Posted By : Kishore B.S
Markets opened at 5151 and did closed at 5114. The downfall was because of sudden news from RBI about ECB limit and as always the markets were volatile as it touched a high of 5192 during the day
RBI increased the limit of FII’s investment in the govt securities, this was an unexpected negative news from the government, As the markets was expecting a positive news about rate cut. even rupee continued to slide and did get depreciated by 0.19%
The capital markets as a whole was down as the world markets including Asia and UK were down, as always the inverse relationship b/w equity n commodity was evident as gold did reach the closed high in asian markets.
The initial uptrend in Indian markets were due to expectations from Pranab Mukherjee’s change in policies before he resigns from his post of finance minister
Lets wait and watch how markets will do as the expiry of F&O Contracts are nearing this week and the same may give some boost to the markets or no…
(Inputs Mr. Karan Chandrashekar, An SMI Associate, Bangalore)