Strong pullback for equities
Stocks rebounded on Friday tracking the optimism across global markets as growth concerns abated. High beta sectors like realty, metals and banks, which were on a downward spiral in the recent session, made a strong comeback. The broader market witnessed massive buying activity.
Bombay Stock Exchange’s Sensex was trading at 16350, higher by 298 points or 1.8 per cent while National Stock Exchange’s Nifty surged 96 points or 2 per cent to 4847.
“International markets are shooting up and our market will also open with a gap up in the morning, and rise further on back of short covering. We expect markets to face significant resistances on its way up as it reaches where it was this Monday. Consider 4950 in nifty and 16700 as a ceiling for now. Monday being a holiday in our markets, we will encounter another gap opening on Tuesday depending on international cues,” said VK Sharma of Anagram Research.
US stocks logged their best one-day percentage gain in three months on Thursday as investors cheered US economic data which showed the economy returned to growth in the third quarter as brightening the outlook for profits.
The Dow Jones Industrial Average gained 199.89 points, or 2.05 per cent, to end at 9,962.58. The Standard & Poor’s 500 Index jumped 23.48 points, or 2.25 per cent, to 1,066.11 – marking its biggest one-day percentage gain in three months. The Nasdaq Composite Index shot up 37.94 points, or 1.84 percent, to close at 2,097.55.
Asian markets were also on a roll tracking advances on Wall Street and as Japan’s jobless rate unexpectedly dropped. The Nikkei climbed 1.26 per cent, Topix rose 1.07 per cent, Hang Seng surged 3.13 per cent and Straits Times rallied 1.53 per cent.
News beuro,
- Last Modified: October 31, 2009
- Filed Under: Latest News, MARKETS, NATION, WORLD
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