The Wet Seal, Inc. Announces December Comparable Store Sales Declined 12.5%, Updates Fourth Quarter EPS Estimate to Lower End of Prior Guidance Range

(RTTNews) - Firm global cues as well as official forecasts that the southwest monsoon will likely touch the Kerala coast in three days helped Indian stocks end higher for a third consecutive session on Tuesday. Adding to the positive sentiment, Prime Minister Manmohan Singh assured business leaders in Japan that India would take more steps to attract foreign investments. Terming the 5 percent growth witnessed last year a temporary slowdown, Singh noted that India's fundamentals are still intact and the country will revert to 8 percent growth.

Finance Minister P Chidambaram said yesterday that India has all what it takes to grow at 5-6 per cent for the next several years, and with effective governance, the economy can grow at over 8 percent.

The benchmark BSE Sensex hit a high of 20,210 in the afternoon before paring gains to end up 130 points or 0.65 percent higher at 20,161, with 19 of its components advancing. The broader Nifty index rose by 28 points or 0.46 percent to 6,111. Oil/gas, auto, consumer durable and power stocks led the gainers, while healthcare and banking stocks ended subdued.

Hero MotoCorp led the gainers in the Nifty pack with a 7 percent rally, while BHEL and Jaiprakash Associates rose 3-4 percent. Coal India rallied 2.9 percent on robust results and as its board approved price rationalization across coal grades. Reliance Industries gained 1.8 percent, extending the previous session's rally, after the energy giant announced a huge natural gas discovery in the KG D-6 basin.

Britannia Industries rose 2.4 percent after announcing key organizational changes to boost growth.

CESC gained 2.5 percent after the electricity generation and distribution firm beat estimates with a standalone net profit of Rs 256 crore for the fourth quarter ending March. Havells India jumped 2.9 percent on reporting a better-than-expected 20 percent rise in quarterly profit.

Essar Shipping jumped 9.7 percent after its unlisted arm, Essar Oilfields Services, reported a net profit of Rs.85.39 crore for 2012-13 as against a net loss of Rs.71.13 crore last year.

Tata Global Beverages closed 0.7 percent higher on robust Q4 results. Infinite Computer Solutions soared 10 percent after the company said its board will consider a share buyback proposal on June 5.

Ranbaxy Laboratories fell 2.7 percent on a report that a Mumbai hospital has put up a notice advising its doctors to avoid prescribing drugs manufactured by the company.

Gold loan firms Muthoot Finance and Manappuram Finance lost 1-2 percent after the Reserve Bank of India imposed fresh restrictions on banks and NBFCs providing loans against gold coins as well as units of gold ETFs and mutual funds.

Adani Power declined 0.9 percent on fund raising reports. Tata Chemicals edged down 0.3 percent on posting a Rs. 188-crore Q4 net loss.

Elsewhere, other Asian markets rose broadly, with Japanese shares leading the way as investors went bargain hunting in beaten-down stocks following a sharp sell-off the day before. Japan's Nikkei index rose 1.2 percent, while the markets in Australia, China, Hong Kong and South Korea gained between 0.2 percent and 1.2 percent.

European stocks were moving higher ahead of the release of U.S. consumer confidence and home prices data due out later in the day.