Sunday, August 9, 2009

BSE Sensex Up On Strong Global Cues

. Sunday, August 9, 2009

By stockOzone team

The BSE Sensex is seen opening up on Monday as investors across Asian markets were upbeat following the release of better-than-expected U.S. jobs data on Friday.

Data showed that the pace of U.S. job losses slowed last month, adding to recent evidence that the health of the world's largest economy is starting to improve.

In response to hopes that the United States could pull the world out of recession, Asian stocks rose.

However, the market could come under pressure during the day as monsoon rains still show no signs of picking up.

Also, a large number of index stocks have risen quickly during the last three months to high levels, triggering concerns that the shares are pricey.

Shares in energy giant Reliance Industries will be watched with oil falling towards $70 a barrel, extending the previous session's decline, as strength in the U.S. dollar encouraged investors to take profit from a recent rally.

India's largest mobile phone operator, Bharti Airtel will also be tracked as sources told Reuters that it may increase its offer for a stake in South Africa's MTN Group by between 5 to 10 percent.

On Friday, the 30-share BSE Index fell 2.3 percent to 15,160.24 as shaky overseas markets, concerns about pricey stocks and below-normal monsoon rains sapped confidence.

By 0336 GMT, the Hang Seng index was up 1.95 percent, and the Nikkei was up 1.23 percent.

Nifty futures traded in Singapore were trading up nearly 2 percent, pointing to a firm opening in Indian shares.

Disclosure: Author does not own any of the stocks discussed here.

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