Markets remain firm

Benchmark Indices are trading higher led by consistent buying demand among rate-sensitive sectors like Auto, Realty and banking stocks.

By 1200, Sensex gained by 105 points at 19,470, and the Nifty was 31 points at 5,928 levels.

On the global front, Asian markets are trading positive too as optimism grew that a deal would be made to avert the "fiscal cliff" amid hopes of economic stimulus from the Bank of Japan this week.

Back home, the rupee rose by 12 paise to 54.73 against the US dollar in early trade today at the Interbank Foreign Exchange on selling of American currency by exporters and banks.

On the sectoral front, BSE Auto, Realty and Metal indices have surged by almost 2% followed by counters like Oil & Gas, Healthcare, Consumer Durable, TECk, IT and PSU, all gaining by 1% each.

From the Auto space, Tata Motors is up by 3%, extending its past four days gain after the company's UK subsidiary Jaguar Land Rover (JLR) reported a stronger-than-expected November sales.

Bajaj Auto and Maruti Suzuki have surged by 2%.

Bank stocks rose after government cleared the banking bill paving way for foreign investments in the sector and establishment of new private banks. Moreover, hopes of policy easing by the Reserve Bank of India in January monetary policy after positive undertone in Tuesday's review aided buying in other rate-sensitives too.

Among individual shares, DLF has moved higher by 2% at Rs 227 after the company said it will sell its Aman Resorts luxury hotel chain in a management buy-out with an enterprise value of around $300 million (approx Rs 1,600 crore).

Rashtriya Chemicals and Fertilizers (RCF) is trading higher by 3% at Rs 57 on reports that the government may divest their stake through offer for sale to meet the minimum public shareholding requirement.

The market breadth in BSE remains positive with 1,575 shares advancing and 1,027 shares declining.