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Indian Shares Firm In Early Trade

Indian shares edged higher on Thursday, in tandem with gains on Wall Street overnight and in Asia this morning, as an encouraging start to the U.S. earnings season and easing bond yields in Spain and Italy lured buyers.

The benchmark 30-share Sensex is currently trading up 114 points or 0.66 percent at 17,313, with 25 of its components advancing. The broader NSE index is up 36 points or 0.68 percent at 5,262, while the BSE mid-cap and small-cap indexes are rising over a percent each.

Metal stocks are rebounding even as concerns remain about future demand for industrial metals in the wake of slowing global growth. Hindustan Zinc, Tata Steel, Sterlite Industries, Sesa Goa, JSW Steel, Hindalco and SAIL are up 1-2 percent.

Aviation stocks are extending gains on renewed expectations of announcement of FDI in aviation this week. Kingfisher is climbing 4 percent, Jet Airways is up 1.4 percent and SpiceJet is moving up 1.6 percent.

Reliance Communications is gaining 1.1 percent as the telecom major confirmed media reports that it is evaluating a potential initial public offering for its undersea cable unit Flag Telecom. Coal India is up 0.4 percent on reports that it may raise prices of some grades of coal by the end of this month.

Financial Technologies is climbing 3.6 percent after the Supreme Court asked market regulator SEBI to consider its application to start a full-fledged stock exchange. Parekh Aluminex is up 0.6 percent as it sought shareholder nod to raise up to Rs.400 crore by way of an institutional share placement and other permissible securities.

MT Educare is trading at Rs.86.05 on its debut, up 7.5 percent from its initial public offering price of Rs.80 a share. National Buildings Construction Corporation saw a poor debut, with the stock trading at Rs.100, down about 6 percent from its initial public offering price.

Infosys is down 0.6 percent ahead its Q4 results tomorrow, rival TCS is declining 0.4 percent and Wipro is edging down 0.1 percent.

Indian shares ended yet another lackluster session on a flat note on Wednesday, as investors reacted to recent disappointing economic data from the U.S. and China, rising bond yields in Spain and Italy and a tsunami warning issued in 28 countries, including India. The benchmark 30-share Sensex moved in the range of 17,076-17,319 before ending down 44 points or 0.26 percent at 17,199, while the broader Nifty index fell 17 points or 0.32 percent to 5,227.

by RTT Staff Writer

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