Pre-market: Weak opening seen, eye on Maruti

Markets may edge lower in opening trades tracking lacklustre Asian peers. The Nifty futures on the Singapore Exchange declined 10 points, at 5,506.

Analysts expect markets to move in a narrow range until the credit policy announcement on Thursday. Economists expect 25 bps rate hike as inflation for the month of May continued to remain stubbornly high at around 9.1%.  

Ashish Chaturmohta, Vice President - Derivatives and Technical Analyst said marginal long built up of positions was seen in the Nifty index yesterday. Chaturmohta said, “on the downside, Nifty future holds support at 5480-5440 levels whereas on upside is capped at 5550-5620 which is an important resistance for the market.”

Across Asia markets were trading mostly lower. Japan's Nikkei Average was up 0.1% helped by energy shares. But Hong Kong shares were leading the losses, down 0.2% as banks battled with the reserve requirement hike. Even China's Shanghai Composite slipped 0.1%.

Maruti Suzuki will be closely watched in the opening trades because the company did not agree to recognize the new Union for the Manesar plant. The auto maker has suffered huge losses due to the strike which lasted for 11 day.