BSE Sensex up by 230.68 points

{image-Bombay Stock Exchange_29082008.jpg news.oneindia.in}Mumbai, Aug 29: The key benchmark Sensex on Friday, Aug 29 resumed high with a gain of 230.68 points to 14,279.02 on the Bombay Stock Exchange (BSE) from it last finish on reports of softer inflation for the first time in 28 weeks.

Brokers informed, ''Key benchmark indices opened with sharp upward gap on lower inflation. The BSE 30-share Sensex rallied as global cues were strong. Derivative contracts for August 2008 series expired yesterday with strong rollovers. The market breadth was strong on BSE. Banking shares rallied, with ICICI Bank surging over five per cent. Reliance Industries advanced over two per cent after declining in the previous three trading sessions.

Meanwhile, all eyes are on the GDP growth numbers for Q1 June 2008, which will announced by the government today. Rating agency Moody's has projected that India's economic growth would decelerate to 7.9 per cent in the current fiscal from nine per cent in 2007-08, in the backdrop of rising interest rates and slow credit growth.

Later, the BSE 30-share Sensex was up by 338.51 points or 2.41 per cent to 14,387.19 and surged to strike an intra-day high and low of 14,414.87 and 14,275.230 points in early trade. The S &P CNX Nifty index of National Stock Exchange (NSE) also advanced by 96.65 points or 2.29 per cent to 4,310.65 from it last close.

Banking shares rallied after inflation slowed for the first time in 28 weeks. India's largest private sector bank ICICI Bank surged 5.71 per cent to Rs 670.10. It was the top gainer from Sensex pack. HDFC Bank was up by 4.27 per cent to Rs 1267.20 and State Bank of India rose by 4.01 per cent to Rs 1,361.

Reliance Industries (RIL) rebounded after declining for previous three days. The stock advanced by 2.15 per cent to Rs 2,118.25 on 1.67 lakh shares. Tata Steel gained 2.40 per cent to Rs 585.50. The company said after trading hours yesterday, its consolidated net profit rose to 60.4 per cent at Rs 3,900.90 crore in first quarter ended June 2008 over Q1 June 2007, boosted by its Anglo-Dutch unit Corus.

Reliance Infrastructure was up by 4.22 per cent to Rs 974.75 followed by HDFC by 3.45 per cent to Rs 2,327 and Jaiprakash Associates by 3.68 per cent to Rs 161.85.

UNI