Global markets: Dow conquers 10,000 - Views on News from Equitymaster

Helping You Build Wealth With Honest Research
Since 1996. Try Now

  • MyStocks


Login Failure
(Please do not use this option on a public machine)
  Sign Up | Forgot Password?  

Global markets: Dow conquers 10,000

Dec 13, 2003

It was rotation time on the US bourses this week as investors decided to shift their money from tech stocks to the blue chips, thus resulting in the Dow gaining 2% over the past week's closing levels. Tech laden Nasdaq also ended the week with near 1% gains. The week was also witness to the Dow moving past the 10,000 mark.With little uncertainty surrounding the Fed's announcement, investors remained unnerved and bought into blue chip stocks, which sent the indices higher on Monday. As expected the Fed did not tinker with the interest rates but let out a subtle hint that it would do so in the future and this resulted in a sell off on Tuesday. The sell off also dashed the hopes of Dow to close above the psychological level of 10,000.

With no economic reports to influence movements, markets remained volatile on Wednesday and a weak dollar further added to the volatility. Had it not been for the recovery at the fag end of the day, the markets would have suffered even greater declines. Broad based buying helped in part by a strong sales report brought the bulls back in action on Thursday and resulted in Dow closing above the coveted 10,000 mark, the first time in 18 months. The buying interest sustained itself on Friday, resulting in the Dow carving out a fresh 18 month high and thus ending the week in style.

Hang Seng12315125942.3%

As far as the indices across the world are concerned, the BSE emerged as the highest gainer, registering gains of near 4%. The index seems to be gaining on the back of expectations of improved third quarter results from the Indian corporate sector. Among other Asian indices, while the Nikkei gained nearly 1% on Friday on improved exports performance, the gains were not enough to mask the declines earlier in the week and as a result the index was down 2% for the week. The Hang Seng however, registered gains of 2%. The strength in the US markets rubbed off on its European counterparts and as a result both the FTSE and the Dax closed the week with gains.

(Price in US$)5-Dec-0312-Dec-03Change
HDFC Bank26.429.511.7%
Satyam Infoway5.04.8-4.0%
ICICI Bank14.314.83.5%

On the back of strong rally both in the US as well as Indian stock markets, Indian ADRs ended the week with notable gains. Tech major Satyam Computers emerged as the highest gainer, gaining 23% over the week. The company has done reasonably well in recent times with a number of outsourcing contracts coming its way. Banking ADRs, HDFC Bank and ICICI Bank also performed well, very much in line with their movements on the Indian bourses, mainly on account of improved private sector banking scenario in the country. Among the losers, while dotcom Satyam Infoway lost 4% over the week, international long-distance telecommunication major VSNL shed nearly 7%.

Equitymaster requests your view! Post a comment on "Global markets: Dow conquers 10,000". Click here!


More Views on News

IDFC Mutual Fund Starts Campaign 'SIFI'. Should Buy Into the Idea? (Outside View)

Sep 23, 2020

IDFC Mutual Fund is taking the road less travelled and hence started a campaign SIFI (SIP in Fixed Income) to promote the concept of SIP for its debt funds investors.

My View on the IPO Market (Fast Profits Daily)

Sep 23, 2020

In this video, I'll share with you my thoughts on the recent spate of IPOs and what it means for the market.

I Believe These Stocks Will Deliver the Most Outsized Returns in 2021 and Beyond (Profit Hunter)

Sep 23, 2020

Rules of the racetrack can help you bag the biggest gainers of the coming decade.

An Important Hurricane Update for Energy Traders (Fast Profits Daily)

Sep 22, 2020

In this video, I'll show you how the extended hurricane season in the US will affect traders in crude oil and natural gas.

Mutual Fund Investors Will Now Be Allotted Units Based on NAV of the Day AMCs Receive Funds (Outside View)

Sep 22, 2020

PersonalFN explains how SEBI's new circular on mutual funds impact investors.

More Views on News

Most Popular

How the 8-Year Cycle Can Help Identify Multibaggers (Fast Profits Daily)

Sep 11, 2020

This is how you can apply the greed and fear cycle in the market to pick stocks.

Why We Picked This Small-cap Stock for Our Hidden Treasure Subscribers (Profit Hunter)

Sep 17, 2020

This leading household brand will profit big time in a post covid world.

This Could Be the Best September for Auto Stocks (Profit Hunter)

Sep 11, 2020

Here's why I think this month could be a great for auto stocks.

What Do the Charts Say About Buying Smallcaps Now? (Fast Profits Daily)

Sep 18, 2020

Everyone seems to be excited about buying smallcaps now...but is it the right thing to do? What do the charts tell us? Find out in this video...


Covid-19 Proof
Multibagger Stocks

Covid19 Proof Multibaggers
Get this special report, authored by Equitymaster's top analysts now!
We will never sell or rent your email id.
Please read our Terms


Sep 23, 2020 (Close)