Markets Trade on a Firm Note

The Global Markets emanate negative vibes this morning. U.S. stocks retreated, a day after the biggest slump for the Standard & Poors 500 Index since August, as investors awaited the Labor Departments monthly report on employment in the worlds largest economy. European stocks fell to a six-week low as Moody’s Investors Service raised Greece’s default risk to 50 percent and a bigger-than-forecast drop in U.S. factory orders fueled concern the world’s largest economy is faltering. This morning Asian stocks fell, driving the regional benchmark index to its longest string of weekly losses since October 2008, as investors awaited a monthly jobs report in the U.S. that may provide further evidence that the recovery in the world’s largest economy is faltering. In commodities, Crude Oil traded near $100 a barrel in New York, heading for a weekly drop, before a report that will indicate the strength of the U.S. economy and as OPEC prepares to meet in Vienna next week to decide output quotas. Gold may climb, extending a two-week advance, as slowing global economic expansion and Europe’s debt crisis bolstered demand for precious metals as a store of value. Copper, lead and zinc in London rallied before a report that forecast to show slower jobs growth in the U.S., weakening the dollar and boosting the appeal of base metals. The markets are trading firm after a quiet opening with the Sensex gaining 124 points at 18,618 and the Nifty crossed the resistance level of 5,600 briefly but is currently trading at 5,589 up 39 points. The market breadth is positive. Of the total 1475 stocks trade on the BSE, 1111 stocks have advanced while only 313 declined. All the sectoral indices started in the green. Realty and Consumer Durables, up 1% each are indices leading the gains closely followed by Capital Goods and Power. However, yesterday's top index gainer FMCG started flat.