Domestic equity markets are likely to remain weak even after four days of continuous fall. Global cues are mixed as the US stocks failed to hold on to their gains. After the US President extended the term of US Federal Chief for another four years, the US stocks saw a momentary spurt on Monday. However, they closed weak, led by tech stocks.

Most Asian stocks are trading flat in early deal on Tuesday. SGX Nifty at 17,420 indicates that Nifty is likely to open flat-to-weak note, as Nifty futures on Monday closed at 17,435.

Analysts expect the market to remain volatile, due to F&O settlement week on the NSE. As foreign portfolio investors remain on sell mode, the market is unlikely to see a sharp recovery in the short-term, said analysts.

Overall market is likely to continue with its consolidation as valuations are rich while the global cues are keeping markets volatile – inflation concerns have dominated headlines and the Fed is starting the tapering programme soon, said Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services Ltd.

"Investors would also be eyeing the Covid situation in Europe and its impact on the economic activities. Thus, in the near term, market may remain under pressure until fresh positive triggers appears and stock specific action is likely to continue," he added.

All eyes on the US Fed minutes of November 2-3 meeting, which will be on Wednesday. Analysts fear that it may indicate speeding up of the tapering of =bond purchases and hiking rates sooner than expected.

According to Santhosh Meena, FIIs are selling continuously in the Indian market as they feel valuations are stretched however they still have a long-term bullish view on India.

Binod Modi, Head Strategy at Reliance Securities, said: "Domestic equites continue to look soft as of now. Notably, recent surge in dollar index and absence of any positive surprise from September quarter corporate earnings weighed on investors sentiments in recent days. However, on the positive side high frequency key economic indicators for Oct’21 remained upbeat and continues to reflect sustained economic activities and sustainable earnings growth."

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