Morning Bell!!!!......A surprise 25 bps rate cut by ECB and Greece calling off the referendum gives Indian indices strong gains.

SENSEX :17623.53  141.60 (0.81%)                                                  NIFTY: 5302.95  37.20 (0.71%) 

Indian Markets

The BSE benchmark rallied 200 points in the opening trade mirroring strong global cues. A surprise 25 bps rate cut by ECB and Greece calling off the referendum gives Wall Street its second session of strong gains. Major indices are back into positive territory for the year. European markets too close higher.

The 30-share BSE Sensex jumped 173 points to 17,655.30 and the 50-share NSE Nifty went up 48 points to 5,314.15. Nifty rose by 7 points or 0.1% to end at 5,267 while BSE Sensex ended higher by 17 points or 0.1% to 17,482. As per the provisional figures on Thursday, the FIIs were net buyers of Rs.15 crores in the cash markets, while they were net sellers of Rs.452 crores in the F&O markets. DIIs were net buyers of Rs.2 crores in the cash markets.

US Markets

Stocks closed significantly higher on Thursday, giving the market its second day of gains. Investors focused on the European Central Bank's surprise rate cut and mostly shrugged off fears over Greece.

Dow Jones moved up 208 points, or 1.8%. S&P 500 gained 23 points, or 1.9%, and Nasdaq added 58 points, or 2.2%.

Asian Markets

Today, all the Asian indices are trading sharply in the green with Hang Seng up the most 3.2% while Kospi and Taiwan are trading higher by 1.8% and 2.1% respectively. Strait Times and Nikkei are up by 1.4% and 1.3% respectively. Shanghai is up 0.6%.

Commodities

Among the metals, only Copper lost 0.8% while Tin gained the most 2.3%. Aluminium rose by 1% while Nickel and Zinc ended higher by 0.4% each. Oil for December delivery rose $1.56 to $94.07 a barrel.

Gold futures for December delivery rose $35.50 to $1,765.10 an ounce.

Outlook for Today

Today, we expect the Indian Markets to open in the green on the back of surprise 25 bps rate cut by ECB and Greece calling off the referendum. Later markets could continue to react to global news and developments especially in Greece. Among the sectors, Auto, Banking and Metal stocks could outperform.

source: moneycontrol,hdfcsec