Markets looking up on positive global cues

The Indian markets opened on a positive note today after a negative close amid profit booking in the previous session. The Sensex and Nifty are trading up with 0.87% and 0.84% gains respectively. Positive cues lifted investor sentiment across the globe after the IMF announced that it will raise an additional US$ 600 billion to help the Euro zone fight the debt crisis.

All the Asian markets are trading in the green zone following the Greek govt.'s talk with its creditors over a plan to restructure its debt. Positive news coming in from the European govts and the IMF plan to raise fund to help Europe’s debt crisis boosted the investors’ sentiments.

Yesterday, the European markets closed on a flat note. Investors stayed away from the markets after the resumption of talks to stave off a disorderly debt default by Greece.

Back home, among the BSE sectoral indices, Metals, Realty and Bankex are leading with gains of 2.08%, 1.85% and 1.47% respectively. All the other indices except IT and Tech are up between 1.21%-0.37%. IT and Tech are down by 0.5% each.

Of the Sensex shares, Coal India, DLF, Hindalco, Sterlite and Tata Steel are leading with gains between 2.21%-3.5%. Other major gainers including GAIL, HDFC, Hero MotoCorp, Jindal Steel, Maruti Suzuki, Tata Motors, Tata Power are up with gains between 1%-2.5%. Among the losers, Bharti Airtel, BHEL, Infosys etc. are down between 1%-2% each.

The market breadth, which indicates the overall health of the market, is positive. On the BSE, 1341 shares rose and 617 shares fell. 85 shares remained unchanged.

We expect the markets to remain positive for the day as well as the European markets to provide some vital cues on the desired direction of the market trend in the late afternoon session.