Markets may scale higher in opening trades following positive cues from the global markets. The Nifty futures on the Singapore Exchange advanced 83 points, at 5,162.
Across Asia markets added gains helped by rally in the US markets overnight on news that Google would buy Motorola Mobility Holdings for $12.5 billion in cash. In Asia Japan's Nikkei Stock Average surged 0.3%, Hang Seng added 0.6% and China's Shanghai Composite was flat, at 2,748.
On Monday, the World Bank urged the national government to aim for curbing debt in the long term in-order to solve the debt crisis which has grappled United States and Europe which helped allay investor fears.'
Back in India, markets may take cues from the July inflation data which will be released around noon today. Analysts expect Inflation to rise to 9.2% versus 9.4% seen in the month of June according to the Reuters poll. Economists said that the Reserve Bank of India may continue with its tightening process in September and hike rates by another 25 bps.
Analysts said that markets may rally in the near term owing to positive global cues but in the long-term term headwinds such as high inflation and policy deadlock remained. On Monday, Citigroup cut year-end target for the Sensex by almost 10% to 19,700 from 21,500 due to high valuations, monetary tightening, GDP downgrades and policy paralysis.
Also among individual stocks State Bank of India will be in focus today after the net profit dipped 46%, at Rs 1,583 crore from a year ago.
