Strong opening on cards; RBI policy in focus

The opening on the Dalal Street is expected to be in the green zone tracking positive global cues. RBI’s monetary policy will remain in focus. Events for the day: RBI mid-quarter monetary policy review. Headlines for the day: Govt starts 10% stake sale process in Nalco. Sesa Goa, Sterlite shareholders to meet this week on merger. All eyes on RBI Governor as rate cut expectations rise. Indian Indices: Today, the opening on the Dalal Street will be on a strong note led by positive global peers. SGX Nifty is trading 43 points higher. Markets were awaiting positive news from the Greece elections. Fears of an imminent Greek exit from Europe's joint currency receded on Sunday after the conservative New Democracy party came first in a critical election and pro-bailout parties won enough seats to form the joint government. With one party advocating the ripping up Greece's multibillion-euro bailout deal, the election was seen as a vote on whether Greece should stay in the 17-nation joint euro currency. A Greek exit would have had potentially catastrophic consequences for other ailing European nations, the United States and the entire global economy. This comes as a relief and Indian markets will rejoice the same Markets are also keenly awaiting RBI’s mid-quarter monetary policy that will decide market movement for the day. On Friday (June 15, 2012), the Sensex settled at 16950, up by 271 points while Nifty the closed at 5139, rising by 84 points. Global Indices: The Asian stock markets surged on Monday (June 18, 2012) after pro-bailout parties won a majority in the Greek election, averting the possibility of the country's imminent and tumultuous exit from the euro zone. European shares jumped on Friday (June 15, 2012), as investors got a relief on reports that the central bankers stand ready to soothe financial markets. US Stocks rallied on Friday to close a second straight week of gains on hopes of collective action from global central banks if Sunday's election in Greece triggers market turmoil. Daily trend of FII/MF investment in equities: The FIIs have been the net buyers Indian stocks to the tune of Rs90.20 crore on June 14, 2012. The domestic investors sold Indian shares worth a net of Rs275.50 crore on June 14, 2012. The data is as per the SEBI website. Commodity Cues: Oil prices edged up on Friday, in thin and choppy trade, supported by hopes Greece's upcoming election will not result in an exit from the euro zone, while weak U.S. economic data limited gains.