HT Image
HT Image

But will it sustain?

Policy moves from the government could help, but crude oil price holds the key to the market rally. The question now is: will this rally sustain?
By HT Correspondent | Hindustan Times, New Delhi
UPDATED ON JUL 23, 2008 09:50 PM IST

The 838-point surge for the Sensex, the sixth biggest ever, on Wednesday was not surprising, coming as it did a day after the UPA government survived the trust vote in Parliament in a move that could pave the way for several long-pending market friendly policy measures. Sliding global crude prices and rise in share prices in other Asian markets also helped.

The question now is: will this rally sustain?

“It is difficult to predict how market will behave. If oil continues to soften and global markets rally then the euphoria in the local market may also sustain,” said Sanjay Sinha, chief investment officer, SBI Funds Management.

Oil held the key for market behaviour globally over the past six months. High oil prices led to increase in trade deficit, inflation, fiscal deficit, subsidies and interest rates.

“Softening of oil prices coupled with increased policy response from the government will help us manage these problems better,” said Nilesh Shah, deputy managing director, ICICI Prudential AMC.

Expectations that the government could push for increasing foreign investment in banking and insurance and resume the long-stalled disinvestments program have boosted investors’ sentiments.

But on their own, policy measures can’t hold the market. “If oil touch close to $150 (per barrel) again then it will turn the market negative,” said Rajiv Anand, chief investment officer, IDFC Asset Management.

Also, the government’s intent to carry on with reforms will have to translate into action to keep investors’ sentiments robust, said Anand.

SHARE THIS ARTICLE ON
app
Close
"This pandemic has fundamentally accelerated what I thought was going to be a decade-long process of digital transformation...we've seen tremendous structural change," Nadella said.(Mint Archives)
"This pandemic has fundamentally accelerated what I thought was going to be a decade-long process of digital transformation...we've seen tremendous structural change," Nadella said.(Mint Archives)

Digital technology now core to resilience, business continuity: Satya Nadella

PTI, New Delhi
PUBLISHED ON JAN 28, 2021 10:03 PM IST
Speaking at a TiEcon Delhi-NCR event, Nadella said digital technology is also bringing in the next level of productivity gains and driving efficiencies across industries.
Close
The Noida IDC is said to be inspired by the Taj Mahal, an UNESCO world heritage site and one of the seven wonders of the world, located less than 200 kilometers away in Agra.
The Noida IDC is said to be inspired by the Taj Mahal, an UNESCO world heritage site and one of the seven wonders of the world, located less than 200 kilometers away in Agra.

Microsoft launches Taj Mahal inspired engineering hub in Noida

By hindustantimes.com | Edited by Ayshee Bhaduri, Hindustan Times, New Delhi
PUBLISHED ON JAN 28, 2021 09:51 PM IST
  • The IDC is said to be inspired by the Taj Mahal. Microsoft said that its design will amalgamate the company's technological prowess with locally sourced materials. It will feature artworks by local artisans and incorporate features of the Taj, like vaulted doorways, marble inlays and domes, arches.
Close
This is the third dollar debt issuance by Adani Ports this fiscal-- USD 750 million in July 2020 and USD 300 million in December, totalling USD 1.55 billion.(Reuters)
This is the third dollar debt issuance by Adani Ports this fiscal-- USD 750 million in July 2020 and USD 300 million in December, totalling USD 1.55 billion.(Reuters)

Adani Ports raises USD 500 million in overseas bond sale

PTI, Mumbai
PUBLISHED ON JAN 28, 2021 09:43 PM IST
The company said the senior unsecured US dollar note was oversubscribed six times by marquee international investors, helping it fix the coupon at a low 3.10 per cent.
Close
RBI data throws light on the extent of stress caused by the covid-induced economic slump.(MINT_PRINT)
RBI data throws light on the extent of stress caused by the covid-induced economic slump.(MINT_PRINT)

