Market to remain flat

The stock market seems to be heading nowhere. In the next few weeks till the election results are announed on May 16 the market may not show much improvement. You may expect the market to remain volatile for the next few days. Yesterday it slumped over 370 points due to weak global cues.

With congress doing a last minute act to clean up its records and saving its friends like removing name of Quatrocchi (a close friend of Congress) from Red corner notice, giving a clean chit to Jagadish Tytler, imposing a new investigation on Modi, it becomes fairly evident that congress is preparing itself to move of power.

With so many parties at the center, it will be very tough task to get a stable coalition government at the center. This may also pull down the market further which will become evident on May 16. Meanwhile till that date with no strong cues to drive the market it will be directly depend on the global markets.

US Indices was seen going down marginally on Tuesday, with the confidence of consumers shrinking on the health of US Banks and probably some impact of the swine flu which has hit mexico and regions of california badly. The rupee value also was seen decreasing in the last few days.