Markets Trade on a Firm Note

The Global Markets trade in a positive territory this morning. U.S. stocks rallied, sending the Dow Jones Industrial Average to its highest level since June 2008, as sales at companies from Intel Corp. to Yahoo! Inc. exceeded estimates and commodity producers gained. European stocks rose the most in a month after results from Intel Corp. to PSA Peugeot Citroen and LOreal SA spurred investor optimism in the economic recovery. This morning Asian stocks rose, pushing the regional index to its highest level in six weeks, after U.S. companies including Apple Inc. reported increased profits, signaling the global economic recovery is accelerating, and commodity shares gained. In commodities, Crude Oil advanced for a third day in New York as signs of an improving economy in the U.S., the world’s biggest crude-consuming nation, stoked speculation demand for fuel may increase. Gold climbed to a record, trading at more than $1,500 an ounce, as demand climbed as investors sought to protect their wealth from further currency debasement and accelerating inflation. Copper in London traded little changed after gaining the most in more than a month yesterday, set for a weekly advance as supply disruptions and a weaker dollar offset concerns about slowing global growth. After a positive opening, the markets continue to trade firm in mid morning trades with the Sensex firming up 157 points at 19,628 and the Nifty adding 37 points at 5,888. The broader markets advanced with a 0.5% gain each in the small cap and the midcap indices. Back home, the BSE Metal index is up 1% on the back of a 2% gain in the LMEX index, followed by the resurgent information technology (IT) and Bankex indices. However, FMCG and power indices have weakened since the opening and are tha laggards in the second hour of trading. Ahead of its results, Reliance Industries (RIL) is up 0.4% at Rs 1030 paring some of its initial gains and TCS is up 1% at Rs 1233, nearing its 52-week high of Rs 1247. Among the other gainers on the Sensex are Hero Honda, Sterlite and HDFC - up 2% each - followed by Jindal Steel, Maruti Suzuki, HDFC Bank and Hindalco that have added 1% each. The market breadth is very positive. Of the total 2489 stocks traded on the BSE, 1513 stocks have advanced while 882 declined.