Sensex ends with mild gain

MUMBAI, Sept 24 (Reuters): The BSE Sensex ended with mild gains on Tuesday after earlier rising nearly 1 per cent, reversing a two-day losing streak, on value buying in beaten down rate-sensitive shares, while the Nifty found support around its 200-day moving average.

However, dealers said selling by foreign institutional investors (FIIs) in Indian stocks on Monday, weighed on shares at higher levels.

FIIs sold Indian shares worth of 805.7 million rupees on Monday, snapping their five-day buying streak. They had bought around 127 billion rupees worth of Indian shares over the previous 12 sessions till last Friday, regulatory data showed.

Despite Tuesday's gains, the overall trend remained weak due to lack of positive triggers in the near term, while the expiry of equity derivatives contracts on Thursday was expected to increase the volatility, dealers added.

"Markets may remain jittery and nervous in the short term as domestic data points remain weak, while election will take prominence over reforms," said Phani Sekhar, a fund manager at Angel Broking.

The benchmark BSE Sensex edged up 0.1 per cent, or 19.25 points, to end at 19,920.21.

The broader Nifty inched up 0.05 per cent, or 2.70 points, to end at 5,892.45, after earlier taking support around its 200-day moving average at 5,841.

Among lenders, Housing Development Finance Corp Ltd rose 1.6 per cent, while ICICI Bank Ltd gained 0.2 per cent.

In auto shares, Bajaj Auto Ltd rose 2.7 per cent, while Maruti Suzuki India Ltd advanced 0.7 per cent.

Tata Motors Ltd rose 1 per cent, while Mahindra and Mahindra Ltd gained 1.2 per cent.

Kingfisher Airlines Ltd, which has been grounded for almost a year for want of cash, surged 9.7 per cent after Chairman Vijay Mallya said on Tuesday it was in talks with a foreign investor for a potential stake sale.

Glenmark Pharmaceuticals Ltd rose 1.5 per cent after the US Food and Drug Administration approved a key drug for the company, while Sun Pharmaceutical Industries Ltd fell 0.3 per cent as former's drug was seen negative for its unit Taro Pharmaceutical Industries Ltd.

State Bank of India, the country's largest lender, also fell 0.6 per cent after ratings agency Moody's downgraded its outlook on the bank's financial strength rating to 'negative' from 'stable'.
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