Pre Session Market

The Indian Market is likely to have a negative opening on the back of negative cues from the global markets. On Thursday, the market recovered significantly towards the final trading hours of the session on the back of heavy buying across the sectoral indices. The market which remained subdued for most of the day get a boost only after the finance minister presentation of the Economy survey report. Some of the main highlights of the survey was like FY''08 economic growth at 8.7% as against 9.6% a year ago followed by Inflation rate to decline from 5.6% in FY''07 to 4.4% in ''08, Farm growth in FY''08 seen at 2.6%, against 3.8% a year ago. The BSE Sensex closed flat at 17,824.48 while NSE Nifty closed higher by 16.7 points at 5,285.10. We expect that the market may remain cautious during the trading session and the declaration of union budget by the finance minister at 11 am will give further directions to the market.Expectations from the budget are that the corporate income tax rate may be cut or the 10% surcharge on corporate tax may be abolished. FM may raise the Securities Transaction Tax (STT) slightly. It is also expected that the FM would announce some relief packages for troubled export sensitive sectors like textiles, rubber, jewelry, leather and IT services.

On Thursday, the US market was closed in negative. The Dow Jones Industrial Average (DJIA) closed lower by 112.10 points at 12,582.18 along with NASDAQ trading down by 22.21 points at 2,331.57 and S&P 500 index fell by 12.34 points to close at 1,367.68.

Today, the major stock markets in Asia are trading weak. Japan''s Nikkei is trading lower by 337 points at 13,587.88 along with South Korea''s Kospi trading down by 1.3% at 1,714.17 and Singapore Strait Times is trading at 3,032.65 down by 1.4%.

Today, Nifty has support at 5,112 and resistance at 5,314 and BSE Sensex has support at 17,215 and resistance at 18,015.