Sensex, Nifty Seen Up At Open On Firm Global Cues

(RTTNews) - Indian shares are seen opening higher on Monday, though volatility cannot be ruled out ahead of a holiday on Tuesday for Holi.

Oil and aviation stocks could be in focus today after the government slashed windfall gains tax on exports of diesel and aviation turbine fuel (ATF), while marginally increasing the levy on domestic crude oil in its 16th fortnightly revision of the duties.

The release of industrial production data for January, FPI flows and movements in bond markets may influence sentiment as the week progresses.

Asian stocks traded mostly higher this morning, with Chinese and Hong Kong markets slipping into the red after China set a modest target for economic growth this year of around 5 percent, down from last year's target of 5.5 percent.

Gold eased on a firmer dollar as investors await Fed Chair Powell's testimony, the U.S. jobs report and China inflation data this week for directional cues.

Oil prices opened lower after rallying last week on optimism around China's economic recovery. U.S. stocks rose sharply on Friday as the U.S. 10-year Treasury yield pulled back after jumping to a three-month closing high above 4.0 percent.

There wasn't much in the ISM services report to suggest the Fed needs to raise rates significantly higher than previously planned.

The Dow climbed 1.2 percent, the tech-heavy Nasdaq Composite jumped 2 percent and the S&P 500 added 1.6 percent.

European stocks rose for a second straight session on Friday as investors weighed signs of an economic recovery in China against expectations for ECB rate hikes.

The pan-European STOXX 600 gained 0.9 percent. The German DAX rallied 1.6 percent and France's CAC 40 index rose 0.9 percent while the U.K.'s FTSE 100 finished marginally higher.