The markets began the trading session on a quiet note with the BSE Sensex at 17,615, up 45 points and the Nifty opened at 5,299, up 10 points. The Sensex is likely to take cues from positive trades across the global markets, this trading session.
Overnight, US stocks rallied on Tuesday, finishing near the highs of the day and erased early weekness. Italian Prime Minister Silvio Berlusconi became the biggest political casualty of the regions’ debt crisis on Tuesday when he announced he would step down after being stripped of his majority in parliament. Stocks had been seesawing Tuesday as the fate of Italy's prime minister hung in the balance, but they moved firmly higher after the Italian president's office confirmed that Berlusconi will step down. He is expected to resign following the approval of a new budgetlaw that is currently making its way through parliament.
The Dow Jones industrial average was up 0.85% at 12,170. The Standard & Poor's 500 Index was up 1.17% at 1,276. The Nasdaq gained 2,725, up 1.2%.
In Asia, the Nikkei average rose in the morning session and gained 0.94% at 8,737. The Hang Seng and Shanghai COmposite indices gained 1.94% and 0.1%, respectively.
Back home, markets ended flat after a lacklustre session of trade. The Sensex opened the day higher on global cues. However, with weakness in realty shares, the index fell to a low of 17,455. The Sensex attempted to recover and ended flat at 17,570 - up seven points. The Nifty ended up five points at 5,289.
Analysts suggest that the markets could remain volatile as the trade progresses and peg the support for Nifty at 5,150-5,200 levels.
Among the sectoral indices, BSE Consumer Durables and Metal indices are leading the gains, up nearly 1% each. BSE Healthcare is the only index in the red, down marginally.
Blue Star, Bajaj Electricals, Rajesh Exports and Whirlpool of India, up 1-2% each, are the major gainers from the Consumer Durables space.
Tata Steel, Jindal Steel & Power, Sterlite Industries and Hindalco Industries, up 1% each, are the prominent gainers among the Metal stocks.
On the Sensex, Wipro, Tata Steel, Tata Power, Jindal Steel and Hindustan Unilever, up 1-2% each, are the major gainers. The losers from the pack are Sun Pharma Industries, DLF, HDFC Bank, down nearly 1% each. Maruti Suzuki and Larsen & Toubro, down marginally, are other losers.
The overall market breadth is positive as 1,212 stocks have advanced against 546 declining ones, on the BSE.
