Markets expect a positive start

Markets are expected to resume the trading on a firm note tracking the mixed Asian markets. However, the markets may remain subdued with thin trading.

Headlines for the day:

Tata International buys 76% stake each in Bachi Shoes, Euro Shoe

New telecom gear norms by February: DoT

Infosys, Wipro, TCS investing more in leadership training



Pre-market report

Indian indices

Despite of mixed cues from Asian markets, the Indian markets are likely to have a positive opening as indicated by Singapore Nifty. However, the trend may turn negative later following the unsupportive global cues.

The trading may remain subdued, as foreign institutional investors are likely to stay away from the markets due to vacation and volume of the business is likely to remain thin once again this week.

The market is likely to see some wild swings at times ahead of December series derivatives expiry in this week.

Daily trend of FII/MF investment in equities

The FIIs have bought Indian stocks worth a net of Rs35.60 crore on December 27, 2010 as compared to the net sell of Rs99.90 crore on December 24, 2010. The domestic investors have sold Indian shares worth a net of Rs124.90 crore on December 24, 2010.

Global signals

European markets closed lower in extremely thin trading on Monday (December 27, 2010)) after China's interest rate rise over the weekend fueled concerns about the outlook for economic growth.

The Wall Street erased earlier losses and ended little changed on Monday as investors shrugged off a surprise weekend interest rate hike from China's central bank.

Asian markets were mixed in early trading as investors looked past China's rate hikes and stayed on the sidelines. SGX Nifty was trading mere 12.5 point higher, suggesting for a positive start on the Dalal Street.

Commodity cues

Crude oil dipped on Monday after hitting its third successive 26-month high, ending a five-day rally after a Chinese rate increase threatened to slow demand and a major East Coast refinery resumed operations. The crude oil futures for January 2011 declined by $0.51, to settle at $91 a barrel.