Both domestic and global cues are likely to impact how the markets pan out in trade today. Traders will be keeping a watch on the developments at the EU Summit that begins today, while at the domestic level, the F&O expiry for June series could keep the gains under check.
Wall Street stocks logged their largest gain in a week, with the S&P 500 index rising 1%. The rally came after data showed demand for long-lasting US manufactured goods rose sharply more than expected in May and US pending home sales hit a two-year high.
Japan's Nikkei share average gained 1% on Thursday, supported by domestically driven stocks. The broader Topix index was trading 0.9% higher.
Back home, the Nifty is likely to seek support around 5,130 – 5,120, analysts say. At 705 am Indian Standard Time, the SGX Nifty was trading at 5160 – up 0.4%.
Stocks to watch
Among individual stocks, Tata Motors could be under pressure today after the company said that it has halted production for three days due to the 'prevailing economic conditions'.
HSBC is likely to raise up to Rs 2,450 crore by selling its stake in Axis Bank and YES Bank, reports suggest. The development could see the stocks of these two banks buzz in trade today.
A slowdown in demand has forced SAIL to slash the prices of galvanised corrugated sheets by Rs 600-3,000 per tonne.
Sadbhav Engineering has emerged as the successful bidder for a Maharashtra State Road Development Corporation project worth Rs 319 crore. This could see the stock come back in the limelight today.
