Markets open flat; Cipla, ONGC top gainers

Markets have started the trading session on a flat note with Sensex and Nifty hovering around 25,200 mark and 7,550 levels, respectively.

Meanwhile, the Securities & Exchange Board of India (Sebi) on Thursday sought to breathe fresh life into the stock markets through a series of steps, including a mandatory 25% public holding in state-run companies and a 10% reservation for retail investors in share sales through the exchanges.

Currently, listed public sector companies need a minimum 10% public shareholding and the increase in the threshold will result in a string of equity issues, helping the cash-strapped government mop up over Rs 60,000 crore, based on current market price.

By 9:30, the Sensex was higher by 4 points at 25,205 mark and the Nifty declined by 5 points at 7,536 levels.

An index of global stocks was near record highs on Friday while gold celebrated its biggest one-day rise in nine months as markets wagered policies would stay super loose in the United States, Europe and Japan for a long time to come.

Investors piled into bullion while selling U.S. government debt on the premise the Fed might be comfortable with higher inflation if it meant faster economic growth.

Spot gold was enjoying the view at $1,314.56 an ounce having climbed 3.3 percent overnight in the sharpest gain since last September.

Traders also said a major hedge fund had cut back a large short position in the precious metal which pushed prices above $1,300 an ounce and tripped a host of stop-loss buy orders.

Equities were in ebullient mood with MSCI's all-country world index, which includes about 85 percent of global investable equities, passing its previous all-time high set in November 2007.

Japan's Nikkei consolidated at five-month peaks, while the broader TOPIX brought its gains to more than 10 percent in just the past four weeks.

Brent crude hit a nine-month high of more than $115 a barrel on Thursday as the United States said it could send military advisers to Iraq, raising concerns about the escalating conflict.

Back home, foreign portfolio investors (FPIs) sold shares worth a net Rs 420.51 crore on Thursday, as per provisional data from the stock exchanges.

On the sectoral front, BSE Bankex, Power, Metal and Auto indices are trading marginally lower. However, BSE Realty, Oil & Gas, Consumer Durables and Healthcare indices have gained marginally.

The main losers on the Sensex are Tata Power, Coal India, M&M, Sun Pharma and SBI have declined between 0.5-2%.

On the gaining side, Cipla, ONGC, Tata Steel, HDFC and Hindalco have gained between 1-2%.

The broader markets are trading flat in line with the benchmark indices. The market breadth in BSE remains marginally positive with 746 shares advancing and 649 shares declining.