India Market Wrap

* INDICES: Sensex +350 at 16165 (2.22%), NIFTY +107 at 4850 (2.25%), CNXMIDCAP +152 at 6468 (2.4%)

* SECTORAL PERFORMANCE: BANKEX 3.17%, AUTO 2.91%, CAPITAL GOODS 3.56%, HEALTHCARE 1%, Metal 2.96%, OIL & GAS 2.74%, IT 0.97%, FMCG 1.25%, PSU 1.72%, REALTY 4.2%, Consumer Durables 2.19%, POWER 2.41%

* MARKET BREADTH: 433 Advances, 64 Declines (BSE 500)

* VOLUMES: BSE $0.48bn (31.49%), NSE $2.12bn (32.88%), F&O $20.76bn (30.26%)

* TODAY'S GAINERS: RPWR 6.33%, MM 5.54%, RELI 5.21%, HNDL 4.5%, RCOM 4.38%

* TODAY'S LOSERS: RBXY -0.69%, TCS -0.51%, ACEM -0.03%, GAIL 0.04%, CIPLA 0.33%

* MARKET COMMENTARY:

Indian equities continued its rally to edge higher in today’s session on back of buying which was visible across the sectors. Investors bought stocks across the board on the back of positive cues from Asian peers and on expectations of rate cut by the Reserve Bank of India. The market sentiment was also boosted by media reports that state governments in India have given their in-principle approval to a proposed national goods and service tax (GST), raising hopes that the ambitious tax reform could be included in the upcoming budget. The market breadth was quite strong. Traders were seen piling up the position in Realty, Bankex and Metal sector. Interest rate sensitive realty and banking stocks were in limelight on expectations that the RBI will start cutting interest rates in the coming months to prop up slowing economy. Investors are also setting their eyes on a handful of economic readings coupled with third quarter earnings of domestic companies like Infosys and HDFC, which will further determine the direction of stock markets. Infosys will kick off the earning season for the December quarter on Thursday January 12, 2012. Data on industrial production for November 2011 will be released on January 12, 2012, and data on inflation for December 2011 will be released on January 14, 2012, could provide cues for the central bank's likely policy stance at the third quarter review of Monetary Policy 2011-12 scheduled on January 24, 2012. On the global front, all Asian markets traded in green while the European markets were too trading in green on optimistic note. Germany and France warned Greece yesterday that it will get no more bailout funds until it agrees with creditor banks on a bond swap and pressed for an early deal to avert a potential default in the euro zone's most debt-stricken nation.

* NEWS ON TODAYS MOVERS:

- Take Solutions rises over 7%, after the company said it has disinvested its holdings of 5.07 lakh equity shares of Re 1 each in TOWELL TAKE Investment LLC

- Infosys rose close to 0.94% after the company's American depository receipt, or ADR gained 2.63% to settle at $55.34 on the Nasdaq on Monday, 9 January 2012.

- Biocon rose close to 1.59%,after the company announced positive results from its Double Blind, Placebo Controlled, Phase 3, TREAT-PLAQ study with Itolizumab in chronic plaque psoriasis.

- Mahindra Satyam rose almost 1.78% , after the company filed a lawsuit against past directors, some ex-employees and former auditor PricewaterhouseCoopers, seeking damages after the company was hit by a fraud in 2009.

- Gujarat Gas jumped by 1.24%, on the likely bid by Gujarat State Petroleum (GSPL) for BG stake in the company, on reports

- M&M rises over 5%, on reports that the company plans to double production capacity of its indigenously developed sports utility vehicle, the XUV500

- Everonn Education has rallied 14% Everonn Education continues to follow yesterday's trade and hit monthly high of Rs453, after the RBI allows the company to increase FII limit in the company up to 24%

- Hindustan Zinc, a Vedanta Group company traded positive at 1.34% after co has commissioned a 350 tonnes per annum silver refinery at Pant Nagar in Uttarakhand with an investment of Rs100 crore. The refinery dispatched the first consignment of silver ingot of 99.99% purity last month.

- Indusind Bank jumped 4.95% , after net profit rose 33.86% to Rs 205.96 crore on 48.97% rise in total income to Rs 1654.86 crore in Q3 December 2011 over Q3 December 2010.

* CORPORATE NEWS:

- Moody's upgrades India's rating to investment grade

- Sun TV Network launches 3 more pay channels

- Adani, GAIL may bid for BG's stake in Gujarat Gas

- HDFC Bank to charge Rs50/month for inoperative a/c

- Tata Steel domestic sales down 1% in Dec qtr

- Kingfisher confident of raising funds by March

- CIL wage hike talks enter crucial phase

- MBL Infra hits monthly high after receiving Project

- Patni gets shareholders' approval for delisting

- Jet Airways To report 3Q results on Jan 20

- Wockhardt launches generic nasal spray for Rhinitis

- Kingfisher Airlines asks govt for financial help

* ECONOMIC NEWS:

- Govt clears 20 FDI proposals worth Rs 1,935 cr

- RBI allows 4 more banks to import gold, silver

- Car sales rise 8.5% in December: industry