The markets opened sluggish, this trading session following mixed cues from the global peers. The BSE Sensex opened at 16,550, down 148 points and the Nifty opened at 4,968, down 47 points.
Meanwhile, in the US markets, overnight, stocks experienced a roller-coaser ride as investors reacted to a better-than-expected readings on US growth and signs of stailization in Europe. Europe again averted disaster in its debt crisis when German lawmakers rallied behind Chancellor Angela Merkel to approve a stronger euro zone bailout fund on Thursday. The markets remained volatile throughout the day before rallying into the close. The Dow Jones industrial average closed up 1.3% at 11,154. The S&P 500 closed up 0.8% at 1,160, after earlier being up as much as 2.2%. The Nasdaq Composite fell 0.4% at 2,481.
Asian markets, in morning deals, are trading mixed with the Nikkei having gained 0.3% for a fourth straight day of gains after the German vote boosted hopes about an eventual resolution to Europe's sovereign debt woes. However, the Shanghai Composite and Hang Seng indices have shed 0.2% and 1.7%, respectively.
Back home, on Thursday, markets advanced 2% on back of short covering ahead of derivatives expiry, and buying in IT and auto shares. The Nifty ended up 70 points, at 5,015 and the Sensex surged 252 points, at 16,698.
"Nifty future now caps an immediate resistance around 5050 levels, holding above this level on closing basis may give further buying momentum towards 5120-5150 levels. Whereas on the downside, 4950 holds as an immediate cap, below which 4900-4880 levels can be again seen by the market," said Ashish Chaturmohta, IIFL Private Wealth. He also added the stocks which are looking positive include ACC, BIOCON and Hindustan Unilever whereas weakness continues to remain in Axis Bank, Tata Steel and Larsen & Toubro.
Among the sectoral indices, BSE Oil & Gas, Bankex and Power indices, down 2% each, are the leading the losses. BSE Consumer Durables is the only one in the positive, up nearly 1%.
Reliance Industries, ONGC and Gail, down nearly 1% each, are the major losers among the Oil & Gas stocks.
Punjab National Bank, SBI, Axis Bank and ICICI Bank, down 1% each, are the prominent losers from the financials' space.
BSE Consumer Durables index is the only one in the positive, up nearly 1%.
Larsen & Toubro, up 0.4% at Rs 1,375 is the major gainer among the Sensex stocks. Other prominent gainers include Coal India, Bharti Airtel and Jindal Steel. The losers from the pack include Bajaj Auto, Hindalco Industries, HDFC, Hindustan Unilever abd DLF, down 1-2% each.
The overall market breadth is negative as 698 stocks have declined against 562 advancing ones, on the BSE.
