Negative global cues to drag markets at start

Market sentiments are still shaky due to political turmoil leading global markets to fall. Owing to this, domestic indices are expected to start trade on a weak note

Headlines for the day:

World Bank pegs India growth at 8.5-9%

RIL may have to pay up to 30% tax on $7.2-bn BP deal

Sun Pharma to acquire Caraco's remaining stake



Events for the day:

Major corporate action

Fineotex Chemical IPO opens today
Results: ABB
For more events and news, log on to Sharekhan.com

Pre-market report

Indian indices

The stock markets across the world slumped, as investors resorted to profit booking amid escalating political unrest in Libya that also pushed oil prices higher.

The Indian indices have been trading below their crucial levels. A feeling that there would be more downside going ahead has led to panic among the investors. Today's start is expected to be on a negative note following the weak world indices. The undertone is likely to remain weak as the sentiments are still unstable due to political turmoil in Libya.

Daily trend of FII/MF investment in equities

The FIIs have sold Indian stocks worth a net of Rs38.70 crore on February 22, 2011 as compared to the net buy of Rs244.40 crore on February 21, 2011. The domestic investors have sold Indian shares worth a net of Rs169.80 crore on February 21, 2011.

Global signals

The European markets fell on Tuesday (February 22, 2011), extending the previous session's hefty selloff on escalating tensions in oil producer Libya, which drove crude prices higher and prompted concerns over the impact on global growth.

In the US, Wall Street suffered its worst day since August, as investors dumped stocks on turmoil in oil exporter Libya.

Majority of the Asian markets were trading lower, except Shanghai Composite, weighed by Wall Street's sharp losses. SGX Nifty was trading 29 points lower, suggesting for a weak opening for the Indian markets.

Commodity cues

Crude oil prices held near 2-1/2 year highs, with worries about turmoil in Libya that sent prices soaring the previous session eased by expectations that OPEC and the International Energy Agency could meet any shortfall in oil supplies.