Volatility may continue

The presense of a sharp intra-day volatile trend due to lack of clarity may see the market remain edgy and move on the either side of the zone. Mixed close at the US markets and weak start in Asian indices trend in the present trades could move down the local indices in early trades. The Sensex swung 300 points during intra-day trades on Fed jitters and shed 0.21% at the close on Tuesday across-the-board selling pressure. Key announcements like Reliance Power, RNRL, Hero Honda, Tata Steel, Sterlite, Sesa Goa, Jindal Steel, Cairn India, Cipla, Sun Pharma, HPCL, PNB are expected to announced their figures.

US markets ended mixed Tuesday as investors weighed a weaker-than-expected consumer confidence report and a better-than-expected housing report in the aftermath of a big rally. While the broader Dow Jones scaled down by 12 points at 9097, and the tech-heavy Nasdaq moved up by 8 points to close at 1976.

Barring Patni Computers & Tata Motors, rest of the Indian ADRs followed the US markets and ended with losses. Rediff, ICICI Bank and MTNL shed over 2-3% each while HDFC Bank, Infosys, Satyam, Wipro, Dr Reddy's and VSNL were down around 0.50-1% each.

Crude oil prices are moved down sharply, while the Nymex light crude oil for September delivery declined by $1.15 to close at $67.23 a barrel. In the commodity segment, the Comex gold for December series dropped by $14.60 to settle at $941.70 an ounce.