Negative opening likely; Inflation nos in focus

The Indian markets are set to start the session lower mirroring weak Asian cues; the inflation numbers for February 2011 will be eyed

Headlines for the day:

HDFC Bank hikes FD, lending rates

AV Birla set to join race for $3.2 billion Australian miner

PTC Financial Services IPO to open on March 16



Events for the day:

Major corporate action

Monthly inflation to be announced today, to view the update on this, kindly log on to Sharekhan.com at 12 pm.
HEG board to consider buyback

Pre-market report

Indian indices

The Indian markets

The Indian markets continue to stumble under the tremendous global pressure as one discouraging event after another popped up, disrupting global sentiments. Owing to the negative Asian cues, the Indian markets are expected to open in the red, extending previous session's losses.

The key event to watch out for today is the monthly inflation numbers for February 2011 as its outcome may have some bearing on the Reserve Bank India (RBI)'s policy meet, which is scheduled on March 17, 2011. The banking stocks will remain in focus.

The monthly inflation data, the RBI's mid-quarter policy review, and the advance tax numbers will decide the course of the markets this week. The markets may largely depend on the events back home to get some strength, as the global outlook appears weak. Declining crude oil prices may provide some respite to the tumbling Street.

Daily trend of FII/MF investment in equities

The FIIs have sold Indian stocks worth a net of Rs37.10 crore on March 11, 2011 as compared to the net buy of Rs206.60 crore on March 10, 2011. The domestic investors have sold Indian shares worth a net of Rs51.20 crore on March 10, 2011.

Global signals

The European markets fell on Friday (March 11, 2011) to their lowest close in two months after the Japanese earthquake, with the insurance sector hit the worst. Also adding to the worries were the continuing crisis in Libya and political tensions elsewhere in the Middle East as well as concerns about the euro zone as the bloc's leaders gathered for a weekend summit to address the debt crisis.

The US markets gained on Friday despite the massive devastation caused by Japan's magnitude 8.9 earthquake, after retail sales were ahead of expectations and crude oil prices declined.

The Asian markets were trading lower, after a massive earthquake in Japan sent investors scurrying to safe haven assets and raised concerns of falling demand for commodities. Nikkei was trading more than 4% down. SGX Nifty was trading 7.5 points higher.

Commodity cues

Crude oil prices slumped on Friday after a record earthquake slammed Japan, the world's third-largest economy, raising fears of a shock to the global economic recovery.