Pre-Market: Flat opening on the horizon

The markets are likely to open on a flat note after reporting their first weekly fall in 2012 due to profit-booking last week.

In the week to February 24, the Sensex ended at 17,924, down 366 points or 2 per cent and the Nifty ended at 5,429 levels, down 135 points or 2.4 per cent. Among the sectoral indices, BSE Realty, Bankex and Capital Goods indices were the worst affected, having declined 5 – 7 per cent each.

Analysts expect most Asian markets to trade mixed with little movement during the current week. While the rising price of oil may support the energy sector, its unsettling impact on consumers is likely to offset the upside, they say. At 715 am Indian Standard Time, the SGX Nifty was trading at 5,475 levels, down 11 points.

Among individual stocks, Vedanta Resources, the holding company of Sesa Goa and Sterlite Industries, has decided to merge the two companies. This is likely to bring both these stocks back in focus today.

Fertiliser stocks are also likely be in the limelight today on reports that a group of ministers on Friday cleared an investment policy for urea aimed at reducing the government's subsidy burden.

Glenmark Pharmaceuticals on Saturday said it had issued a voluntary nationwide recall in the US for seven lots of its oral contraceptive tablets due to a packaging error.

Non-urea producing fertiliser companies Rashtriya Chemicals and Fertilisers, Deepak Fertilisers and Gujarat State Fertiliser Company will now have to share their profits from cheaper KG-D6 natural gas with the government. Do keep a tab on these three scrips.