Domestic equity benchmarks registered sharp gains on September 8, 2015, driven by broad-based buying across heavyweights. The BSE Sensex settled 424.06 points or 1.70 percent higher to end the session at 25317.87. Simultaneously, the broader NSE Nifty advanced by 129.45 points or 1.71 percent to finish at 7688.25. Across the Asian region, most equity markets traded on a firmer footing, though Japan's Nikkei 225 bucked the regional trend with a decline of 2.49 percent.
Regulatory Clearance Boosts Infosys Shares
Shares of software services exporter Infosys witnessed steady investor accumulation following positive regulatory developments in the United States. The company disclosed that the U.S. Department of Labor (DOL) concluded its investigation concerning labor condition applications submitted for the Southern California Edison project, arriving at a determination of full compliance.
According to an official company statement, Infosys extended complete cooperation to the labor authorities throughout the inquiry. The administrative review covered more than 145 project files, concluding with zero violations identified. On the National Stock Exchange, Infosys shares closed up 1.13 percent at Rs 1062, having touched an intraday peak of Rs 1074 during trading hours.
Acquisitions And Rating Upgrades Trigger Stock Rallies
Corporate developments spurred sharp movements across multiple midcap and largecap counters during the session. Shares linked to a major power asset acquisition rallied sharply following news that negotiations were underway to acquire the Bina thermal power asset from JP Power for an enterprise value of Rs 3,500 crore. Reflecting this development, the counter leaped 10.18 percent on the Bombay Stock Exchange to close at Rs 74.90, swinging between an intraday low of Rs 68.25 and a high of Rs 75.40.
Separately, another counter gained ground after a prominent credit rating firm upgraded its recommendation to a compelling buy, pointing to historically depressed valuations at prevailing market levels. The stock ended the trading day higher by 2.04 percent at Rs 114 on the BSE, after touching an intraday peak of Rs 116.
GAIL Surges On Brokerage Call While Amtek Auto Slumps
State-owned natural gas company GAIL posted strong advances during the trading session. Global brokerage Nomura maintained its buy rating on GAIL, even as it lowered the target price for the counter by 8 to 10 percent. On the BSE, GAIL shares jumped 6.44 percent to end at Rs 294, having fluctuated between a session trough of Rs 274 and a peak of Rs 296.
In contrast, Amtek Auto experienced sustained selling pressure as concerns mounted over its immediate debt obligations. Market sentiment turned negative over indications that the automotive component manufacturer could face difficulty repaying Rs 800 crore to investors over the subsequent two weeks. The stock dropped 5.50 percent on the BSE to settle at Rs 27.50, moving within an intraday band of Rs 26.40 to Rs 29.30.
