Market to correct further

The domestic bourses are expected to correct further after 642.70 points or 4.28% plunge in Sensex to 14,358.21, the second biggest point fall in a day, on Thursday, 16 August 2007. However some bargain hunting might emerge in the later half of the day. Also volatility is expected to remain high.

Weekly inflation data will be released today, 17 August 2007, afternoon.

Domestic bourses have been closely tracking global markets in the recent past. All the Asian markets opened weak today, 17 August 2007.

Japan's Nikkei (down 2.33% at 15,772.39), Hong Kong's Hang Seng (down 0.24% at 20,623.71), Singapore's Straits Times (down 1.31% at 3,110.99), Taiwan Weighted (down 0.94% to 8,123.87) and South Korea's Seoul Composite (down 0.92% at 1,676.46) declined

Wall Street pulled off a dramatic late-session turnaround to close mixed yesterday, 16 August 2007 after bargain hunters lured by weeks of massive declines came back to the stock market. The Dow Jones Industrial Average fell 15.69 points, or 0.12%, to 12,845.78. At one point of time it was down more than 340 points. The Standard & Poor's 500 rose 4.57 points, or 0.32%, to 1,411.27, and the Nasdaq Composite index dropped 7.76 points, or 0.32%, to 2,451.07.

As per provisional data, foreign institutional investors (FIIs) sold shares worth a net Rs 3108.45 crore, while domestic institutional investors (DIIs) were net buyers of shares worth Rs 1398.90 crore on Thursday, 16 August 2007.

Oil prices rebounded half a dollar on Friday, 17 August 2007 lifted by a late Wall Street recovery and news of a fire at a big Gulf Coast refinery. US crude rose 57 cents to $71.57 a barrel