BSE Sensex soars 256 points on Infosys results

The BSE Sensex soared 256 points on Friday after Infosys started the earnings season on a positive note with an upward revision of its dollar revenue guidance.

The index added 612.64 points, or 3.08 per cent, over the past week, the most since the five days ended September 6.

Continuing foreign capital inflows and a firm trend in overseas stock markets also supported the Sensex, which gained for the fourth straight session.

The 30-share index of the Bombay Stock Exchange opened 263 points higher and dropped to the day's low of 20,368.06. A surge in the last hour took the index to the day's high of 20,559.69 before it closed at 20,528.59, a gain of 255.68 points or 1.26 per cent.

The 50-share National Stock Exchange Nifty rose 75.25 points, or 1.25 per cent, to 6,096.20.

The SX40 on the MCX Stock Exchange closed at 12,217.87, a gain of 138.72 points.

"Sentiment was boosted by positive global markets which recovered as investors hoped the US will soon reach some conclusion regarding government shutdown," said Rakesh Goyal, senior vice president at Bonanza Portfolio Ltd. "Better than estimated Infosys second quarterly results for FY14 also added to the markets' strength."

Software services provider Infosys on Friday revised its dollar revenue guidance to 9-10 per cent for 2013-14, from 6-10 per cent earlier, saying a recovery in the US and Europe would prompt clients to boost spending.

The company posted a 1.6 per cent increase in consolidated net profit to Rs 2,407 crore for the second quarter ended September 30.

Cheering the news, Infosys shares rose 4.79 per cent and with ICICI Bank, helped boost the Sensex as 20 of the 30 shares on the index advanced.

IT stocks led seven of the 13 sectoral indices higher, including banks, capital goods and realty.

Asian and European stocks were up on hopes that US lawmakers will lift the debt limit and avoid a default. Key indices in China, Hong Kong, Singapore, Japan, South Korea and Taiwan rose.

According to the data available with the stock exchanges, overseas investors bought net Rs 614.27 crore shares on Thursday.

With inputs from PTI