* BSE index gains 0.15 pct; NSE up 0.16 pct
* Technology, healthcare stocks gain
* Banks, infrastructure shares fall
By Indulal PM
MUMBAI, Aug 13 Indian shares edged higher on
Wednesday, gaining for a third consecutive session as a weak
rupee boosted IT firms although broader gains were capped by
disappointing earnings from blue chips such as Bharat Heavy
Gains were also limited after data on Tuesday showed
higher-than-expected consumer price inflation in July, reducing
prospects the Reserve Bank of India would cut interest rates any
Analysts said they expect gains to be muted after the market
had rallied for most of the year, with indexes setting their
latest record highs in late July.
"Markets are consolidating. Some sectors, such as
infrastructure and banking, are out of favour as these stocks
have run up sharply. Though the overall outlook remains bullish,
sectoral preferences have changed dramatically," said Deven
Choksey, managing director at KR Choksey Securities.
The benchmark BSE index closed 0.15 percent higher
at 25,918.95, while the broader NSE index ended up 0.16
percent at 7,739.55.
IT companies advanced as a weaker rupee is expected
to boost overseas earnings when converted back into the domestic
The rupee has been down around 1.2 percent against the
dollar so far this month.
Infosys Ltd gained 0.9 percent on a weak rupee,
Tata Consultancy Services closed up 1.1 percent and HCL
Technologies ended 2.8 percent higher.
Defensive stocks such as healthcare and consumer durables
have also gained on risk aversion. Sun Pharmaceutical Industries
closed 2.2 percent higher, while Hindustan Unilever Ltd
ended 2.5 percent higher.
Among other gainers, Eicher Motors gained 11.5
percent, adding to its 8.2 percent gain on Tuesday after its
April-June quarter earnings beat analyst
However, gains were limited because of the fall in BHEL,
which ended 6.5 percent lower at 209.70 rupees, its lowest level
since May 13, after it reported a 59 percent fall in its June
Lenders fell on waning expectations of interest rate cuts.
State Bank of India closed down 2.5 percent while,
ICICI Bank ended 0.8 percent lower.
Shares in Tata Steel Ltd ended 1.4 percent lower
ahead of its earnings. The steel maker reported a 70 percent
fall in June quarter earnings soon after trading hours.
For additional stocks on the move double click
FACTORS TO WATCH
* Sterling edges up before BoE report; euro's struggles
* Brent crude oil falls to 13-month low on strong supplies
* Stocks firmer as oil prices plumb 13-month low
* Foreign institutional investor flows
* For closing rates of Indian ADRs
ASIA-PACIFIC STOCK MARKETS:
Pan-Asia........ Japan....... S.Korea...
S.E. Asia....... Hong Kong... Taiwan....
Australia/NZ.... India....... China.....
Wall Street .... Gold ....... Currency..
Eurostocks..... Oil ........ JP bonds...
ADR Report ..... LME metals. US bonds..
Stocks News US.. Stocks News Europe
DIARIES & DATA:
Indian Data Watch Asia earnings diary
U.S. earnings diary European diary
Indian diary Wall Street Week Ahead
Eurostocks Week Ahead
For top Asian company news, double click on:
U.S. company news European company news
Forex news Global Economy news
Technology news Telecoms news
Media news Banking news
Politics/General Asia Macro data
(Reporting by Indulal PM; Editing by Biju Dwarakanath)