Sensex Fly around 19K

Indian equity benchmarks were mildly positive in opening trade amid a choppy trade. Indices were hovering just around their key psychological levels - the Nifty was around the 5700 level and the Sensex around the 19,000 mark.

Auto, telecom, select technology, Anil Dhirubhai Ambani Group and select financial companies' shares were quite supportive. However, cement, realty and select metal stocks were down.

Among frontliners, Hero Honda, Reliance Infrastructure, Reliance Communications, Bajaj Auto, Suzlon Energy, ONGC, L&T, SBI, Wipro, HCL Tech and Bharti Airtel were pushing the markets higher.

However, ACC, Axis Bank, Hindalco, SAIL, Sterlite Industries, Jaiprakash Associates, ICICI Bank, Infosys, Cairn India and NTPC were under selling pressure.

The 50-share NSE Nifty was trading at 5,698, up 11 points and the 30-share BSE Sensex gained 58 points to 19,001.

The CNX Midcap rose 12 points to 7,878. About 506 shares advanced as against 338 shares declined on National Stock Exchange.

Nifty consolidates

The benchmark Nifty was positive in opening trade in the first session of the week, but amid mild gains amid extreme volatility, as the index rallied smartly in previous four sessions following an upmove in global markets.

Almost all asset classes heaved a sigh of relief and perked up during the week on news of slight containment of the nuclear disaster in Japan, says Nandan Chakraborty of ENAM.

He feels that, however, the West Asian crisis may continue to dictate the market direction in the near-term. "The bias is definitely going to be on large caps from here on as the structural story remains intact."

Among frontliners, Tata Motors, Maruti, M&M, Hero Honda, Bajaj Auto, HUL, Reliance Industries, ITC, Kotak Mahindra Bank, SAIL, IDFC, SBI, L&T and Ranbaxy Labs were leading the markets higher in early trade.

However, Infosys, Reliance Communications, Jaiprakash Associates, Sesa Goa, ONGC, NTPC and ICICI Bank were under selling pressure.

At 9:18 hours IST, the 30-share BSE Sensex was trading at 18,893, up 77 points and the 50-share NSE Nifty rose 20 points to 5,674. The CNX Midcap gained 22 points to 7,845.

Jaishree Industries plans Rs 57 crore IPO

Granite tiles producer Jaishree Industries has filed draft red herring prospectus with the market regulator SEBI for initial public offering of Rs 56.86 crore worth of equity shares.

Jaishree Industries (erstwhile Jaishree Granites Private Limited) is engaged in the business of production of granite tiles and slabs in India with an annual installed capacity of 200,000 square meters. Company also manufactures counter tops for export purposes. Other products of company include cobbles and curb stones.

Company is also engaged in the trading of agri-commodities (food grains & pulses). It intends to expand operations by entering into manufacturing of refined oil from soybean seeds and other soybean products.

Issue proceeds (excluding general corporate and issue expenses) are proposed to be used for expanding the agri commodity business by setting up soybean solvent extraction plant & ancillary units (with the cost of Rs 28.65 crore) and working capital requirement for the proposed expansion project (marble & soybean oil extraction) (with Rs 20.96 crore).

For the period of six months ended on September 30, 2010, it has reported a profit after tax of Rs 1.97 crore and net sales of Rs 24.96 crore.

Sensex surges 450 points

Equity benchmarks extended gains in the afternoon trade - the Sensex added around 450 points and the Nifty was just shy of 5650 level at 14:48 hours. About 45 stocks out of Nifty 50 were in green - Infosys, TCS, NTPC, L&T, Reliance Industries, ICICI Bank, HDFC Bank, Wipro, ONGC, SBI, L&T, ITC and HDFC were the frontrunners, with gaining 1-5%.

The 50-share NSE Nifty added 125 points to 5,648 and the 30-share BSE Sensex surged 447 points to 18,798, outperforming the broader indices.

The BSE Midcap & Smallcap indices rose 1% each. Even the Nifty March futures were trading at 30 points premium ahead of expiry next week.

The BSE IT Index was heading the markets from front, with shooting up 4% followed by Realty, Bank, Capital Goods, FMCG, Power, Oil & Gas and Auto, which were up 1-2.5%.

Sensex Flow

The benchmark Sensex added nearly 200 points in trade today at 12 hours, supported by heavyweights like Infosys, TCS, Wipro, L&T, NTPC, ONGC, ITC, HDFC, HDFC Bank, ICICI Bank and Bharti Airtel. However, indices were seeing some profit booking at higher levels.

Most of the negatives were already there in the price, says Abhijit Chakraborty, Fortune Financial.

"The recent firmness in the market is because on ground the corporate earnings, for this quarter, are looking up for some of the sectors which have not done too well in the past. Large sectors like banking, which contributes about 23-24% of the Nifty weightage, are likely to see improvement in earnings because of high credit growth. The NIMs could be also maintained at this level," he explained.

However on the upside, he said, the cap would definitely be there because of the high oil prices and the fear of interest rate hikes as inflation is not showing signs of moderating soon. "RBI policies will be watched. There is a likelihood that interest rates would go up. Oil and interest rates are the reasons that could keep the market capped around 5,650-5,700."

The 30-share BSE Sensex gained 182 points at 18,532 and the 50-share NSE Nifty went up 52 points to 5,574. The Nifty April futures were trading at 15 points premium.

Asian markets remained in a positive terrain on rally in US markets yesterday, which was quite supportive for Indian markets. Shanghai, Hang Seng, Nikkei, Straits Times and Kospi were up around 1%. Taiwan gained just 0.4%.

Among largecaps, Infosys, Wipro, L&T, DLF, TCS and Axis Bank were the top gainers on exchanges, with gaining 2-3%.

However, Cipla, Maruti Suzuki, GAIL, Ranbaxy Labs, Power Grid Corp and Siemens were only top losers.

Lovable Lingerie, Tata Coffee, Fineotex Chemical, LIC Housing Finance, Infosys, ICICI Bank, L&T and SBI were the most active shares on exchanges.