The Indian equity markets have made a positive start and trading on a firm note tracking positive cues from global indices. The US markets made a good bounce back on Friday while, all the Asian peers barring Shanghai Composite were trading in the green at this point of time, indicating strong investors' sentiments. Moreover, fresh buying by funds and retail investors too strengthened the sentiments. Back home, sustained buying in mostly all the key heavyweights along with broader indices supported BSE's -- Sensex -- and NSE's -- Nifty -- to regain their crucial 16,000 and 4,800 mark respectively. The end of the face-off between the government and anti-corruption activist Anna Hazare during the week-end too aided some sentiments to the domestic market. Software witnessed the maximum gain in trade followed by technology and bankex while, there were no losers on the BSE sectoral space. Meanwhile, textile sector stocks like Arvind, Alok Industries, Grasim Industries and Vardhman textile were trading higher in the trade as the Union Commerce Minister Anand Sharma has said that the Technology Upgradation Funds Scheme (TUFS) that provides support for textiles through interest reimbursement and capital subsidy will be extended during the 12th Plan period as well. The broader indices too were trading on a firm note. The market breadth on the BSE was positive; there were 1,360 shares on the gaining side against 334 shares on the losing side while 41 shares remained unchanged.
The BSE Sensex opened at 16,080.74; about 231 points higher compared to its previous closing of 15,848.83, and has touched a high and a low of 16,225.48 and 16,068.73 respectively.
The index is currently trading at 16,199.78, up by 350.95 points or 2.21%. All the 30 stocks were advancing on the index.
The overall market breadth has made a strong start with 78.39% stocks advancing against 19.25% declines. The broader indices too were trading on firm note; the BSE Mid cap and Small cap indices rose 1.61% and 1.40% respectively.
The top gaining sectoral indices on the BSE were, IT up by 2.81%, TECk up by 2.56%, Bankex up by 2.46%, Metal up by 2.43% and CD was up by 2.29%. While, there were no losers on the index.
The top gainers on the Sensex were Jindal Steel up by 6.74%, TCS up by 3.20%, Infosys up by 3.06%, ICICI Bank up by 2.91% and RIL was up by 2.86%. While there were no loser on the Sensex.
Meanwhile, the Reserve Bank of India (RBI) has asked banks to balance risk while lending to small scale enterprises (SME) as they play a very important role in the development of Indian economy. RBI's Deputy Governor Subir Gokarn said banks will have to balance risks while lending to small and medium enterprises if they want to make this sector a significant part of their credit portfolio.
At the SME summit, Gokarn said that if banks are looking at SMEs as a significant part of their lending activity for expanding their portfolio, they will have to balance the credit to the sector with the consideration of increased riskiness that comes with the increase in portfolio.
The government is paying special attention for facilitating finance from the formal sector to SMEs, the sector is also a part of priority sector lending. As per the RBI data, the total deployment of gross bank credit by the micro and small sector till June 2011 stood at Rs 2,334 crore from Rs 2,291 crore in March 2011. Indicating to this increasing trend Gokarn said that fair amount of attention has been given to the finance and credit problems of the SME sector as many banks have taken initiatives in providing funds to SMEs.
The S&P CNX Nifty opened at 4,806.20; about 59 points higher compared to its previous closing of 4,747.80, and has touched a high and a low of 4,857.75 and 4,806.05 respectively.
The index is currently trading at 4,848.90, higher by 101.10 points or 2.13%. There were 49 stocks advancing against only 1 decline on the index.
The top gainers of the Nifty were Jindal Steel up by 6.71%, TCS up by 3.47%, Infosys up by 3.29%, Reliance Infra up by 3.26% and IDFC up by 3.24%.
On the flip side, Sesa Goa down by 1.57% remained the lone loser on the index.
All the Asian counterparts barring Shanghai Composite were trading in the green; Hang Seng was up 296.63 points or 1.51% to 19,879.51, KLSE Composite was up 2.46 points or 0.17% to 1,447.27, Nikkei 225 was up 120.06 points or 1.36% to 8,917.84, Straits Times was up 37.75 points or 1.37% to 2,785.93, Seoul Composite was up 55.91 points or 3.14% to 1,834.86 and Taiwan Weighted was up by 160.54 points or 2.16% to 7,605.64.
