GAINING STRENGTH

Sustained buying by funds and retail investors in backdrop of encouraging global leads, have led to the spurt in Indian equity markets, which trading strength to strength, are currently oscillating near the intra-day's high. Shore-up of the Indian currency on revival of global risk appetite combined with the firming trend of the Asian bourses, have protracted the gaining momentum of the bourses from the past two trading session.

On the global front, Asian shares have shot higher as concerns over Europe's financial strains could intensify ignited hopes that policy makers would unveil fresh monetary stimulus measures. Warning from Spain that it was being shut out of credit markets, added to the Euro zone concerns.

Back home, fertilizer stocks in the likes of Chambal Fertiliser and RCF gained 1-2% on reports that government may consider urea price hike of 10%. Additional, Telecom stocks were ringing loud for second trading session on reports of Government allowing more airwave slots in 2G auction. All the 13 sectoral indices on BSE were trading in green, however, stocks from Auto, FMCG and Power garnered major buying interest. 30 scrip sensitive index, Sensex, accumulating over 250 points, was at a striking distance of 16300 mark, while the widely followed 50 share index, Nifty, adding over 75 points, was nearing the 5000 level. Broader indices too amassed gigantic gains of over a percentage point. Needless to point, that the overall market breadth was in the favour of advances which thrashed declines in the ratio of 1516:569, while 78 shares remained unchanged.

The BSE Sensex, surging 273.59 points or 1.71% is currently trading at 16,294.23.  The index has touched a high and low of 16,294.31 and 16,100.36 respectively.  All 30 stocks on the Sensex were on advancing side.

The broader indices too gained additional traction in line with frontline indices; the BSE Mid cap and Small cap indices surged by 1.22% and 1.16% respectively.

None of the 13 sectoral indices were trading in red, however, the top gaining sectoral indices on the BSE were, Auto up by 2.31%, FMCG up by 2.27%, Power up by 2.23%, Realty up by 2.06% and Metal up by 1.95%.

Since all the 30 stocks are on advancing side, there were losers on Sensex, however, the top gainers were Tata Motors up by 3.84%, ITC up by 3.32%, Jindal Steel up by 3.22%, Hero MotoCorp up by 3.18% and NTPC up by 2.38%.

Meanwhile, Prime Minister Manmohan Singh has called an infrastructure meet in the backdrop of weak GDP numbers of the last quarter to review the status of sector and push the slowing growth. In the meet he is expected to issue directions for scaling up infrastructure targets and will take stock of such sectors at a time when projects worth Rs 1.46 lakh crore are pending because of absence of regulatory clearances. Apart from various other important decisions, the meet is expected to finalise an Airline Hub Policy and give a push to setting up of 17 new airports, including seven international ones.

Airline Hub Policy, which has been formulated on concern of loss of outbound air traffic from India to adjoining hub airports such as Dubai and Singapore would focus on making India an aviation hub by expanding both regional and international air connectivity through, various steps which include making visa processing easier so that more passengers fly from India to destinations in Europe and America.

Though, the complete agenda of the meet is not disclosed but it has been reported that the meeting on infrastructure will also consider launch of bullet train between Mumbai and Ahmedabad, elevated rail corridor in Mumbai and starting of two new major ports and setting up targets, at least three times higher than last year in the ports sector.

The S&P CNX Nifty is currently trading at 4,944.90, higher by 81.60 points or 1.68%. The index has touched a high and low of 4,945.30 and 4,886.15 respectively.  There were 46 stocks advancing against just 4 declining one's on the index.

The top gainers of the Nifty were Tata Motors up by 3.86%, Hero MotoCorp up by 3.44%, Reliance Infra up by 3.35%, ITC up by 3.34% and Jindal Steel up by 3.17%.

On the flip side, Dr Reddy down by 0.94%, BPCL down by 0.47%, Cipla down by 0.06% and Ranbaxy Lab down by 0.02% remained the few losers on the index.

All the Asian equity indices were trading in the green; Shanghai Composite rose 0.27%, Hang Seng Index surged by 1.20%, Jakarta Composite soared 2.66%, KLSE Composite gained 0.48%, Nikkei 225 climbed 1.90%, Straits Times added 1.11%, and Taiwan Weighted accumulated 0.76%.

South Korea's KOSPI Composite Index remained closed for a holiday.