Sensex may open marginally higher, remain volatile

Headlines for the day

Auto ancillary industry margins up 14.7% - Business Standard

MRPL to raise Rs5,000 crore by 2011 - Business Standard

Emami to foray into cement biz - Business Standard

ONGC may be allowed to sell C-series field gas at $4.75 - Business Line

Per-employee profits in IT Companies up - Business Line

Events for the day

Major corporate action:

Ex-date for interim dividend of Gabriel and Shriram Transport finance company

Ex-date for dividend of HCL Technologies, Grauer & Weil India
Pre-market Commentary

Global signals

The major European indices surged for the third consecutive day on Friday, however marginally on the back of buying in the banking stocks. The European shares closed 0.2% higher after a choppy and highly volatile session of trade.

With heavy buying coming in, Dow managed to reclaim the 10000 level on Friday. Wherein the major indices rose marginally in the range of 0.17% and 0.34% each despite the announcement of the unemployment data where the unemployment rate spiked to 10.2%, its highest level since 1983, which is much worse than expected as employers continue to trim jobs despite other signs of growth.

Following cues the US and European market, all the major Asian markets were trading in the positive zone with marginal gains in the range of 0.15%-1.31% each. Even SGX Nifty opened strong, while at the time of writing this report it was trading 48 points higher to its previous close.

Indian markets

With marginally green signal coming from the global front, Sensex is expected to open marginally higher, trade in the range-bound territory and trmain highly volatile in the days trade.

Among the local indices, the Nifty could test the 4800- 4850 range on the up side, while on the down side it could find support at 4725 and 4700. While the Sensex is likely to get support at 15600 and may face resistance at 16400.

Indian ADR's

Among the Indian ADRs trading on the US bourses, Wipro, Dr Reddy, HDFC Bank and VSNL closed in green, marginally higher by 0.35%-1.21% each. While remaining ADR’s closed marginally lower with losses in the range of 0.19%-3.76% each. And among all ADRs, HDFC Bank rose the most, while the MTNL declined the most.

Commodity cues

In the commodity space, Crude oil prices fell marginally, with the Nymex light crude oil for December series declining by $2.19 to close at $77.43 a barrel.

In the metals space, the Comex Gold for December series touched $1100. It continued to surge and rose by $6.70 to finally settle at $1096.00 a troy ounce, while Comex Silver for December series fell marginally by $0.04 to settle at $17.38 a troy ounce.

Daily trend of FII/MF investment in equities

On November 06, 2009, FIIs were the net buyers of the Indian Stocks in the tune of 267.60 crore (with the gross purchase of 2035.50 crore and gross sales of Rs1767.90 crore).

While the Domestic mutual funds mutual funds, on November 05, 2009, were also net buyer of the stocks in the tune of Rs34.30 crore (with gross purchase of Rs635.50 crore and gross sales of Rs601.20 crore).