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Pre-market: Global cues may take Sensex higher

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Shilpa Johnson Mumbai
Last Updated : Jan 21 2013 | 12:53 AM IST

The Sensex is likely to take cues from positive trades across the global markets and open higher, this trading session. The Singapore Nifty futures are at 5,336, up 25 points.

Overnight, US stocks rallied on Tuesday, finishing near the highs of the day and erased early weekness. Italian Prime Minister Silvio Berlusconi became the biggest political casualty of the regions’ debt crisis on Tuesday when he announced he would step down after being stripped of his majority in parliament. Stocks had been seesawing on Tuesday as the fate of Italy's prime minister hung in the balance, but they moved firmly higher after the Italian president's office confirmed that Berlusconi will step down. He is expected to resign following the approval of a new budgetlaw that is currently making its way through parliament.

The Dow Jones industrial average was up 0.85% at 12,170. The Standard & Poor's 500 Index was up 1.17% at 1,276. The Nasdaq gained 2,725, up 1.2%.

In Asia, the Nikkei average rose in the morning session and gained 0.94% at 8,737. The Hang Seng and Shanghai Composite indices gained 1.94% and 0.1%, respectively.

Back home, markets ended flat after a lacklustre session of trade. The Sensex opened the day higher on global cues. However, with weakness in realty shares, the index fell to a low of 17,455. The Sensex attempted to recover and ended flat at 17,570 - up seven points. The Nifty ended up five points at 5,289.

Analysts suggest that the markets could remain volatile as the trade progresses and peg the support for Nifty at 5,150-5,200 levels.

Among individual stocks, Usha Martin is likely to be in focus today after Fitch affirmed a low-default risk with a stable outlook on the back of the company's good Ebidta margin and credit position.

Watch oil marketing companies after IOC chairman R.S. Butola told television network NDTV that Indian state run oil marketing companies may cut gasoline prices by November 16.

The BG group plans to sell its controlling 65% stake in Gujarat Gas Company, India largest privately held natural gas distribution and transmission company, in what is likely to be one of the first cases to attract the open offer provisions under the revised code. This stock is one to watch out for.

United Spirits that doubled its Q2 net to 148 crore is also likely to garner investor interest.

Select sugar stocks can come under pressure on reports that Uttar Pradesh has raised the price sugar mills must pay for the new season crop by as much as 19%.

Also keep a tab on Indian Oil Corporation, Lupin, Ranbaxy, State Bank of India and Voltas as they announce their respective September 2011 quarter results today.

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First Published: Nov 09 2011 | 8:43 AM IST

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