The Indian equity markets opened in the green on Monday, tracking global sentiment.
The Sensex opened at 18,575, up 0.38 percent and the Nifty opened at 5642, up 0.27 percent.
Asian shares inched up on Monday on hopes that Greece can avoid a near-term bankruptcy, with the market focusing on a eurozone finance ministers’ meeting later in the day, but a regional Spanish vote favouring separatist parties capped gains.
Meanwhile, US lawmakers have made little progress in the past 10 days toward a compromise to avoid the harsh tax increases and government spending cuts scheduled for January 1, a senior Democratic senator said on Sunday.
Domestically, Morgan Stanley in its report has said that India is expected to register a gradual recovery in the growth rate to 6.1 percent in 2013 driven by positive impact from policy actions and acceleration in farm output growth.
“We, thus, expect only a gradual recovery in growth to 6.1 percent in 2013 from 5 percent in 2012, driven by some positive impact from policy actions by the government and acceleration in farm output growth from a low base,” the report said.
Finance Minister P Chidambaram said India is likely to have grown 5.5 percent in Q2 and ruled any increase in the government’s borrowings.
Moreover, Indian stock markets have remained attractive for overseas investors, as foreign entities have pumped in over $19 billion so far — the second highest mark in a year. Foreign Institutional Investors (FIIs) were gross buyers of shares worth Rs 5,80,183 crore and sellers of equities worth Rs 4,80,778 crore, translating into net inflow of Rs 99,406 crore ($19.08 billion), according to the Sebi data.
Stocks in news
Jet Airways opened up 9 percent after media reports that Etihad Airways is eyeing a stake in the company.
Mahindra & Mahindra opened up half a percent after reports the company may finalise the Aston Martin deal this week.
RIL opened up half a percent after the company suggested the government appoint a team of international experts to verify what the company called “motivated and unsubstantiated canards”
Tata Steel opened almost one percent up after the company announced plans to restructure its UK business and plans to cut 900 jobs.
Hindustan Zinc opened up 2.13 percent after reports the government is planning to sell its residual stake in the company.