Markets firm tracking global cues, Sensex crosses 17k

ICICI Banks is top gainer among Sensex stocks

Markets continue to trade on a strong note in the late morning deals on the back of positive global cues and buying visible in the banking and capital goods stocks ahead of the Reserve Bank of India's (RBI) policy review which is due tomorrow.

The 30-share Sensex has jumped 178 points to 17,017 and the Nifty is up 55 points at 5,155 levels.

Earlier in the day, the BSE benchmark index touched the day's high at 17,037 and the day's low at 16,919.

In Asia, Japan's Nikkei share average rose to a one-week high on Monday, powered by growing expectations that the US Federal Reserve and the European Central Bank may implement further stimulus measures. The index is at 8,606, up 0.46%. The Hang Seng index is up 1.46% while the Shanghai Composite index is down 0.37%.

The rupee today rose 14 paise to 55.20 against the dollar in early trade the Interbank Foreign Exchange on selling by exporters and banks amid euro's strength against the American currency.

The rate sensitive sector stocks are on the buyers radar in trades today. The BSE banking index- bankex is the top sectoral gainer, up nearly 2% or 225 points at 11,858 levels. Capital goods index is also trading higher by 2% at 9,489. Realty and auto indices have also advanced nearly 2% each.

From the banking space, ICICI Bank is the top gainer, the stocks is trading higher by almost 4% at Rs 968. It has surged to its 5-month high price after the private sector lender reported 36% year-on-year (yoy) jump in its standalone net profit at Rs 1,815 crore for the quarter ended June 30, 2012.

Tata Motors, Sun Pharma Industries, Larsen & Tuobro, Cipla and Mahindra & Mahindra have also jumped 2-3% each.

Among individual stocks, TRF Limited has tanked over 9% at Rs 248 on reporting a net loss of Rs 22 crore for the quarter ended June 2012 due to lower realization and higher interest cost. The commercial vehicles maker had a net profit of Rs 3.6 crore in the corresponding quarter of previous fiscal.

IRB Infrastructure Developers has surged over 6% to Rs 121 on reporting a better-than-expected net profit of Rs 142 crore, as against an average analyst estimate of Rs 100 crore for the quarter ended June 2012. The infrastructure company had reported a net profit of Rs 134 crore during the corresponding quarter of previous fiscal.

BSE market breadth is positive. Out of 2,348 stocks traded, 1,418 stocks have advanced, while 823 stocks have declined.