Global weakness may weigh on local indices

The market is moving in tune with global markets and the weak Asian indices in current trades coupled with overnight fall in the US markets is likely to weigh on the local indices. Nervousness in the market is likely to continue after the Sensex reporting losses in yesterday's trades. The domestic funds resorting to selling of equities in the last session could make the investors jittery from taking any fresh position. Among the key local indices, the Nifty could decline to 4180 on the downside while on the upside there is a near term resistance at 4300. The Sensex has a likely support at 14000 and may face resistance at 14600.

US indices slipped Wednesday, giving back earlier gains, as investors showed some caution after the Dow industrials and S&P 500 index briefly touched record territory. While the Dow Jones shed 14 points at 13526, the Nasdaq was down 11 points to close at 2577.

Among Indian ADRs except VSNL all had a weak outing on US bourses. Patni Computer tumbled over 4% while Infosys, MTNL ,Rediff, Satyam, Dr Reddy's, Tata Motors, ICICI Bank, HDFC Bank and Wipro dropped around 1-2% each.

Crude oil prices gained further, with the Nymex light crude oil added 26 cents at $65.77 per barrel. In the metals segment, the Comex gold for June series gained $2.70 to settle at $662.60 an ounce.