Sensex likely to open in green on global cues

Mumbai, Sep 2 (UNI) With investment sentiment bullish at the close of the week, it is expected that the sensex will replicate same activites in the opening move on Monday.

US data report on employment is expected to affect the movement on the sensex. Similarly the US-Iran nuclear stand-off would draw sanctions from the United Nations Security Council on Iran, if Iran fails to oblige according to Nuclear Proliferation Treaty. Iran is the fourth largest oil producer and with sanctions writ large, there is every possibility of Iran blocking supply of oil to importing countries. This act can lead to hike in global oil prices and would directly impact the stock prices of auto, oil and gas, power and the capital goods sector.

However, the strong fundamentals of Indian economy are likely to see off any volatility on the sensex, be it the FIIs withdrawing their money or any global repercussions. The inflation rates fell down to 4.62 per cent and the Forex reserves increased to US dollar 166 billion. Similarly, the recent RBI data showed that India's GDP is growing at 8.4 per cent and also the fiscal deficit has been trimmed to some extent.

Overall, the market is expected to be positive, though volatility is part of the game.

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