Indices Flat, Nifty At 5700

The Indian markets are trading flat as of now. The 50-share Nifty has crossed the 5700 level again and is up 0.2% in line with Sensex.

The European indices have seen a strong, positive opening at this time. FTSE is up 0.5%, while CAC and DAX have gained 0.7% each at this time. The surge in the indices is on the back of the ongoing talks of the bailout of Spain.

Of the Asian markets, Nikkei is closed with 1.4% gains, while Hang Seng and Shanghai are trading flat.

Meanwhile, Ambit Capital has said that it sees the Nifty at the 6000 level by year end, as also a 25 basis points rate cut in the forthcoming RBI meet.

Among the indices, Teck is the top gainer at the moment, with 0.95% gains. CD is also up 0.85%, as the index major Titan is higher by 1.2%. The IT index is also up 0.7% on the back of positive movement seen in the Infosys, TCS, Tech Mahindra, Wipro and MphasiS counters. The Auto index has turned marginally negative after the shares of M&M and Tata Motors saw a drop in their trades.

Of the Sensex stocks, RIL is trading flat after its Q2 results announcement. Investment bank HSBC has downgraded RIL from ‘neutral’ to ‘underweight’. It has also set a target of Rs 800 on the scrip. Bharti Airtel has gained 2%, and is the top gainer at the moment. HDFC is also in the gainers list, up by 1.3%. In the Pharma space, Sun Pharma has gained marginally, while Cipla and Dr. Reddy’s Lab are trading down.

Tata Motors has fallen nearly 2% on the back of a fall in its global sales in Sept 2012. The sales of iconic British brand Jaguar Land Rover dipped for the first time in 15 months. Mahindra and Mahindra too has tanked over 1% after Credit Suisse suggested that investors move from M&M to Maruti. The shares of Maruti Suzuki surged 1.8% after it unveiled its new brand 'Alto 800' today. It has also received 10000 pre-orders.

Among others, the shares of Axis Bank have gained 4% after the bank reported a 22% surge in its net profit.

Overall, the market breadth is positive, with 50% advances. Ahead today, we expect the volatile mood to continue.