ET

Mumbai, Nov 25: Equities were firm after a gap-up opening as global markets rose after the US government announced bail-out package to rescue banking major Citigroup. All the sectoral indices were in the green led by metals, banks and power stocks. Market may witness some volatility on account of November F&O expiry this Thursday.

“Though stock futures have added 2 per cent OI, the Put Call ratio has seen a mild deterioration. The overall rollover is back to normal levels but the Nifty is falling short. With this background, we do not expect the Nifty to improve to go beyond its tether at 2850. At 2900 call writing for the next month has taken place. Write 3000 call if the 2800 level in the Nifty is reached. Bongaigaon Refinery looks better placed,” said Anagram Stock Broking note.

At 10:30 am, Bombay Stock Exchange’s Sensex was at 9084.65, up 181.53 points or 2.04 per cent. The 30-share index touched a high of 9182.80 and low of 9073.21 in early trade.

National Stock Exchange’s Nifty was at 2759.55, up 51.30 points or 1.89 per cent. The broader index hit a high of 2790.70 and a low of 2707.15 in trade so far.

“Trend deciding level for the day is 8882 / 2694 (Sensex/Nifty). If market trades above this level during the first half-an-hour of trade then we may witness a further rally up to 9063 - 9222 / 2754 - 2801. However, if market trades below 8882 / 2694 for the first half-an-hour of trade then it may correct up to 8723 / 2648,” said Angel Broking.

Buying activity was also seen in second rung stocks. BSE Midcap Index was up 1.52 per cent and BSE Smallcap Index moved 1.22 per cent higher.

Shares of metal companies were higher after surge in commodities prices in global markets following fall in US dollar against the euro and jump in crude oil prices.

Power and capital goods companies were witnessing some buying after the government decided to fund power and infrastructure sector to keep the growth engine running.

Banks were up globally on the euphoria of bail-out of Citigroup. The US government unveiled a massive rescue package of upto $20 billion for the struggling bank.

BSE Metal Index was up 3.12 per cent, BSE Bankex was up 2.83 per cent and BSE Power Index moved 2.33 per cent higher.

HDFC Bank (4.84%), Reliance Infrastructure (4.58%), ICICI Bank (4.48%), Sterlite Industries (4.33%) and Jaiprakash Associates (4.01%) were the major Sensex gainers.

Ranbaxy Laboratories (-2.50%), Mahindra & Mahindra (-1.17%), Hindustan Unilever (-0.36%) and Maruti Suzuki (-0.18%) were the only losers.

Market breadth was positive on the BSE with 1095 advances and 511 declines.