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Friday, September 07, 2007

Market may extend gains


The market may head higher following overnight gain in US stocks as a series of mixed reports on the US economy made investors more optimistic about the chances for an interest rate cut by the US Federal Reserve. Asian markets were trading mixed today, 7 September 2007. In a meeting held yesterday evening, 6 September 2007, Bank of England kept interest rates unchanged at 5.75% and the European Central Bank (ECB) also decided to keep its rates unchanged to 4%.

Annual inflation data for the week ending 25 August 2007 is due by afternoon today, 7 September 2007. Inflation dipped to 3.94% in the week ending 18 August 2007 as against 4.10% in the week ending 11 August 2007.

Asian markets were trading mixed today, 7 September 2007. Japan's Nikkei (down 0.62% at 16,156.58), Hang Seng (down 0.24% at 23,993.60) and Shanghai Composite (down 0.93% to 5,343.61) slipped.

However, South Korea's Seoul Composite (up 0.04% at 1,889.86) Taiwan Weighted (up 0.64% at 9,074.65) and Singapore's Straits Times (up 0.73% at 3,491.22) advanced.

The Dow Jones industrial average rose 57.88 points, or 0.44%, to 13,363.35, on Thursday, 6 September 2007. Broader stock indicators also lifted. The Standard & Poor's 500 index rose 6.26 points, or 0.43%, to 1,478.55, and the Nasdaq Composite index rose 8.37 points, or 0.32%, to 2,614.32.

Crude oil prices climbed further above $76 a barrel on Friday, 7 September 2007, just about $2 below record highs, as tension between Syria and Israel compounded supply worries after fall in US crude and gasoline inventories. US crude gained 18 cents to $76.48 a barrel while London Brent crude edged up 3 cents to $74.80.

As per provisional data, foreign institutional investors (FIIs) purchased shares worth a net Rs 311.37 crore, while domestic institutional investors (DIIs) were net sellers of shares worth Rs 8.26 crore on Thursday, 6 September 2007.

The BSE 30-share Sensex rose 170.16 points or 1.10% at 15,616.31 on Thursday, 6 September 2007. The S&P CNX Nifty was up 42.75 points or 0.96% at 4,518.60, on that day.

Sensex is now just 252.54 points away from its all time high of 15,868.85 hit on 24 July 2007.