Market Likely To Open Flat

Indian equities market snapped three-day winning streak on Monday led by losses in banking shares. The Sensex ended the day down 43.19 points, or 0.15% at 28,420.12. The Sensex made a smart recovery in the afternoon session led by gains in index heavyweights such as HDFC Bank, Infosys, TCS and Bharti Airtel. Nifty slipped 6.40 points, but managed to reclaim 8,600 mark by sustaining at 8,603.45. The broader markets outperformed the benchmark indices. The BSE mid-cap index advanced 0.27% and the small-cap index ended 0.4% higher.

Gold plunged over 2% in intraday trade to below Rs 25,000 per 10 grams. The yellow metal saw some recovery later in the day, as bullion's safe-haven status took a fresh knock from mounting expectations of a US rate hike. As gold slipped, jewellery stocks were on a high. Shree Ganesh Jewellery rallied over 17%, while TBZ surged above 14% in intraday trade. Gitanjali Gems advanced nearly 17% in trade. PC Jeweller gained nearly 5 per cent.

U.S. stocks moved broadly higher on Monday amid continuing indications of a 2015 interest rate hike by the Federal Reserve. The Nasdaq Composite rose 8.72 points or 0.2% to 5,218.86, extending it record-setting streak. The Dow Jones industrial average gained 13.96 points, or 0.1%, to 18,100.41. The S&P 500 index added 1.64 points, or 0.1%, to 2,128.28.

WTI crude dipped below USD 50 briefly for the first time since April and closed down 74 cents to USD 50.15 a barrel in New York. Brent crude fell 45 cents to close at USD 56.65 in London. Gold futures fell for an eighth straight session, falling 2.2% to settle at USD 1,106.80 an ounce, the lowest finish in more than five years.

European stock markets advanced on Monday, extending rally into a ninth straight session after the International Monetary Fund (IMF) confirmed that Greece had repaid the roughly 2 billion euros (USD 2.2 billion) it owed to the transnational body. The Stoxx Europe 600 index SXXP added 0.3% to close at 406.80, logging its longest winning run in 2015. Germany’s DAX 30 index up 0.5% to 11,735.72 and France’s CAC 40 index rising 0.4% to 5,142.49. The U.K.’s FTSE 100 index added 0.2% to 6,788.69.

Asian stocks traded mixed early Tuesday, while gold prices steadied after plunging more than 4% to five-year lows in the previous session. Japan's Nikkei share index rose 0.4% as markets reopened after a public holiday on Monday. Australia’s S&P/ASX 200 Index rose 0.14% for a sixth day of gains, while the Kospi index traded at flat. The Shanghai Composite declined 0.53%.

SGX CNX Nifty traded at flat. Indian markets likely to open flat. Investors turned cautious ahead of monsoon session of Parliament which starts from today and key earnings viz Infosys, HUL, HDFC Bank. Other companies: Asian Paints, Bayer Cropscience, Cairn India, Can Fin Homes, Century Plyboards, Eicher Motors, Indiabulls Housing Finance, Idea, SKF India, Supreme Petrochem, Tata Sponge Iron, Welspun Corp And Whirlpool would be reporting third quarter earnings today.