Morning Market View 22nd July 2011

Weak performance from corporate in general is putting pressure on the indices. Positive fund flow from overseas investors is basically due to relatively better performance of our economy and a flush of liquidity due to fiscal stimuli being doled out to save some tottering economies. We see limited downside from the current levels mainly on account of high liquidity inflows. Positive developments on the policy front could push the markets beyond the trading range where we have been confined to for the last several months. Stay invested and be stock specific in your approach.