Money on the markets
A maturing market amid the mayhem
Realty stocks had a weak trading day on Wednesday with the sectoral index slipping 1 percent, even as the Sensex gained over 200 points tracking positive global cues.
Indiabulls Real Estate slipped 3.3 percent and was the top sectoral loser, while DLF and Unitech lost 1.3 percent and 0.7 percent respectively.
Shares in Anant Raj Industries gained 2.8 percent, making it the top gainer in the realty index.
A recent newspaper report quoting CLSA said the time was ripe to build exposure to real estate stocks, post the Reserve Bank of India’s step to take away money from banks and a lesser-than-expected rush to raise money from the primary market.
The BSE metal index rallied over 4 percent on Wednesday, with JSW Steel topping the index with gains of over 8 percent. The BSE Sensex jumped over 300 points to 16,496.
Sterlite Industries gained nearly 6 percent and Hindalco ended up 3.3 percent, buoyed by a rise in base metal prices. Tata Steel shares gained 4. 9 percent.
Falling bank deposit rates have left investors with fewer options to invest, especially those who are not willing to risk their capital for some extra returns.
In the current scenario, such investors can look at creating a capital protection plan on their own, which can safeguard their capital and possibly earn higher returns with some exposure to equity mutual funds.
Market participants will soon have to reschedule their morning routine as Indian bourses — the BSE and NSE — are set to extend their daily trading time by 55 minutes from January 4, 2010.
The markets will now open at 9 am and close at their normal closing time of 3:30 pm, but the question is — who would actually benefit with this move? Is it becoming more a battle between the two exchanges to win market share?