Markets Trade on a Flat Note

The Global Markets emanate mixed vibes this morning but with a negative bias. U.S. stocks rallied, driving the Standard & Poor’s 500 Index up from the cheapest valuations since 2009, as weaker-than-estimated economic data reinforced optimism the Federal Reserve will act to spur growth. European stocks rose for a second day amid continuing speculation the Federal Reserve will take action to bolster the economy and as Chinese manufacturing data exceeded forecasts. This morning Asian stocks swung between gains and losses after lower U.S. home sales spurred speculation that the Federal Reserve will act to shore up the world’s largest economy, tempering declines by insurers and technology shares. In commodities, Oil advanced for a third day in New York as investors bet that shrinking U.S. crude supplies indicate that fuel demand may recover in the world’s biggest consumer of the commodity. Gold rebounded after dropping from a record as concern about a global economic slowdown exacerbated by sovereign-debt crises increased demand for a store of value. Copper may gain for a second day on speculation that the U.S. will act to support the economy and as demand in China rebounded. Indian Markets this morning trade in green on a flat note. However, Japan's credit rating downgrade by Moody's continued to weigh on the markets. The Sensex trades at 16377 down by 121 points while the Nifty trades at 4915 down by 34 points. BSE IT shares were leading the losses; the index was down 1.63%. Midcap IT stocks were the worst hit. BSE Consumer Durables index was leading the gains. From the broader markets, the BSE midcap and small cap indices were up. The market breadth was positive, 1521 stocks advanced for 878 stocks which declined.