Market likely to remain volatile

Uncertainty in the market is likely to prevail after the Sensex dropped over 700 points in the yesterday's trading session. Despite global crude and gold prices taking a sharp dip and FII inflows remaining firm, the Sensex came under the grip of relentless selling pressure and faltered on Monday. However, overnight rise in the US markets and positive opening in Asian indices in morning trades may help the local indices bounce back as the trading progresses.

US indices notched up significant gains on Wednesday with Dow Jones moving up by 46 points at 12263 and the Nasdaq gained 18 points to close at 2279.

Majority of the Indian floats ended in the red. VSNL was the biggest losses and lost over 6% followed by ICICI Bank & HDFC Bank were down 3%. Infosys, Satyam, Dr Reddy, Rediff and Tata Motors were down 1% each while MTNL, ended with steady losses. However, Patni Computer moved up over 1.60%. Wipro gained over 1.59%.

Crude oil prices dropped sharply in the US market with the Nymex light crude oil for May 08 delivery was down by $4.04 at $101.58 a barrel. In the commodity space, the Comex gold for june 08 series tanked $15 to settle at $921.50 a troy ounce.