Sensex up for 2nd day, Nifty reclaims 9100 as bank stocks gain

Stock markets extended gains for a second day with the BSE Sensex rising over 89 points and NSE Nifty regaining 9,100 level today as banking stocks rally on Finance Minister Arun Jaitley assurance of finding a solution to NPA problem soon.

The 30-share BSE Sensex rose to intra-day high of 29,539.85 before closing at 29,421.40, showing gains of 89.24 points, or 0.30 per cent over last close. The gauge had gained 164.48 points in the previous session.

The Nifty of National Stock Exchange also regained the 9,100-mark by settling 21.70 points, or 0.24 per cent higher at 9,108. It touched a high of 9,133.55 and a low of 9,089.40 in day trade.

Among banking shares, SBI rose by 2.81 per cent, Bank of India by 5.02 per cent, Bank of Baroda by 4.26 per cent, Union Bank of India 3.29 per cent and PNB by 4.05 per cent.

Buying was also seen in private lenders, with ICICI Bank trading up 2.90 per cent and AXIS Bank by 0.23 per cent.

Brokers said investors turned net buyers after Finance Minister Arun Jaitley promised a solution to the growing NPA problem within next few days.

Bharti Airtel, which took a beating in the last two sessions, also closed higher by 0.59 per cent after reports that the teleocm giant has entered into a pact to buy Tikona Networks' 4G spectrum.