Pre Open Market Commentary

Indian market is likely to have negative opening on the back of weak global cues. On Wednesday, the Indian markets closed in red zone, as BSE Sensex closed lower by 279.08 points at 14,255.93 while Nifty fell by 86.4 points to close at 4,198.25. We expect the market to remain cautious during the day.

Wednesday, the US markets closed in red zone. The Dow Jones Industrial Average (DJI) closed lower by 129.79 points at 13,465.67. The S&P 500 (SPX) index declined by 13.57 points to close at 1,517.38 and NASDAQ Composite (RIXF) closed in negative at 2,587.18 down by 24.05 points.

Indian ADRs ended in red territory. In technology sector, Patni computers declined by 1.99% along with Infosys by (1.99%), Satyam by (0.93%) and Wipro by (0.19%). In banking sector, HDFC bank and ICICI bank declined by (4.75%) and (2.42%) respectively. MTNL and VSNL dropped by (3.73%) and (2.05%) respectively. In automobile sector, Tata Motors slipped by (4.70%). In health care sector, Dr Reddy''s lab closed lower by (1%).

The major stock markets in Asia are trading in red. The Nikkei 225 declined by 141.86 points to trade at 17,899.07. Hang Seng declined by 180.57 points to trade at 20,638.04. Straits Times slipped by 17.53 points to trade at 3,546.22. Taiex trading up by 3.70 points at 8,318.38.

Today, Nifty has support at 4,108 and resistance at 4,238 and BSE Sensex has support at 13,950 and resistance at 14,320.