Markets open higher on global cues

Markets have opened higher this morning on firm cues from global peers. The Sensex has gained 155 points to 17,635. Nifty is up 39 points at 5,304.

Wall Street rallied for a second day on Thursday as Greece backed away from a proposed referendum that threatened its membership in the euro, which could have de-stabilised the global markets. The European Central Bank announced an interest rate cut as a step to confront weak growth in the region.

The Dow Jones industrial average was up 1.76% at 12,044. The Standard & Poor's 500 Index was up  1.88% at 1,261. In Asia this morning, the Hang Seng has surged 3% to 19,806. Nikkei, after remaining shut on Thursday, is up 1.2% at 8,750. Seoul Composite, Taiwan Weighted and Straits Times are up 1-2% each.

The trend deciding level for the day is 17,429 / 5,250 levels. If Nifty trades above this level during the first half-an-hour of trade then we may witness a further rally up to 17,580 – 17,678 / 5,298 – 5,329 levels. However, if Nifty trades below 17,429 / 5,250 levels for the first half-an-hour of trade then it may correct up to 17,331– 17,180 / 5,218 – 5,170 levels, Angel Broking said in a research note.

All the sectoral indices, barring BSE consumer durables index has gained this morning. Oil & gas index has advanced 1.4% to 9,183 after oil refining and marketing companies hiked petrol prices by 1.8 a litre with effect from today.

Essar Oil has surged 2.5%, followed by ONGC, Indian OIl Copr and Reliance. HPCL and BPCL have moved up 0.8% each.

BSE metal index has gained 1.3%, followed by IT, auto and bankex.

Hero Motocorp has added 2.3% to Rs 2,118. Hindalco, Sterlite, Tata Steel and Jindal Steel have moved up 1-2% in the metal space. Among other gainers are Tata Motors, Jaiprakash Associates and Larsen & Toubro.

However, Bharti Airtel has slipped 0.5% to Rs 390 after coming out with its numbers. The company posted a 38.17% decline in its Q2 net at Rs 1,027 crore. The net sales of the telecom major, however, is up 13.38% at Rs 17,270 crore. It has registered the EBITDA margin at 33.7%.

Jubilant Foodworks has slipped 1.7% to Rs 801 after the company posted a 28% rise in its Q2FY12 net to 24 crore. SAIL has added 0.7% to Rs 110 in spite of reporting 54% drop in its Q2FY12 net to 495 crore.