Sensex, Nifty to open on a flat note

The US market had a negative bias while Asian indices are exhibiting a mixed trend. On Thursday, selling pressure was felt across sectors with deterioration of market breadth, which is a cause of concern. Traders are advised to be cautious and selective in their stock selection even though valuations may seem relatively attractive.

Fresh triggers on the positive side have been evading the market for a while. The exit polls are not really indicating a very positive bias for the BJP.  A close fight is what many expect but Sunday will end the suspense.  If the grand alliance of JDU-RJD-Congress gains an edge, market could see some temporary suffering. Failure to sustain above 8,100 has reinforced weakness across the board. On Thursday, selling pressure was felt across sectors with deterioration of market breadth, which is a cause of concern. Traders are advised to be cautious and selective in their stock selection even though valuations may seem relatively attractive.

The outlook is a flat start. The US market had a negative bias while Asian indices are exhibiting a mixed trend. Major earnings are lined up for the day including Tata Motors, State Bank of India, Mahindra & Mahindra, ONGC, Punjab National Bank, Bank of Baroda, BHEL and Bosch.

Banking stocks will be in focus as RBI Governor Raghuram Rajan makes a presentation on NPAs before Parliament’s Public Accounts Committee. Meanwhile, the country’s financial sector regulators agreed on the need to continue to be in a “state of full preparedness” for managing external vulnerabilities faced by the Indian economy. High volatilities in the financial markets is one of the most prominent risks confronting emerging market economies, Finance Minister Arun Jaitley was quoted as saying.

Prime Minister Narendra Modi on Thursday announced the launch of Gold Monetisation Schemes, along with two other gold schemes.

Punjab National Bank (PNB) wants to sell non-performing assets (NPA) to the asset reconstruction companies (ARCs), reports a business daily. The aim is to sell NPAs worth INR 1,000-1,500 crore in the third and fourth quarters of FY16, PNB ED Gauri Shankar told the newspaper on the sidelines of the State Level Bankers’ Committee Meeting in Chandigarh on Wednesday.

Microsoft announced partnerships with three e-commerce pioneers in India – Justdial, Paytm and Snapdeal, a special cloud initiative for start-ups aligned to smart cities, and availability of its flagship devices – Microsoft Lumia 950 and 950 XL, and Microsoft Surface Pro 4 in December and January, respectively.  Microsoft also showcased the Microsoft Surface Pro 4 at the event.

The Bank of England’s Monetary Policy Committee (MPC) sets monetary policy in order to meet the 2% inflation target and in a way that helps to sustain growth and employment. The MPC voted by a majority of 8-1 to maintain Bank Rate at 0.5%.

Polaris Consulting and Services has entered into a definitive Share Purchase Agreement (SPA) with Virtusa Corporation whereby a subsidiary of Virtusa will acquire approximately 53% of the paid up share capital of Polaris from certain promoter entities led by Arun Jain and certain other shareholders, including OrbiTech Private Ltd (formerly known as Orbitech Limited). In accordance with the terms and conditions of the SPA, Virtusa will purchase the shares at a price of approximately Rs. 220.73 per share, aggregating to approximately Rs. 1,173 crores.