Markets continue to trade higher

As mentioned in our morning update, the markets opened positive in line with global cues. At present, the Sensex is up 169 points to 17362 and the Nifty is up by 53 points at 5221.

Asian markets are also trading in the green zone after the Japanese economy grew strongly, and as Italy announced a change in the leadership, dampening concerns over Europe’s debt crisis. 

Back home, Sun Pharma is the lead gainer among the Index stocks after reporting good Q2 FY12 numbers, and is up 3.12% at Rs 519.55. Other stocks like Hero MotoCorp, HDFC Bank, TCS, Hindalco are up more than 2%. IVRCL is up 2.26% to Rs 38.40 following the news that it has bagged orders valued at Rs 1867.19 cr. On the other hand, the losers list includes Coal India, Tata Power, SBI, BHEL etc., all trading down in the range of 0.50%-1%.

The market breadth, which indicates the overall health of the market, is strong. On the BSE, 1167 shares rose, 852 fell and 92 shares remained unchanged.

In conclusion, we expect the market to remain volatile for the day. Investors should closely watch data on inflation based on the Wholesale Price Index (WPI) for the month of October 2011, which is due today. European markets will also provide some vital cues on the desired direction of the market trend in the late afternoon session. We, at DSIJ, shall keep updating you regularly through our market commentary.