Markets expect a flat start

Indian markets are heading for a subdued start following unsupportive global cues. Weekly inflation readings will be announced

Headlines for the day:

IIFCL to raise Rs1,200 crore through infra bonds

Tata Steel to raise $500 million

DoT unlikely to cancel telcos' licences




Events for the day:

Major corporate action

Weekly inflation to be announced today, to view the update on this, kindly log on to Sharekhan.com at 12 pm.
Results: ACC, Engineers India, Motherson Sumi Systems, Ambuja Cements

Pre-market report

Indian indices

After a smart rally in the previous session, the domestic indices are expected to start today's trade on a subdued note tracking unsupportive global cues. Majority of the Asian markets being shut today, the domestic indices are likely to remain under pressure due to lack of support.

FIIs' selling may take markets further down, and any decline in stock prices can be assumed as a buying opportunity to invest in attractively priced growth stocks.
The markets may remain volatile as weekly inflation readings will be announced.

Daily trend of FII/MF investment in equities

The FIIs have sold Indian stocks worth a net of Rs425.70 crore on February 02, 2011 as compared to the net sell of Rs900.50 crore on February 01, 2011. The domestic investors have sold Indian shares worth a net of Rs222.70 crore on February 01, 2011.

Global signals

The European markets edged higher on Wednesday (February 02, 2011), with miners gaining as copper remained near record highs on supply concerns, though weak results from engineering firms Atlas Copco and Sandvik weighed.

The US markets stalled as technical measures suggested a five-month rally was growing long in the tooth.

The Asian markets were trading in red after sluggish leads from Wall Street and renewed violence in Egypt stymied demand. Other indices in China, Hong Kong, South Korea, Taiwan, Singapore, Malaysia, Indonesia and Vietnam are shut today for the Lunar New Year holiday.

Commodity cues

Crude oil prices rose as worries persisted that upheaval in Egypt could spread across the Middle East and North Africa, source of a third of the world's supply of crude.