Bombay: Share prices on the Bombay Stock Exchange (BSE) closed up 0.40 per cent on Wednesday, led higher by pharmaceutical firms on expectations of liberalised controls on drug prices, brokers said.

The 30-share BSE sensitive index closed up 15.10 points at 3,592.06 points.

Brokers said market sentiment was upbeat over rumours that the government had decided to cut the number of drugs covered under a price control regime to 31 from 74.

They said late buying of pharmaceutical shares offset selling pressure in information technology stocks such as Infosys, Satyam Computer and Wipro.

"There is talk that the National Pharmaceutical Pricing Authority has issued a notification, cutting the number of drugs under price control to 31," said Sandeep Shenoy, a broker with Nucleus Securities.

He added that multinational pharmaceutical companies are expected to benefit more than local firms from the easing of price controls.

Dealers said foreign funds continued heavy buying of stocks.

Pharmaceutical firm Glaxo India closed Rs 36.15 higher at Rs 383.45, Pfizer added Rs 18.50 to Rs 495, while Ranbaxy rose Rs 12.55 to Rs 484.60.

Satyam Computers closed up Rs 1.55 to Rs 229.75, Infosys was down Rs 110.50 at Rs 3,7907.45, and Wipro rose Rs 23.65 to Rs 1,652.60.

AFP