Today,we expect a flat to slightly positive start for the Indian market as global cues are indecisive and uncertain. Overall, sentiment should remain subdued for a while. The Nifty could face some selling pressure but is likely to find support at around 5225. If it crosses 5310, it could head for 5350 in the near term. Beware of the irrational rise in small and mid-cap stocks. Interest rate concerns cast a shadow across world equity markets after the Chinese central bank moved to tighten liquidity in the money markets. This could lay the groundwork for an eventual rate hike in China.
Commodity markets edged lower. Crude oil futures closed under $83 a barrel. Separately, a Fed official said policymakers should start tightening sooner rather than later.In the positive side, US retailers posted modest gains in sales last month. A weekly report on first-time jobless claims also came in ahead of estimates. Meanwhile, the Bank of England and Bank of Korea have left interest rates steady. All eyes are now on Friday’s non-farm payroll numbers in the US.
