Sensex at fresh 28-mth high; up 34 points on capital inflows

Mumbai, May 17: Rising for the third straight session, the BSE benchmark Sensex on Thursday rose by over 34 points to 20,247.33 to hit a fresh 28-month high on buying mainly in realty, oil&gas, healthcare and banking stocks, amid strong foreign capital inflows.

The 30-share index advanced by 34.37 points, or 0.17 percent to 20,247.33, a level last seen in January, 2011. The index had gained 521 points in last two trading sessions.

Similarly, the broad-based National Stock Exchange index, Nifty, rose by 23.15 points, or 0.38 percent, to 6,169.90 led by stocks of banking and interest-linked stocks.

Also, the MCX-SX flagship index SX40 rose by 29.35 points, or 0.25 percent, to 11,954.49.

Brokers said the market is bullish ever since reports of easing inflation has raised hopes that RBI will go for rate cuts to boost economic growth.

They said foreign investors continued buying in domestic stocks on expectations of faster growth.

Overseas investors pumped in Rs 1,646.95 crore (around USD 301 million) into local equities on Thursday, as per BSE provisional data.

In 30-BSE index components, 14 stocks gained led by Hindalco, Cipla, RIL, Dr Reddy's, Sterlite Industries and SBI.

The banking stocks gained 1.11 percent, led by SBI, ICICI Bank and HDFC Bank.

The interest-rate linked realty sector index gained the most by 1.81 percent to 1,991.75 followed by oil and gas index by 1.64 percent to 9,053.78.

Among other major gainers on the BSE, Shares of Adani Ports surged 6.34 percent to Rs 161.90, after the company posted 197 percent increase in consolidated net profit for the fourth quarter ended March, 2013.