Market may turn volatile

The market is expected to see a volatile week, as the first meeting of the UPA-Left committee on the Indo-US nuclear deal is likely to take place before 14 September 2007. The meeting date is speculated to be somewhere between 10 to 14 September 2007.

The government had put on hold the operationalisation of the nuclear deal pending the findings of a committee constituted to go into the objections raised by the Left parties.

A lot will also depend on how global markets pan out. Of late, local market have been closely tracking movements in global markets.

Also caution will prevail in the global markets ahead of the US Federal Reserve meeting scheduled to be held on 18 September 2007. Marketmen speculate an interest-rate cut.

Market posted third straight gain for the week ended 7 September 2007. BSE Sensex rose 271.82 points or 1.77% to 15,590.42 while the S&P CNX Nifty rose 45.5 points or 1.01% to 4518.60.

FIIs have been on a buying drive recently. They bought shares worth a net Rs 2191.60 crore in four trading sessions from 3 September 2007 to 6 September 2007. Mutual funds were net buyers worth Rs 353.80 crore in equity market during four trading sessions from 3 September 2007 to 6 September 2007