Global Credit concerns continue to haunt the markets, Sensex to open lower ===================================================
Stocks are likely to take a hair cut on wednesday as concerns of global financial crisis are likely to dampen the market sentiment. Expect the market to test yesterday's lows and a decline of 1 to 1.5 percent is not ruled out on the Sensex. Stocks tumbled Tuesday on Wall Street, nearly erasing the previous session's big gains, after fresh concerns about the stability of Lehman Brothers Holdings Inc. punctured a sense of optimism about the financial sector. Each of the major indexes lost more than 2 percent. The Dow Jones industrials fell nearly 2.43 percent, where as the Nasdaq shed 2.63 percent value. Stocks across the globe declined in early morning trade as Lehman woes had an impact on the financial stocks. The Nikkei 225 Average lost 1.9% to 12,164.81 and the broader Topix index gave up 1.5% to 1,174.28. Australia's S&P/ASX 200 shrank 1.6% to 4,900.30 and South Korea's Kospi lost 1.7% to 1,430.05. In aftermarket trading Tuesday, prices tumbled more than $4 a barrel to a new five-month low of $101.74, for the first time since early April as traders bet that Hurricane Ike would miss critical Gulf Coast oil installations and in Vienna, OPEC's president signaled the cartel wouldn't cut production. Meanwhile on the domestic front,RBI governor, Duvvuri Subbarao sounded positive on growth and a little less hawkish than his predecessor on inflation. He reiterated a growth rate of 8 percent this year and was positive about a fall in record inflation numbers soon. The stock of Sterlite and Madras Alum might correct after a huge move for the first two days of the week as investors might look to exit the stocks after the news. Expect a volatile session today as the stocks are expected to have a lower opening, but any sort of news on the Lehman selling the stake might reverse the trend and a strong bounce as we believe that there will be some fresh short positions this morning.IT and banking sectors are likely to witness some pressure early in the morning. It is a great idea to sit out of trading today and avoid the volatility. Suitable stocks for intraday today: <ICICIBANK, BHEL, SBIN, BHARTIARTL, ABAN, DRREDDY, SUZLON, BANKINDIA, BPCL, INDIABULLS> Market Close Box: BSE Sensex 14900.76 -44.21 NSE Nifty 4468.70 -13.60 USD Rs.44.89 Oil Nymex $103.2 B.Karthick Research Anlayst. --~--~---------~--~----~------------~-------~--~----~ You received this message because you are subscribed to the Google Groups "Kences1" group. To post to this group, send email to [email protected] To unsubscribe from this group, send email to [EMAIL PROTECTED] For more options, visit this group at http://groups.google.com/group/kences1?hl=en -~----------~----~----~----~------~----~------~--~---
