Waiting for some big bang

A universe that came from nothing in the big bang will disappear into nothing at the big crunch. – Paul Davies. While the so-called 'God particle' seems to have been found, the markets globally are looking for visible and invisible forces to bring about a big bang. Brace for a quiet start as investors await the outcome of monetary policy meetings in Europe and the UK. Market participants will also examine US data on weekly jobless claims, ADP private sector employment and ISM service sector PMI before Friday’s crucial monthly payroll report. US markets were shut on Wednesday for the Independence Day holiday. European markets finished lower. Economists widely expect the ECB to deliver a 25 bps rate cut today. The Bank of England too is likely to announce fresh monetary easing. Calls for QE3 from Ben Bernanke & Co. may get shriller if this week’s jobs data turns out to be weak. Global investors will also keep a watch on the latest sales of US retailers. Meanwhile, the IMF has warned the US on adverse repercussions of the so-called "fiscal cliff" next year. Asian markets are mostly in red this morning. For India, the near-term triggers include pleasant surprise on the policy front, corporate earnings, IIP data, inflation and the RBI policy meet. The near term trend continues to be positive as long as the Nifty holds above 5190. Trend in FII flows: The FIIs were net buyers of Rs 2.39bn in the cash segment on Wednesday while the domestic institutional investors (DIIs) were net sellers of Rs 1.61bn, as per the provisional figures released by the NSE. The FIIs were net buyers of Rs 4.24bn in the F&O segment on Wednesday, according to the provisional NSE data. The foreign funds were net buyers of Rs 5.60bn in the cash segment on Tuesday, according to the SEBI figures. Global Data Watch today: Australia trade balance, Germany factory orders, Bank of England (BOE) interest rate decision, European Central Bank (ECB) policy meeting, US ADP employment report, US weekly jobless claims, US ISM non-manufacturing PMI and EIA Crude Oil Stocks change (week ended June 29).