Markets make a flat beginning

Markets have opened on a flat note. The Sensex opened up 33 points at 16,499 and the Nifty opened up 5 points at 4975 mark.

US stocks advanced on Tuesday, but sharply pared gains late in the session. The Dow Jones industrial average rose 60.01 points, or 0.48 per cent, to 12,482.07 at the close. The Standard & Poor's 500 Index added 4.58 points, or 0.36 per cent, to 1,293.67.

On the domestic front, accepting a major demand of the cash-strapped aviation industry, the government on Wednesday said it would soon launch the process to allow foreign airlines 49 per cent stake in Indian carriers. Allowing foreign airlines to pick up take in Indian carriers would mark a major policy shift, analysts say.

Among sectors, BSE Oil & Gas index has zoomed by nearly 2%. Index heavy weight Reliance Industries today announced that the company would buy back shares on January 20. The company is expected to report its Q3 numbers on the same day. The stock is up by nearly 3%.

However, BSE Technology index is down by nearly 1%. TCS reported an 18.26% jump in consolidated net profit to 2,802.77 crore for the quarter ended December 2011 post market hours yesterday. The stock is down by nearly 3%.

The main gainers on the Sensex at this hour include Reliance Inds, Tata Power, Sun Pharma, HDFC Bank and GAIL.

The broader markets are trading marginally higher.