Markets continue positive trade; Sensex moves in tight band

Indian equity markets continued trading in positive territory amid alternate bouts of buying and selling on derivatives expiry day. Investors will roll over their monthly derivatives position for the last time in 2012 to next month January 2013 series. Key equity benchmarks were trading slightly higher in the late morning session as global markets continued to be gripped by a holiday mood. Meanwhile, investors were waiting for some positive cues from the scheduled meeting of Prime Minister Manmohan Singh with top government officials on the next five-year plan. In currency markets, Indian rupee appreciated against dollar amid strong capital inflows. On sectoral front, auto, healthcare, capital goods shares were trading n green, while consumer durables, IT and FMCG stocks were under pressure. In global markets, Asian shares were r=trading in green amid optimism that Japan's new leaders will stimulate its sluggish economy. Back home, the market breadth favoring positive trend; there were 1,216 shares on the gaining side against 1,134 shares on the losing side while 139 shares remain unchanged.

The BSE Sensex is currently trading at 19,433.96 up by 16.50 points or 0.08% after trading in a range of 19,504.40 and 19,415.47. There were 15 stocks advancing against 14 declines and 1 stock remains unchanged on the index.

The broader indices were trading on mixed note; the BSE Mid cap index was up by 0.16% and Small cap index was down by 0.12%.

The top gaining sectoral indices on the BSE were, Auto up by 0.83%, HC up by 0.46%, CG up by 0.26%, Power up by 0.24% and Realty up by 0.24%. While, Consumer Durables down by 0.36%, IT down by 0.13%, FMCG down by 0.07% and TECk down by 0.04% were the top losers on the sectoral space.

The top gainers on the Sensex were Tata Motors up by 2.32%, Maruti Suzuki up by 1.01%, Tata Steel up by 0.86%, Cipla up by 0.61% and SBI up by 0.56%.

On the flip side, Coal India was down by 0.83%, BHEL was down by 0.63%, Hindustan Unilever was down by 0.42%, Wipro was down by 0.31%, and Mahindra & Mahindra was down by 0.28% were the top losers on the Sensex.

Meanwhile, the Central Government, on recommendations of the Foreign Investment Promotion Board (FIPB), has given nod to the twelve Foreign Direct Investment (FDI) proposals, including Ratnakar Bank, envisaging a total inflow of over Rs 802 crore. However, it has rejected the proposals of Mahindra and Mahindra, Coimbatore-based Ampo Valves India and Mumbai-based Berggruen Real Estates.

According to the statement, Ratnakar Bank’s proposal to increase foreign equity in the bank from 43 per cent to 55 per cent has been approved to bring in Rs 300 crore worth of FDI. FIPB has forwarded the proposal of Swedish furniture major IKEA to the Cabinet Committee on Economic Affairs (CCEA) as the venture entails a foreign investment inflow of over Rs.1,200 crore.

Also Ingka Holding Overseas has given granted permission to undertake single brand retailing of IKEA products by setting up a wholly-owned subsidiary here and Taqa Jyoti Energy Ventures too got green signal to bring in foreign investment of Rs 252 crore.  Hyderabad-based Mylan Laboratories has been permitted to acquire an existing pharmaceutical manufacturing facility and OCS Group Singapore Pte received approval for acquisition of equity shares of an India company engaged in business of detective and protective services are among other major proposals. 

The S&P CNX Nifty is currently trading at 5,907.90 up by 2.30 points or 0.04% after trading in a range of 5,930.80 and 5,904.15. There were 23 stocks advancing against 27 declines on the index.

The top gainers of the Nifty were Tata Motors up by 2.17%, Lupin up by 1.57%, Axis Bank up by 1.24%, Maruti Suzuki up by 0.96% and Tata Steel up by 0.91%.

On the flip side, DLF down by 0.89%, Coal India down by 0.80%, ACC down by 0.73%, Cairn down by 0.72%, and BHEL down by 0.63%, were the major losers on the index.

Asian equity indices were trading in green; Shanghai Composite up by 0.05%, Hang Seng surged 0.38%, Jakarta Composite rose 0.17%, KLSE Composite added 0.15%, Nikkei 225 soared 0.96%, Straits Times strengthened 0.32%, KOSPI Composite was up by 0.23% and Taiwan Weighted was up by 0.19%.