Markets likely to open positive on global cues

Indian equities are likely to open positive on global cues. Today SGX Nifty is trading at 5,048 (8.03 a.m.), 35 points higher than Monday`s closing of 5,013.

Asian stocks rose for the first time in four days, led by companies reliant on overseas sales, after US service industries returned to growth following 11 months of contraction and commodity prices gained. Nissan Motor gained 2.5%. Mazda Motor jumped 6% after narrowing its full-year loss forecast. Japanese benchmark index Nikkei 225 gained 10.11 points, or 0.10%, to trade at 9,684.60. Hong Kong`s Hang Seng index rose 80.57 points, or 0.39%, to trade at 20,509.64. China`s Shanghai Composite increased 24.89 points, or 0.90% to trade at 2,779.43. (7.42 a.m., IST)

European stocks gained for the first time in four days after the region`s manufacturing and service industries grew more than initially estimated and US service businesses expanded for the first time in a year. UK`s benchmark index FTSE 100 gained 35.63 points, or 0.71%, to settle at 5,024.33. French benchmark index CAC 40 increased 25.11 points, or 0.69%, to end 3,675.01. Germany`s benchmark index DAX rose 40.95 points, or 0.75%, to close at 5,508.85.

US stocks rebounded on Monday as upbeat service data and report of large banks being upgraded boosted market sentiment. The Dow Jones Industrial average gained 112.08 points, or 1.18%, to settle at 9,599.75. The Standard & Poor`s 500 index rose 15.25 points, or 1.49%, to end at 1,040.46. The NASDAQ composite index increased 20.04 points, or 0.98%, to close at 2,068.15.

Oil prices pushed through early losses to settle above USD 70 a barrel on Monday on the coattails of strong equity markets and weakness in the US dollar. Light sweet crude for November delivery rose 46 cents to settle at USD 70.41 a barrel on the New York Mercantile Exchange. In London, Brent prices lost 3 cents to settle at USD 68.04 a barrel on the ICE Futures exchange.

via IRIS