(RTTNews) - With the benchmark indexes closing below the key psychological and technical levels yesterday, the Indian market is likely to see further downside on Friday. Weekend profit taking and negative global cues on concerns about the pace of recovery in the U.S are likely to weigh on market movement.

Additionally, concerns about foreign investors booking some profits may also keep underlying sentiment cautious, as the dollar strengthened against the euro for a second straight day this morning.

After being net buyers in recent sessions, foreign institutional investors sold shares worth Rs.459.18 crore on a net basis Thursday, provisional data released by the BSE showed. The rupee ended weak at 46.69 against the dollar yesterday, weaker than its previous close of 46.20.

U.K stocks dropped by the most in almost three weeks yesterday on concerns the recent rally might have outpaced economic fundamentals and earnings outlook.

The markets across the Asia Pacific region are trading lower this morning as PC maker Dell Inc. posted lower-than-estimated earnings and commodity prices slipped, tracking a stronger dollar and weak economic data.

On Wall Street, stocks moved considerably lower overnight, with disappointing jobs report prompting traders to cash in on the recent strength in the markets. The Dow moved down 0.9%, the Nasdaq by 1.66% and the S&P 500 by 1.34%. The Indian ADRs also closed sharply lower across the board.

Crude oil prices dropped more than $2 per barrel to $77.46 on Thursday as equities fell and a disappointing jobs report raised energy demand worries.

On Thursday, the Indian market fell sharply, weighed down by rising food inflation and weak global cues. The BSE Sensex closed at 16,786, down 213 points or 1.25%, while the S&P CNX Nifty fell 66 points or 1.30% to 4,989, the BSE mid-cap index moved down 1.67% and the small-cap index shed 1.08%. Sector-wise, high-beta realty stocks bore the brunt of the selling followed by banking, metal and auto stocks.

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Posted in Categories: Eurozone, Releases, Stocks, USA.

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