Indian Stocks Climb for Second Day; Tata Motors, HDFC Advance
The BSE India Sensitive Index, or Sensex, rose 0.3 percent to 19,615.56, according to preliminary closing prices. Tata Motors advanced for the third day after sales of Jaguar Land Rover climbed 32 percent. Housing Development Finance Corp., India’s biggest mortgage lender, added 1.9 percent.
The Sensex advanced yesterday, ending the longest losing stretch in 15 months, after some investors judged the declines excessive. The 30-stock gauge’s 14-day relative strength index, a measure of how rapidly prices rose or fell in the period, was 37 on Feb. 11. A reading of below 30 is a signal to buy for some investors.
“We saw the first pull-back rally yesterday and this can continue for the next two-to-three days,” Hemant Thukral, an analyst with Aditya Birla Money Ltd. in Mumbai, said in an interview to Bloomberg TV India today.
Overseas funds bought $184 million of Indian equities on Feb. 11, extending this year’s purchases to a net $7.6 billion, a record for the period, data compiled by Bloomberg show. They bought $24.5 billion of stocks in 2012, the highest among 10 Asian markets tracked by Bloomberg, helping the Sensex to its biggest annual advance in three years.
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