Markets to remain volatile ahead of Fed outcome

Markets are likely to open marginally higher but turn volatile later during the day ahead of the outcome of the US Federal Reserve's stance on interest rates at its two-day policy meet which ends later today.

At 8:30AM, the early indicator SGX Nifty was up 36 points at 8,770.

Meanwhile, foreign institutional investors were net buyers in equities to the tune of Rs 266 crore as per provisional stock exchange data.

Asian stocks were trading marginally lower as investors turned cautious ahead of the US Federal Reserve's policy statement later today  with respect to the stance on interest rate hike. Shares in Japan came of their 15-year highs and were trading flat. The benchmark Nikkei was down 5 points at 19,432 while the Shanghai Composite extended gains and was up 0.8% at 3,530 while Hang Seng was also up 0.7% and Straits Times eased 0.1% to 3,365.

Major US share indices ended mixed on Tuesday with materials shares leading the decline along with energy shares on the back of further decline in crude oil prices. Further, investors adopted a wait-and-watch stance ahead of the statement by the US Fed later today on the prospects of hike in interest rate. Meanwhile, US crude oil declined to near six-year lows on the back of rising inventories. The Dow Jones ended down 128 points at 17,849.08, the broader S&P 500 ended down 7 points at 2,074.28 while the tech-laden Nasdaq ended up 8 points at 4,937.44.

Stocks to watch

Sesa Sterlite may gain after mining operations would resume in Goa after the Centre on Tuesday revoked its earlier order suspending all environmental clearances of mines.

Inox Wind IPO in the price band of Rs 315-325 per share with a discount of Rs 15 a share for retail investors opens today. It peer Suzlon Energy could see some action as data on subscriptions to the IPO are released.

Cadila Healthcare will see some traction after the company said it has launched an oral therapy called 'SoviHep' to treat Hepatitis C that would be marketed by the specialty division of the group, Zydus Heptiza.

Jindal Steel & Power may rebound after the company in a statement said it has not received any communication from the government with regard to re-examination of of Gare Palma IV/2 & IV/3 or Tara coal blocks which have been won by its subsidiary Jindal Power Limited (JPL).

Cambridge Technology Enterprises may gain after the company today said it has achieved Gold Partner status in Oracle Partner Network.

Aarti Drugs may gain ahead of the board meet on March 26 to approve allotment of bonus shares in the ratio of 1:1.

Tata Motors will see some action after global wholesales in February 2015 including Jaguar Land Rover rose 5% over February.