Markets Trade on a Soft Note This Morning

The Global markets gives out negative cues this morning. U.S. stocks fell, extending the first quarterly drop in the Standard & Poor’s 500 Index in more than a year, after Moody’s Investors Service’s warning that it may downgrade Spain revived concern about sovereign debt and snuffed out an earlier rally. European stocks slid after a private report showed U.S. companies added fewer jobs than forecast this month, overshadowing a European Central Bank loan tender that indicated the region’s lenders may be becoming less reliant on central bank funding. This morning Asian stocks fell after Chinese manufacturing growth slowed and Moody’s Investors Service placed Spain’s credit rating on review for a possible downgrade, fueling concern over the strength of the global economy. In commodities, Crude oil declined for a fourth day in New York after reports from the U.S. showed companies added fewer workers in June than forecast and an unexpected increase in gasoline stockpiles in the world’s biggest energy consumer. Gold may decline after completing the best quarterly advance since the final three months of 2007 amid speculation investors don’t believe further gains are imminent. Copper, aluminum and zinc dropped after manufacturing in China, the worlds largest metals consumer, expanded at a slower pace for a second month, signaling that demand growth may be weakening. This morning after starting flat the Indian markets slid further as the day progressed to trade on a negative note. All the sectoral indices trade on a negative note. Good selling pressure is witnessed in indices like Metal, Oil & Gas and Realty indices as all the three trades in red declining more than one percentage points. Market breadth is negative with 1,113 advances against 1,167 declines. The Sensex trades in red at 17,497.71 declining 203.19 points or 1.15 percentage points. Nifty trades at 5246.40 declining by 66.10 points or 1.24 percentage points.