Pre Market Watch - Feb 7 2008

The Indian Market is likely to have a negative opening due to unfavoring cues from the global markets. On Tuesday, The market closed on a deep red note on the back of heavy selling pressures across the sectoral indices. Backed by the unfavoring weak cues from the global markets, the domestic market opened with heavy losses. The market struggled throughout the trading session and was unable to recover from the initial fall as the cautious prevailed in the market. The Small Caps and Mid Caps also joined the benchmark indices as they also faced the selling pressures. All the sectoral indices closed in red. The BSE Sensex closed lower by 523.67 points at 18,139.49 while NSE Nifty fell by 161.35 points to close at 5,322.55.We expect that the market will remain range bound during the trading session.

On Wednesday, the US market closed in negative territory. The Dow Jones Industrial Average (DJIA) closed lower by 65.03 points at 12,200.10. S&P 500 index fell by 10.19 points to close at 1,326.45 and NASDAQ dropped by 30.82 points to close at 2,278.75.

Indian ADRS ended in negative. In technology sector, Wipro fell by (2.77%) along with Satyam by (2.59%) and Infosys by (0.10%). In banking sector, ICICI bank fell by (1.70%) while HDFC grew by (0.48%). VSNL slipped by (3.24%).

Today, from the Asian markets, Nikkei is trading lower by 104.21 points at 12,995.03. The markets in China, Hong Kong, South Korea, Indonesia, Malaysia, Singapore, Taiwan and Vietnam were closed for the Chinese Lunar New Year holidays.

The FIIs on Wednesday stood as net buyer in equity. The gross equity purchased was Rs2,918.40 Crore and the gross debt purchased was Rs0.00 Crore while the gross equity sold stood at Rs2,341.50 Crore and gross debt sold stood at Rs0.00 Crore. Therefore, the net investment of equity reported was Rs576.90 Crore and net debt was Rs0.00 Crore.

Today, Nifty has support at 5,237 and resistance at 5,433 and BSE Sensex has support at 17,826 and resistance at 18,569.