 "Markets open flat with negative bias; global markets mixed")
Markets have extended gains for the sixth straight trading session on the back of positive Asian cues and buying demand among oil shares.
By 10:20 am, the Sensex was higher by 93 points at 27,026 and the Nifty gained by 20 points at 8,173.
The top gainers from the Sensex pack are Vedanta, ONGC, Bajaj Auto, GAIL and Maruti Suzuki.
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Updated at 10:10
Markets have broken 5 day winning streak and are trading flat in opening trades on account of profit booking at higher levels and mixed global cues.
On Tuesday, markets closed higher for the fifth straight session on sustained buying, amid firm global cues, after hopes of an interest rate hike by the US Federal Reserve waned on the back of sluggish US jobs data.
By 10:10 am, the Sensex was higher by 64 points at 26,997 and the Nifty gained by 12 points at 8,165.
Among broader markets, BSE Midcap and Smallcap indices are up 0.2-0.5%. Markets breadth is positive with 1,096 shares advancing and 480 shares declining.
Further, the IMF forecasted a lower global growth of 3.1% this year citing modest pickup in advanced economies and a slowdown in emerging markets, primarily reflecting weakness in some large developing nations and oil-exporting countries.
The International Monetary fund (IMF) has lowered India’s growth forecast for FY16 to 7.3% from its July forecast of 7.5%. Growth is expected to bounce back to 7.5% in 2016-17 on the back of reforms, a pick-up in investment and lower commodity prices, it said in its latest World Economic Outlook (WEO).
Meanwhile, foreign portfolio investors (FPIs) bought shares worth a net Rs 480.24 crore yesterday, as per provisional data released by the stock exchanges. Domestic institutional investors (DIIs) sold shares worth a net Rs 424.60 crore yesterday, as per provisional data.
GLOBAL MARKETS
Asian stocks held firm on Wednesday as a sharp rebound in oil prices supported battered resource shares and emerging economy currencies, while Japanese markets were tentative ahead of a crucial Bank of Japan policy meeting.
MSCI's broadest index of Asia-Pacific shares outside Japan gained 0.2%, led by a 0.4% rise in South Korea. Japan's Nikkei was almost flat ahead of the Bank of Japan policy announcement later in the day.
Although a string of weak Japanese economic data has raised speculation of fresh stimulus from the BOJ, most market players believe governor Haruhiko Kuroda would prefer to sit tight for now.
US stocks were little changed in morning trading, with a surge in DuPont helping the Dow inch higher and a decline in health care stocks weighing on the Nasdaq. The S&P was little changed after having gained 5.6 percent over the past five days, its best 5-day run since 2011.
SECTORS & STOCKS
BSE Consumer Durables and Oil & Gas indices have gained by almost 1% each. However, sectors like Banks, Capital Goods, Metal and Realty are trading marginally lower.
The top gainers from the Sensex pack are ONGC, Vedanta, BHEL, Lupin, Hindalco, Maruti Suzki and SBI.
Oil shares are witnessing buying demand on rising crude oil prices. Crude oil prices rose more than 1%, adding to their gains from Monday and boosting the energy index by 1.3%.
Shares of oil exploration & production companies such as Oil and Natural Gas Corporation (ONGC), Cairn India and Oil India were trading higher by up to 6% on the BSE in early morning trade on rise in crude oil prices.
Cairn India has rallied 6% to Rs 169, ONGC gained 3% to Rs 255, while Oil India up 2.5% to 455 on the BSE.
Consumer Durables shares have extended gains ahead of festive season buoyed by reduction in interest rates by banks. Rajesh Export, PC Jewellers, Blue Star, Videocon, TTK Prestige and Whirphool have gained between 0.3-4.3%.
HDFC has raised Rs 5,000 crore from low- cost non convertible debentures (NCDs) and a further amount of about Rs 5,400 crore would come in from warrants, both of which got listed with a huge premium today. Shares of HDFC are up almost 1%.
Sun Pharmaceutical Industries has sought shareholder approval to raise up to Rs 12,000 crore through convertible debentures or a qualified institutional placement (QIP). The stock is trading flat.
On the losing side, Wipro, Hero Moto, ICICI Bank, Bharti Airtel and Dr Reddy’s Labs have declined 1-1.4%.
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ICICI Bank, the country's largest private sector lender, has reduced the interest rate on its home loans by only 25-30 basis points (bps), even though it reduced its base rate by 35 bps last week.
With Reuters input
