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The US markets rebounded in a volatile session. But gains were limited as investors continued to monitor headlines from the Euro zone. Dow Jones jumped 85 points to close at 12,068.39, above the psychologically-important 12,000 mark. European markets: The European markets ended lower, though stocks pared losses towards the final hours of trading. Rumours of Italian Prime Minister Silvio Berlusconi resigning from his post eased losses in the markets.  Greece has not yet appointed its new prime minister. The new democracy party of Greece says that the economic team led by Finance Minister Evangelos Venizelos should stay in place to help implement the condition for additional bailout funds. In the meantime, former ECB Vice President Lucas Papademos is tipped to lead the new government although it is by no means a done deal. The new prime minister is expected to be named today. And even as Greece continues to struggle to stay afloat, Italy is emerging as the next big threat. Today, it could be a crucial test as to whether the Italian Prime Minister Silvio Berlusconi still holds a majority as parliament votes to pass the 2010 balance sheet. France has announced 65 billion euro budget cuts and tax hikes over the next five years as it seeks to hold on to its 'AAA' rating. But economists say they are trimming the growth forecast for next year down to 1% is still optimistic. This comes as President Nicolas Sarkozy faces an election next year. France also temporarily hiked the tax rate for big companies by 5%. The EU finance ministers summit that is on in Brussels,  European finance ministers pledge to come up with guidelines on how to leverage the EFSF by the end of this month, leaving Greece and Italy on the front lines until then in the fight against the debt crisis. Greece is ordered to provide written acceptance of bailout terms in order to win an 8 billion-euro loan installment by the end of November, while Italy is pressed to turn budget-cut promises into reality. Asian markets: Asia opened lower, as investors await the latest developments from Europe. At 7: 40 am (IST), Asian markets were trading firm. China's Shanghai Composite was up 0.26% or 6.57 points at 2,516.37. Hong Kong's Hang Seng rose 0.81% or 160.04 points at 19,837.93. Japan's Nikkei was down 0.32% or 27.87 points at 8,739.22. Singapore's Straits Times added 0.70% or 19.96 points at 2,868.20. Currency check: The euro maintains its declines versus the dollar as Italian Prime Minister Silvio Berlusconi faces a budget vote today amid pressure to quit and a surge in borrowing costs. Commodities market: Crude prices gain more than 2%, Brent prices are currently trading around USD 114 per barrel levels. Gold gains 2% to a one-and-a-half month high on technical buying as political uncertainty in Italy threatened to accelerate the Euro zone's sovereign debt crisis. Gold is currently trading above USD 1,790 per ounce levels. Local market: On Friday, the Nifty failed to hold above 5,300 and the Sensex closed 80 points higher.  Stock specific action: The government has stuck to its guns on the petrol price hike. The Petroleum Minister Jaipal Reddy has said that a rollback is possible only if the rupee appreciates or crude prices fall. Big boy ONGC is riding high on surging crude prices. The PSU major's profits exceeded market expectations with a 60% jump to Rs 8,642 crore. Sales grew 24% to Rs 22,616 crore. Also Punj Llyod and SKS Microfinance came out with their numbers. Reliance Power will be in focus today. Sources indicate that it has achieved financial closure for 40 mega watt solar PV project in Rajasthan. The Rs 700 crore project is to be financed at a debt-equity ratio of 75:25. The company will infuse Rs 175 crore into project. Earnings to watch Bank of India, IDFC, Reliance Power and Reliance Infra will announce their numbers today. Jaiprakash Associates will mull restructuring of cement operations by November 14. Essar Shipping to list as new company after demerger on November 15. Vini Amesar.
vini.amesar@network18online.com.