The market surged today on continued buying and strong global markets. Upbeat January-March 2007 GDP growth data and short-covering in derivatives ahead of expiry of May 2007 derivatives contracts also aided the upmove. Today's high of Sensex of 14573.81 is its highest level in more than 3-½ months since 9 February 2007. S&P CNX Nifty struck an all time high 4,306.75 in late trade.

Volatility was the hallmark of the day, which was but obvious as the May 2007 contracts were to expire today. The market held firm right from the opening bell as the market-wide rollover of 63% and Nifty rollover of 59%, by Wednesday, 30 May 2007, meant that most of the rollover had already happened.

Sensex surged 137.58 points to 14,548.96, as per provisional closing. It opened higher at 14,451.31 and surged to an intra-day high of 14,573.81 at the onset of the trading session tracking firm global markets.

The S&P CNX Nifty rose 47.65 points to 4,297.30, as per provisional closing.

The Sensex is just about 175 points away from its all time high of 14,723.88 struck on 9 February 2007.

India's economy grew 9.1% in January-March 2007 quarter, from a year earlier, led by robust manufacturing, and services sector growth. The government released the data in mid-morning trade today.

The GDP growth was 9.4% in fiscal-year ended March 2007, which is higher than government estimate of 9.2%, and the fastest growth in 18 years. Farm sector output in the January-March 2007 quarter grew an annual 3.8%, manufacturing rose 12.4% and construction 11.2%. Trade, hotels, transport and communications segment recorded a strong 12.4% growth.

The market breadth, which indicates overall health of the market was strong on BSE, with 1380 shares advancing as compared to 1198 that declined. 93 remained unchanged. It was, however, much stronger in morning session, when 1196 shares had advanced as compared to 381 that had declined.

The total turnover on BSE picked up to Rs 4,430 crore, compared to Rs 3,287 crore at 14:30 IST.

Among the Sensex pack, 21 advanced while the rest slipped.

Bike maker Hero Honda surged 5.03% to Rs 732.50, on 2.02 lakh shares, and was the top gainer. The company that launched eight models in the last fiscal, will look at a slew of more launches and some facelifts in the current year.

Shares from banking & financial services space advanced on renewed buying. HDFC Bank (up 4.01% to Rs 1148.90), ICICI Bank (up 0.99% to Rs 920), State Bank of India (up 2.11% to Rs 1352.65), and HDFC (up 2.03% to Rs 1866) rose.

Index heavyweight Reliance Industries (RIL) advanced 0.41% to Rs 1760 on 5.81 lakh shares. Its all time high is Rs 1785.

State run engineering major Bhel turned ex-bonus today. It settled at Rs 1397.95, compared to its previous close of Rs 2768.30. It also slipped to a low of Rs 1351 today. The bonus ratio was 1:1.

NTPC (down 1.85% to Rs 157.35), Dr Reddy’s (down 1.12% to Rs 647.10) and Gujarat Ambuja Cements (down 1.13% to Rs 113.80), edged lower.

Engineering and construction major Larsen & Toubro was up 0.32% to Rs 2000, on 4.13 lakh shares. It also struck an all time high of Rs 2058, in intra-day trade. It reported 50% rise in net profit to Rs 701 crore in Q4 March 2007 from Rs 467 crore in Q4 March 2006, during market hours on 29 May 2007. Sales rose 35.01% to Rs 6248.24 crore in the Q4 March 2007 as against Rs 4627.87 crore in previous Q4 March 2006. The results were announced during trading hours on Tuesday, 29 May 2007.

IT pivotals advanced, after staying weak in the last few weeks, on renewed buying. Satyam Computers (up 0.82% to Rs 469), Infosys (up 1.14% to Rs 1926) and Wipro (up 1.11% to Rs 542) gained, while TCS lost 0.21% to Rs 1211. IT stock have not performed in the market's recent surge due to stronger rupee. A rise in the rupee directly impacts revenue and profit of IT firms, which derive a lion’s share of revenue from exports to the US.

The Indian rupee climbed today, 31 May 2007, after falling nearly 1% in the previous session, as firm Asian stock markets bolstered expectations of a fresh wave of capital inflows into local equities.

Unitech (up 1.81% to Rs 577.80), Aditya Birla Nuvo (up 2.76% to Rs 1393) and Videocon Industries (up 4.53% to Rs 480) surged after they were added in MSCI index from today.

Asian & European markets were trading strong. Japana's Nikkei 225 average surged 287.49 points or 1.63% at 17,875.75. Hong Kong's Hang Seng index advanced 340.71 points or 1.68% at 20,634.47. Shanghai Composite gained 56.56 points or 1.40% to 4,109.65

US stocks rose on Wednesday, 30 May 2007, with Standard & Poor's 500 indexing striking to its first record close in more than seven years, as investors grew more confident that the Federal Reserve might cut interest rates in the second half of 2007. The Dow Jones industrials also reached a new closing high.

The Dow Jones Industrial Average surged 111.74 points or 0.83% to 13,633.08, and also reached a new all time high of high of 13,636.09. The S&P 500, surpassed the record of 1,527.46, set 24 March 2000, at the peak of the dot-com boom, closing at 1,530.23, up 12.12 points, or 0.80%. The Nasdaq Composite index rose 20.53 points, or 0.80%, at 2,592.59.

Oil prices fell on Thursday ahead of the release of a US government report which expected to show US crude and gasoline supplies rose last week. Light, sweet crude for July 2007 delivery dropped 13 cents to $63.36 a barrel in Asian electronic trading on the New York Mercantile Exchange, mid-morning in Singapore. The contract on Wednesday, 30 May 2007, rose 34 cents to settle at $63.49 a barrel.

July Brent crude lost 4 cents to $67.80 a barrel on the ICE Futures exchange in London, after tumbling 50 cents overnight to settle at $67.84 a barrel.

As per provisional data, FIIs were net sellers to the tune of Rs 598.51 crore on Wednesday, 30 May 2007, the day when Sensex had lost 97 points due to weakness in Asian and European markets. Domestic institutions were net buyers to the tune of Rs 562 crore on that day.