Mumbai, Dec 26: The sensitive index at Bombay Stock Exchange (BSE) moved higher over psychological level of 20K in the early trade on firm note following strong global cues.
The benchmark Sensex today resumed with a positive gap of 86.84 points at 19,940.96 from its previous close 19,854.12 and moved up to 20,036.00 on sustained buying in blue-chip pivoaltal on positive note during the mid-morning trading session. Similarly, National Stock Exchange's index Nifty crossed the level of 6,000 with a positive gap of 59.39 points at 6044.00 in the mid-morning trade.
The market also got a boost from reports the government has allowed all trusts to invest in securities, including shares and bonds of listed companies, traders said. Auto, metal and power stocks were in good demand. IT stocks declined after spectacular gains in the previous trading session.
The market breadth was strong. Out of 30, 20 stocks from the Sensex pack were in green. Asian markets, which opened before Indian markets, were mixed. The government on December 24, 2007 allowed all trusts to invest in securities, including shares and bonds of listed companies.
Accordingly, charitable trusts, including educational institutions, hospitals and religious trust, will be able to access the market.
The move will give a boost to the already-booming equities market as a large number of trusts, such as schools, temples and private hospitals having huge resources will be able to invest their funds in the market. Trusts had a corpus of nearly Rs 25,000 crore by the beginning of the decade, according to data gathered by the government for tax purposes.
The BSE Mid-Cap index was up 1.52 per cent and small-cap index was up 1.88 per cent. On BSE, 1697 shares advanced as compared to 457 that declined. Whereas, 32 shares were unchanged.
Frontliners, Reliance Industries rose 0.82 per cent to Rs 2810. Mahindra&Mahindra rose 2.14 per cent to Rs 841.25, Tata Steel was at a gain of 2.03 per cent to Rs 880.05, State Bank of India rose 1.93 per cent to Rs 2375, Tata Motors climbed 1.51 per cent to Rs 739 and Bharat Heavy Electricals rose 1.84 per cent to Rs 2534.95, leading the positive rally.
While, India's second largest software exporter by sales Infosys Technologies fell 1.36 per cent to Rs 1786.20. Satyam Computers fell 1.66 per cent to Rs 447, Housing Development Finance Corporation (HDFC) declined 1.36 per cent to Rs 2858.05, Bharti Airtel shed 1.22 per cent to Rs 958.30, TCS slipped 1.41 per cent to Rs 1093.05 and ONGC fell 1.01 per cent to Rs 1234.75.