SENSEX closed at 16042, up 106 points and Nifty at 4792, up 32 points from the previous close. CNX MIDCAP index was up 0.88% and BSE SMALLCAP index was up 0.44%. IT, AUTO, TELECOM and CEMENT stocks attracted major buying interest while REAL ESTATE faced selling pressure.

Top gainers included GRASIM, ACC, INFOSYS, WIPRO, SUNPHARMA, HINDCOPPER, NMDC and LITL. Top losers are listed as GUJNRECOKE, HINDALCO, DLF, M&M, HUL and MARUTI.

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Alcoa Inc. will continue discussing ways to resolve energy costs at its aluminum smelters in Italy and will not curtail its two plants there on Feb. 6 as previously announced. Aluminium has touched a low of Rs 92.6 a kg after opening at Rs 93.85, and last traded at Rs93.6. For today market is looking for the support at 92.9, a break below could see a test of 92.1 and where as resistance is now likely to be seen at 94.1, a move above could see prices testing 94.6.94.1, a move above could see prices testing 94.6.

Trading Ideas:

Aluminium trading range is 92.1-94.6.

Alcoa postpones Italian aluminum smelter shutdown

Natural gas reversed earlier gains and ended lower as traders weighed forecasts for cold weather in coming weeks against the approach of spring and ample inventories of the fuel. The economic downturn undermined gas demand, particularly from industry. High levels of gas in storage have helped ease concerns over short-lived demand spikes. Natural Gas yesterday we have seen that market has moved -0.58%. Market has opened at 259.4 & made a low of 255.6 versus the day high of 266.7. The total volume for the day was at 24677 lots and the open interest was at 5329.Now support for the Natural Gas is seen at 252.6 and below could see a test of 248.6.

Jeera February contract ended flat to positive and up by Rs 40 and settled at Rs 11656 a kg futures ended slightly up on Monday but are seen trading lower on Tuesday on pressure from fresh arrivals and higher output estimates, arrivals are expected to pick up in the next few days and would be peaking in March-April. Jeera exports in December 2009 dropped by 28 percent to 2,500 tonnes on year, the spices board said. Spot jeera fell by 77 rupees to end at 12,086 rupees per 100 kg in Unjha, a major trading hub in Gujarat. The contract made intraday low of Rs 11520 a kg and high of Rs 11778 a kg. Support for jeera is at 11267 below that could see a test of 11393.

Turmeric as per expectation edged lower as rising arrivals, yesterday we have seen that market has moved -0.19% on the hopes of higher output and weak exports may hurt sentiment. Turmeric exports in December remained flat at 3,250 tonnes from 3,350 tonnes a year ago, the Spices Board said. In Nizamabad, a major spot market in Andhra Pradesh, the price dropped 194 rupees to 9,955 rupees. Turmeric arrivals usually start in mid-January in small quantities. It gains momentum from March and continues through June. Market has opened at 6815 & made a low of 6740 versus the day high of 6890.

Chana jumped as per expectation and jumped by Rs.20/- after the last weeks sell off some good value buying had been seen on profit booking and short covering. India's chana acreage as on Jan. 21 stood at 8.68 million hectares, compared with 8.23 million hectares in the same period a year ago. In the Delhi spot market, price dropped 17 rupees to 2,271 rupees per 100 kg on improvement in demand. Some speculations are going on that standing crops can be affected due to cloudy weather in the rajasthan and northern parts on india which may support the prices but still traders are under fears of government intervention to curb food inflation and ample carry-forward stocks.

Soyabean yesterday we have seen that market has moved 1.44% as arrival decline to 1200 bags at Indore mandi from 1500 bags, low arrival boosted the prices and today help to cross the 2150 level. Yesterday market has opened at 2131 & made a low of 2131 versus the day high of 2160.5. The total volume for the day was at 88610 lots and the open interest was at 182500. Stock of soybean is 20136 metric tonnes at NCDEX accredited warehouses as on 2nd February. Overall outlook is bearish on poor export demand and higher than expected production globally, support for soyabean is at 2140 below that could see a test of 2121.

Menthol oils yesterday traded weak and in the range in the initial trading session we have seen market dropped and taken support at 553 level as spot market was sluggish and trading under pressure after traders as expecting mandi tax in the spot market. February contract dropped Rs -1 and settled at Rs 559.5 a kg. The contract made intraday low of Rs 553.6 a kg and high of Rs 561.7 a kg. Now support for the menthol is seen at 554.8 and below could see a test of 550.2. Resistance is now likely to be seen at 562.9, a move above could see prices testing 566.4.

Trading Ideas:

Menthol spot is at 628 spot is flat and in the range bound.

