Markets trade higher, Wipro slips

Markets were trading firm after opening higher following positive global cues as US debt concerns eased. The Nifty index touched a high of 5,645 in opening trades and was trading at 5,633, up 20 points. The benchmark Sensex was tradingh higher by 77 points, at 18,731.

India's third largest IT services company Wipro beat analysts’ expectations, reporting 1.2% rise in consolidated net profit to Rs 1335 crore against Rs 1339 crore last year led by increased client spending. However the stock slipped 1% to Rs 411 in opening trades. Consolidated operating margin for June quarter was maintained at 23% despite the impact of salary revision; however it was lower than 25% in the same period last year.

Markets across were trading firm buoyed by technology shares after IBM reported upbeat results and signs of consensus over hiking the US debt ceiling. Japan's Nikkei Stock Average advanced 1.3%, Hong Kong's Hang Seng gained 0.3% and China's Shanghai Composite added 0.2%.

BSE Realty index was leading the gains, up 0.9%. From the realty space Peninsula Land gained 2%, DLF was up 1.5% and Sobha Developers gained 1.2%.

BSE Power shares were laggard in trade; the index was flat at 0.03%. Crompton Greaves dipped for the second consecutive day, down 4% after first quarter results disappointed and BHEL was off 0.1%. the power gear marker has shortlisted 4 banks for $1 billion issue.

From the broader markets the midcap and the smallcap indices were up 0.4% and 0.5% each.

Top gainers on the Sensex were Reliance Communication, up 1.7%, DLF advanced 1.5% and Bajay Auto was up 0.9%. Only three components on the Sensex were trading in the red, Wipro was down 1.5%, Hindalco slipped 0.4% and BHEL was down 0.1%.

Market breadth was positive 963 stocks advanced for 353 stocks which declined.