Despite a none too positive lead from global markets, stocks opened on a firm note on the Indian bourses this morning amid rising hopes that the government will speed up reforms after the Cabinet Committee on Economic Affairs approved the scheme for financial restructuring of State Distribution Companies.
The Sensex , which rose to 18,790 in early trades, is currently up 60 points or 0.32% at 18,733.34. The Nifty index of the National Stock Exchange is up 10.75 points or 0.2% at 5680.35, more than 20 points off an early high of 5702.70.
Following the government approving a major bailout package for power generation and distribution companies, shares from power sector are having a good spell out in positive territory this morning. Several stocks from this space had posted impressive gains in the previous session as well.
Capital goods stocks are also extending recent gains. Realty, PSU and bank stocks are finding good support. FMCG stocks, among the notable losers in the previous session, are back in the reckoning now.
Select metal, autombile and pharmaceuticals stocks are trading higher. Oil and information technology stocks are mostly subdued.
BHEL, a big gainer in the previous session, is up nearly 2.5% at Rs 254 now thanks to hectic buying at the counter. Cipla, HDFC, Tata Power, NTPC, Larsen & Toubro and State Bank of India are trading higher by 1% - 2%.
ITC, GAIL India, Hindalco, Sterlite Industries, Mahindra & Mahindra, Bajaj Auto, Coal India, ICICI Bank and Reliance Industries are also trading higher.
Punjab National Bank, Ranbaxy Laboratories, Kotak Bank, Grasim Industries, Power Grid Corporation, Siemens, Sesa Goa, BPCL, Asian Paints and Jaiprakash Associates are up with sharp to moderate gains.
Cairn India and Jindal Steel & Power are down 2.6% and 2.2%, respectively. Bharti Airtel, Reliance Infrastructure, HDFC Bank, Axis Bank, Tata Steel and ONGC are also trading notably lower.