On a wing and a prayer

Helplessness induces hopelessness, and history attests that loss of hope and not loss of lives is what decides the issue of war. BH Liddell Hart.

We are looking at another weak start as overseas cues continue to be bleak and domestic headwinds remain strong. However, Asian indices have shown some resilience so far. Volatility will be high today on account of the F&O expiry. So, beware the intraday gyrations, especially in the afternoon. Some consolidation near 4600 is required in order to confirm an intermediate bottom.



Tata Group companies will be in the limelight as Cyrus Mistry has been named the successor to Ratan Tata. Retail shares will also be in focus as the Cabinet finally considers FDI in multi-brand retail. Market players will also keep eye on the parliament after first two days of the winter session were adjourned.

In global action, disappointing response to a German bond auction is the latest bad news from Europe. The weak auction of the so-called bunds has raised concerns that peripheral euro area issues are fast spreading to the core. Downbeat data on Chinese manufacturing coupled with bailout troubles for Dexia also dented investor sentiment.

US economic reports were muted ahead of the Thanksgiving holiday on Thursday. Wall Street will have half-day on Friday as holiday shopping kicks off.

FIIs were net sellers of Rs 11.86bn (provisional) in the cash segment on Wednesday, according to NSE data. The domestic institutional institutions (DIIs) were net buyers of Rs 9.26bn on the same day.

The foreign funds were net sellers of Rs 13.04bn in the F&O segment on Wednesday, NSE data shows.

FIIs were net sellers at Rs 8.62bn in the cash segment on Tuesday, according to SEBI web site. Mutual Funds were net buyers of Rs 4.73bn in the cash segment on the same day.

Global Data Watch: GDP data from Germany, IFO business sentiment report from Germany and GDP report from UK.