Sensex snaps 3-day losing streak, ends 479pts higher; Nifty reclaims 17,100

CLOSING BELL: The key benchmark indices snapped their 3-day losing streak backed by steady gains in FMCG, power and select financial shares. The overall mood turned cautiously positive as the US, UK stock futures edged higher.

IndusInd Bank, Mahindra & Mahindra, UltraTech Cement, HCL Technologies, Nestle India, Kotak Bank, Hindustan Unilever, HDFC, Larsen & Toubro and SBI were the other major gainers. Asian Paints and Dr. Reddy’s were among the prominent losers, down 1.5 per cent each.  

In the broader markets, the BSE Midcap index advanced 0.7 per cent, while the Smallcap underperformed and finished with a marginal gain of 0.2 per cent.

Among sectors, the BSE Auto, Bankex, Realty, FMCG, Metal and Power indices gained in the range of 1 – 1.7 per cent. All sectoral indices ended in green.

“Indian Footwear Industry is witnessing a very unique characteristic wherein emerging players with new ideas are beginning to challenge the might of sector leaders – Bata & Relaxo. While rising input costs and inflationary pressures are a headwind, emerging fashion trends and tie-ups with foreign brands have provided structural tailwinds to emerging players. Our Thesis played out well in Metro Brands over the last couple of months and we expect the Value Proposition with fashionable trends to positively rub off on smaller players like Khadims as the Indian Footwear Industry has the potential to grow @15% annually. Opportunities are also emerging in Asia Pacific countries”, said S Ranganathan, Head of Research at LKP Securities.

The overall market breadth, however, was marginally negative, with more than 1,800 declining shares versus 1,640-odd advancing stocks on the BSE.