Markets may open marginally higher as China stocks rebound

Rebound in Chinese stocks from early lows is likely to boost market sentiment

Markets are likely to open with marginal gains after Asian stocks were seen stable after a rebound in China stocks post the sharp sell-off in the previous session

At 8:35am, the early indicator SGX Nifty was up 23 points at 7,825.

"The Indian markets are expected to open with a flat to positive note tracking global cues. The US markets ended lower on fears of a Chinese slowdown. The Chinese markets rose as the regulator has assured to come out with more moves to support the economy," Geojit BNP Paribas Financial Services said in a note.

Foreign Investors were net sellers in equities worth Rs 667 crore, as per provisional stock exchange data.

On Monday, benchmark shares indices crashed over 2%, amid a sell-off in Asia and Europe, after suspension of trading in Chinese shares post the sharp plunge in Shanghai Composite.

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GLOBAL MARKETS

Asian stocks were trading with marginal gains with Chinese stocks witnessing a recovery from early lows after the rout in the previous session. Shanghai Composite was up 0.4% while Nikkei rose 0.4%. Among others, Hang Seng was trading flat with negative bias while Straits Times was trading flat.


US stocks started the year 2016 on a weak note after the sell-off in Chinese stocks and weak US factory activity in December weighed on investor sentiment. The Dow Jones ended down 1.6% at 17,149, the broader S&P 500 ended down 1.5% at 2,013 and the tech-laden Nasdaq ended 2% lower at 4,903.

STOCKS IN FOCUS

JSW Steel may gain after the company said that the Karnataka High Court on December 3 gave the steel maker a partial relief in theForest Development Tax case.

Siti Cable may firm up after the RBI allowed FIIs/FPIs to acquire upto 49% of the paid-up equity capital of the company.

Larsen & Toubro may see some action after its subsidiary L&T Infotech has received clearance from Sebi for the proposed IPO.

Welspun Corp may lose ground after the company said it has received tax demand notice in respect of its manufacturing unit at Anjar (Gujarat) for an amount of Rs.100.46 crore.

Wipro may see some action after changes in the top management after Abidali Neemuchwala was promoted as CEO & Executive Director wile T K Kurien was promoted as Executive Vice Chairman

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