X

Sign up for Equitymaster's free daily newsletter, The 5 Minute WrapUp and get access to our latest Multibagger guide (2017 Edition) on picking money-making stocks.

This is an entirely free service. No payments are to be made.


Download Now Subscribe to our free daily e-letter, The 5 Minute WrapUp and get this complimentary report.
We hate spam as much as you do. Check out our Privacy Policy and Terms Of Use.
Global markets: Gain one, gain all - Views on News from Equitymaster
 
 
  • PRINT
  • E-MAIL
  • FEEDBACK
  • A  A  A
  • Aug 16, 2003

    Global markets: Gain one, gain all

    Markets around the globe gained this week. US indices were also in the positive. While the Dow gained marginally, the upward movement on the NASDAQ was significant, considering that it was in the red throughout the previous week. The Dow closed higher by 1% while the NASDAQ was 3% in the positive.

    The week started on a strong note for both the indices. While the Dow gained marginally, the NASDAQ closed higher by about 1%. Gains on the NASDAQ were mainly on account of buying witnessed in technology stocks. It should be noted that the NASDAQ lost ground during the previous week on account of weakness in technology stocks. Tuesday saw gains on the NASDAQ increase to 2% while the Dow ended up by 1%. Federal Reserve Board decided to keep the Fed fund's rates unchanged. In its statement, it said that while the economy was showing some signs of recovery, the danger of deflation was still lurking. It also said that interest rates might not be increased till the time the economy showed any clear signs of recovery.

    Wednesday saw profit-booking resulting into weakness on the US indices. Not too convinced by the Fed’s remarks of Tuesday, markets exercised caution as fears of a rise in interest rates in line with economic growth overshadowed positive investor sentiments. While the Dow closed lower by 0.4%, Nasdaq closed flat, albeit in the negative. Thursday was marked by marginal gains on both the indices. Throughout the trading period, a series of reports that were released before the bell showing some stability (if not signs of robust growth) in the US economy, generated investors' enthusiasm. However, gains on account of these releases were muted by rising bond yields, which renewed investors' concerns over rising interest rates.

    The last trading day of the week was marked by reactions about the blackout in the financial capital of US – New York. This led to thin volumes and hence flat markets. The blackout seemed to be the only consideration in investor minds. Some traders were even forced to spend time in Manhattan due to difficulties in commuting. Some power utility companies lost ground, however companies aiding them gained ground on expectations that a large quantum of investments would be required for upgrading the ageing US power infrastructure.

    World markets...
    Indices 9-Aug-03 16-Aug-03 Change
    BSE 3,884 3,921 1.0%
    FTSE 4,148 4,247 2.4%
    Dow 9,191 9,322 1.4%
    Nikkei 9,328 9,863 5.7%
    Hang Seng 9,945 10,425 4.8%
    Dax 3,332 3,444 3.4%
    NASDAQ 1,644 1,702 3.5%

    Markets round the globe showed signs of strength with the Japanese Nikkei ending as the top gainer. However, Sensex gained the least in this week. This is in absolute contrast with the previous week when the Nikkei witnessed its biggest slump in almost four months while the Sensex was the top gainer among leading markets. Notably, NASDAQ, which had been hit by slump in technology stocks in the last week, posted smart gains over this week.

    While signs of strength are witnessed in the US and other global markets, the sustainability of this growth still remains very unclear. Investors need to exercise utmost caution and should not move with the herd before any sustainable signs of long-term growth are visible.

    Indian ADRs: A mixed bag
    (Price in US $) 9-Aug-03 16-Aug-03 Change
    Satyam Infoway 10.2 5.8 -42.9%
    VSNL 5.2 4.9 -5.8%
    Dr. Reddy's 23.0 23.9 3.7%
    Silverline 1.6 1.1 -30.6%
    HDFC Bank 22.5 22.8 1.2%
    MTNL 5.3 5.6 5.7%
    Infosys 52.5 51.5 -1.8%
    Wipro 22.8 23.0 0.7%
    Satyam 10.2 10.3 1.0%
    ICICI Bank 7.8 8.1 3.8%
    Rediff 5.4 4.3 -20.6%

    The story for Indian ADRs was mixed. The losers included Infosys, Rediff, Satyam Infoway, VSNL and Silverline. Notably, Satyam Infoway that was the biggest gainer in the previous week lost the most in this week. Rediff continued with its losing streak. However, major gainers over the week were Dr. Reddy’s, MTNL, ICICI Bank and HDFC Bank.

