| Date: |
03-11-2008 |
| Subject: |
Rupee Strengthened To Its Highest In A Week - Nov 03, 2008. |
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Mumbai: India’s bellwether stock index, the Bombay Stock Exchange’s (BSE)
Sensex, soared towards the psychologically important 10,000 mark on Friday,
powered by pent-up energy from traders who missed Thursday’s strong rally in
Asian markets because Indian markets were closed on account of Bhai Dooj, a
Hindu festival.
The Sensex closed at 9,788, adding 8.22% or 743 points,
but analysts said the rally will last if only the central bank steps in with
aggressive support by cutting rates and releasing money into the
system.
After the recent spate of rate cuts by central banks across the
globe, led by the US Federal Reserve, many more central banks are expected to
announce rate cuts next week. This could see at least some of the funds parked
in safe and liquid US treasury bonds coming back to Asian equity markets,
according to global analysts. The allocation of such capital will favour those
Asian markets where central banks are more focused on growth, these analysts
add.
Source : www.livemint.com
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