Volatility to persist for some more time
November 5th, 2007
The news about the Cash Reserve Ratio (CRR) and the Bank rates set by the Reserve Bank of India (RBI) and the reduction of the Fed Funds rate by 25 basis points by the US Federal Reserve have shown its effects on the Indian stocks markets that are volatile during the week. Sensex and Nifty closed up by 3.8% and 4% respectively.
Going forwards, experts feel that volatility will continue for the week ahead too. With investors looking back at the fundamentals of the companies, select stocks will continue to get the attention from the markets. This is also evident from the recent trend in which any negative news (such as the regulation of P-notes and the news from the RBI and Fed Reserver) over the past 15 days have been absorbed with extreme ease by the markets.
Entry Filed under: Equity Markets