Stocks opened on a higher note Tuesday as global equities gained ground. All sectoral indices were trading with gains with the auto,oil&gas and metal counters leading the pack. All eyes will be on the Reserve Bank of Indias monetary policy which is scheduled later today.
The event of the day undoubtedly will be the RBI's monetary policy review. While it is almost certain that the key rates will be hiked, the opinions are divided over the extent of hike. Axis Bank and Zee Entertainment are the important results to watch out for today. Technically, markets are on a slippery ground.
After 5 days of consecutive fall, a recovery is not ruled out, a herculean effort is required to put the humpty-dumpty back on the wall. 5280, yesterday's high would work as an immediate resistance while 5160, yesterday's low is the immediate support. Sell on rallies remains the view till a higher-top higher-bottom formation is restored, said Anagram Stock Broking.
National Stock Exchanges Nifty was at 5221.85, higher by 0.35 per cent or 18.2 points from the previous close. The index touched a high of 5236.40 and low of 5208.30 in early trade.
Bombay Stock Exchanges Sensex was trading at 17,466.26, higher by 65.58 points or 0.38 per cent. The index rose to a high of 17,495.04 after opening trade at 17,394.68.
BSE Midcap Index gained 0.73 per cent and BSE Smallcap Index advanced 0.87 per cent.
US stocks rose late on Monday as investors reassessed the potential damage of the fraud case against Goldman Sachs and earnings optimism grew.
The Dow Jones Industrial Average rose 73.39 points, or 0.67 per cent, to 11,092.05. The Standard & Poor's 500 Index added 5.39 points, or 0.45 per cent, to 1,197.52. The Nasdaq Composite Index edged down 1.15 points, or 0.05 per cent, at 2,480.11.
Asian markets moved higher Tuesday as concerns surrounding the Goldman Sachs issue eased and as US equities gained ground. The Nikkei was up 0.63 per cent, Topix advanced 0.81 per cent, Straits Times added 0.65 per cent and Taiex rose 0.6 per cent.