Markets Trade in Red

The Global Markets emanate negative vibes this morning. U.S. stocks fell, threatening the 2011 gain for the Standard & Poor’s 500 Index, on concern Greece will default and signs the American economy is cooling down. European stocks fell for the first time this week amid concern that divisions between European officials may delay a second rescue plan for Greece and as a gauge of manufacturing in the New York area unexpectedly sank. This morning Asian stocks fell, with the regions key benchmark index on course for its lowest close since in almost three months, on concern that debt-ridden Greece will default and as reports showed the U.S. economy is cooling. In commodities, Oil rose from the lowest in almost four months in New York amid speculation that yesterdays 4.6 percent slump was exaggerated. Gold weakened, snapping a two-day advance, after commodities plunged and the dollar surged by the most in 10 months, eroding the allure of the precious metal as an alternative investment. Copper in London dropped for a second day on concern about the stability of the global economy as China may extend credit tightening measures and the debt crisis in Europe remains unresolved. Markets dipped in opening trades following broad based sell-off across Asia as investors reacted to fresh concerns in Eurozone and fear of a slowdown in US. The Nifty was down 34 points, at 5,413 and the Sensex declined 67 points, 18,064. Rate Sensitive BSE Realty index was leading the losses, down 1.2%. Anant Raj Industries fell 3.7%, Unitech was off 1.7% and DLF dipped 1.4%. BSE FMCG index continued to stay in the green, up 0.1%. From the FMCG space, Dabur India advanced 2.2%, Hindustan Unilever was up 0.6% and United Breweries advanced 0.1%. From the broader markets, the midcap and the small cap indices were down 0.5% and 0.3% each.