Sweetness extends for sugar stocks on the back of favourable outlook!

Dhampur Sugar Mills, Usha Martin, and Triveni Engineering log fresh 52-week high in ‘A’ Group.

The benchmark indices recouped earlier losses with BSE Sensex closing at 56,486.02 level, up by 936 points or 1.7 per cent. Nifty 50 closed at 16,871.30, up by 240 points or 1.5 per cent.    

The banking, IT, and sugar stocks stole the spotlight in today’s session. BSE Midcap Small cap at 25,681.12, ended flattish while BSE 500 gained 1% to close at 22,839.21. 

Dhampur Sugar Mills, Usha Martin, and Triveni Engineering witnessed a double-digit rally in today’s session.    

   Dhampur Sugar Mills zoomed 19.36 per cent in today’s session to emerge as the biggest gainer in the 'A' Group.  

Union Minister Nitin Gadkari made an announcement about the assurance of automobile companies to start production of vehicles of flex-fuel variants within six months. Flex-fuel or flexible fuel is an alternative fuel with a combination of gasoline and methanol or ethanol. With the potential ethanol demand growth and higher sugar realisations, the outlook for sugar manufacturers stands strong.   

Today, the stock logged an intraday high as well as a low of Rs 541.65 & Rs 449.55, respectively, and closed at Rs 538.80. With today’s high, the company logged its fresh 52-week high also.  

Usha Martin gained 19.34 per cent in today’s session and logged its fresh 52-week high. Usha Martin Ltd is one of the world’s leading manufacturers of wire rope. In today’s session, the stock logged an intraday high as well as a low of Rs 108 & Rs 89, respectively, and closed at Rs 107.50.    

 Triveni Engineering & Industries soared 10.06 per cent in today’s session on the back of Union Minister announcement-led rally in sugar stocks and FII buying. Today, the stock logged an intraday high of Rs 358 (which was also its 52- week high) as well as a  low of Rs 304.75, respectively, and closed at Rs 333.75.