Mid Market: Sensex below 16k...Blood bath!

Indian markets opened the day on a low note tracking weak cues from the global markets. Major Asian markets tumbled down due to dented confidence in the US as worries creep up that economy is near recession. Choppy sessions were seen very time market would make attempt to recover the lost gains. All sectoral indices slipped in red with Banking, power and realty stocks worst hit. Reliance Energy was biggest loser from the Sensex pack after board approved for Buy back of shares. Indices slipped further as Inflation rose 5.02% in 12 months to 23 February 2008, higher than the previous week's rise of 4.89%. The annual inflation rate was 6.20% during corresponding week of previous year. Concerns on political front also weighed on the market after CPM renewed its threat on the UPA government saying that the ruling coalition?s future depended on how it took the call on pursuing Indo-US nuclear deal. Meeting is to be held on 15th of this March and outcome of this would see some direction for the market. Even mid and small caps hit badly compared to front line indices. European markets started in red.

Sensex is trading down by 781 points at 15761. Restricting the gains are Rel Energy (1300,-11percent), Bajaj Auto (1913,-10 percent), ICICI BANK (874,-9 percent) and Hindalco (191,-8 percent).

NIIT Technologies has entered into a strategic partnership with Ramco Systems, a global provider of innovative software products and services. NIIT Technologies' recently launched its new paradigm offering, 'Software as a Service' (SaaS), which will deliver process based application solutions through an innovative, business transaction-based, SLA driven and highly secure delivery model. The company has gone live with its procurement solution, procure easy which is fast gaining traction. As the SaaS is relatively very new it would take some time to deliver things and also the approachable market for this type of platforms is very high. NIIT Tech has been facing some problems from the Room solutions revenues and also from the Adecco JV.

Technically Speaking:- Indices started the day on a weak note and slipped further down as the sessions progressed. Sensex made an intraday high of 16212 and low of the day at 15690 levels. Declines are edging their way ahead then the Advances. Declines are 2415 against Advances of 149. Volumes have been extremely low as it churned around Rs 2771 cr so far. Close below 15800 can take the sensex upto 14000 levels.