Global mkts in green: Cues that could drive Nifty today

It was another positive session on Wall Street with Dow posting a fresh closing high. On Tuesday European markets closed mixed, while Asian markets were trading in the green today.

Back home, key indices nosedived after a firm start to close at a near 7-month low Tuesday, as the market prepares for what is likely to be a disappointing earnings season.

The Sensex closed at 18226, down 211.30 points over the previous close and the Nifty closed at 5495, down 47.85 points. The Nifty last visited 5500 mark on September 13, 2012.

The US markets finished off their best levels but the Dow still posted a fresh closing high. The S&P 500 traded within two points of its all-time peak earlier in the session.

Markets were helped by the milder than expected inflation data out of China earlier Tuesday. The CBOE volatility index slid below 13.

Asian markets rose for third straight session today ahead of Chinese trade data. Japan’s Nikkei hit a five year high.

In key data to watch out for in the US today, the Federal Reserve will release minutes of its previous meeting. Also watch out for weekly mortgage applications data.

European markets closed fairly mixed as investors remained cautious with earnings season forecast to be fairly weak. UK industrial output for February was better than expected, rising 1% over the previous month.

But the DAX and CAC, both sold off towards the second half on weak trade data. Germany’s exports declined by 1.5 percent between January and February. Meanwhile, French trade deficit widened from 5.65 billion euros in January to 6.01 billion euros in February. Italy’s FTSE MIB Index jumped 1.26%

Since the Cyprus bailout, speculation has been building that Slovenia could be the next country to ask the EU for help. The country's PM says it is not going to happen but many market watchers doubt that.

The country's banks are saddled with bad debts which stand at about 20% of GDP. The economy slipped into recession back in 2011 and the central bank forecasts it will shrink 1.9% this year.

Currency

The euro hit a three-week high versus the dollar; it rose above 1.30 to the dollar. The dollar index was at 82.40 levels. The yen remained weak versus the dollar.

Commodities

Brent crude price rose to USD 106 per barrel after the Energy Information Agency raised its price forecast for Brent. Precious metals too saw an uptick gold prices rose to one-week high above USD 1580 an ounce.