First look: Your 10-sec guide to all the overnight action
In the US markets, stocks ended slightly higher after trading lower for most of the session. Sentiment was further bolstered by Fed reserve chairman Ben Bernanke's announcement that the central bank would continue to stimulate the US economy even amid signs of growing strength in the economy.
February 04, 2011 / 08:40 IST
In the US markets, stocks ended slightly higher after trading lower for most of the session. Sentiment was further bolstered by Fed reserve chairman Ben Bernanke's announcement that the central bank would continue to stimulate the US economy even amid signs of growing strength in the economy.
And in economic data:- Initial claims for unemployment benefits dropped below expectations tumbling 42,000 to settle at a seasonally adjusted 415,000.
- Productivity rose 3.6% after a 3.5% gain last year. Labour costs dropped 1.5% last year after a 1.6% decline in 2009, as reported by the labour department.
- The services sector grew at its fastest pace in January since August 2005.
- The ISM index of national non-manufacturing activity for January rose to 59.4 from 57.1.
- Total factory orders rose 0.2% to a seasonally adjusted USD 426.8 billion along with stronger shipments of finished products.
And in the day's economic data to watch out for:- The all important nonfarm payroll employment is expected to gain a modest 150,000 from the previous 103,000.
- The unemployment rate is expected to rise to 9.5% from 9.4%.
The European markets snapped their three day rally yesterday after being weighed down by weak corporate results, though strong US economic data helped pare losses by the close. Meanwhile the Asian markets are shut, all except Nikkei which is trading in the green.The euro fell 1.5% trading around the 1.36 dollar mark on ECB's decision to keep interest rates low on the back of balanced inflation. On the back of this, the dollar made its biggest bounce in almost one month by gaining 0.9% against a basket of competing currencies.Crude traded slightly lower, below the USD 91 per barrel mark as a stronger dollar helped erase Middle Eastern oil shipment concerns. Brent crude, meanwhile, continued to rise for a 5th consecutive day to a 28-month high of USD 103 per barrel.Copper sprinted to a record peak of USD 10,000 a tonne on investor hopes that supply shortages and buoyant demand growth this year would fuel a strong rally. However, it has retraced from those levels now on uncertainties with regard to the Chinese markets which are closed on account of New Year celebrations. Staying with the commodity space, sugar prices scaled a new high yesterday to trade at USD 851.5 per tonne led by fears of a heavy fall in Australia's sugar production due to the Yasi cyclone crossing into Northern Queensland, that accounts for a third of the country's cane output.Meanwhile, back home, markets witnessed a spectacular pullback for the second consecutive day led by short covering across sectors as the broader indices went up one percent each. Here's a recap of trade.In earnings action today
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
