Markets may clock gains in the morning session following firm global cues after Greece government approved austerity plan. The Nifty futures on the Singapore Exchange were up 31 points, 5,633.
Asian markets rallied on positive news from Europe. Hong Kong’s Hang Seng Index rallied 1%, China's Shanghai Composite surged 0.6% and Japan’s Nikkei Stock Average was flat.
Greece averted default as the parliament approved unpopular austerity plan-five year package of tax rises, spending cuts and asset sales.
Markets in the past few sessions have rallied over strong foreign insitutinal inflows of over Rs 4000 crore as crude declined and government increased fuel prices raising hopes that some important reforms may be passed in the parliament. However analysts said that index is nearing a major resisitance around 5.6200 and another resistance 200 Daily Moving Average at 5740. Alex Mathews, Head of Research from Geojit BNP Paribas Financial Services said, if Nifty futures hold above 5600, market may rally to 5,740 where it will face a major hurdle. If market do not cross 5,620 decisively than this rally may fizzle out.
Also rollovers from June to July series have been in line with past series around 44%. Derivative analysts said that the rollovers were strong in auto and metal stocks.