Sensex up by 249.78 points, closes at 16, 525.37

{image-sensex, big_28052008.jpg news.oneindia.in}Mumbai, May 28: After a downward trend for four consecutive sessions, The benchmark sensex of the Bombay Stock Exchange (BSE) today regained some lost ground to end in the green at 16,525.37 with a gain of 249.78 points on fresh speculative demand from Foreign Institutional Investors and Domestic Investors.

The market, which moved between positive and negative zone in early trade, surged in the second half of the trading session, led by rally in information technology stocks. A sharp fall in crude oil prices and firm European markets also added to the positive sentiments.The market got a momentum after the Finance Ministry termed 'baseless' some media reports suggesting new tax proposals to help ease mounting losses by state oil firms due to soaring crude prices. The 30-share BSE Sensex rose by 249.78 points or 1.53 per cent at 16,525.37 at the end of the session. The index climbed 287.71 points at day's high of 16,563.30, hit at the fag end of trading session. The Sensex lost 57.81 points at the day's low of 16,217.78, hit in early trade.

The BSE indices also were in limelight as METAL index shot up by 378.88 points to close firm at 16,649.65 points, followed by BANKEX index by 178.86 to close firm at 7933.50 points, IT index by 116.02 to 4566.42 points, FMCG index by 98.37 to 2443.68, MID CAP index by 74.62 to 6753.53, TECK index by 74.11 to 3570.05, HC index by 73.01 to 4320.08 points and OILS&GAS index by 70.01 points.

The broader based S&P CNX Nifty index of National Stock Exchange (NSE) also was up 58.75 points or 1.20 pc at 4918.35 at the end of the session from its last close of 4859.80.

Oil prices dropped below USD 127 a barrel today, in Asia, extending a decline of more than $3 in the previous session on a growing sense that soaring prices have cut demand for gasoline and other fuel. Oil has been falling steadily every since it hit a record high USD 135.09 last week.

Expiry of May 2008 futures&options series on May 29, 2008 kept the market volatile. As per reports, rollover of Nifty positions from May 2008 series to June 2008 series stood at 45.63 per cent as on May 27 2008. Rollover of individual stock futures has been lacklustre so far.

Asian markets were mixed today as Key indices in Hong Kong, Japan, South Korea and Taiwan were down by 0.13 per cent to 1.32 per cent.

However, China's Shanghai Composite was up 2.48 per cent, and Singapore's Straits Times rose by 0.56 per cent.

European markets, which opened after Indian market, were trading higher. Key indices in France, Germany and UK were up by 0.39 per cent to 1.33 per cent which helped to boost sentiment in the Indian bourses, brokers pointed out.

The market breadth was even on BSE with 1333 shares advancing as compared to 1335 stocks that declined. 88 stocks remained unchanged.

BSE clocked a turnover of Rs 5390 crore as against Rs 5,108.54 crore in yesterday's trades.

India's biggest cigarette maker by sales ITC rose 6.17 per cent at Rs 222. Foreign brokerage firm Credit Suisse raised target price on ITC to Rs 264, saying the firm was well positioned to grow in a general slowdown.

India's largest private sector firm by market capitalisation and oil refiner Reliance Industries rose nearly 1 per cent to Rs 2517. India's largest private sector bank by assets ICICI Bank rose 1.66 pc at Rs 826.

State-run power utility Neyveli Lignite Corporation jumped 4.64 pc to Rs 145.40 after reporting 1357.10 pc surge in net profit to Rs 384.68 crore on 128.9 pc jump in net sales to Rs 801.74 crore in Q4 March 2008 over Q4 March 2007.

Auto component maker Minda Industries jumped 5 pc at Rs 309.75 after the firm said it bagged orders worth Rs 50 crore from Volkswagen to supply headlamps and rear combination lamps for its upcoming models.

Software developer Compucom Software rose 4.87 pc to Rs 32.30 on bagging an order worth Rs 142 crore from the secondary education department, Government of Rajasthan, for executing ICT project in 2292 government schools in the state.

Cargo handler Gati advanced 2.92 pc to Rs 100.50 after foreign brokerage Goldman Sachs initiated coverage on the stock with a 'buy' recommendation with price target of Rs 149.

The other top Sensex gainers were Ambuja Cements, up 6.76 pc at Rs 104.20 followed by Hindalco Industries by 6.74 pc at Rs 197.55, Tata Steel by 4.38 pc at Rs 906, TCS by 4.39 pc at Rs 1009, and State Bank of India by 3.52 pc at Rs 1526.50.

Top Sensex losers were Bharat Heavy Electricals, down 2.66 pc at Rs 1614.10 followed by Larsen&Toubro by 1.22 per cent at Rs 2710, ONGC by 1.17 pc at Rs 874 and Mahindra&Mahindra by 0.67 pc at Rs 640.25.

UNI