Technologies, Satyam Computer, Tata Consultancy Services and banking stocks such as HDFC, ICICI Bank and State Bank of India.

The Sensex has gained by 169.75 points from last week's close of 10,595.43 points.

"Liquidity is driving the markets. Most of the frontline stocks have moved up," Mr Rajen Shah, Chief Investment Officer, Angel Broking, said. Though most of the sectors are participating in the rally, money has not flowed into mid-cap stocks in a big way, he said.

Infosys rose by over 2.5 per cent to Rs 2,914.85, Satyam gained by 3.7 per cent to Rs 815.30, while TCS closed higher by 2.4 per cent at Rs 1,764.35. SBI rose by 1.6 per cent to Rs 920.15, ICICI Bank rose by 1.8 per cent to Rs 612.90 and HDFC ended higher by 3.4 per cent at Rs 1,322.80.

HLL, ITC and Larsen & Toubro also gained significantly on Friday.

"Wednesday's fall of over 200 points was just a blip. Huge amount of money is waiting to enter the markets. Except for the once-in-a-while 200 points fall, I don't see a major correction in the market in the next 6-7 trading sessions," Mr Pankaj Namdharani, Head (Equities), SPA Securities, said.