Markets remain firm, realty stocks surge
Markets are trading on a firm note in the noon deals on the back of continued buying visible in realty, metal, capital goods and banking stocks. The Sensex has advanced 133 points to 17,737 and the Nifty is at 5,370, up 44 points.
In Asia, Nikkei average closed at a three-month high on Monday, shrugging off a disappointing earnings season for Japanese firms as robust jobs data boosted confidence in an economic recovery in the United States. The index advanced 1.1% to 8,929 levels. Other Asian markets like Hang Seng, Shanghai and Taiwan were trading on a flat note.
Back home, Nandish Patel, Derivative Analyst at Sharekhan expects any dip can be taken as an opportunity for going long. "From past couple of trading session we had seen an up tick in PCR ratio. Also we had seen 145% addition in Nifty put option 5,300 & on the call side 5,500-5,600 has seen good addition indicating overall bias is positive and any dip in the market can be taken as an opportunity for going long for higher targets of 5,425-5,550."
State Bank of India is the top gainer among the Sensex stocks, up 3.1% at Rs 2,168. DLF, Hindalco, Sterlite Industries, Jindal Steel, BHEL, Larsen & Toubro, TCS, Maruti Suzuki, ICICI Bank, Bajaj Auto and Cipla are also trading higher by 1.5-3% each.
However, Tata Power, Gail India, index heavyweight Reliance Industries, HDFC Bank, Bharti Airtel, NTPC and HDFC are among the notable losers.
On the sectoral front, the BSE realty index is the top gainer, up 4.4% or 78 points at 1,862 levels. Metal index has also jumped 2.3% or 271 points to 12,146. Capital goods, PSU, consumer durables, banking and auto shares are also witnessing buying in trades thus far.
On the other hand, the BSE Oil & Gas index is the only loser on the sectoral front.
DB Realty is the top gainer among the realty stocks, up 15% at Rs 71.
Unitech has also advanced 11.5% to Rs 29 on back of huge volumes. As many as 39.09 million shares have already changed hands on the counter so far, against an average 32.7 million shares that were traded daily in past two weeks on the NSE and BSE.
HDIL, Anant Raj Industries, Oberoi Realty, DLF, Phoenix Mills, Sobha Developers and Parsvnath Developers are also trading higher by 1-4.5% each.
Among the individual shares, SKS Microfinance has frozen upper circuit of 10% at Rs 98.45 on completion of a rated pool assignment of Rs 243 crore, the largest by any microfinance institutions (MFI) in FY12.
Venus Remedies has surged 17% to Rs 204 after the company said it has achieved first patent grant from Japan patent office for its research product ‘Vancoplus’, only known remedy to control Methicillin Resistant Staphylococcus Aureus (MRSA).
The broader markets have outperformed the benchmark indices. The BSE mid-cap index is up 1.6% or 100 points at 6,146 and the small-cap index is at 6,813 levels up 127 points.
The overall breadth is positive as 1,878 stocks are advancing while 827 are declining.