Expect weak opening tracking global cues

Indian equities markets fell for the third straight session on Monday on renewed worries about the impact of Britain’s June 23 referendum on whether to leave the European Union; and amid subdued Asian markets ahead of US Fed meet. On the sectoral front, realty, finance, banking, metal, auto and infra counters were the major losers of the day. The Nifty ended below 8150, down 59.45 points or 0.7% at 8,110.60 and the Sensex traded down 238.98 points or 0.9% at 26396.77.

India’s Consumer Price Index (CPI)-based inflation for the month of May 2016 has risen to 5.76%, the highest in 19 months. CPI inflation for April was 5.47%, revised upwards from 5.39% earlier, and 5.01% in May 2015. As per the data, food inflation has increased to 7.55% last month from 6.40% in the previous month.

U.S. stocks closed lower Monday for the third straight session, as investors remain cautious ahead of a Federal Reserve policy meeting and the upcoming Brexit vote to leave the European Union on June 23. The Dow Jones industrial average closed 1.41% lower at 17,732.48 points. The NASDAQ composite index fell by 0.94% to 4,848.44 points, while S&P 500 index declined by 1.72% to 2,079.06 points.

European stocks dropped to their lowest in more than three months Monday, amid a global selloff due to uncertainty over a possible "Brexit". The Stoxx Europe 600 fell 1.1% to 326.80. Germany’s DAX 30 lost 1.8% to end at 9,657.44, France’s CAC 40 ended 1.9% lower at 4,227.02. The U.K’s FTSE 100 dropped 1.2% to 6,044.97.

Asian markets opened lower on Tuesday, extending Monday's losses, ahead of the Central Banks' meetings in the U.S. and Japan and uncertainty over a possible "Brexit". Japan's Nikkei 225 index has tumbled 1.27%, while the Kospi index in Seoul has fallen 0.39%. New Zealand’s S&P/NZX 50 Index has slipped 0.74% and Australia’s S&P/ASX 200 index has dropped 1.80%. Chinese markets are trading flat.

On the domestic front, A SGX Nifty 50 index future for June series is trading down by 17 points at 8,111. Indian markets are likely to open in red due to weak global cues.