Markets may see a positive start on Europe fund hopes

The Indian markets are likely to begin in the green zone on Europe fund hopes and IMF's Italy assistance report. Positive Asian cues may lift the sentiments.

Headlines for the day:

Petrol may turn cheaper by Re 1

Fitch lowers Dhanlaxmi Bank's outlook to 'stable'

DLF hopes to reduce debt to Rs10,000 crore in two years

Nalco expects 3-fold rise in exports

Lupin eyes Rs780 crore from US market by FY14

Government considering alternatives to SAIL disinvestment

Events for the day:

Results: Escorts, Triveni Engineering & Industries, NELCO



Indian markets

On the first day of the week, the Indian markets are expected to see a positive start tracking strong Asian cues. There were hopes that Europe will come up with some concrete steps toward activating a euro zone bail-out fund that will relieve some stress on the region's troubled economies.

Also, a report that the International Monetary Fund was considering support for Italy as bond yields across the euro zone spiked to new highs may bolster market confidence.

Daily trend of FII/MF investment in equities

The FIIs have sold Indian stocks to the tune of Rs1106.40 crore on November 25, 2011. The domestic investors purchased Indian shares worth a net of Rs151.80 crore on November 24, 2011. The data is as per the SEBI website.

Global signals

The European shares snapped a six-day losing streak on Friday (November 25, 2011), as a technical rebound gathered pace, fuelled by short-covering in low volumes.

The US stocks fell on Friday capping the Dow Jones Industrial Average's worst Thanksgiving week performance since markets began observing the holiday in 1942.

The Asian stock markets rose on Monday, (November 28, 2011) on hopes Europe will come up with some concrete steps this week toward activating a euro zone bail-out fund that is crucial to relieving funding stresses on the region's troubled economies. SGX Nifty was trading 62 points higher, indicating a positive opening for the Indian markets.

Commodity Cues

US Crude Oil surged from the lowest price in two weeks after a surprise drop in US stockpiles, and as an unexpected advance in German business confidence countered concern that Europe’s debt crisis will trigger a recession.