Daily Call - Nov 10 2008

The markets are likely to take-off from where they left on Friday. The reasons are obvious. First is that the US markets have done well in terms of taking in its stride the adverse job data that came in on Friday. And secondly the Chinese have announced a massive half a trillion dollars economic stimulus plan. While we remain skeptical about the ability of China to make up for the lost GDP growth of the western hemisphere, it will never the less, give the commodities a bounce.



Commodity stocks will be in demand. Metal stocks had seen healthy longs in the derivatives on Friday. These stocks should see a pop in the opening trade and cement stocks could also join the rally. The Chinese Tiger balm should sooth the frayed nerves of the commodity stocks.