Markets Trade on a Flat Note

The Global Markets emanate negative vibes this morning. U.S. stocks retreated, sending the Standard & Poor’s 500 Index to the longest losing streak since February 2009, as raw-material and financial shares slumped amid growing concern the economy is slowing. Bloomberg's Julie Hyman also speaks. European stocks dropped for a sixth day, their longest losing streak since March, after Federal Reserve Chairman Ben S. Bernanke gave no hint that the central bank will unveil a new round of stimulus. This morning Asian stocks fell, dragging the regional benchmark index to its lowest level in two weeks; the Federal Reserve said the U.S. economy is slowing in some regions. In commodities, Oil rose for a third day in New York after OPEC failed to reach an agreement on production targets for the first time in at least 20 years and U.S. crude inventories fell more than analysts forecast. Gold may advance for the first time in three days after grain and energy prices surged, boosting the precious metal’s appeal as a hedge against inflation. Copper in London rebounded as concern about the U.S. economy hurt the dollar amid expectations supplies will lag behind demand this year. The markets had a quiet opening this morning. The Sensex is down by 7 points at 18,387 while the Nifty trades at 5522 down by 4 points. The broader markets too opened flat but were better off than the BSE benchmark index. The small cap and the midcap indices started 0.2% higher as compared to the Sensex gaining nearly 0.1% in the opening trades. All the sectoral indices started in the green except the IT index. Consumer Durables and Realty up 0.3% each were the major gainers in the opening trades followed by Oil & Gas and Health Care. The movers in the Consumer Durables space were Whirlpool up 3% followed by Videocon Industries and Rajesh Exports adding 1% each. The market breadth was positive. Of the total 1427 stocks traded on the BSE, 953 stocks advanced while 420 declined.