Markets Trade on a Positive Note

The Global Markets emanate mixed vibes this morning. U.S. stocks fell, following the biggest three-day rally since 2009, as German and French leaders proposed a financial-transaction tax and rejected selling euro bonds to halt a debt crisis threatening economic growth. Most European stocks fell, with the Stoxx Europe 600 Index snapping its biggest three-day rally since May 2010, as the economies of the euro area and Germany grew at a slower-than-estimated pace. This morning Asian stocks fell for the first time in three days after European leaders failed to provide direction on plans for arresting the regions debt crisis and as U.S. housing starts slumped. In commodities, Crude oil traded near a two-day low in New York as concern that the European economy will stall countered the biggest decline in U.S. gasoline stockpiles in almost five months. Gold may climb for a third straight day toward a record on concern that Europe’s sovereign-debt crisis may escalate and hurt economic growth, triggering a slump in equities and fueling demand for a haven. Copper fell for the first time in four sessions as the slowest growth in the euro-area economy in two years spurred concern that metal demand will decline. Markets opened higher led by gains in financial shares. The Nifty is up 58 points at 5,094 while the Sensex advanced 218 points, at 16,949. Among sectoral indices - BSE Oil & Gas index was the top gainer, up 0.9%. ONGC was up 2%,  Essar Oil added 0.9% and Gail India gained 0.8%. BSE Realty index was a laggard in trade on concerns that further tightening may dampen demand for homes. The BSE Realty index was down 0.8%. Besides DLF, Anant Raj Industries dipped 8%, DB Realty declined 1% and Godrej Properties was down 1%.  Market breadth is negative, with 968 advances as against 1279 stocks which declined.