Equities to start weak on global worries

Headlines for the day:

Government mulls sugar decontrol

Corus appoints CitiBank to find buyer for UK Plant

Govt extends emission norms deadline for two-wheelers

Events for the day:

Major corporate action

Ex-date for dividend of Welspun Gujarat
Ex-date for interim dividend of Cholamandalam
Results: Lupin
For more events, log on to Sharekhan.com

Pre-market report

Global signals

The European shares fell to a two-month closing low on Tuesday, as investors' confidence was rattled by growing concerns that a massive bailout for Greece may be insufficient in preventing a wider euro zone debt crisis.

Investors dumped US stocks on Tuesday in the Wall Street's worst session in three months on the fear that even with a bailout for Greece, Europe's debt crisis could spread to other weak euro zone countries.

In today's trade, the Asian markets were trading on a negative note. At the time of writing this report, SGX Nifty was trading 86 points lower. The Janpanese (Nikkei 225 index) and South Korean (Kospi index) markets are shut today.

Indian markets

The encouraging US economic data failed to provide a floor to the market. There was massive sell-off around the globe, as the investors were more concern on the worries about the Greece bailout that would spread across the globe. Following this, Asian markets were dragged by a tumble on the Wall Street and were trading on an average of 1.30% down. The Indian markets are expected to open lower owing to the weak global cues. However, the market is expected to be volatile and remain on a negative bias for the day. The earnings of Lupin is later to be announced today, the stock will be eyed.

Commodity cues

In the commodity space, the crude oil prices loss, with the Nymex light crude oil for the June series down by $3.45 per barrel, whereas in the metals space, the Comex Gold for the June series declined by $14.10 and the Comex Silver for the June series was down by $1 to a troy ounce respectively.

Daily trend of FII/MF investment in equities

On May 04, 2010, the foreign institutional investors (FIIs) were the net sellers of the Indian stocks to the tune of Rs236.10 crore, whereas the domestic mutual funds, on April 30, 2010, were the net buyers of the stocks to the tune of Rs304.80 crore.