Have no responsibility to audit members of UPI ecosystem: RBI tells SC

PTI
PUBLISHED ON JAN 28, 2021 08:54 PM IST
The Reserve Bank of India (RBI), in its affidavit filed in the top court, also said that the matters related to “data privacy and data sharing” come under the domain of the central government.
Close
Robinhood also restricted trading in shares of Nokia Oyj, which climbed 20% over the past three days.(Bloomberg)
Robinhood also restricted trading in shares of Nokia Oyj, which climbed 20% over the past three days.(Bloomberg)

Robinhood, Interactive Brokers clamp down on GameStop, other high-flying stocks

Bloomberg
PUBLISHED ON JAN 28, 2021 08:46 PM IST
Robinhood also restricted trading in shares of Nokia Oyj, which climbed 20% over the past three days.
Close
FILE PHOTO: Democratic 2020 U.S. presidential candidate and former Vice President Joe Biden walks past solar panels while touring the Plymouth Area Renewable Energy Initiative in Plymouth, New Hampshire, U.S., June 4, 2019. REUTERS/Brian Snyder/File Photo/File Photo(REUTERS)
FILE PHOTO: Democratic 2020 U.S. presidential candidate and former Vice President Joe Biden walks past solar panels while touring the Plymouth Area Renewable Energy Initiative in Plymouth, New Hampshire, U.S., June 4, 2019. REUTERS/Brian Snyder/File Photo/File Photo(REUTERS)

Investors see green returns as renewable energy rises

AP
PUBLISHED ON JAN 28, 2021 08:21 PM IST
FirstSolar, Enphase and SunPower are among the renewable energy stocks that are benefiting from a much friendlier administration in the White House, whose agenda includes tackling climate change and bolstering green energy.
Close
FILE - In this March 15, 2020 file photo, Lufthansa aircraft are parked on a runway at the airport in Frankfurt, Germany. Due to the Coronavirus Lufthansa had to cancel half of its flights. More than 50,000 people have died after contracting COVID-19 in Germany, a number that has risen swiftly over recent weeks as the country has struggled to bring down infection figures. (AP Photo/Michael Probst, File)(AP)
FILE - In this March 15, 2020 file photo, Lufthansa aircraft are parked on a runway at the airport in Frankfurt, Germany. Due to the Coronavirus Lufthansa had to cancel half of its flights. More than 50,000 people have died after contracting COVID-19 in Germany, a number that has risen swiftly over recent weeks as the country has struggled to bring down infection figures. (AP Photo/Michael Probst, File)(AP)

American Airlines lost $8.9 billion in a year of pandemic

AP
PUBLISHED ON JAN 28, 2021 07:47 PM IST
American predicted that similar revenue trends from late 2020 will carry over into the first three months of 2021.
Close
Facebook's oversight board started hearing cases in October and announced the first cases it would review in December.(REUTERS)
Facebook's oversight board started hearing cases in October and announced the first cases it would review in December.(REUTERS)

Facebook oversight board overrules company on most decisions to remove content

Reuters
PUBLISHED ON JAN 28, 2021 07:43 PM IST
The rulings are a crucial test of the independent body, created by Facebook in response to criticism of the way it treats problematic content.
Close
Data out later on Thursday is expected to show the economy of the United States, the world's biggest oil user, contracted in 2020 at its sharpest pace since 1946 because of the pandemic. (Representative image)(Reuters File Photo )
Data out later on Thursday is expected to show the economy of the United States, the world's biggest oil user, contracted in 2020 at its sharpest pace since 1946 because of the pandemic. (Representative image)(Reuters File Photo )

