Tuesday, February 07, 2006

Magic 10000 - Sensex shining

FIIs continued it's inflow of funds, propelling the BSE to reach a magic figure of 10000. This was a moment to be noted in the history of Bombay stock exchange. On the other TV channels when Sachin was showing Pakistan way to the boundaries, we saw BSE hitting new highs.

But, that's not all. In days to come we could see Sensex peaking the heights of 15000. Budget will play a key role in fuelling the exchange further. Presently, country's economic policies are being designed, governed and closely monitored by the two economists, Dr. Manmohan singh (Prime Minister) and P. Chidambaram (Finance Minister). Both have earlier experience being the finance minister of the country. Mr. Singh introduced the 1991 Liberalisation policy, throwing economy open to the foreign investors when he was the FM. Mr. Chidambaram too in his last budget introduced policies, bringing common man's money into the equities.

Looking at the International market Dow, after the time of technology bubble burst, here is what Economic times reported today:

"Sensex crossed 6000, then a historic high, in the same year. But then, both the indices crashed as the technology bubble burst. However, the sensex suffered far more. Dow fell to a low of 7286 in late ’02, while the sensex plummeted to 2595 in late ’02.

Since then, however, the sensex has skyrocketed almost four-fold, while the Dow has not even recovered to its earlier peak. All those global financial managers who rated India as risky and the US market safe are looking rather foolish."

This clearly indicates the confidence shown by the FIIs in the Indian markets and Indian Economy.

No comments: