Sensex creeps up as inflation data comes in as expected

Sensex creeps up as inflation data comes in as expectedMumbai, July 14 : A benchmark index for Indian equities markets, which opened on a subdue note Thursday, crept up into the green as the latest inflation data came in on expected lines.

The 30-scrip sensitive index (Sensex) of the Bombay Stock Exchange (BSE), which opened at 18,563.69 points, was ruling at 18,715.86 points, up 119.84 points or 0.64 percent from its previous close at 18,596.02 points.

The 50-scrip S&P CNX Nifty of the National Stock Exchange was also trading lower at 5,632.3 points, up 0.8 percent.

Latest data showed annual inflation at 9.44 percent in June, which was more or less as expected by analysts. However, what could worry traders was that the data for April, previously recorded at 8.66 percent, was revised upwards to 9.74 percent.

Analysts expect persistent high inflation levels to result in another rate hike by the Reserve Bank of India.

Broader markets rose as well with the BSE midcap index ruling 0.69 percent higher and BSE smallcap index up 0.5 percent.

The market breadth was positive with 1,598 stocks advancing, 1,018 on the decline and 118 remaining unchanged.

Realty, banking and metal stocks were among the top gainers, while IT stocks came under selling pressure.

Among the gainers on the Sensex were Jindal Steel, ICICI Bank, DLF and Tata Motors, while the losers included Bajaj Auto, Infosys, RCom and Hero Honda.

Asian markets were ruling mixed.

The Nikkei of the Japanese stock exchange closed 0.27 percent lower at 9,936.12 points.

The Hang Seng of the Hong Kong stock exchange was ruling flat at 21,917.32 points, while the Chinese Shanghai composite index was ruling 0.54 percent up at 2,810.44 points.(IANS)