Indian markets climbed higher led by firm global cues and gains in capital goods counters. The Sensex is up 102 points, at 19,963 and the Nifty is up 32 points, at 6020.
Analysts expect the uptrend to continue and the indices may scale to new highs after taking a breather. "Markets have surged sharply since September 2010. The downside, which started last week, can continue for some time. After this correction, Nifty could scale fresh highs of 6800-7200 by March next year," Mehraboon Irani, Sr. VP-Equity, FCH Centrum Wealth Managers said.
Wall Street ended on a flat note with light volumes and investors fretting that downtrend may not be over. Financials were the top losers after the Federal Reserve statement that they will have an evaluation of 19 large banks in order to see if they can deal with losses, if economic conditions dampen. However, markets in Asia were trading mostly up. Heng Seng index was pulled higher by financials and resource stocks. The index was quoting 23,386, up 0.7%. Shanghai Composite was unable to hold gains, the index was trading flat. Japan's Nikkei 225 and South Korea's Seoul Composite were up 0.6%. Other Asian markets sagged, Singapore's Strait Times dropped 0.4% and Taiwan Weighted was off 0.1%
