Business   

Samvat 2060 begins on positive note

By Our Special Correspondent

MUMBAI OCT. 25. Ushering in Samvat Year 2060, the Sensex gained 44.91 points and the Nifty 16.90 points in Moorat trading here today.

The Bombay Stock Exchange 30-share sensitive index opened with a gap at 4814.36 and closed at 4802.28, gaining 44.91 points against the previous close of 4757.37. On the National Stock Exchange (NSE), the S&P CNX Nifty Index (Nifty) gained 16.85 points at 1521.95 against 1505.05.

So far, the stock market is concerned, the new year started on a positive note. Last Deepavali, the Sensex was below the 3000 mark and this time it was pushing towards the 5000 mark. A correction of 282 points in the first four days of the week only strengthened the market further with a whopping 108.96 points gain on the last day of Samvat 2059 and a further gain of 44.91 points in Moorat trading of Samvat year 2060 on Saturday.

"We continue to remain bullish due to strong corporate earnings and a strong feel-good factor. The sectors we like are the banking, automobiles and pharmaceuticals," said Motilal Oswal of Motilal Oswal Securities.

Samvat 2059 ended recording the second biggest Sensex rally of 1770 points after Samvat 2056, which witnessed a rally of 1797 points between October 19, 1998 and November 7, 1999. Now between November 4, 2002 and October 24, 2003, the Sensex gained 59.24 per cent to close at 4757.37.

While the rally in 2056 was driven by information, communication and entertainment (ICE) sectors, this year's rally was a broad-based one. Prior to the ICE rally, Samvat 2051 was the most noted rally on the bourses with the Sensex gaining 1517 points between November 13, 1993 and November 3, 1994.

On Friday, the last day of Samvat 2059, the Sensex gained 108.96 points, after a loss of 282 points in the first four days of the week. On the National Stock Exchange, the S&P CNX Nifty Index closed at 1505.05, gaining 35.60 points after dropping 79.75 points in the first four trading sessions.

"Coming, as it does, in the light of the rally in the past few weeks the overall sentiment has consolidated towards further rally," said V. R. Srinivasan, a leading financial consultant. All the fundamentals justify this sentiment.

"As it is, the monsoon has been good and overall rainfall is more than favourable. This is expected to boost the rural economy considerably.

On the foreign exchange front it has been on the rise every week and if this momentum continues we would not only surpass $100 billion for the first time in the history of free India and also reach the $150 billion mark earlier than expected.

The underlying message in all these is that India can grow at the rate of 10 per cent if the efforts are properly channelised and the stock markets will reflect this growth," Mr. Srinivasan added.

Printer friendly page  
Send this article to Friends by E-Mail

Business

News: Front Page | National | Southern States | Other States | International | Opinion | Business | Sport | Miscellaneous |
Advts: Classifieds | Employment | Obituary |

Stories in this Section

• Forex reserves cross $91 b
• Tax collections up
• Targeting domestic BPO
• Samvat 2060 begins on positive note
• IBS buys Avient from Honeywell
• HDFC Bank, Navy sign pact

Copyright © 2003, The Hindu. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu