IT, Cement markets surge

At 11:09 am (IST), the BSE 30-share Sensex is up by 61 points at 10756 and NSE Nifty is up by 14 points at 3165.

The markets are trading higher on back of buying in Cement, Auto, Banking and Metal stocks. At 11:09 am (IST), the BSE 30-share Sensex is up by 61 points at 10756 and NSE Nifty is up by 14 points at 3165. Tata Motors, Infosys, Zee Telefilms, ACC and HDFC are among the major gainers in the 30 Sensex scrips.

Positive global cues, led by the US market, and the institutions (FIIs and MFs) renewing their buying spree gradually over the past couple of days have lifted the sentiments of the investors. Reports of India's rains in the crucial sowing month of July are likely to be 90 - 100% of the long-term average has also boosted the sentiments.

US stocks closed higher on Monday, as fund managers made portfolio additions as the third quarter got underway and a set of reports pointing to slowing economic growth pleased investors worried about inflation. The S&P 500 Index added 9.99, or 0.8%, to 1280.19. The Dow Jones rose 77.80, or 0.7%, to 11,228.02. The NASDAQ rose 18.34, or 0.8%, to 2190.43.

Cement stocks are trading with gains after the company announced its monthly sales numbers. ACC June sales rose 4.6% to 1.54mn tons, Gujarat Ambuja June sales rose 9% to 1.18 mn tons. ACC has gained by 2% to Rs. 798, Grasim Industries is up by 1.50% to Rs. 1926 and Mangalam Cement is up by 3% to Rs. 166.

Tech stocks have advanced further. The rupee's slide against the US Dollar in the April-June quarter may prop up the Heavyweight IT stocks.