Market to scale further ground

The market is expected to scale further ground on global cues. Asian stocks advanced today, 20 September 2007 tracking gains on Wall Street overnight, 19 September 2007. Japan's Nikkei (up 0.08% at 16,395.22), Hang Seng (up 0.40% at 25,656.20), Taiwan Weighted (up 1.42% at 9,052.73), gained. However Singapore's Straits Times declined 0.28% at 3,584.37.

US stocks posted steady gains overnight, 19 September 2007 building on a huge rally the previous day as markets cheered the US Federal Reserve's cut in key interest rates. The Dow Jones Industrial Average climbed 76.17 points or 0.55% to 13,815.56. The tech-heavy Nasdaq Composite index rose 14.82 points or 0.56% to 2,666.48 while the broad-market Standard & Poor's 500 index gained 9.25 points or 0.61% to 1529.03

NYMEX crude for October delivery held near $82 a barrel, aided by a bigger than expected drawdown in US crude inventories, after hitting an all-time intraday high of $82.51 on Wednesday, 19 September 2007.

As per provisional data, foreign institutional investors (FIIs) purchased shares worth a net Rs 2457.62 crore, while domestic institutional investors (DIIs) were net sellers of shares worth Rs 328.15 crore on Wednesday, 19 September 2007

The 30-shares BSE Sensex posted biggest single-day point gain rallying 653.63 points or 4.17% at 16,322.75, on Wednesday, 19 September 2007. It also hit an all-time high of 16,335.30.

Sensex has surged 2,333.64 points or 16.68% to 16,322.75 from a recent low of 13,989.11 on 21 August 2007, in just 21 trading sessions.

The S&P CNX Nifty jumped 186.15 points or 4.09% at 4,732.35, on that day. It also struck an time high of 4,739.

The global rally was triggered after the US Federal Reserve announced a higher than expected 50 basis points cut in fed funds rate to 4.75% from 5.25% on Tuesday, 18 September 2007, easing concerns about housing slump driving the world's largest economy into recession. Prior to this, it had hiked rates for 17 consecutive times in the span of four years.

Meanwhile, after discussing the nuclear deal for two hours yesterday, 19 Seoptember 2007, neither the UPA nor the Left budged an inch from their earlier position on the contentious Hyde Act. The Left, led by CPI(M) general secretary Prakash Karat, rejected this argument and reiterated that the Hyde Act would supersede the 123 Agreement.

The discussions will continue further at the next meeting of the committee scheduled to be held on 5 October 2007