Pre Market Commentary ..

Today, we expect a cautious start, as global cues are mixed. Keep an eye on Reliance Industries as the index bellwether’s results are a little disappointing. Among the results to be declared today, Maruti may come out with better set of numbers.One thing is sure that the climb from here will not be all that smooth. There will be bumps at regular intervals. Still, one may gradually start picking up quality stocks for long-term prosperity.

Bulls may argue that action makes more fortune than caution. After a brief correction earlier this week, the bulls seem to be in command once again on the bourses. Nothing has changed though as the earnings and economic reports (both local as well as global) remain mixed. And, although several market pundits predict that the worst is over, there could be some more pain going ahead. A lot more needs to be done to ensure a smooth and quick recovery for the sluggish global economy.

The IMF has warned that the global economic gloom may last longer than anticipated. But, a consensus on a coordinated effort to revive global growth continues to elude us. G7 leaders are busy debating as to who’s the real culprit behind this mess. Back home, the economy will continue to suffer from a policy vacuum as it will be a while before the next Government is formed. In addition, the uncertainty over the outcome of the polls may play spoilsport.