Pre Open Market Commentary

Market had a bullish start to 2007. Although the market closed in red for the last two trading days of the last week, but on a weekly basis the Sensex closed higher by around 0.5% to close at 13860 and Nifty closed higher by 0.4% to close at 3983. US stocks have closed lower, as traders reacted negatively despite a strong employment data. The Dow closed down by 83 points at 12398 and NASDAQ closed down by 19 points at 2434. Major Asian markets were trading mixed. Benchmark Nikkei 225 index was almost flat to trade at 17226 while Singapore’s STI was down 5 points to 2687 and Taiwan’s Taiwan Weighted was up 26 points to 7021. Oil prices were trading at around $56.5 a barrel. Taking cue from the global markets, Indian Markets are likely to open down today. The markets are expected to remain rangebound for the time. Substantial move in any direction is expected after the results of Infosys on 11th January. Today, Nifty has support at 3957 and resistance at 4015 and BSE Sensex have support at 13769 and resistance at 13972. FII’s were net buyers to the tune of Rs 207.80 crores (provisional) in equity on 4th January 2007. Mutual Funds were net sellers to the tune of Rs 21.42 crores (provisional) in equity on 4th January 2007.