The Hindu Business Line : Buying in frontline cos helps Sensex scale new high

Trading highlights
Power, steel and auto stocks shine.
Cautious trading in small and mid-cap space
Newly listed stocks traded at premium to offer price.

Sensex hit a new record backed by buying interest in frontline companies. Trading remained firm throughout the day as domestic markets evinced optimism despite mixed reaction in Asian markets. FIIS continued to showcase confidence as reflected by the net buying. Overseas investors bought Rs 230 crore shares more than they sold on March 13.

Buzzing stocks

Aban Loyd Chiles stole the limelight during the day's trade. The stock hit the upper circuit with a gain of 10 per cent to Rs 1,224.5. Anuh Pharma and United Western Bank were other stocks that hit the upper circuit with gains of about 5 per cent.

Stocks from the Reliance ADAG basket continued to report high volumes. Reliance Natural Resources gained 2.3 per cent to Rs 38.5 after announcement of the parent company's plan to invest as much as Rs 1,052 crore in the company. The stock had gained 10 per cent during intra-day trade.

Among the portfolio of bellwether Sensitive Index, stocks with the Tata brand name were prominent gainers. Tata Steel, Tata Motors and Tata Power made gains of 3 per cent.

Bharat Electronics, Amforge Industries and Elecon Engineering also saw buying action for most part of the day.

Sector focus

Retail show: Pantaloon Retail, Provogue and Shoppers Stop were some of the stocks in the retail space that clocked gains in the range of 3-4 per cent.

Oil and gas stocks flare: The BSE oil and gas index gained 2 per cent. Reliance Industries led the winners' list in the space while GAIL India, Bharat Petroleum, Kochi Refineries and Hindustan Petroleum also closed in the green.

Metals shine: JSW Steel gained on the back of plans to raise prices of cold-rolled coils by 14 per cent. Sesa Goa, Hindustan Zinc, Jindal Stainless and Gujarat NRE Coke were other stocks that were aided by the bulls.

Stock-specific action

Kotak Mahindra Bank surged 7.2 per cent to Rs 247. The company announced buying out Goldman Sach's stake in Kotak Securities and Kotak Mahindra Capital.

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Zee Telefilms added Rs 29.9 or 16 per cent top Rs 219.2.This is the company's biggest gain since February 2004. The stock surged on the back of plans to raise advertisement rates for its channels to boost revenues. The company will hike rates by 20-40 per cent.

Tube Investments jumped 7.3 per cent to Rs 600.4. The company's board plans to consider a stock split in the meeting to be held on March 23.

New listings

Construction player Pratibha Industries closed at Rs 181.2. The share closed with a premium of 51 per cent to the issue price of Rs 120.

Indo Tech Transformers, a Chennai-based power equipment maker also made its debut and closed at Rs 236. The share's closing price was at a premium of 80 per cent to the offer price.

In the broad markets, Container Corporation, Dabur India, VSNL, Patni Computer Systems and ABG Shipyard made significant gains. NALCO, Ranbaxy, Aventis Pharma, Ingersoll Rand and KEC Infrastructure ended as conspicuous losers.