Market to see high volatility

Market is expected to see high volatility today, a day ahead of expiry of June 2007 derivatives contracts on Thursday, 28 June 2007. As is the case at the time of expiry of near-month contracts, the extent of rollover to July 2007 contracts from June 2007 contracts will dictate the trend in the near term. A higher rollover indicates that the market players expect bourses to remain firm in the month ahead and vice versa. Cues from global markets were not encouraging either.

The 30-shares BSE Sensex posted marginal gain of 13.36 points or 0.09% to 14,501.08 on Tuesday 26 June 2007.

Asian markets were trading lower today, 27 June 2007 led by Japan, as shares of exporters such as Toyota Motor Corp. and Canon Inc. were hurt by yen's strengthening against the US dollar. Japan's Nikkei was down 0.74% at 17,933.03. Hang Seng (down 0.11% to 21,780.32), Taiwan's Taiwan Weighted (down 0.26% at 8,842.67), South Korea’s Seoul Composite (down 0.52% at 1,740.42), and Singapore's Straits Times (down 0.16% at 3,519.61), all edged lower.

Wall Street finished an extremely erratic session with a modest decline on Tuesday, 26 June 2007 as investors parsed unimpressive data on home sales and consumer confidence and awaited the Federal Reserve's meeting on interest rates.

The Dow Jones fell 14.39 points, or 0.11%, to 13,337.66. Broader stock indicators also fell. The Standard & Poor's 500 index slipped 4.85 points, or 0.32%, to 1,492.89, and the Nasdaq Composite index fell 2.92 points, or 0.11%, to 2,574.16.