Bernake came into the resuce of the wall street after a down opening yesterday. The Fed chief re-iterated that inflation concerns will not stand in front of another rate cut. Dow Jones ended the day up 9 points at 12,694 and Nasdaq up 8.7 points at 2,353. This is the fourth consecutive positive closing for the Dow Jones while a hatrict for the Nasdaq. We are the first ones to report the Dow Jones forming a Medium term botton on Satruday morning IST.
Indian Markets are not able to latch on to the early gains built yesterday due to credit concerns and negative news flow from the Europe. When the big brother is able to withstand the negative news why the emerging market like India is looking at every oppurtunity to fall. It once again nails down to the huge short positions built up by the FII's for the Feb Series. There are reports in the market that shorts were rolled over to the March Series. We believe Budget will signal the end of the bearish saga haunting from the last 45 days.
Markets are likely to open in a subdued fashion only to pick up later in the day. Except a 200-300 point gain today on the BSE Sensex. Momentum Calls like OnMobile, KS Oils and McLeod Russel, Dhanus Tech tasted success while few others are on the way to reach targets. Subscribe to get the best value advice in the Indian markets.
We again re-iterate that fundamentals cannot be over shadowed for longer period and many stocks are still trading at attractive valuations. The hang over will be over soon and FM is likely to be the torch bearer for the next rally.
Stock in news - Dabur Pharma, Spice Jet, UTV Software, Shasun Chemicals and many more hit the headlines today.
Shasun Chemicals formed an exclusive deal with global pharma biggie Merck & Co thats allows the American company the use of Shasun’s proprietary technology to make bulk drugs.
ET reports that Dabur Pharma is looking out for a buyer and said to be in advanced stage talks with a renowned PE firm.
SpiceJet is likely to fly to gulf and china.
ABC news is likely to take stake in UTV news.
Sun Pharma gets USFDA nod to market generic demadex tablets.
BGR Energy Systems has won a BOP contract worth Rs 793 crore from the Andhra Pradesh Power Generation Corporation for a 500-MW coal-based project in Kothagudam.
Aries Agro is likely to increase capacity by five fold
Nagarjuna Constructions is actively looking for a foreign partner for getting into auxiliary equipment business, used in power plants.