Markets Open Higher

The December F&O Series has begun on a positive note, as we expected, with the Sensex rising by 0.38% and the 50-share Nifty rising by 0.33%. The markets are awaiting the GDP data, which is due shortly.

The Asian markets have also continued trading in the positives. The Hang Seng and Shanghai have surged over 0.5% each, while Nikkei is up 0.77%. Earlier in the the morning, the Oct 2012 industrial output in Japan showed an unexpected rise of 1.8%. Experts were expecting a decline of 2.2%.

The Nikkei is up 5.3% in this month alone, and is the top performing market in Asia. The markets have benefited mainly due to the weak Yen as well as on expectations of monetary policy easing.

Of the sectoral indices, Metals are up 1.7%. CD and CG are higher by 0.9% and 0.74% respectively. The Auto and FMCG indices, however, are trading in the red, citing a negative sentiment in the sectors.

Among the Sensex stocks, Sterlite Industries is up 3.14%. Jindal Steel (3.14%) and HDFC (3.03%) are also among the top three gainers. The shares of two-wheeler major Bajaj Auto, on the other hand, are down 1.15% on profit booking. Tata Motors is down 1.5% on the news that the company will shut its Jamshedpur plant for three days.

In individual stocks, Ranbaxy has dropped 1.34%, wiping out yesterday's gains. The company said that it will stop supplies of the generic of Lipitor until further investigation. The shares of Dr. Reddy's Labs have gained about 1% on this news. The company can benefit from Ranbaxy's decision by gaining more market share, as it already has launched the generic of Lipitor in USA.

Among the 'A' group stocks, Suzlon Energy has further gained about 10% on the news of its debt restructuring. Lanco Infra and Opto Circuits have also gone up today. Both the stocks showed sharp gains yesterday.

The advance-decline ratio is currently positive, with the total advances outnumbering the declines.

The markets are waiting the GDP data for the Sept 2012 quarter. Overall, the market expects a number between 5.4%-5.5%. Anything below this may put a break on the current rally, while a better-than-expected number will prompt further buying in the market.