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Sensex gains 1.8 pct, Satyam surges

April 6, 2009

INDIA-STOCKS/The stock market traded firm today and extended gains by 1.8 percent after an extended weekend.

The Sensex closed 186 points higher at 10,534.8, as strong Asian markets helped boost investor sentiments.

HDFC, L&T and Reliance Communications led the benchmark. Mahindra & Mahindra was the top index gainer, closing 14.2 percent higher.

Among sectors, the BSE Consumer Durables Index led with gains of 5.8 percent, followed by the capital goods index which was up 3.75 percent. All indices, barring the FMCG index, closed in positive territory.

It was a good day for Satyam shareholders, as the scrip surged over 13 percent to close at 45.15 rupees. It was also the top traded stock on the BSE with volumes of over 28 million shares.

There seems to be an improvement in market sentiment – it was the fourth straight session of gains for the benchmark. Do you think the rally is sustainable? Is 11,000 achievable this week?

Comments

Sensex continues with its productive run.It is now up 2,909 points(29.09%)since 9 March.It is +199 points(1.92%) over previous 90 days but -1267 points(10.73%) over previous 180 days.It has risen in 14 of last 17 sessions(82.35%).

P/E ratio is 14.78.It appears on higher side and not in line with expectation of lower profits in 2008-2009.RSI is now standing at 71.19.

The market has reached an overbought zone.A bit of correction is now due.

Posted by A.Kapoor | Report as abusive
 

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