Pre-market: Oil & Gas, FMCG stocks may slip

The markets are likely to face selling pressure today, point out analysts, due to weak Asian cues coupled with market players highlighting stretched valuations of the Indian market.

The Sensex trades at over 20 times trailing month earnings, a premium over its regional peers. The Nikkei was down 16 points at 16,377 in mid-Wednesday trade.

It is expected that several frontline stocks in Oil & Gas and FMCG sector could come under pressure on the Indian bourses today. Brokers add that several players may choose to stay on the sidelines.

FII net investment in equities have been marginally lower this calendar year - it was $7 billion from January 06 to Nov 6, 2006 as compared to $7.97 billion in the previous year.