Pre Open Market Commentary

Indian market is likely to open firm today. Yesterday, market closed at all time high on back of participation from FIIs and local fund houses. As a result BSE sensex closed at 14,515.90 up by 112.13 points and Nifty was up by 31.85 points to close at 4215.35. The markets are in bulls run as the major indices crossed some important levels. However being the budget month, markets could witness some amount of volatility.

Monday, US markets closed mixed as economy offset better-than-expected sales from Wal-Mart Stores Inc. reversal in oil and a flurry of M&A activity. DOW closed up 8.25 points at 12661.74 while NASDAQ was down by 5.28 points to close at 2470.60.

Indian ADRs closed mixed on Monday. In the technology sector, while Infosys advanced 0.10% and Sify edged up 7.95%, Wipro slipped 0.23%. Tata Motors ended down 0.60%. Among banks, HDFC Bank down 0.90% and ICICI Bank lost 0.58%. In the telecom space, Videsh Sanchar Nigam unchanged while Mahanagar Telephone Nigam gained 0.13%.

Monday, The major stock markets in Asia are trading in positive territory on Tuesday. Nikkei 225 index is trading at 17415.77, up by 70.97 points. The South Korean stock market is trading flat, while markets in China, Singapore and Indonesia are trading in the negative territory. Oil price closed below at $59 a barrel.Today, Nifty has support at 4175 and resistance at 4,255 and BSE Sensex has support at 14320 and resistance at 14,675. However, it is our advice to watch trading session carefully.

FII''s were net purchaser to the tune of Rs664.60crores in equity on 5th February 2007.Mutual funds were net seller to the tune of Rs77.63 crores in equity (provisional) on 2nd February, 2007.