Markets Close Higher

After opening on a flat positive note, the Indian markets extended their gains in the afternoon trade on the back of the positive opening of the European markets. The Sensex and Nifty ended the day with gains of 0.64% and 0.61% respectively.

The peer Asian markets closed on a mixed note today, with Hang Seng closing in the green by 0.75% while Nikkei and Shanghai closed down at -0.82% and -0.09%. The Chinese markets are trading on a higher note on the back of falling home prices. This provided some relief to the government, which was trying to save the housing market from a 'bubble' scenario.

The European markets are trading higher in the positive zone, ahead of the second round of the Spanish bond auction. The markets are expecting the second round to get a similar response to what it received in the first auction. The bond auction will test the appetite of the investors, as it comes a day after the country revealed that the banks' bad loans surged to their highest in Feb 2012 since Oct 1994.

ACC declined by 3.89% to Rs 1246.25 on the back of its Q1 earnings numbers. The company has reported decent growth on the topline, but lower-than-expected net profits due to a one-time depreciation adjustment.

After reporting strong Mar 2012 quarter numbers, HDFC Bank and HCL Tech continued to trade higher, making gains of 3.22% and 1.60% respectively. Sun Pharma was trading up by 0.30% to Rs 598 after winning a litigation in the US over a patent.

Maruti Suzuki India rose by 2.31% to Rs 1381.10 on reports that the company has received a much better response for its recently-launched multi-purpose vehicle, Ertiga.

Investors should watch out for stocks like RIL, IDBI Bank and Cairn India, some of the big counters that are going to post their Mar quarter results. These stocks may see a price movement.

The market breadth, which indicates the overall health of the market, was positive. Out of the 3302 stocks traded on the BSE, 1666 advanced, 1516 declined and 120 remained unchanged.