Markets Choppy, Await ECB Decision

The Indian equity indices are still showing choppy trends ahead of the crucial ECB and Bank of England (BoE) decision on the monetary policy. Both the benchmark indices, Sensex and Nifty, have not made any significant progress from yesterday's closing. The only positive is that the indices are still trading in positives, with Nifty again gaining the 5300 level.

The opening in the European stocks was not so exiting. FTSE and DAX are flat in their trades, while CAC has shed 0.32% from yesterday's closing.

The Asian indices are also waiting for ECB action, and the stocks haven’t seen any significant value addition. Hang Seng is up by 0.3%, while Nikkei and Shanghai are trading in the red.

All the global indices are currently reflecting defensive trades, and eagerly waiting for some action in Europe.

Back home, retail stocks have rallied over the news that multi-brand FDI may be allowed in India after the Presidential elections. The rupee, though, has slipped to the 55/USD mark again.

Among the indices, CG is the top performer with 0.6% intraday gains. FMCG is up by 0.5%. Healthcare and Power are both up by 0.4%. The other indices are showing either flat or negative trades.

Of the Sensex stocks, Cipla is trading with 2.28% gains. Jindal Steel is up 1.7% over the Karnataka mining news. The shares of Maruti and BHEL are also up by 1% each. Bajaj Group's stocks have turned red after becoming ex-dividend. ONGC and Dr. Reddy’s Labs are also trading down from yesterday’s closing.

The shares of Alstom Projects have surged over 4% after the company reported that it has received a 2x660 MW super critical boiler order.

On the BSE, nearly two stocks have advanced against every one decline, while the situation is even better on NSE, with five stocks advancing against every two that have declined.

With the markets swinging between the positives and negatives, it cannot be said how the closing may be. Europe is a key cue, but the markets there are highly circumspect. Hence, we ask investors to be very cautious while laying  their bets.