Global rally to lift markets at start

Indian markets are set to start the session on a positive note buoyed by the improved global sentiments. Markets may rally as the global sentiment has improved owing to assurance by ECB.

Headlines for the day:

SEBI bans 4 companies, 3 broking firms

R-Power to double Rosa project capacity

Apollo may offload 49% stake in pharmacy arm



Events for the day:

Major corporate action

Shipping Corporation of India FPO closes today
For more events and news, log on to Sharekhan.com

Pre-market report

Indian indices

The Indian markets have performed well in four trading sessions of the week. The Sensex and Nifty have gained 856 points (4.47%) and 260 points (4.52%) respectively due to improved market sentiments.

Bull run may persist in today's session buoyed by a two-day rally on Wall Street and an assurance by the European Central Bank that it would not end special liquidity measures for lenders. The gaining momentum may persist for quite some time following global direction.

The Foreign Institutional Investors (FIIs) inflows have also been the major trigger to improve the sentiments in the Indian markets.

Daily trend of FII/MF investment in equities

The FIIs have bought Indian stocks worth a net of Rs446.40 crore on December 02, 2010 as against net buy of Rs1,190.70 crore on December 01, 2010. The domestic investors have sold Indian shares worth a net of Rs228.70 crore on December 01, 2010.

Global signals

European shares hit a two-week closing high on Thursday on reports that the European Central Bank had bought euro zone bonds and as data showed and unexpected surge in US home sales in October.

Wall Street rallied for a second day on Thursday as concerns about Europe's sovereign debt crisis waned, forcing investors to reverse bearish bets on the market.

Asian markets were mostly higher in morning trade taking cues from the good performance of the overnight US markets. SGX Nifty was trading 20 points higher, suggesting towards a positive start on the Dalal Street.

Commodity cues

Crude Oil prices gained on Thursday and ended at their highest levels in 25 months. The crude oil futures for January 2011 surged by $1.44, to settle at $88 a barrel.