Markets may open higher on global cues

Tata Steel will be in focus on plans to sell its long products Europe business

Indian shares are likely to open higher on Wednesday tracking positive cues from Asia and overnight gains on Wall Street. However, lack of buying interest in wake of the truncated week may cap upside gains.

At 8:30am, the early indicator SGX Nifty was up 42 points at 7,826.

"For the Nifty resistance is at 7,796 above 7822 and 7853 while support is seen at 7762 below 7732 and 7714," Geojit BNP Financial Services said in a note.

India's current account deficit (CAD) narrowed to $8.2 billion (1.6% of gross domestic product) in the September 2015 quarter from $10.9 billion (2.2% of GDP) in the year-ago quarter.

Meanwhile, the winter session of the parliament ends today.

GLOBAL MARKETS

Asian stocks were trading higher on Wednesday tracking overnight gains on Wall Street and stability in global crude oil prices. However, market participation was lacklustre on account of the Christmas holidays during the weekend.Japanese markets were closed for trading today.

US stocks ended higher on Tuesday tracking stability of global crude oil prices and better-than-expected third quarter US GDP growth. Third quarter GDP grew at a 2% annual pace, according to release by the US Commerce Department. The Dow Jones ended nearly 1% higher at 17,417. The broader S&P 500 gained 0.9% at 2,039 and the tech-laden Nasdaq ended above the 5,000 mark at 5,001.

STOCKS IN FOCUS

Tata Steel will be in action after its overseas subsidiary Tata Steel UK has signed a letter of intent with Greybull Capital, an investment company, to enter exclusive negotiations for a potential sale of its long products Europe business. The Shanghai Composite was up 0.2% while Straits Times was up 0.5% and Hang Seng gained nearly 1%.

Welspun Enterprises may gain after the company sold 37% stake in Dewas Bhopal Road Corridor for a consideration of Rs 662 crore.

Orchid Pharma may gain after Orchid Europe Limited, UK a wholly-owned subsidiary of Orchid Pharma Limited, India has entered into a long term financial arrangement to avail up to US$ 800 million (US Dollar Eight Hundred Million) as loan with Line Trust International, Guernsey, UK.

Prestige Estates may see some action after the company said it plans to buyback PE firm  Red Fort India Real Estate Holdco I, LLC and Varidge Ventures Ltd 100% stake in Exora Business Parks.

Chambal Fertilisers may gain after the Board of Directors has at its meeting held on December 22, 2015, subject to approval of shareholders, provided its in-principle consent to the: (i) sale or disposal of one or more or all of the 5 ships.

Thomas Cook will be in focus after Quess Corp Ltd (formerly IKYA Human Capital Solutions Ltd), subsidiary of Thomas Cook (India) Ltd, received approval for an IPO.

Wipro will be in focus after the company today said it plans to acquire Viteos Group for US $130 million.

NEW LISTINGS

Alkem Labs will make its debut on the bourses today. The issue was subscribed over 44 times and the issue price was fixed a the top end of the price band at Rs 1,050 per share.

Dr Lal Path Labs will also list today. The issue was subscribed over 33 times and the issue price was fixed at the top end of the price band Rs 550 per share.