Market may decline on weak global cues

The market may decline today, 3 January 2008, on weak global cues. Asian markets were trading weak today, 3 January 2008. Hong Kong's Hang Seng (down 1.80% at 27,063.18), Taiwan's Taiwan Weighted (down 2.22% at 8,138.33), Singapore's Straits Times (down 1.68% at 3,403.02), South Korea's Seoul Composite (down 1.06% at 1,833.89) edged lower.

US markets tumbled on Wednesday, 2 January 2008, after crude oil hit $100 per barrel. The December Institute of Supply Management (ISM) Index, a national purchasing manager survey, also disappointed as it dropped to 47.7, compared to November's reading of 50.8. The number also came in short of the consensus estimate of 50.5, and is the lowest level seen since April 2003.

The Dow Jones industrial average plunged 220.86 points, or 1.67%, to 13,043.96. The Standard & Poor's 500 index fell 21.20 points, or 1.44%, to 1,447.16, and the Nasdaq Composite index declined 42.65 points, or 1.61%, to 2,609.63.

Back home, the 30-share BSE Sensex surged 164.59 points or 0.81% to settle at record closing peak of 20,465.30, on Wednesday, 2 January 2008. Sensex hit a record high of 20,529.48 in late trade. The broader CNX S&P Nifty was up 35.05 points or 0.57% at 6179.40, a record closing high on that day. It struck an all time high of 6197 in late trade

As per provisional data, foreign institutional investors (FIIs) sold shares worth a net Rs 628.68 crore, while domestic institutional investors (DIIs) were net buyers of shares worth Rs 427.11 crore today, 2 January 2008.

FIIs were net sellers of Rs 223 crore in the futures & options (F&O) market on Wednesday, 2 January 2008. They were net sellers of Rs 1,037 crore in stock futures. They were net buyers of Rs 781 crore in index options and Rs 33 crore in index futures.

Crude oil for February delivery jumped $3.64, or 3.8%, to a record close of $99.62 per barrel after touching $100 per barrel earlier in the session yesterday, 2 January 2008, which is the highest since trading began in 1983.