Indian shares are likely to see some weakness Monday on the back of mixed cues from global markets and Friday's correction. The U.S. markets closed higher Friday, benefiting from strength within technology stocks and better-than-expected retail sales data. The European markets also ended higher, helped by a rally among energy stocks. However, the Asian markets are a mixed pack on Monday in early trades. Crude prices have continued northward on supply concerns. On the local front, second quarter results are expected to provide near term trigger for the markets. Further, foreign fund flow and domestic liquidity remain strong. However, the developments, on the political front, over the nuclear deal with the U.S. could impact the market sentiment. The markets snapped a three-day rally on Friday, as correction in global markets prompted investors to lock in profits. The 30-share Sensex lost 395.03 points or 2.1% to 18,419.04 and the broader S&P CNX Nifty gave away 96.6 points or 1.75% to settle at 5,428.25. Nifty October futures were at 5,461.05, a premium of 32.8 points or 0.6% compared to spot price. The turnover in the Bombay Stock Exchange was Rs. 9,602.57 crore and that in the National Stock Exchange totaled Rs. 22,767.2 crore. According to provisional data revealed by the NSE, Foreign Institutional investors were net buyers for Rs. 315.36 crore on the NSE and the BSE in the capital market segment, but turned net sellers for Rs. 1,371.65 crore on the futures & option segment on Friday. The Indian rupee weakened on Friday. The rupee settled at 39.36-39.37, down from Thursday's close of 39.3000-39.3050. Crude oil rose to record highs Friday as tensions on the Turkey-Iraq border added to concerns about global supplies. Light, sweet crude oil for November delivery settled at US$83.69 a barrel, up US$0.61 or 0.7%. In Asian deals, crude oil was trading at US$83.54, down 15 cents at around 9:12 IST Monday. The U.S. stocks maintained their early strength on Friday to close with significant gains, benefiting from strength within tech stocks and better-than-expected retail sales data. The Dow ended at 14,093.08, up 77.96 points or 0.56%, while the Nasdaq climbed 33.48 points or 1.21% to 2,805.68 and the S&P 500 added 7.39 points or 0.48% to settle at 1,561.80. Indian ADRs ended mixed on Friday in the regular trading session. Among technology stocks, Infosys Technologies slipped 0.17%, but Wipro surged 2.79%, and Satyam Computer Services rose 0.30%. Tata Motors lost 0.58%. In the banking space, HDFC Bank soared 6.81% and ICICI Bank advanced 0.49%. Among telecom stocks, Videsh Sanchar Nigam moved up 1.15%, while Mahanagar Telephone Nigam jumped 2.55%.
October 15, 2007 12:13 AM