Sensex maintains uptrend; Tata Power, RIL underperform

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The Nifty continued to trade higher, holding the 5350 level despite fall in European markets on opening. Major largecaps like ICICI Bank, SBI, L&T, TCS and BHEL were supporting the market; however, fall in Reliance Industries limited the upside. The BSE benchmark rose 126 points to 17,730.79 and the NSE benchmark gained 43.5 points at 5,369.35.

Nirmal Jain, chairman of IIFL believes that worst is over for equity market and sees significant improvement in investor sentiments. Jain expects the markets to consolidate with a positive bias till the Budget. "If the FII money continues to pour in we'll see a positive trend in the market," he said.

Shares of SBI, ICICI Bank, L&T and BHEL rallied 2-2.9%. Sterlite, Jindal Steel, Hindalco and DLF climbed 2-3%.

Among others, TCS, Tata Steel, Bajaj Auto, Maruti and Cipla were up 1-1.7%.

However, Tata Power retained its top position in selling list, falling 4%. Index heavyweight Reliance Industries dropped 0.8%.

Even ONGC, Bharti Airtel, Wipro and Infosys were flat with a negative bias.

The broader markets consistently outperformed the benchmarks - BSE Midcap Index was up 1.7% and Smallcap up 2%.

European markets like France's CAC, Germany's DAX and Britain's FTSE fell 0.3-0.8% in the opening trade, may be led by profit booking.

At 12:48 hours IST : Nifty holds morning gains; SBI, ICICI Bank, L&T, BHEL lead

The Sensex erased some gains due to fall index heavyweight Reliance Industries, though it retained its 100 points gains led by banks, capital goods, metals and FMCG stocks. The BSE benchmark was up 134 points at 17,739 and the Nifty climbed 44 points to 5,370.

Shares of country's largest lenders SBI and ICICI Bank were leading the gains, rising 3% & 1.5%, respectively.

Capital goods majors L&T and BHEL rose 2% each. In the metal space, Hindalco and Sterlite Industries gained nearly 3%; Jindal Steel and Tata Steel moved up around 1.5%.

Auto stocks like Bajaj Auto, Maruti and Hero Motocorp were up 1.2-1.6%; Tata Motors and M&M were marginally higher.

In the technology space, TCS rose 1.7% and Infosys was up just 0.3%. However, Reliance Industries and HDFC Bank fell 0.3%. Tata Power remained top loser, falling nearly 3%.

Advancing shares outnumbered declining by 1850 to 813 on the BSE.

Midcaps like India Infoline, DB Realty, Unitech, Voltas and TV18 Broadcast shot up 8-18%. Smallcaps like Sandur Manganes, PI Industries, Kolte-Patil, Federal-Mogul and Claris Life rallied 14-16%.