Markets open flat in line with Asian markets

Commentary

oi-Sunil

By Sunil Fernandes

Published: Wednesday, August 29, 2012, 9:30 [IST]

Markets opened the day flat in line with most Asian markets, which were awaiting quantitative easing cues from Federal Reserve Chairman Ben Bernanke later on Friday.

The BSE Sensex was trading down by 16 points at 17,615 points, while the Nifty was trading lower by 8 points at 5326 points.

Banks which came in for severe hammering on Tuesday were trading flat. ICICI Bank, HDFC Bank and State Bank of India were virtually unchanged over Tuesday's close.

Metals stocks continued to be pounded with Tata Steel dropping more than 1 per cent, Sesa Goa falling more than 2 per cent and Sterlite dropping almost 2 per cent.

Among major gainers in trade today amongst the S&P CNX Nifty stocks were GAIL, HDFC, Cipla and Hindustan Unilever.

Oil and Natural Gas Corporation, which was pulled up by CAG for dismal exploration initiatives lost more than 1% in early trade.

Markets are expected to be range bound and would look to the GDP figures that are expected at around 11.00 am on Friday. Any disappointment could lead to a sell-off in stocks later this week. Globally, all eyes would on Ben Bernanke when he speaks on Friday to see if there are any hints of quantitative easing measures, which could spark a fresh rally in global stocks.

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