Tuesday, the Indian market may open higher on short covering in line with a firm trend in the other Asian markets this morning. However, the element of uncertainty on the political front and weak corporate outlook may keep the market choppy. After having been net buyers continuously for a week, foreign funds sold shares worth Rs.452 crore on a net basis on Monday. Domestic institutional investors also sold shares worth Rs.49 crore on a net basis.

Currently, the major markets across the Asia-Pacific region are trading mostly higher. Hong Kong's Hang Seng index is rising 1.61%, Japan's Nikkei 225 index is gaining 0.88% and South Korea's KOSPI is adding 2.50%, but China's Shanghai Composite index is down 0.87%.

Stocks on Wall Street saw continued weakness throughout the trading day on Monday, as investors responded to disappointing news regarding the auto industry as well as renewed concerns about the outlook for the financial sector. Some traders also looked to cash in on the gains seen in the three previous weeks. The major averages regained some ground going into the close of trading, but they remained firmly negative. The Dow Jones Industrial Average fell 3.27%, the Nasdaq Composite lost 2.81% and the S&P 500 index moved down 3.48%.

The Indian ADRs also tumbled across the board. Among the major decliners, ICICI Bank plunged 13.27%, HDFC Bank slumped 8.49%, Satyam Computers tumbled 6.06%, Sterlite Industries plummeted 10.22%, Wipro fell 3.78% and MTNL ended down 3.52%.

Crude oil dropped more than 7% to below $49 a barrel in New York trading, weighed down by the stronger dollar and on worries over the banking and automobile sectors in the U.S. In Asian trading, the commodity is now trading at $49.16 a barrel, up 1.55%.

The rupee closed Monday's session weaker at Rs.51.17 against the dollar from its previous close of Rs.50.69, weighed down by a reversal of trend in the stock market and the dollar's appreciation against the other major currencies as fears of bankruptcy for US automakers GM and Chrysler LLC prompted anxious investors to seek safety in the US currency

On Monday, the Indian market slipped deep into the red on profit taking after rallying over 23 percent in the past twelve trading sessions. While frontline stocks were under severe pressure, second-line stocks were relatively less affected. Banking, metal and realty stocks bore the brunt of the selling, but select stocks in the defensive consumer durable and healthcare sectors closed firm. The BSE Sensex finished at 9,568, down 480 points or 4.78% over the previous close and the S&P CNX Nifty fell 130 points or 4.20% to 2,978.

Fortis Healthcare could be in focus on reports that its promoters are close to clinching a deal with unlisted Wockhardt Hospitals to acquire up to 74% stake in the hospital chain for close to Rs.750 crore.

Satyam Computers may see some activity following reports that US-based private equity firm WL Ross & Co is interested in buying out the scam-hit Satyam.

Todays Writing may move after the company's board decided to make an application to its banks for a corporate debt-restructuring scheme.

Vijay Shanthi Builders may be in focus after its promoters decided not to exercise their rights for the conversion of warrants into equity shares.

NIIT may move after it has entered into a contract with the Rajasthan Council of Elementary Education to introduce computer-aided learning in 1,672 government upper primary schools in 22 districts of Rajasthan.

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