Market likely to open flat tracking SGX Nifty

After a negative opening Indian equities market managed to recover after higher global cues on fading Brexit fears and government relaxing Foreign Direct Investment (FDI) norms in a host of sectors including civil aviation, single-brand retail, defence and pharma. The Sensex rose 241.01 points, or 0.91%, to 26,866.92, while the Nifty advanced 0.84% to close at 8,238.50 points. The BSE Mid-Cap index rose 0.4%. The BSE Small-Cap index rose 0.37%. Both these indices underperformed the Sensex.

U.S. stocks closed higher on Monday following the lead of European markets as polls showed support swinging back toward the U.K. remaining a member of the European Union ahead of a referendum. The Dow Jones Industrial Average had climbed as much as 271 points earlier in the session, closed up 129.71 points, or 0.7%, at 17,804.87. The S&P 500 index gained 12.03 points, or 0.6%, to close at 2,083.25 and the Nasdaq Composite Index advanced 36.88 points, or 0.8%, to close at 4,837.21, after being up as much as 82 points.

Oil prices rose for a second session Monday as global stock markets surged on expectation that Britons will vote to remain in the EU. WTI rose 2.9% to settle at USD 49.37 a barrel, while the global Brent contract gained 3% to end at USD 50.65 a barrel.

The European markets closed higher Monday after polls showed support for the U.K. remaining in the European Union gaining ground. The Stoxx Europe 600 climbed 3.7% to close at 337.67. The U.K’s FTSE 100 was up 3% to 6,204. Germany’s DAX 30 leapt 3.4% to 9,962.02, and France’s CAC 40 jumped 3.5% to 4,340.76.

Asian markets have opened in the mix on Tuesday to take a breather following Monday's global rally on easing Brexit concerns and gains in oil prices. Japan's Nikkei 225 index has recovered from initial loss and is trading up 0.45%. The Kospi index in Seoul is down 0.1%; while Australia’s S&P/ASX 200 Index has gained 0.27%. New Zealand’s S&P/NZX 50 Index is trading flat. Chinese markets are up, with the Shanghai composite advancing 0.52%.

On the domestic front, A SGX Nifty 50 index future for June series is trading up by 2.5 points at 8,245. Indian markets are likely to open flat tracking SGX Nifty.