indian stock market

Rally in markets hinges on RBI rate cut February 23rd, 2009 By C. Kutumba Rao Spooked by lacklustre interim budget and deepening global recession, markets witnessed the biggest weekly fall since October. On the BSE, the Sensex closed below the 9,000-level shedding 792 points at 8,843 and the Nifty on the NSE tumbled by 212 points to end at 2,736. Disappointment over the lack of stimulus package for the economy in the budget and weak global cues have triggered yet another wave of sell off from FIIs. Domestic institutions were also in sell mode. The only positive trigger left before the announcement of the general elections is the possibility of interest rate cut by the RBI due to a sharp fall in inflation. True to predictions, gold prices crossed $1000 per ounce mark as investors flocked to the yellow metal to preserve capital amid fears of financial and economic instability. Given the plunging stock markets, gold prices could touch $1150 an ounce due to investment and speculative b