Sensex climbs on oil slide
Fall in crude oil prices help stock markets across the globe rebound and the Indian market is not exception, reports HT Correspondent.business Updated: Jul 09, 2008 21:16 IST
Fall in crude oil prices helped stock markets across the globe rebound on Wednesday and the Indian market was not exception. News of Left parties finally withdrawing support was viewed positively by the market. “I believe there will be some positive buying once the government passes the trust vote,” said MAA Annamalai, director, Akshaya & Co, a Chennai-based brokerage.
And if oil prices remain where they are or fall, the short-term up-trend could stay, experts say. Real estate companies (up 6.1 per cent) and power sector firms (5.4 per cent) led Wednesday’s spurt, taking the 30-share BSE Sensex up 4.6 per cent (615) points to 13,964.
However, if crude oil prices cross $150, the markets could test new lows. “Even at $130-140 a barrel, it spells trouble for countries like India,” said Phani Sekhar, fund manager, Angel Broking.
Meanwhile, short term market movers are the quarterly earnings announcements from companies, beginning with Infosys on Friday.