Market may turn nervous

The market may turn nervous tracking weak global markets following the assassination of former Pakistan Primer Minister Benazir Bhutto. This is despite of healthy rollover of derivatives positions from December 2007 series to January 2007 series. Bhutto's assassination sparked fears of global unrest.

The December 2007 derivative contracts expired yesterday, 26 December 2007. As per reports, Nifty rollover from December 2007 series to January 2008 series stood at 81% while total marketwide rollover stood at 85%, as on Thursday, 27 December 2007. This compared to Nifty rollover 76% from November 2007 series to December 2007 and marketwide rollover of 83% from November 2007 series to December 2007 series.

Asian stocks were trading lower today, 28 December 2007. Japan's Nikkei 225 (down 1.65% to 15,307.78), Shanghai Composite (down 0.41% at 5,287.11), Hang Seng (down 1.08% at 27,543.27), Jakarta Composite (down 0.20 points to 2,739.50), Straits Times (down 0.62% at 3,455.77), Seoul Composite (down 0.31% to 1,902.74), Taiwan Weighted (down 0.26% to 8,292.08) declined.

US markets declined on the news of the Benazir Bhutto's assassination. The Dow Jones fell 192.08 points, or 1.42%, to 13,359.61. Broader stock indicators also fell. The Standard & Poor's 500 index declined 21.39 points, or 1.43%, to 1,476.27, and the Nasdaq Composite index fell 47.62, or 1.75%, to 2,676.79.

Back home, the 30-share BSE Sensex rose 24.20 points or 0.12% to 20,216.72 on Thursday 27 December 2007. The broader CNX S&P Nifty rose 10.75 points or 0.18% to 6081.50 on that day.

As per provisional data, foreign institutional investors (FIIs) sold shares worth a net Rs 702.64 crore, while domestic institutional investors (DIIs) were net buyers of shares worth Rs 787.92 crore on Thursday, 27 December 2007.

FIIs were net sellers to the tune of Rs 3.56 crore in the futures & options segment on Thursday, 27 December 2007. FIIs were net buyers of index futures to the tune of Rs 350.02 crore and bought index options worth Rs 966.32 crore. They were net sellers of stock futures to the tune of Rs 1,318.11 crore and sold stock options worth Rs 1.80 crore.

Crude oil was unchanged today, 28 December 2007 around $97 a barrel as an Energy Department report showed that US inventories fell more than expected. Crude oil for February delivery was at $96.91 a barrel, up 29 cents, on the New York Mercantile Exchange. Brent crude for February settlement was at $95.11 a barrel, up 33 cents in London.