The Hindu Business Line : Cement, construction stocks post concrete gains

Though the markets opened on a weak note bulls ramped up pace aided by the Federal Reserve's pause on interest rate hikes. A strong showing on major Asian markets also appears to have worked in favour of the bulls. A 7:3 advances-declines ratio reflected the strong positive sentiment.

The Sensex and the Nifty registered sharp gains as Reliance and ONGC managed to stay in the positive territory, despite rain playing havoc at Hazira.

SBI, Reliance Communication and Infosys contributed to a large part of the rally on the Sensex. Suzlon and Oriental Bank of Commerce were among the top gainers on the Nifty.

Buzzing Stocks

The heavy downpour in Surat failed to dampen sentiment on selective stocks in the jewellery industry. Classic Diamonds gained 5 per cent to close at the upper circuit filter, about 3.3 lakh shares changed hands on the BSE.

Click here for table

Construction took the centre stage with Gammon India, Hindustan Construction, Madhucon Projects and Mahindra Gesco registering sharp gains. The positive sentiment in the construction space elbowed its way into the cement space with Shree Cement, Birla Corporation and Prism Cement closing in the green.

Sector Watch

Sugar stocks dominated the trading session on Wednesday as unabated buying activity continued on the back of relaxation of sugar exports. Balrampur Chini and Dhampur Sugar Mills, which were among the most actively traded stocks, registered sharp gains. Triveni Engineering, EID Parry, Bajaj Hindustan and Bannari Amman also registered impressive gains.

Uttam Sugar Mills was the top gainer in the industry, as buying activity appears to have propelled the stock by about 17 per cent to Rs 182.8.

The metals sector was another prominent gainer. The BSE Metals index retuned to its mid-July levels by registering a two-per cent gain. Non-ferrous stocks National Aluminium, Hindalco and Sterlite were among the top gainers in the large cap space. The steel sector also recouped its sheen with Mukand, Jindal Steel, Mahindra Ugine, Sesa Goa and SAIL registering gains in excess of 3 per cent. Gujarat NRE Coke and Ferro Alloys Corporation were among the handful of stocks that bucked the trend.

The FMCG space was upbeat on the back of bountiful rainfall across the country. Beverage stocks were among the major gainers in the FMCG space. Shaw Wallace, United Breweries and Herbertsons registered sharp gains of more than four per cent.

Tea stocks such as Harrisons Malayalam, Jayshree, McLeod Russel, Bombay Burmah and Goodricke also registered sharp gains.

CCL Products sustained by a surge in volumes closed above the Rs 400-mark for the first time since June 25. ITC and GTC Industries extended their gaining streak to the fourth day by registering sharp gains.

Other Gainers/Losers

Lumax Industries, Hindustan Oil Exploration, Titan Industries, Indiabulls Financial Services were among the other top gainers on the BSE. TV Eighteen, Patni Computers, Unity Projects and Venus Remedies were among the prominent losers on the BSE.