Sensex, Nifty to open on a weak note

Nifty may continue to struggle before a meaningful bounce back. The low of 7240 will remain crucial support for the Nifty. The rupee movement will be in focus.

Wounded investors have to get geared for some more battering. The ongoing weakness in the market has more to do with multiple negative vibes from across global markets rather that weak December quarter earnings of India Inc. The Sensex has plunged almost 600 points over the past two days, eroding almost Rs. 1,20,000 crore of equity investors wealth.

The outlook is another weak start. Nifty may continue to struggle before a meaningful bounce back. The low of 7240 will remain crucial support for the Nifty. The rupee movement will be in focus. Among results to watch for the day include Cipla, Ambuja Cements, ACC, Alstom T&D, Glaxosmithkline Pharma,  Bata India and Blue Dart Express among others. Following IEA's weak outlook for global oil demand, crude oil prices lost gains of a fortnight as Brent crude dropped below $31 while West Texas Intermediate was below $28 a barrel in New York.  Attention will be on what Janet Yellen says to the House Financial Services Committee later today. Global cues are subdued with Asian markets weak. US stock indices finished flat.

TCS allayed market concerns about the state of demand in the Banking and Financial Services industry vertical by reiterating that TCS' business in the BFS vertical continues to grow well, ahead of the overall company growth.

Piramal Enterprises is planning to demerge its healthcare and financial services businesses to grow the unrelated divisions separately, marking an important turn in the legacy of the diversified conglomerate.

The Government is considering allowing 100% foreign direct investment (FDI) in the marketplace format of e-commerce in a bid to attract more foreign investment, reports a business daily.

As part of its expansion plans in India, US retail giant Walmart on Tuesday signed three Memorandums of Understanding (MOU) with the Telangana government.

The global oil demand growth is forecast to ease back considerably in 2016, to 1.2 mb/d, pulled down by notable slowdowns in Europe, China and the United States, the newly released IEA Oil Market Report  (OMR) for February informs subscribers.

Crisil expects India’s GDP growth at 7.9% in fiscal 2017. The Indian economy has weathered two successive monsoon failures plus damage from unseasonal rains in early 2015 with no deleterious repercussion on inflation and growth.