Sensex up 235 pts on global cues

The market opened with major gains on Thursday tracking a rally in stocks overseas after corporate earnings in the US beat expectations indicating the worst of the credit crisis may be over.

Back home, technology shares led the advances as investors cheered fourth quarter results released over the past couple of days.

At 10:05 am, the Bombay Stock Exchange’s Sensex was up 235 points or 1.44 per cent at 16,478.79

Infosys Technologies (up 2.81%), Satyam Computer (2.63%), ICICI Bank (2.58%), HDFC Bank (2.48%) and Reliance Energy (2.24%) were the biggest index gainers.

There were no losers in the 30-share index.

The National Stock Exchange’s Nifty was up 54 points or 1.1 per cent at 4941.15.

"As expected, the better-than-expected guidance from Intel helped improve global sentiment, which was further bolstered by numbers from JP Morgan. To improve matters further, IBM posted better-than-expected numbers after market hours,” said Anagram Stock Broking in a note.

"Though our market gave up most of intraday gains Wednesday, it closed in the green, which was important. Nifty futures went into a discount of one point from a premium of 17 points, indicating some shorts. These shorts would scramble for cover in the morning, which could take the Nifty beyond the 4950 mark, where it met with heavy selling Wednesday. A level of 4980-5000 may be on the cards. We need a close above the 5020 mark to establish a higher intermediate top. With the market closed tomorrow for Mahavir Jayanti, there would be good pressure on marketmen to prune weekend positions,” the brokerage added.

Asian stocks rose for a third day, led by financial companies and consumer electronics makers, as better-than-forecast profits at US banks and LG Electronics eased concern that slowing global growth will dent earnings. The Nikkei 225 added 2.19 per cent, the Hang Seng gained 2.04 per cent and the Straits Times was 1.91 per cent higher.

US stocks rallied on Wednesday as upbeat results from technology bellwether Intel and financial giant JP Morgan Chase raised hopes that corporate profits can weather an economic downturn. Dow Jones Industrial Average climbed 2.08 per cent, the Standards & Poor’s 500 Index increased 2.27 per cent and the Nasdaq Composite Index advanced 2.8 per cent.