Nifty hits 5500 first time since Aug '11; Tata Motors up 7%

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The Nifty touched the 5500 level for the first time since August 1, 2011, led by auto, banks, capital goods, telecom and metals stocks. Asian markets too moved up further - Nikkei shot up 2.5% while others gained 0.8-2%.

Back home, the Sensex was up 281 points at 18,129.89 and the Nifty moved up 82 points to 5,500. However, index heavyweight Reliance Industries and FMCG major HUL declined 0.5%.

According to technical analyst Anil Manghnani of Modern Shares & Stock Brokers, market has a reached a point now where one should look to book profits. "If Nifty takes out 5460, then its suggesting that another probably 5,650-5,700 could be the next range," he added.

Tata Motors retained its top position in the buying list, rising nearly 7% post its stellar performance in third quarter numbers led by JLR sales. Tata Motors DVR rallied 15%. Among other auto stocks, Maruti rose 4.5%; M&M gained 2.8% and Bajaj Auto went up 1.4%.

Capital goods majors L&T and BHEL were up 3.6% & 2%, respectively. Index heavyweights ICICI Bank and Bharti Airtel rose 2.5%. SBI, TCS, Infosys, ONGC, HDFC and HDFC Bank climbed 0.7-1.6%.

The market breadth too was strong; about three shares advanced for every share falling on the BSE. The BSE Midcap Index was up 1.6% and Smallcap up 1.1%.

At 9:19 hours IST : Sensex above 18000 on positive Asian cues

The Sensex opened above the 18000 level for the first time since August 4, 2011, following positive Asian cues. Asian markets were trading 1-2% higher.

The BSE benchmark rose 210 points to 18,058.62 and the NSE benchmark gained 60.65 points at 5,478.60. All stocks were in green on NSE Nifty 50.

European finance ministers wanted Greece to submit its entire rescue package with written undertakings. EU finance ministers will host a conference call instead of the meet tonight.

Back home, in the largecap space, Tata Motors rallied 6% after better than expected numbers in Q3 on account of JLR performance. However, standalone performance continues to dissapoint the street due to raw material pressures and higher marketing spends. Tata Motors DVR climbed 10%.

L&T, DLF, BHEL, Reliance Infrastructure, JP Associates, Tata Power, Bharti Airtel, Bajaj Auto, Infosys, Axis Bank, SBI and Kotak Mahindra Bank gained 1-2.5% in early trade.

However, HUL, Reliance Industries and TCS were flat.

The broader markets too were trading higher. The CNX Midcap rose 87 points to 7,708. About five shares advanced for every share falling on the National Stock Exchange.

Results Reactions: Voltas shot up 7.5%. ITI and Cox & Kings were up 1% each while Alok Industries was down 2.5%. Kohinoor Foods fell 1%

Infrastructure stocks like Suzlon, Lanco Infra and GVK Power were up 2-3%. Taj GVK moved up 8%.

Max India rose 4% after the Economic Times reports that New York Life will exit Indian insurance JV and partner Max India will get 1/3rd proceeds.

However, Educomp Solutions fell 3% and Dhanlaxmi Bank lost 3.5%.