Markets Trade in Green

The Global Markets emanate mixed vibes this morning. A late rally in U.S. stocks faded, dragging the Standard & Poor’s 500 Index to a third straight loss, after Ireland’s downgrade to junk added to concern Europe is losing control of the credit crisis and overshadowed evidence the Federal Reserve hasn’t ruled out more stimulus. European stocks fell, dragging the Stoxx Europe 600 Index to the biggest three-day drop since March, amid growing concern that the regions government-debt crisis is spreading. This morning Asian stocks rose for the first time in three days as Chinas economy grew at a slower pace a moderation that may ease inflation pressures, and as investors weigh efforts to contain Europe’s debt crisis. Oil declined from a three-day high in New York as investors bet that increasing U.S. crude supplies and signs that Europe’s debt crisis is spreading indicated demand for raw materials may falter. Gold futures rose to a record settlement as Europe’s escalating debt crisis boosted demand for the metal as a haven investment. Copper in London extended gains after China reported that its economy grew at a slower pace last quarter, a moderation that may ease inflation pressures in the world’s biggest consumer of the metal. After opening in the positive the Sensex continued to move higher and touched an intra-day high of 18,577. The index lost its steam and is currently trading at 18,553 up 141 points and the Nifty gained 43 points at 5,569. The broader markets on the other hand advanced in the morning trades. The small cap and the midcap indices are up 0.9% each outperforming the Sensex which is up 0.5%. Among the sectoral indices, Realty and Consumer Durables are up 1% each closely followed by Metal, Health Care and Oil & Gas gaining 0.8% each. However IT index is down 0.2% continuing yesterday's bad run after Infosys results. Among the losers are Cipla, Infosys down nearly 1% and Wipro losing 0.5%. The market breadth is positive. Of the total 2339 stocks traded, 1629 stocks have advanced while 623 declined.