     

     

    Equitymaster requests your view! Post a comment on "Global markets: Gain one, gain all". Click here!

      
     

    More Views on News

    How to Ride Alongside India's Best Fund Managers (The 5 Minute Wrapup)

    Jun 10, 2017

    Forty Indian investing gurus, as worthy of imitation as the legendary Peter Lynch, can help you get rich in the stock market.

    Why NOW Is the WORST Time for Index Investing (The 5 Minute Wrapup)

    Aug 18, 2017

    Buying the index now will hardly help make money in stocks even in ten years.

    Trump Takes a Beating (Vivek Kaul's Diary)

    Aug 18, 2017

    Donald J Trump, a wrasslin' fan, took a 'Holy Sh*t!' blow on Tuesday.

    How To Read Your Mutual Fund Account Statement Correctly (Outside View)

    Aug 17, 2017

    PersonalFN simplifies the mutual fund account statement for you.

    This Small Cap Can Drive Chinese Players Out of India (and Make a Fortune in the Process) (The 5 Minute Wrapup)

    Aug 17, 2017

    A small-cap Indian company with high-return potential and blue-chip-like stability is set to supplant the Chinese players in this niche segment.

    More Views on News

    Most Popular

    Demonetisation Barely Made Any Difference to Tax Collections(Vivek Kaul's Diary)

    Aug 7, 2017

    The data tells us quite a different story from the one the government is trying to project.

    A 'Backdoor' to Multibaggers: It's Like Investing in Asian Paints Ten Years Ago(The 5 Minute Wrapup)

    Aug 10, 2017

    Don't miss these proxy bets on growing companies or in a few years you will be looking back with regret.

    Should You Invest In Bharat-22 ETF? Know Here...(Outside View)

    Aug 8, 2017

    Bharat-22 is one of the most diverse ETFs offered so far by the Government. Know here if you should invest...

    Signs of Life in the India VIX(Daily Profit Hunter)

    Aug 12, 2017

    The India VIX is up 36% in the last week. Fear has gone up but is still low by historical standards.

    7 Financial Gifts For Your Sister This Raksha Bandhan(Outside View)

    Aug 7, 2017

    Raksha Bandhan signifies the brother-sister bond. Here are 7 thoughtful financial gifts for sisters...

    More
    Copyright © Equitymaster Agora Research Private Limited. All rights reserved.
    Any act of copying, reproducing or distributing this newsletter whether wholly or in part, for any purpose without the permission of Equitymaster is strictly prohibited and shall be deemed to be copyright infringement.

    LEGAL DISCLAIMER: Equitymaster Agora Research Private Limited (hereinafter referred as 'Equitymaster') is an independent equity research Company. Equitymaster is not an Investment Adviser. Information herein should be regarded as a resource only and should be used at one's own risk. This is not an offer to sell or solicitation to buy any securities and Equitymaster will not be liable for any losses incurred or investment(s) made or decisions taken/or not taken based on the information provided herein. Information contained herein does not constitute investment advice or a personal recommendation or take into account the particular investment objectives, financial situations, or needs of individual subscribers. Before acting on any recommendation, subscribers should consider whether it is suitable for their particular circumstances and, if necessary, seek an independent professional advice. This is not directed for access or use by anyone in a country, especially, USA or Canada, where such use or access is unlawful or which may subject Equitymaster or its affiliates to any registration or licensing requirement. All content and information is provided on an 'As Is' basis by Equitymaster. Information herein is believed to be reliable but Equitymaster does not warrant its completeness or accuracy and expressly disclaims all warranties and conditions of any kind, whether express or implied. Equitymaster may hold shares in the company/ies discussed herein. As a condition to accessing Equitymaster content and website, you agree to our Terms and Conditions of Use, available here. The performance data quoted represents past performance and does not guarantee future results.

    SEBI (Research Analysts) Regulations 2014, Registration No. INH000000537.

    Equitymaster Agora Research Private Limited. 103, Regent Chambers, Above Status Restaurant, Nariman Point, Mumbai - 400 021. India.
    Telephone: +91-22-61434055. Fax: +91-22-22028550. Email: info@equitymaster.com. Website: www.equitymaster.com. CIN:U74999MH2007PTC175407
     

    Become A Smarter Investor In
    Just 5 Minutes

    Multibagger Stocks Guide 2017
    Get our special report, Multibagger Stocks Guide (2017 Edition) Now!
    We will never sell or rent your email id.
    Please read our Terms

    S&P BSE SENSEX


    Aug 18, 2017 03:37 PM

    MARKET STATS