Daily Call - Sep 4 2008

While in our hearts we want the NSG to give India a clean unconditional waiver, but we don’t see that happening. The US has sensed it’s growing alienation and has therefore taken a public stand that India must be ready to see an abrupt end in the supplies if we conduct a nuclear test. I don’t think that should be acceptable to India. As this was the only concession the three objecting nations were asking at the 21-22 August meeting, where was the need to go into the second meeting.


As the markets re-open after a day’s holiday, they should logically lead to profit taking. The US markets have failed to cheer the falling crude, on fears of a general economic slowdown. Tuesday’s gains came on 50% higher volumes and all round buying with FII participation. Today is the litmus test for the markets, whether they can build on those gains. No matter how strong one may have felt on Tuesday, One may consider booking profits.