Sensex may see a weak opening

The Indian indices head towards a negative start following the weak Asian markets, as investors remained cautious ahead of the release of the US economic growth data

Headlines for the day:

Reliance Power awards $8.2 billion order to Shanghai Electric

Core Projects bags Rs26 crore order from Gujarat govt

Banks hope for status quo in mid-term policy review



Events for the day:

Major corporate action

Ex-date for stock split of Jain Irrigation Systems, S.E.Investments
Results: BHEL, M&M, Hero Honda Motors, ICICI Bank
For more events and news, log on to Sharekhan.com

Updates on global events

The US continuing claims for the week ended October 16, 2010 stood at 4,356,000 as compared to 4,478,000 seen in the previous week.

The US initial claims for the week ended October 23, 2010 stood at 434,000 as compared to 455,000 seen in the previous week.

Pre-market report

Indian indices

The Sensex and the Nifty have declined 225 points and 78 points respectively i.e more than 1% down each so far in this week, as foreign institutional investor (FII) inflows have tapered off and one needs to watch it closely.

The Indian markets may witness a weak start today following the negative Asian indices. However, the investors may remain cautious ahead of the release of the US economic growth data scheduled to be announced today and amid growing speculation over the size of the expected Federal Reserve's stimulus measures.

Stock specific action will be seen in the companies declaring their earnings today.

Daily trend of FII/MF investment in equities

The FIIs have bought Indian stocks worth a net of Rs97.80 crore on October 28, 2010 as against net buy of Rs698.70 crore on October 27, 2010. The domestic investors have sold Indian stocks worth a net of Rs343.90 crore on October 26, 2010.

Global signals

The European markets rose on Thursday (October 28, 2010), as a flurry of upbeat corporate earnings helped bolster positive sentiment for equities, more than offsetting falls in chemical firms after Solvay dropped on weak results.

The US markets ended little changed on Thursday as cautious investors pulled back before expected upheaval from the next week's elections and a likely announcement of more stimulus from the Federal Reserve.

The Asian markets were trading lower as concerns about the outlook for earnings weighed on sentiment. SGX Nifty was trading 36 points down, indicating to have a weak start on the Dalal Street.

Commodity cues

Crude oil prices ended higher on Thursday, supported by positive US jobless claims data, as the crude oil futures for December rose by $0.29, to settle at $82.18 a barrel.