The key domestic benchmarks are likely to open on a positive note today tracking a bullish trend in fellow Asian peers after a faster expansion in Chinese services activity last month signaled an easing slowdown in the world’s second biggest economy, boosting the appetite for risky assets. China’s Shanghai Composite advanced while Hang Seng rallied after the official China services PMI rose to 54.4 in August from 54.2 in July, with a reading above 50 signaling expansion. Japan’s Nikkei 225 jumped as a weaker yen bolstered the appeal of exporter stocks. Back home, the mood remains optimistic as a revival in Asia’s third biggest economy coincided with the completion of 100 days in office for the Modi government which has vowed to push financial, labour and tax reforms after liberalizing FDI in railways and defence to attract overseas investors. Investors will be eying the HSBC India services PMI today. However, three straight days of record high closing may lead to some profit booking in the Sensex.
