By: A.Kapoor

A.Kapoor — Sat, 14 Mar 2009 05:18:39 +0000

Friday the thirteenth was a day that belonged to the bulls.Sensex took a much-needed dose of steriods and took off by 412 points.It has gained by 7.3% in past two sessions.
It may be too early to predict if recession has hit the bottom.A fall in IIP numbers in Jan. 09 of 0.5% was somewhat encouraging in sense that worst may have been contained.The health of real estate industry is still a cause of worry.It is not facing a ‘slow-down or recession’ but more serious a malaise called ‘melt-down’.
A revival in real estate demand should positively impact GDP growth.
c.bank has progressively brought down repo rates to 5%.It is hoped that more monetary reliefs would be forthcoming.But what is the wisdom in keeping PLR as high as 12.75-13.25%.Let us hope that Finmin shows impatience with such recalcitrant bankers who are doing more harm than good to industry.
Finally,the great Indian political drama due in April-May 09 remains a big uncertainity.The public wants a government with a clear agenda on economy and national security.
Amidst such amount of uncertainity,let us wait and watch the developments.However Sensex Futures are +18 points.This may point to a smiling Monday?

Comments on: Sensex, Nifty rally; Satyam falls

By: A.Kapoor