Markets Trade Deep in Red

The Global Markets trade in a mixed territory this morning. U.S. stocks fell after the Standard & Poor’s 500 Index climbed to the most expensive valuation since June and December sales trailed estimates at retailers, outweighing growing optimism in the jobs market. European stocks gained, sending the Stoxx Europe 600 Index higher for a fourth day, amid speculation accelerating economic growth will drive equities higher in 2011. This morning, Asian stocks fell, with the regional benchmark index declining for the second day in three, as commodity prices dropped and Samsung Electronics Co. reported profit that missed analysts’ estimates. In commodities, Oil rose from the lowest in three weeks as investors bet yesterday’s decline made the commodity attractive amid a recovery in economic growth. Gold dropped for a fifth straight day, the longest losing streak since August 2009, as signs that the U.S. economy is recovering strengthened the dollar and curbed demand for a haven. Silver, platinum and palladium all declined. Copper in London headed for the first weekly drop in six as concerns that China is set to further tighten monetary policy in the first quarter curbed demand, while rising inventories signaled adequate supply. Markets dropped sharply in mid-morning trades on weakness in auto, consumer durables and metal stocks. Sensex touched a low of 20,066 and was down 170 points at 20,014. Earlier in the day, the benchmark touched a high of 20,211. Nifty dipped 54 points at 5,994. All the sectoral indices trade in red this morning.