Markets open positive tracking global cues

The markets have witnessed a positive start tracking firm global cues. By 9:40, the Sensex gained 83 points at 17,231, and the Nifty rose 28 points or 0.6% at 5,217 levels.

On the global front, the Dow Jones industrial average gained 0.9% to 13,210. The Standard & Poor's 500 Index moved up 0.7% to 1,400 levels.

Asian shares inched up on Friday, tracking US stocks which jumped overnight on strong housing data and earnings, but concerns over the health of European banks weighed on investor risk appetite after Standard & Poor's downgraded Spain's rating. Nikkei, Strait Times, Hang Seng and Kospi have gained between 0.3-1%.

Back home, the Nifty is likely to seek support around 5,175-5,165, while it could face resistance around 5,200-5,210, technical analysts suggest.

On the sectoral front, BSE Consumer Durable, Power, Banks, Auto, Metal, Capital Goods, Realty and Technology indices have surged by almost 1% each. Infact, all the major BSE sectoral indices are trading in green zone.

Banking and financial shares like ICICI Bank, HDFC Bank and HDFC have surged by nearly 1% each. Private banking shares are trading firm on reports that the Cabinet has approved a proposal to cap shareholders’ voting rights in private banks at 26% irrespective of their total holding.

From the metal pack, Hindalco, Sterlite, Jindal Steel and Tata Steel have gained between 0.4-2%.

Among Auto segment, M&M is the top Sensex gainer, up over 2%. Bajaj Auto and Tata Motors have gained between 0.3-1%.

Capital Goods major BHEL and L&T have surmounted by nearly 1% each.

Other notable gainers include DLF, GAIL, Wipro, ONGC, Tata Power and NTPC.

On the losing side, Coal India is the top Sensex loser, down nearly 1%.

Meanwhile, Meanwhile, BSE Midcap and Smallcap indices are trading positive, both surging between 0.5-0.6%.

Everest Industries has rallied 9% at Rs 149 in early morning deals, after its board recommended a dividend of Rs 7 per equity share (70%) for the financial year 2011-12.

Ajanta Pharma is trading higher by 4% at Rs 560 on reporting a healthy 35% year-on-year (y-o-y) growth in net profit at Rs 23.60 crore for the fourth quarter ended March 31, 2012. Net sales grew 38% to Rs 173 crore on y-o-y basis.

The market breadth in BSE remains healthy with 921 shares advancing and 443 shares declining.