Sensex opens 45 points lower

Middle East crisis came to roost in India,hitting stock markets as FIIs cut exposure to blue chips.

The Bombay Stock Exchange benchmark Sensex opened 45 points lower today as foreign funds reduced their holdings in Indian blue-chip companies amid unrest in the Middle East and a weakening Asian trend.

The 30-share index,which fell by 142.15 points yesterday,dropped by 44.79 points to 18,251.37 points in opening trade today.

In a similar fashion,the wide-based National Stock Exchange Nifty index opened down by 22.85 points to 5,446.35.

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Brokers said sustained selling by funds and reports of a weakening trend on other Asian bourses amid growing unrest in Libya mainly influenced the trading sentiment.

Meanwhile,Hong Kong’s Hang Seng index fell by 0.11 per cent and Japan’s Nikkei shed 0.71 per cent in early trade today.

INDIA-STOCKS/PREOPEN:Indian shares seen down; Reliance Industries,Tata Steel eyed

Indian shares are expected to fall for the second successive day on Wednesday,spooked by the revolt in Libya that has send oil prices soaring and world stocks lower.

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Reliance Industries will be on the radar after the energy giant said late on Tuesday its partner Canada’s Niko Resources can raise its stake to 13 percent from 10 percent in the key gas producing KG D6 block,off India’s east coast.

Tata Steel will be in focus after its unit Tata Steel Europe said it expects input costs rising by 70-80 pounds per tonne due to higher raw material prices but will pass all of these on to customers from April 1.

The MSCI’s measure of Asian markets other than Japan was down 0.1 percent by 0307 GMT,while Japan’s Nikkei was trading 0.2 percent lower.

The Nifty India stock futures in Singapore were down 0.5 percent.

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On Tuesday,the 30-share BSE index dropped 0.8 percent to 18,296.16 points.

STOCKS TO WATCH

* NALCO after company officials said the state-run aluminium producer may have to cut output in 10 days if coal supply disruptions continued in the eastern state of Orissa.

* Gammon India after the company said its joint venture with Moscow’s OJSC Mosmetrostroy had received two orders worth 19.5 billion rupees.

* Power Finance Corp after a source told Reuters the lender planned to raise 53 billion rupees through sale of long-term infrastructure bonds that opens on Thursday.

FACTORS TO WATCH

* FOREX-Risk aversion lifts Swiss franc; Kiwi pressured

* NYMEX-Crude softens post hitting near 2 and half yr high

* Asian shares fall on Libya; oil trims gains

* US STOCKS-Investors crowd Wall St exits on Libyan unrest