Long time, no see!

Be life long or short, its completeness depends on what it was lived for -David Jordan.

After long, a relief rally appears to be underway. How long it lasts, remains to be seen. The trigger is some new-found optimism that European leaders will be able to brush aside political differences to quell the region’s credit crisis.



Unconfirmed reports are emerging about various options being contemplated to ease the fiscal stress in the debt-plagued eurozone. Market talk of an interest cut by the ECB also breathed some life into global equities.

We are expecting a good start owing to the overnight rally in ‘western’ markets and a firm trend across Asia. On the whole, things should be okay today but outlook may turn choppy ahead of Thursday’s F&O expiry.

The bad news is that FIIs are still net sellers. Our markets will also have to deal with the latest political storm over the 2G scam with P. Chidambaram offering to step down.

Any adverse development on the political front might just unnerve the markets. Also, lack of clear details on plans to resolve the eurozone debt crisis will keep markets jittery.

For now though the mood seems to be positive. Make the most of the opportunities without getting carried away.

FIIs were net sellers of Rs 10.83bn in the cash segment on Monday, according to the provisional NSE data. The domestic institutional institutions (DIIs) were net buyers at Rs 5.75bn on the same day.

FIIs were net sellers of Rs 14.19bn (provisional) in the F&O segment.

The foreign funds were net sellers of Rs 11.89bn in the cash segment on Friday, as per SEBI data.

Global Events To Watch: Germany's Gfk consumer confidence survey, US - S&P/Case-Shiller Home Price Indices, Fed's Lockhart speech, Richmond Fed Manufacturing Index (Sep) and US consumer confidence.