Pre-market: Weak opening likely tracking Asian cues

Markets are likely to open lower on weak Asian cues.

At 8:25AM, SGX Nifty was down 52 points at 5819.

Among the key Asian indices, Japan’s Nikkei was up 0.3%, the Hang Seng was down 2.4%, Shanghai Composite slipped 1.7% and Straits Times was down 0.8%.

The Dow Jones industrial average rose 147 points or 1 per cent, to 15,135 on Friday, the S&P 500 gained 16 points or 1 per cent, to 1,631 and the Nasdaq Composite added 35 points or 1 per cent, to 3,479.

According to technical experts, in the near term, 5,900 remains a major hurdle for the index, above which the index can spurt to 5,925-5,960. On the downside, the index can drift back to the expected trading band around 5,750. On Monday, the Nifty may seek support around 5,850-5,840, while face resistance around 5,885-5,895.

Following stocks are expected to witness action today:

Reliance Communications (RCom) on Sunday announced its board of directors had given in-principle approval to demerger of the company’s real estate assets. A new company, to be called Reliance Properties Ltd (RPL), would be spun off to unlock value.

State-owned gas utility Gail India Ltd may take five to 10 per cent stake in Rashtriya Chemicals and Fertilizer Ltd's (RCF) urea and ammonium nitrate plant at Talcher in Odisha.

Realty major DLF has completed the Rs 325-crore deal to sell 150 MW wind turbine project in Gujarat to Bharat Light and Power.

Reliance Industries will get real benefit of doubling of natural gas prices only from September 2017 when its newer and satellite fields off the east coast come to production.