Extending the previous gains, the benchmark index of Bombay Stock Exchange opened with a positive gain of 126.47 point at 13,238.32 and advanced further to touch a high of 13,274.72, surged 162.87 points in the early trade. Later, it erased most of its gains on selling pressure in the select pivotal. The market breadth was strong. Banking shares advanced after inflation data. However, Wipro and Satyam Computer Services slipped after results, as rupee appreciated against the greenback.
Most of the Asian markets were in the red. On the New York Mercantile Exchange, August 2008 crude settled USD 5.31 lower at USD 129.29 a barrel yesterday July 17, 2008. Back home, the wholesale price index (WPI)-based inflation inched up to 11.91 per cent in the week ended July 5, 2008, marginally higher than the 11.89 per cent in the previous week.
Banking stocks extended the gains after latest inflation data rose at a slower pace than expected. ICICI Bank surged 6.31 per cent to Rs 587, HDFC Bank gained 4.37 per cent to Rs 1,000 and State Bank of India was up by 1.63 per cent to Rs 1,247.
Reliance Industries rose by 0.41 per cent at Rs 2,023.90 on 99,298 shares. However, Reliance Communications fell by 0.66 per cent to Rs 415.15 Mukesh Ambani-owned Reliance Industries (RIL) yesterday said it has started arbitration proceedings against younger brother Anil Ambani's Reliance Communications (RCOM). However, RCom has dismissed the RIL move, and said the arbitration can happen only when both parties refer the dispute to a person outside the court.