Markets Continue Green Run

As expected in our morning market update, the Indian markets continued to trade in gains on the back of positive cues from the other Asian markets. At present, both the major indices are up by 0.42%. All the sectoral indices are positive at the moment. Of the major gainers, Auto, IT and PSU are trading 1.66%, 0.92% and 0.72% up respectively, while the others are also up in the range of 0.19%-0.71%.

The other Asian markets also continue trading strongly in anticipation of the Chinese data that is to be announced today. The Nikkei is up by 1.22%, while Hang Seng and Shanghai are marginally up by 0.84% and 0.44% respectively. The markets are also taking cues from the global developments, including from the US markets, which managed to close in gains yesterday.

The Indian Auto companies are witnessing a positive momentum for the second consecutive day. M&M is leading with 3.56% gains at Rs 748.65. This is on the heels of yesterday’s 4% gains on the back of higher than expected numbers in Q1. Others like Bajaj Auto, Cummins India and Exide Industries are trading higher over 1% each.

Among the Sensex stocks, Bharti Airtel fell by another 3% and continues to lead the losers pack after the company reported a disappointing set of Jun 2012 quarter results.

Tata Motors and Ranbaxy Labs were up over 1% ahead of their Jun quarter earnings announcement. Cairn India tanked 3% after the news that Rahul Dhir will step down as the MD & CEO w.e.f. Aug 31.

The market breadth, which indicates the overall health of the market, is positive at the moment. On the BSE, 962 shares have advanced, 699 shares have declined and 103 shares are unchanged.