Market may edge lower on weak Asian equities

The market may edge lower today, 17 December 2007, tracking weakness in global equities. Asian stocks edged lower on Monday, 17 December 2007, as fresh data pointed to a surge in US inflation. Key benchmark indices in Hong Kong, Japan, South Korea, Singapore, Taiwan and China were down by between 0.93% to 2.5%.

US stocks swooned on Friday, 14 December 2007, on concerns that surging inflation may prevent the Federal Reserve from lowering interest rates enough to pull the economy out of the grip of a housing and credit crisis. The three major indexes tumbled more than 1% each, and posted their worst week since 11 November 2007, after a report showing a jump in the consumer price index in November 2007.

The advance tax figures, which will available this week, would trigger expectations regarding corporate performance of India Inc. in Q3 December 2007.

Bharatiya Janata Party (BJP) is poised to retain power in Gujarat but with a reduced majority losing some ground in Sunday (16 December 2007)'s second and final phase of polls in northern and central parts which was worst hit by 2002 communal riots, according to exit polls by four TV channels.

As per provisional data, FIIs sold shares worth a net Rs 647.10 crore on Friday, 14 December 2007. Domestic institutional investors bought shares worth a net Rs 105.18 crore on that day.

FIIs were net sellers of index futures worth Rs 1359.88 crore on Friday. They were net sellers to the tune of Rs 50.63 crore in index options on that day. FIIs net sold stock futures to the tune of Rs 785.05 crore. They net sold individual stock options to the tune of Rs 10.71 crore.

The 30-share BSE Sensex declined 73.56 points or 0.37% to 20,030.83 on Friday. The S&P CNX Nifty declined 10.4 points or 0.17% to 6,047.70 on that day.