Oil steadies as Covid-19 induced demand worries persist

Reuters
PUBLISHED ON JAN 28, 2021 07:27 PM IST
Oil prices were supported by data on Wednesday showing a huge 10 million barrel decline in US crude inventories last week, which analysts said was because of a pick-up in US crude exports and a drop in imports.
Close
Revenue was propelled by the iPhone 12, the first iPhone line to include four new models and 5G capabilities. Handset sales were $65.6 billion, easily beating Wall Street estimates of $60.3 billion. Consumers were lured by 5G capabilities, especially in China, and the upgraded camera features of the Pro models.(REUTERS)
Revenue was propelled by the iPhone 12, the first iPhone line to include four new models and 5G capabilities. Handset sales were $65.6 billion, easily beating Wall Street estimates of $60.3 billion. Consumers were lured by 5G capabilities, especially in China, and the upgraded camera features of the Pro models.(REUTERS)

Apple’s cautious outlook overshadows $111 billion sales haul

Bloomberg
PUBLISHED ON JAN 28, 2021 07:19 PM IST
While the company didn’t provide an official forecast for the fourth quarter in a row, executives said sales growth from AirPods and other wearables will decelerate in the current quarter.
Close
India’s economy recovered faster than expected in the September quarter as a pick-up in manufacturing helped GDP clock a lower contraction of 7.5 per cent and held out hopes for further improvement on better consumer demand.(AP)
India’s economy recovered faster than expected in the September quarter as a pick-up in manufacturing helped GDP clock a lower contraction of 7.5 per cent and held out hopes for further improvement on better consumer demand.(AP)

India needs bold policy response to secure robust economic recovery, says IMF

PTI, Washington
PUBLISHED ON JAN 28, 2021 06:52 PM IST
The upward revision for FY21/22 to double-digit growth reflects carryover from a stronger-than-expected recovery in 2020.
Close
WhatsApp and Facebook, represented by senior advocates Kapil Sibal and Mukul Rohatgi, told the court that the plea was not maintainable and many of the issues raised in it were without any foundation.(REUTERS)
WhatsApp and Facebook, represented by senior advocates Kapil Sibal and Mukul Rohatgi, told the court that the plea was not maintainable and many of the issues raised in it were without any foundation.(REUTERS)

WhatsApp adds new biometric security layer for desktop users

PTI
PUBLISHED ON JAN 28, 2021 06:33 PM IST
The Facebook-owned company said it will use the face or fingerprint unlock, where it is available on the mobile phone operating system, to facilitate the new security feature.
Close
Airtel said it is committed to position India as a global innovation hub that is at the forefront of tech revolution.(Pradeep Gaur/Mint)
Airtel said it is committed to position India as a global innovation hub that is at the forefront of tech revolution.(Pradeep Gaur/Mint)

Airtel demonstrates live 5G service over commercial network, says service ready

PTI
PUBLISHED ON JAN 28, 2021 06:29 PM IST
The move assumes significance as telcos are gearing up to leverage 5G as the next frontier for future growth to bolster revenues and provide stronger customer experience.
Close
The airline's total income declined 50% year-on-year to <span class='webrupee'>₹</span>5,142 crore in the third quarter, IndiGo said in a statement.(HT Archive)
The airline's total income declined 50% year-on-year to 5,142 crore in the third quarter, IndiGo said in a statement.(HT Archive)

IndiGo posts 620 crore net loss in Q3

PTI
PUBLISHED ON JAN 28, 2021 06:24 PM IST
In the June and September quarter this fiscal, the airline had incurred a net loss of 2,884 crore and 1,194 crore, respectively.
Close
Technological advances -- such as improved vision, mobility and end-of-arm tools for grabbing objects -- have expanded the uses for automation.(Getty Images/iStockphoto)
Technological advances -- such as improved vision, mobility and end-of-arm tools for grabbing objects -- have expanded the uses for automation.(Getty Images/iStockphoto)

The spread of Covid-19 led to a surge in orders for factory robots

Bloomberg
PUBLISHED ON JAN 28, 2021 06:14 PM IST
  • The need for automation became apparent outside the auto industry as workforces were hobbled by coronavirus, making it difficult to keep up with demand. Sales rose in some industries as household income that would have been spent on restaurants and entertainment went instead to consumer goods.
Close
SHARE
Story Saved
OPEN APP