Markets likely to start subdued

It is expected to be a quiet start on the first trading session of the year 2012 due to lack of global cues. Focus will be on the domestic cues.

Headlines for the day:

Tata Motors sales up 22% in December 2011

Coal India may form JV to buy assets in South Africa

Elder Pharma eyes 20% jump in revenues in current fiscal

FDI inflows up 36% at $24 bn in Jan-Oct

PTC India in talks with sovereign wealth fund for PE venture



Events for the day

Import and Export data

Monthly auto sales and cement dispatches figures

Indian indices

On the first trading session of the year 2012, the Indian markets may kick off the trade on a flat note tracking unsupportive Asian cues. Most of the Asian markets remained shut so trading may remain rangebound on the Dalal Street. Lack of support from global peers may lead to a lacklustre trade.

The automobile and cement stocks will be in focus as companies from these two sectors will release monthly auto sales and cement dispatches numbers for December 2011.

Daily trend of FII/MF investment in equities

The FIIs have been net sellers of the Indian stocks to the tune of Rs616.90 crore on December 30, 2011. The domestic investors have purchased Indian stocks worth a net of Rs184.10 crore on December 29, 2011. The data is as per SEBI website.

Global signals

The European shares surged on Friday (December 30, 2011) but still recorded their biggest annual drop since the onset of the financial crisis as debt tensions in the euro zone strained the financial sector and threatened to derail a fragile economic recovery.

The US shares fell on Friday, leaving the Standard & Poor’s 500 Index virtually unchanged for the year, as concern over Europe’s debt crisis overshadowed optimism that the American economy will expand in 2012.

Most of the Asian markets were closed on Monday (January 2, 2012). Hang Seng, Shanghai Composite, Nikkei and Straits Times were shut. Kospi was in green and Taiwan in red. SGX Nifty was trading 10 points higher.

Commodity cues

US Crude Oil declined on Friday weighed down by ongoing concerns about Europe's debt crisis and slowing Chinese factories.