Markets trade firm, Sensex up 468pts

The Indian markets witnessed a gap up opening today on the back of positive global cues. The BSE Sensex is at 16,591, up 468 points and the Nifty is at 4,975, up 143 points.

ICICI Bank and HDFC Bank are the Sensex movers, accounting for a 112-point gain.

Overnight, the US stocks surged after major central banks agreed to make cheaper dollar loans for struggling European banks to prevent the Euro-zone debt woes from turning into a full-blown credit crisis.

The Dow posted its best day since March 2009 after the Federal Reserve, the European Central Bank and other major central banks stepped in to head off escalating funding pressures that threaten the key arteries of the world's financial system.

The Dow Jones industrial average surged 4.24 per cent to end at 12,045.68. The Standard & Poor's 500 Index jumped 51.77 points, or 4.33 per cent, to 1,246.96.

In Asia, Japan's Nikkei 225 index rose 2.4 per cent and South Korea's Kospi gained 3.7 per cent. Back home, the Nifty is likely to face resistance around 4,870 – 4,890, while it will seek support around 4,795 – 4,770 levels, analysts say.

Among the sectoral indices, BSE Metal, Bankex, Auto and Realty, up 3-5% each, are leading the gains.

Sterlite Industries, Hindalco Industries, Tata Steel and JSW Steel, up 5-8% each, are the major gainers among the Metal stocks.

Among the financials, IndusInd bank, HDFC Bank and Axis Bank, up 4-6% each, are the prominent gainers.

On the Sensex, Hindalco Industries, Sterlite Industries, ICICI Bank, Tata Motors and HDFC Bank, up 5-8% each, are the prominent gainers.

Ranbaxy Laboratories has rallied over 10% to Rs 480 after the United States Food and Drug Administration (USFDA) granted approval to produce generic version of cholesterol lowering drug Lipitor (atorvastatin calcium tablets). A move by the United States health regulator will help the company to launch the drug in the American market.

The overall market breadth is positive as 1,037 stocks have advanced against 181 declining ones, on the BSE.