Sensex may open lower

Headlines for the day

Banks can sell forex options to clients - DNA Money

Domestic Airlines carry 27% more passengers in October - Business Line

L&T to sell part stake in Mahindra Satyam - Business Line

Pramod Jain makes open offer for Golden Tobbaco Company - Business Standard

GSPL to build gas pipeline from Gujarat yo Orissa - DNA Money

Events for the day

Major corporate action:

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Ex-date for the interim dividend of Godrej Consumer Products, Gujarat Fluorochemicals and dividend of Rolta India

Market Commentary

Global signals

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On Thursday, The European stocks ended flat with marginal gains as with weak cues from Asian markets and Telecom stocks shining on the bourses, after a choppy and range-bound session of trade. The FTSE 100 closed 0.19% higher.

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A six-day winning streak for the Dow came to a halt on Thursday, as the drop in the oil prices dragged the energy stocks, while the worries on the consumer spending front and several policy makers around the world raising questions on economic recovery. The markets that opened weak dipped further to end lower by close to 1% each.

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In today's trade, all the major Asian markets were trading mixed, wherein Indices like the Shanghai Composite, Nikkei 225 and Strait Times were trading lower in the range of 0.48%-0.80%, While the Hang Seng, Jakarta Composite and Taiwan Weighted were trading in green with marginal gains. SGX Nifty that opened weak was trading marginally lower by 15 points.

Indian markets

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Considering such weak cues coming from the global markets, the domestic indices are expected to open weak and continue its volatile streak.

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Among the local indices, the Nifty could test the 5000- 5050 range on the up side, while on the down side it could find support at 4900 and 4850. While the Sensex is likely to get support at 16371 and may face resistance at 17000.

Indian ADR's

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Among the Indian ADRs trading on the US bourses, only Wipro, Tata Motors and Rediff closed in the green with the marginal gains, while rest all of the Indian ADR that closed in the red with the loss in the range of 0.37%-5.24% each.

Commodity cues

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In the commodity space, the Crude oil prices again declined, with the Nymex light crude oil for December series falling by $1.73 to settle at $77.55 a barrel.

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In the metals space, the Comex Gold for December series declined sharply by $8.00 to settle at $1106.50 a troy ounce, while Comex Silver for December series fell by $0.28 to settle at $17.27 to a troy ounce.

Daily trend of FII/MF investment in equities

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On November 12, 2009, FIIs were the net buyers of the Indian Stocks in the tune of Rs972.700 crore (with the gross purchase of Rs3087.10 crore and gross sales of Rs2114.30 crore).

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While the Domestic mutual funds mutual funds, on November 10, 2009, were the net buyer of the stocks in the tune of Rs22.50 crore (with gross purchase of Rs67.50 crore and gross sales of Rs45.00 crore).