Global weakness may weigh on local indices

The market is moving in tune with global markets and the weak Asian indices in current trades coupled with overnight fall in the US markets is likely to weigh on the local indices. Nervousness in the market is likely to continue after the Sensex reporting losses in yesterday's trades. Among the key local indices, the Nifty could decline to 4500 on the downside while on the upside there is a near term resistance at 4580. The Sensex has a likely support at 14700 and may face resistance at 15000.

US indices slipped Wednesday, giving back earlier gains, as a four-session advance lost steam, after mixed readings on the economy and ahead of retail sales and labor market reports due later this week. While the Dow Jones shed 66 points at 8675, the Nasdaq was down 11 points to close at 1824.

Among Indian ADRs except few all had a weak outing on US bourses. Patni Computer tumbled over 8% follwed by Rediff lost 7.78%, while ICICI Bank, Infosys, Wipro and HDFC Bank dropped around 1-5% each. While Satyam gained 22.91%, MTNL moved up 5.47% and VSNL ended with marginal gain of 0.26%.

Crude oil prices lost, with the Nymex light crude oil declined $2.43 at $66.12 per barrel. In the metals segment, the Comex gold for August series lost $18.80 to settle at $965.60 an ounce.