Pepper February delivery dropped Rs -147 and settled at Rs 12651/quintal on sluggish domestic demand and rising arrivals overall for this week market look to take more support as sentiment is down ahead of the arrival season. Export demand is also not good and creating pressure on spot market where today pepper fell by 228 rupees to end at 13,256 rupees per 100 kg in Kochi. India's pepper output in 2010 is expected around last year's levels, but prices are unlikely to fall sharply in coming months due to low carry-over stocks, pepper exports stood at 1,750 tonnes, down 32 percent on year, the spices board said. Now support for the pepper is seen at 12553 and below could see a test of 12455.

Guar seed yesterday we have seen that market has moved in the range and closed flat to weak by -0.07% that closed down by Rs.2/- demand is not picking up in the market as trader are in the view that there is been sufficient stocks and this will weighed down demand in the physical market, also lack of export demand and the stock of guar gum is very high for this year. In Jodhpur, a major trading hub, guar seed price inched up 4 rupees to 2,412 rupees per 100 kg. Warehouses, stock of guar seed stood at 31,773 tonnes and guar gum at 39,537 tonnes, as on Feb. 6, data on the exchange website showed. Yesterday market has opened at 2420 & made a low of 2387 versus the day high of 2429.

Nickel yesterday traded with the negative node and settled -1.06% down at 809.4. from the mine side still dispute is going on both the two sides have not returned to the bargaining table since the strike began, and they are far apart on several issues, include reforms to the company's pension plan and proposed changes to a potentially lucrative worker bonus tied to the price of nickel. Some pressure had been seen from the LME stock also yesterday's trading session nickel has touched the low of 796.2 after opening at 812.5, and finally settled at 809.4.

Zinc yesterday traded with the positive node and settled 0.95% up at 94.45. Tightness has emerged in the LME zinc market for nearby dates between cash and February 24, despite ever-rising warehouse inventories. In yesterday's trading session zinc has touched the low of 93.25 after opening at 94.05, and finally settled at 94.45. For today's session market is looking to take support at 93.4, a break below could see a test of 92.3 and where as resistance is now likely to be seen at 95.4, a move above could see prices testing 96.4.

Trading Ideas:

Zinc trading range is 92.3-96.4.

Copper rallied on Monday as investors and consumers, seeing bargain prices and believing in the stronger China demand story, piled in. Copper yesterday traded with the positive node and settled 0.32% up at 300.9.In yesterday's trading session copper has touched the low of 296.6 after opening at 300.5, and finally settled at 300.9. Earlier on Monday the metal used in power and construction touched $6,475. A frenzied sell-off across equities and commodities because of sovereign default fears and a stronger dollar last week pushed copper to $6,225, the lowest since Oct. 19, and 20 percent below this year's high of $7,796 on Jan. 7.

Crude oil declined on concern that the recovery in fuel demand may stall in the U. S., the biggest energy-consuming nation. Oil pared yesterday’s gain as U. S. equities dropped and the Dow Jones below 10,000 for the first time since November amid concern that deteriorating European govt finances will derail the economic recovery. Prices also came under pressure on market speculation that a rise in crude supplies can be seen this week also.

Silver opened at 24325 and slipped to an intraday low of 24010 before it turned bid as selling pressure seen in base metal and crude in the initial trading session. But silver manage to climbed on the back of rallying oil and a softening USD, finding resistance near 24460.

Gold opened at 16265 turned higher in Europe market session yesterday, rising back above $1,070 an ounce, as the dollar's retreat versus the euro boosted the metal's appeal as an alternative asset. Profit taking took the metal lower as the session began, retreating to 16221. Stronger equity markets and rallying oil prices carried gold off its lows. Short covering lifted the metal and it continued to climb, touching an intraday high of 16349.

Electrical and Gulf Projects Operating Company, a part of L&T's construction segment, has pocketed orders worth Rs 5.82 billion for 4 electrical projects in India and United Arab Emirates.

The further details of projects pocketed by the company from its various clients are as follows:

New Delhi, Feb 9 - Private carrier Tuesday said it has registered a 30 percent surge in international operations for the fourth month in December last year as against the corresponding period in 2008.

Also, a 30 percent growth was recorded in domestic operations in January this year against the like period last year.

In a regulatory filing, the airline said its average seat factor for its international operations last month was at 84.9 percent, while it stood at 75 percent for its low cost subsidiary JetLite (all economy class).

A new research has revealed that Indian yellow spice saffron may help people to keep their vision sharp.

The new study pointed out that saffron is an effectual weapon to prevent age-related macular degeneration (AMD), which is the commonest cause of blindness in the elderly.

The discovery is timely as it is believed that the number of AMD patienets will increase threefold by the next 25 years. There is no treatment available to cure the condition.

Aiming the administering of an additional polio vaccine to approximately 70 lakh kids below 5-years, the second phase of the Intensive Pulse Polio Immunisation campaign was started across Tamil Nadu on February 7.

A total of 40,399 polio booths were established in schools, government hospitals, primary health centres, Anganwadis, bus stands, railroad terminals as well as tourist spots to administer polio drops to kids.