Pre Open Market Commentary

Indian market is likely to open on a positive note on the backdrop of recovery in the US markets. On Monday, markets gained, as BSE Sensex closed at 12,7505.94 up by 60.95 points and Nifty gained 18.70 points to close at 3697.60.The outlook for the market is cautious with positive bias.Tuesday, US markets closed in green, as the investors built on a broad based rally a day earlier that was predicted in part on hopes that tomorrow''s Fed statement will reflect a more accommodative policy stance. The Dow Jones Industrial Average (DJI) rose 61.93 points to close at 12,288.10. The S&P 500 (SPX) index gained 8.88 points to close at 1,410.94, and the NASDAQ Composite (RIXF) surged by 13.80 points to close at 2,408.21. Major Indian ADRs closed in green except for two. In technology sector, Infosys up by 0.72%, Satyam edged up by 1.09% and Wipro gained 0.50%. Banking sector, ICICI Bank closed up by 1.23% and HDFC bank surged by 2.08%. MTNL closed down 0.92% and VSNL increased by 2.00%.Hang Seng Index traded 0.1% lower in the first hour of trading, whereas Kospi index was up 0.3% and in line with this, Shanghai Composite was up 0.7%. In the oil markets, crude for May delivery, which became the front-month contract on Tuesday, rose as much as 35 cents to $59.60 a barrel in Asian electronic trading. Crude for April delivery finished up 14 cents at $56.73 a barrel Tuesday in trading on the New York Mercantile Exchange.