Prosperity on the Street

Prosperity is a way of living and thinking, and not just having money or things. - Eric Butterworth.


Prosperity and well being is the theme of the day on the occasion of Dhanteras. We expect a higher start following a positive finish on Wall Street and in Europe.Asian markets are mixed. Markets in Japan are shut. Whether early gains will be held remains to be seen. The market could turn up again, provided there are no nasty surprises on the external front.




The RBI has hiked policy rates for the sixth time this year to contain inflation. The central bank has hinted at a pause but is ready for action if the need arises.


In the US, the Republicans are projected to win control of the House, but the Democrats could retain the Senate. The two-day FOMC meet kicked off on Tuesday. The Fed policy makers are widely expected to announce a further round of quantitative easing. Most markets will be able to react to the Fed action only on Thursday and that is when we will see the historic listing of Coal India.


Also, the central banks in the UK and EU will review their policies on Thursday. The Bank of Japan's policy meeting is slated for Friday as is the monthly US payroll report. And don’t forget ‘Mahurat Trading’ on Friday.


The Nifty failed to surpass 6150 but found support at 6075 for the second consecutive day. As long as it manages to stay above 6075, the probability of a pullback towards 6230 is high. When the Nifty will hit a new all-time high is anybody's guess but the ascent won't be a smooth one. In case of a fall, the Nifty is likely to find support in the 5950-6100 zone.


Results Today: Aurobindo Pharma, CESC, ENIL, Gail India, GTL, KEC Intnl, Mcleod Russel, MTNL, Nitin Fire, OBC, Shasun Chemicals, Tata Sponge, TTK Healthcare and Williamson Magor.


FII inflows seem to be tapering off. FIIs were net buyers of Rs. 4.6bn in the cash segment on Tuesday (provisionally), according to the NSE web site. Local funds were net sellers of Rs. 2.02bn. In the F&O segment, the foreign funds were net sellers at Rs. 6.46bn on Monday.