Correction to continue

The market is expected to undergo further correction on weak global cues. The market entered correction mode last week as it posted losses in all the five trading sessions as worries about US credit crisis arising from sub-prime mortgage defaults resurfaced. The BSE 30-shares Sensex lost 1068.63 points to 18,907.60 in the week ended Friday, 9 November 2007. The S&P CNX Nifty declined 269.15 points to 5663.25 in the week.

The Index of Industrial Production (IIP) data for September 2007 is due today, 12 November 2007. IIP rose 10.7% in August 2007 from 10.3% growth in August 2006. IIP improved 9.8% in April-August 2007 compared with 11.9% growth in April-August 2006

Asian markets were weak today, 12 November 2007. Hong Kong's Hang Seng (down 3.06% or at 27,901.56), Japan's Nikkei (down 2.4% at 15,208.78), Taiwan's Taiwan Weighted (down 2.91% at 8,710.12), Singapore's Straits Times (down 2.72% at 3,501.82) and South Korea's Seoul Composite (down 3.04% at 1,929.93) edged lower.

US markets ended on weak note on Friday, 9 November 2007 after major banks warned of further losses on their debt portfolios, raising investor concerns that the credit market worries are not yet over. The Dow Jones industrial average lost 223.55 points, or 1.69%, to 13,042.74. The Standard & Poor's 500 index declined 21.07 points, or 1.43%, at 1,453.70, while the Nasdaq Composite index fell 68.06 points, or 2.52%, to 2,627.94.

Trading for the Samvat year 2064 began on a cheerful note. However, the market later slipped into the red due to weakness in global equities. The BSE 30-shares Sensex slipped 151.33 points or 0.79% to 18,907.60 on Friday 9 November 2007. The broader based S&P CNX Nifty slipped 35.50 points or 0.62% to 5663.25. This is the first time in last ten years when markets ended in the red on Muhurat trading session.

Samvat 2,063 was an eventful year. Sensex galloped by whopping 6,322 points. Though this is the biggest point move in a single year, it's not the highest in terms of percentage gains. In Samvat 2,063, the index appreciated 49.6% from the 12,736 points it had closed last Diwali.

Oil fell more than $1 on Monday, 12 November 2007, after Saudi Arabia said the cartel would discuss boosting oil output at an upcoming meeting to cool surging oil prices. US light crude for December delivery was down 90 cents at $95.42 per barrel. London Brent crude fell 67 cents to $92.51 a barrel.

As per provisional data, FIIs purchased shares worth a net Rs 34.99 crore, while domestic institutional investors (DIIs) were net sellers of shares worth Rs 0.53 crore on Friday, 9 November 2007.