Nervousness may remain in the market following a slide in Asian indices and dwindling net FII inflows in the domestic market.
After witnessing a sharp slump of 249 points in yesterday's trades, the market is likely to remain shaky as global markets fell further and the FIIs remaining net sellers of equities in the local market. Although the sentiment is likely to remain bearish on weak global indices. Among the key domestic indices, the Nifty may get support at 2550 and a break below this level could see the index slip further to 2500. The Sensex has a likely support at 8050 and may test higher levels at 8350.
US indices slumped on Thursday as investors waded through more grim news: GM said its survival is in doubt, bank shares took a beating, and Citigroup fell below a buck. The Dow ended lower at 6594 down 281 points, while the tech-laden Nasdaq declined to close 54 points lower at 1300.
Indian floats had a weak outing on the US bourses. Except Satyam all fell sharply. ICICI Bank tumbled 12.26%, HDFC Bank slipped 7.67% and Infosys, Tata Motors, VSNL, Rediff, Wipro, Dr Reddy, MTNL and Patni Computer dropped over 1-4% each.
Crude oil prices in the international market edged lower, with the Nymex light crude oil for April delivery lost by $1.77 to close at $43.61 per barrel. In the commodity space, the Comex gold for April series advanced $21.10 to settle at $927.80 a troy ounce.
Daily trend of FII/MF investment in equities
On March 04 2009, FIIs were net sellers of stocks to the tune of Rs454 crore (purchases worth Rs937 crore and sales of Rs1,391 crore) while domestic mutual funds were net sellers of stocks to the tune of Rs213 crore (purchases worth Rs247 crore and sales of Rs460 crore).
Stocks with +ve bias: Infosys (SL 1180), Sesa goa, & Jindal Steel & Power
Stocks for Short term Delivery: Mphasis BFL
Stocks for Investments: Bharti Airtel, BEL, Bhel, ITC and Lupin
