Markets trade flat at opening bell

Wipro, Infosys trades in red

The markets have reacted to the Wipro’s March 2012 quarter results and global cues, opening absolutely flat. The Sensex is up 24 points at 17,231. Nifty has gained seven points to 5,230.

US markets rose on Tuesday after strong earnings from 3M and Apple. The Dow Jones industrial average gained 0.6% to 13,002, while the Standard & Poor's 500 Index rose 0.4% to 1,372.

Asian shares rose on Wednesday as firm US corporate earnings, signs of an improving US housing market, and healthy demand for euro zone sovereign debt stoked risk appetite, while focus shifted to the Federal Reserve's meeting. MSCI's broadest index of Asia-Pacific shares outside Japan was up 0.3%, while Japan's Nikkei average opened up 1.2%.

IT shares are in red. BSE IT index has dropped 1.5% to 5,479. Wipro has slipped following its quarterly numbers. The software services exporter, reported a 1.7% rise in quarterly net profit, roughly in line with analysts expectations, as its cost-conscious customers bumped up demand.

Meanwhile, the BSE metal index has added 1% to 11,128. Oil & gas, healthcare and bankex are up half a per cent each.

TCS and Infosys from the IT space have followed Wipro and shed 1% each. Gail has slipped 1% to Rs 345. Mahindra & MAhindra and Coal India are marginally in red.

Meanwhile, Bharti Airtel has added 2.5% to Rs 314. Metal shares are shining.Sterlite has gained 2% at Rs 108, followed by over 1% gains each in Jindal Steel, Tata Steel and Hindalco.

Tata Power, Bajaj Auto, SBI and Cipla are up. Market heavyweight - Reliance is up 0.7% a Rs 740. ICICI Bank is up 0.6% at Rs 852.

Sesa Goa has surged 2% at Rs 187 in spite of the 20.5% decline in its consolidated net profit at Rs 1,162 crore for the fourth quarter ended March 2012.

Telecom stocks remained in focus today as the regulator has proposed a 10-fold increase in the reserve price for spectrum over what operators had paid in 2008. Reliance Communications has added 1% while Idea Cellular has moved up marginally.

JM Financial group has increased its stake in IVRCL to 5.04% by acquisition of an additional 1.2 million shares. Shares of JM Financial has jumped 3% to Rs 14.25. IVRCL is also up 0.8% at Rs 61.35.

BSE market breadth is positive. Out of 1,329 shares traded, 880 shares have advanced while 388 shares have decined.