Markets Closes Up On Fed Rate Cut:Up By 360 Points.Fed Rates Down By A Quarter Percentage Point.

12 Dec

Posted by Shyam as Opinions

It was a day probably everyone in the D-street was looking for.Finally the share markets ended above the psychological barrier of 20,000 points and nifty also ended above the 6,000 mark yesterday after the expectations of the Fed rate cut,the story which we brought out 2-3 days back.The sensex gained 360 points to close at 20,291 and nifty closed at 6097 levels after a gain of 136 points.

But it seems the US markets were not happy with the Fed rate cut of a quarter point to 4.25%.The rate cut was basically due to prevent further housing and credit meltdown which has been happening for some time along with the subprime issue.It is expected that the Fed rate cut would stimulate economic growth.Both Nasdaq and Dow were down by 2.45% and 2.14% points each.So the Indian markets may also follow the cue today and some profit booking is also expected at higher levels.

Well the focus of the traders and FIIs seems to be slowly moving towards the second line stocks or the mid caps.The growth story is these stocks seems to exciting.We also have been keeping a close watch on a few such stocks which are giving some decent returns even in intra day trading.Lets now have a watch on few scripts for coming days.

Godrej Industries cmp 396
Essar shipping cmp 99.55
Omaxe cmp 559
India Gelat(i) cmp 29.4
Hitech Platics cmp 101
Ansal housing cmp 269.4
Bharat gears cmp 71.4
VJIL consult cmp 49
kisan mouldings cmp 59.75
Riga sugar cmp 43
shreya shipping cmp 109

Watch these stocks closely and book profits as soon as possible.Lets hope at least the markets remain range bound today.Happy trading.Good luck.