Markets Trade on a Positive Note

The Global Markets emanate positive vibes this morning. U.S. stocks gained a second day as higher-than estimated corporate profits at companies including Tiffany & Co. overshadowed data showing the economy grew at a slower rate than forecast and jobless claims unexpectedly rose. Most European stocks retreated after the head of the group of euro-area finance ministers said the International Monetary Fund may not release its portion of an aid payment to Greece next month. This morning Asian stocks rose for a second day, paring the regional benchmark gauges fourth weekly decline, as corporate profits at companies including Genting Bhd. overshadowed data showing U.S. economic growth is faltering. In commodities, Oil rose in New York, heading for a 1 percent gain this week, on speculation that the global economic recovery will sustain demand for crude, even amid signs of slowing U.S. growth. Gold rallied as positive earnings results in the U.S. boosted optimism in the global economy, driving commodities prices higher. Copper prices fell for the first time in three days in London on speculation that escalating sovereign debt in Europe will curb economic growth and metal demand. Taking cues from the firm Asian markets the Indian markets opened strong with the BSE benchmark index, Sensex trading up by 163 points at 18,208 and the Nifty trading at 5451 gaining 38 points. In the broader markets, the midcap and the small cap indices added 0.4% each, underperforming the Sensex which added 0.6%. Among the sectoral indices, there was renewed buying interest seen in the beaten down spaces like Realty and Bankex which gained 1% ecah in the opening trades. However, rate sensitive, Auto space started the day in the negative, giving off nearly 1%. Capital Goods and FMCG indices were also quiet with a gain of 0.4%. Tata Motors and Hero Honda shedding 3% and 1% respectively are weighing on the auto space. The market breadth was positive. Of the total 1326 scrips traded on the BSE, 901 scrips advanced while 365 declined.