Sensex zooms up by 128.70 points

Mumbai, Aug 30: The Bombay Stock Exchange (BSE) Sensex today zoomed up by 128.70 points to settle at 15,121.74, tracking US stocks that rallied overnight on expectation that the US Federal Reserve would cut rates next month to cushion the impact of the subprime crisis on the broader US economy.

''Besides, key Asian and European markets were also trading higher today,'' market analysts pointed out.

The barometer index opened above the 15,000 level at 15,168.69 from its previous close of 14,993.04 and oscillated between 15,200.81 and 15,053.98 during the day's session.

The National Stock Exchange (NSE) S&P CNX Nifty advanced by 53 points to settle above the 4,400 level at 4,412.30.

This month's futures&options (F&O) contracts expired today.

Official records show that the marketwide rollover from this month's series to next month's series stood at 64.7 per cent as compared to 60 per cent in the previous month's expiry, so far. The Nifty rollover was 64 per cent as against 61 per cent in the July series.

The United Progressive Alliance (UPA) and the Left parities are expected to firm up a mechanism to address the concerns of the allies on the Indo-US nuclear deal. The Communist Party of India (CPI) had earlier said it had no intention of destabilising the government and force an immediate election on the contentious deal.

BSE data shows that the total turnover, that spiked in last one hour of trade, amounted to Rs 5,378 crore. The market breadth was strong since 1,578 shares advanced as compared to 1112 that declined, while 84 remained unchanged. Among the 30-scrip Sensex pack, 21 advanced while the rest declined.

Mahindra&Mahindra, Tata Motors, ICICI Bank, HDFC Bank, Ranbaxy Laboratories, Infosys Technologies and TCS were the day's leaders, while the laggards included Cipla, Reliance Energy, SBI, Bharti Airtel, BHEL and Tata Steel.

US stocks rallied across the board during its last trading session boosted by strong gains in technology and energy shares. The Dow Jones Industrial Average surged 247 points, or 1.9 per cent, to 13,289. The S&P 500 index rose 31 points, or 2.2 per cent, to 1,463 and the technology-laden Nasdaq Composite rallied 62 points, or 2.5 per cent, to 2,563 points.

Key benchmark indices in Europe including Germany, France and UK advanced.

All Asian markets were trading higher today, except Singapore's Straits Times that slipped by 0.41 per cent at 3,321.15. Hang Seng rose 2.02 per cent at 23,486.29, Shanghai Composite was up 1.14 per cent to 5,167.57 , Japan's Nikkei rose 0.88 per cent at 16,153.82, Taiwan Weighted surged 1.48 per cent at 8,772.20, and South Korea's Seoul Composite was up 0.85 per cent at 1,841.70.

Mahindra&Mahindra, the country's top tractor maker by sales, rose 2.47 per cent to Rs 672 on 1.15 lakh shares. It was the top gainer from Sensex pack. The stock rose on reports that it is conducting due diligence on Jaguar and Land Rover, put up for sale by Ford. Other potential bidders include private equity groups TPG Capital, Cerberus Capital Management, Ripplewood Holdings, One Equity Partners and Tata Motors.

Banking shares advanced on fresh buying. ICICI Bank rose 1.46 per cent to Rs 869.50, and HDFC Bank surged 2.02 per cent to Rs 1180.

Market expectations peg inflation rate at 3.94 per cent for the week ended Aug 18 compared to the previous week's 4.10 per cent. The data will be released by the government tomorrow afternoon.

India's largest pharma company by sales Ranbaxy Laboratories rose 1.60 per cent to Rs 378. Recently, US Food and Drug Administration gave approval to the company to make and market two drugs hydrocodone bitartrate and acetaminophen prescribed for pain relief.

Total annual market sales of the drugs were USD 391 million.

India's largest firm by market capitalisation and oil refiner Reliance Industries (RIL) slipped sharply just before closing bell.

It was up marginally by 0.11 per cent to Rs 1,891.80 on 8.96 lakh shares, after surging to a high of Rs 1,924.

India's second largest software services exporter Infosys Technologies rose 1.42 per cent to Rs 1860. Analysts say the software major plans to increase billing rates for new customers by 3-4 per cent due to the sharp appreciation of the rupee against the dollar. The billing rates for existing contracts could increase by 2-3 per cent. Infosys gets about 60 per cent of its revenue from the United States.

Tata Consultancy Services (TCS), the country's leading software services exporter rose 0.80 per cent to Rs 1,040 after it won a deal worth Rs 574 crore (USD 140 million) over a multi period from BSNL to provide comprehensive range of telecom services.

The Rupee was hovering at 41.13, slightly weaker than yesterday's close of 41.10/41.11.

Cipla, the country's third largest pharma company by sales, lost 2.50 per cent to Rs 165.50 on 8.71 lakh shares. It was the top loser from the Sensex pack.

Crude oil prices steadied today. US crude inched up 2 cents to USD 73.53 a barrel.

UNI