Firm Asian cues may lead markets higher at start

It is expected to be a positive opening tracking supportive Asian cues. Markets may trade volatile ahead of F&O expiry this week.

Headlines for the day:

ITC, Tatas vie for hotel market share
Maruti Suzuki plans to roll out global car by 2017
NALCO plans to invest Rs57,903 crore on expansion by 2020

Major corporate action

Results: Gayatri Projects, Allied Digital Services, Parenteral Drugs (India)
Ex-date for interim dividend of Castrol India



Indian indices

The Indian market has been under tremendous pressure in recent weeks, primarily due to global economic worries.

Today’s start is expected to be on a positive note following supportive cues from Asian markets, on speculation that the US Federal Reserve will announce further measures to stimulate the economy tempered concern. The market was quite choppy last week and the trend is likely to continue due to expiry of August series derivatives contracts on Thursday (August 25, 2011).

Ongoing worries about the slow pace of growth in the US, and concerns about the debt woes in several parts of Europe are likely to keep the mood bearish.

Daily trend of FII/MF investment in equities

The FIIs have sold Indian stocks worth a net of Rs407.60 crore on August 18, 2011 as compared to the net sell of Rs210.20 crore on August 17, 2011. The domestic investors have sold Indian shares worth a net of Rs33 crore on August 17, 2011. The data is as per the SEBI website.

Global signals

The European stock markets declined on Friday, led by banks and carmakers, as concern escalated that the global economy is slowing and as the leaders of the euro area failed to restore investor confidence.

The US markets closed a fourth week of losses on a lower note on Friday (August 19, 2011) as most buyers left the market before the weekend on growing fears of another US recession and destabilization in Europe's financial system.

The Asian markets were trading higher on Monday (August 22, 2011). SGX Nifty was trading 20 points higher, indicating for a firm start on the Dalal Street.

Commodity cues

Crude oil prices ended lower on Friday after a late-session reversal to negative territory on continuing worries about the economy.