Markets To Open Higher On Asian Cues

Yesterday the domestic market started on a negative note; however, it recovered in the later part of the day. The NSE benchmark touched the high of 8139, however, it was not able to sustain at higher levels as corporate India continues to report muted earning.  Hindustan Unilever and Zee reported disappointing set of numbers and this triggered fresh sell-off in the market and Nifty closed with loss of 24 points at 8107. The Coffee Day IPO was subscribed 13 percent till 5 pm last evening.

Yesterday evening, Government released WPI data. The wholesale price index (WPI), which tracks inflation at the wholesale inflation, came  at -4.54 per cent year-on-year, improving from -4.95 per cent in August. It is in the negative zone since November. Inflation in food articles rose up to 0.69 per cent in September, from -1.13 per cent in August. The September contraction was led by continuing weakness in prices of fuel and power which was down by 17.7 per cent It was 16.5 per cent last month.

On European market front, the broader markets finished broadly lower yesterday with shares in Germany leading the region. The DAX was down 1.17 per cent while London's FTSE 100 was lower 1.15 per cent and France's CAC 40 was down by 0.74 per cent. The American markets too finished broadly lower yesterday with Dow Jones leading the pack. The Dow Jones was down by 0.92 per cent while S&P 500 was lower by 0.47 per cent and Nasdaq was lower by 0.29 per cent.

Today morning, Asian markets are trading higher as Chinese and Hong Kong shares show gains. The Hang Seng is trading up by 1.35 per cent while the Nikkie is trading up by 0.77 per cent. The Australian ASX too gained 0.34 per cent in the morning. The Indian premarket barometer SGX Nifty too trading up by 0.28 per cent in the morning. We too expect our market to open higher over Asian cues.

Notable companies that will post earnings include Mindtree, Mastek, LIC Housing Finance, Sintex, CCL Products, Karur Vysya, Himmatsingka Seide and Lakshmi Vilas Bank.