On the flip side, Shanghai Composite was down by 27.79 points or 1.06% to 2,584.40.
The BSE Sensex opened at 16,080.74; about 231 points higher compared to its previous closing of 15,848.83, and has touched a high and a low of 16,225.48 and 16,068.73 respectively.
The index is currently trading at 16,199.78, up by 350.95 points or 2.21%. All the 30 stocks were advancing on the index.
The overall market breadth has made a strong start with 78.39% stocks advancing against 19.25% declines. The broader indices too were trading on firm note; the BSE Mid cap and Small cap indices rose 1.61% and 1.40% respectively.
The top gaining sectoral indices on the BSE were, IT up by 2.81%, TECk up by 2.56%, Bankex up by 2.46%, Metal up by 2.43% and CD was up by 2.29%. While, there were no losers on the index.
The top gainers on the Sensex were Jindal Steel up by 6.74%, TCS up by 3.20%, Infosys up by 3.06%, ICICI Bank up by 2.91% and RIL was up by 2.86%. While there were no loser on the Sensex.
Meanwhile, the Reserve Bank of India (RBI) has asked banks to balance risk while lending to small scale enterprises (SME) as they play a very important role in the development of Indian economy. RBI's Deputy Governor Subir Gokarn said banks will have to balance risks while lending to small and medium enterprises if they want to make this sector a significant part of their credit portfolio.
At the SME summit, Gokarn said that if banks are looking at SMEs as a significant part of their lending activity for expanding their portfolio, they will have to balance the credit to the sector with the consideration of increased riskiness that comes with the increase in portfolio.
The government is paying special attention for facilitating finance from the formal sector to SMEs, the sector is also a part of priority sector lending. As per the RBI data, the total deployment of gross bank credit by the micro and small sector till June 2011 stood at Rs 2,334 crore from Rs 2,291 crore in March 2011. Indicating to this increasing trend Gokarn said that fair amount of attention has been given to the finance and credit problems of the SME sector as many banks have taken initiatives in providing funds to SMEs.
Gokarn said banks need to realize that as they move down the scale of hierarchy; risks will increase...that is the nature of business and commercial environment. Therefore, there is a need to balance out risk with lending activity.' He also argued that there is need for developing a system for risk management, so that the lending to SME sector becomes more commercially viable and competitive. He also noted that the government policy intervention can make this sector more viable and competitive.
He also pointed that the SME sector needs to adopt a collaborative approach for their overall development. 'If they collaborate, they will be able to leverage larger challenges such as technology availability, brand building and marketing among others,' Gokarn added. The S&P CNX Nifty opened at 4,806.20; about 59 points higher compared to its previous closing of 4,747.80, and has touched a high and a low of 4,857.75 and 4,806.05 respectively.
The index is currently trading at 4,848.90, higher by 101.10 points or 2.13%. There were 49 stocks advancing against only 1 decline on the index.
The top gainers of the Nifty were Jindal Steel up by 6.71%, TCS up by 3.47%, Infosys up by 3.29%, Reliance Infra up by 3.26% and IDFC up by 3.24%.
On the flip side, Sesa Goa down by 1.57% remained the lone loser on the index.
All the Asian counterparts barring Shanghai Composite were trading in the green; Hang Seng was up 296.63 points or 1.51% to 19,879.51, KLSE Composite was up 2.46 points or 0.17% to 1,447.27, Nikkei 225 was up 120.06 points or 1.36% to 8,917.84, Straits Times was up 37.75 points or 1.37% to 2,785.93, Seoul Composite was up 55.91 points or 3.14% to 1,834.86 and Taiwan Weighted was up by 160.54 points or 2.16% to 7,605.64.
On the flip side, Shanghai Composite was down by 27.79 points or 1.06% to 2,584.40.
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