Markets Trade on a Flat Note

The Global Markets trade in a negative territory this morning. U.S. stocks tumbled, dragging the Standard & Poor’s 500 Index to its biggest decline since August, as violence escalated in Libya and Wal-Mart Stores Inc. reported sales that trailed its own forecasts. European stocks retreated for a third day as Libya cracked down on antigovernment protests amid continuing political unrest in the Middle East and North Africa, overshadowing a jump in U.S. consumer confidence. This morning Asian stocks fluctuated as oil companies advanced as escalating violence in Libya triggered a surge in crude prices, countering declines among airlines. Oil rose from the highest close in more than two years as Libya’s violent uprising threatened to disrupt exports from Africa’s third-biggest supplier and spread to other crude-producing nations in the Middle East. Gold, trading near a record high, will outperform oil as surging inflation underscores the metals role as an investment hedge, according to Credit Suisse Group AG. Copper declined for a third day in London on concern escalating geopolitical tensions may derail the global economic recovery. The metal also dropped in New York. After a negative start, the Sensex has moved into the positive with the index gaining 35 points at 18,331 and the Nifty added 12 points at 5,482.In the broader markets, the situation is better with the small cap index up 0.7% and the midcap index gaining 0.3%, both outperforming the Sensex which is up 0.1%. Among the sectoral indices, Realty up 1% is the top gainer in the morning trades followed by Auto, Power and Metal. Meanwhile, IT index down 1% is the major loser. Consumer Durables, Bankex, Health Care and FMCG are the other sectors trading in the negative.