Latest Stock Market Update For Today 7th March'11

The Indian stock market opens this morning on a negative note, Indian markets dropped more than 1 percent in early trade on Monday, on the back of high crude prices, on fresh spell of sell-off by funds, triggered by political worries and a weak trend on other Asian Exchange.

At opening time in the morning  Sensex is at 18317, down 168 points from its previous close, and Nifty is at 5481, down 57 points.  The market breadth is negative. 

The 30-share BSE Sensex, which shed 3.31 points in the previous session, plunged 262.29 points  to 18,224.16 on the back of losses in auto, banking, metals, oil and gas, and IT sector stocks in the first few minutes of trade. 
In a similar way, the  National Stock Exchange index Nifty lost 79.95 points, or 1.44 percent, to 5,458.80 points in the opening trade.

Political instability due to pull out by DMK party from the ruling coalition dragged the benchmark Nifty below the 5500 level and the Sensex plunged down by 250 points. NYMEX crude oil prices above the USD 105 a barrel too added more pressure on the markets.

The DMK pulled out of the UPA after seat-sharing talks for the Tamil Nadu elections broke down.

 There are some top stocks which are leading in the negative trade and were under selling pressure BPCL, M&M, Axis Bank, ICICI Bank, SBI, Jaiprakash Associates, Suzlon, L&T, Reliance Power and Reliance Industries and ONGC

However, Cairn and PNB were gainers in early trade.

At 11:25 a.m. BSE Sensex was at 18158.16 down  328.29 points and NSE Nifty was at 5438.35 down 100.40 points.

Midcap & Smallcap space:

• IVRCL Infra and GVK Infra slipped 2.5% each.
• Punj Lloyd tanked 5%.
• DB Realty was down 1%. The company accepted resignation of MD Shahid Balwa and director C Bhattacharya.
• Oil marketing and aviation companies were down on rising oil prices. IOC, Jet Airways and Kingfisher plummeted 2-4%.
• Sun TV tumbled 5%.
• Essar Shipping was up 4% and Hotel Leela up 4%.

For weekly performance it is predicted that market will remain volatile. One must keep close eye on global cues.
Nifty spot if manages to trade and sustain above 5570 then we can see some more upward movement in the market else if Nifty spot breaks and trade below 5520 then profit booking can be observed in the market.
It is also said that it is just opening view and should not be considered as the view for the whole day. It can transform from bearish to bullish.