Market to head lower

After witnessing a sharp slump of 200 points in Friday's trades, the market is likely to remain shaky as global markets fell further and the FIIs remaining net sellers of equities in the local market. Among the key domestic indices, the Nifty may get support at 2705 and a break below this level could see the index slip further to 2660. The Sensex has a likely support at 8690 and may test higher levels at 8990.

US indices slumped on Monday as investors continue to worry that the government's efforts to slow the recession won't be sufficient.
The Dow ended lower at 7115 down 251 points, while the tech-laden Nasdaq declined to close 54 points lower at 1388.

Indian floats had a weak outing on the US bourses. Except Dr Reddy all fell sharply. Rediff tumbled 6.24%, HDFC Bank slipped 4.31% and VSNL, ICICI Bank, Tata Motors, ICICI Bank, Wipro and Infosys dropped over 1-3% each.

Crude oil prices in the international market edged lower, with the Nymex light crude oil for April delivery lost by $1.59 to close at $38.44 per barrel. In the commodity space, the Comex gold for April series declined $7.20 to settle at $995 a troy ounce.