Fatigue setting in?

"When we are tired, we are attacked by thoughts we conquered long ago." - Friedrich Nietzsche.

A little bit of fatigue seems to be creeping into the Indian markets, at least for the time being, even as their overseas counterparts are enjoying an extended rally. September was spectacular for India. October and November were not so kind. In December, we somehow managed to claw our way back. But, early in January the markets seem to be lacking the spark again.



The road ahead is murky and there are no clear answers on which way the cookie will crumble for the Indian markets. The short-term direction will hinge on global cues, quarterly earnings and the outcome of RBI’s policy meeting.

The start today will be down, as US stocks closed mixed and key Asian markets are in the red. European markets rose anew, with UK’s FTSE pacing the advance. The broad range for the Nifty appears to be 6000-6300. It could be stuck between 6100-6200 in the immediate future. A close below 6115 could result in selling pressure.

Individual stocks, especially outside the main indices, will hog the limelight. But beware of the volatility in the small-cap and mid-cap counters. Do your homework well before committing money, lest you may repent your move.

L&T could see some action amid reports of business restructuring. Suzlon might also remain in the spotlight on reports of a possible stake sale by promoters. Fertilizer companies will be in focus ahead of the GoM on urea decontrol. SAIL and ONGC disinvestment is on track, says the disinvestment secretary.

Tata Steel is planning to raise $1bn from a GDR issue. Ranbaxy and Merck have reportedly terminated their deal. Natco Pharma is in talks with Pfizer for the latter's HIV drug.

FIIs were net buyers of Rs 7.17bn in the cash segment on Tuesday, according to the provisional NSE data. The domestic institutional institutions were net sellers at Rs 4.91bn. FIIs were net sellers of Rs 2.46bn in the F&O segment on the same day. The foreign funds were net buyers of Rs 4.27bn in the cash segment on Monday, according to the SEBI web site.