Markets may see a strong start

Headlines for the day:

EGoM could save 2G telcos Rs20,000 crore

ONGC bids for Arctic oilfields in Russia

Indian Oil Corporation to invest Rs47,000 crore this year



Events for the day:

Major corporate action

Gallantt Ispat, Cantabil Retail India, Va Tech Wabag IPO opens today
Ex date for final dividend of Shree Ashtavinayak Cine Vision
For more events and news, log on to Sharekhan.com

Updates on global events

The Federal Open Market Committee keeps the interest rate unchanged at 0.25%.

The US Housing Starts for the month ended August 2010 rose by 10.5% as compared to rise of 0.4% seen in the previous month.

Pre-market report

Indian indices

The domestic markets have crossed another significant levels on strong foreign institutional investors (FIIs)’ inflows, which indicate the future prospect of the Indian economy growth.

The out come of Federal Reserve indicated that it is ready to do more to help the US economy, but stopped short of announcing specific measures. This seems to be that there should be no signs of worry across the board.

In today’s trade, the domestic markets are expected to witness a firm start tracking positive Asian markets. The momentum of the domestic markets has been very strong. It is likely to remain so unless there is any significant negative development in the global space.

Daily trend of FII/MF investment in equities

The FIIs bought shares worth a net of Rs1,878.60 crore on September 21, 2010, much higher than Rs1,715.80 crore on September 20, 2010. The domestic investors have sold the Indian stocks worth a net of Rs208.80 crore on September 20, 2010.

Global signals

The European markets slipped on Tuesday (September 21, 2010), with investors cautious ahead of the Federal Reserve's monetary policy meeting, though gains in construction stocks after strong the US housing data limited losses.

The US markets ended flat to lower in an erratic session on Tuesday after the Federal Reserve inched closer to further steps to spur the economy.

The Asian markets were trading in the positive territory, with Japanese exporters falling on the yen's strength against the dollar. SGX Nifty was trading 19.5 points higher, indicating to have a positive start on the Indian indices. Markets in South Korea and mainland China are closed today for holidays.

Commodity cues

Crude oil prices fell for the fifth time in six days on Tuesday, wilting amid high oil inventories and the Federal Reserve's continued concern about sluggish economic recovery, as the crude oil futures for October delivery down by $1.45, to settle at $74.57 a barrel.