Markets Trade on a Flat Note

The Global Markets emanate mixed vibes this morning. U.S. stocks rebounded, a day after the Standard & Poor’s 500 Index declined to a three-month low, as better-than-estimated housing starts and jobless claims reports tempered concern about a slowdown in the economy. European stocks fell to a three- month low as Greek Prime Minister George Papandreou said he will reshuffle his cabinet and seek a confidence vote. This morning Asian stocks are headed for their seventh straight weekly decline, the longest losing streak since 2004, amid concern Greece may default on its sovereign debt and potentially derail a global economic recovery. In commodities, Oil traded near a two-day high in New York after reports showed U.S. housing starts rose more than forecast in May and fewer Americans filed applications for unemployment benefit, signaling fuel demand may increase. Gold is poised for a second weekly decline as growing evidence of an economic slowdown and the dollars strength curbed demand for commodities. Copper in London climbed, set for its first weekly advance in three, on optimism that Chinas demand is improving, tempering concern about Europe’s fiscal crisis. Zinc and nickel also gained. Markets opened marginally in the green, with large caps trading mostly flat. The Sensex touched a high of 18,065 but fell from there. At present the index was down 48 points at 17,937. Nifty was down 19 points at 5,377. BSE metal index gained 1% at 14,594. Realty, healthcare and auto indices advanced 0.5% each.