Today it is quite possible that the Diwali festivities continue on Dalal Street. Given the positive sentiment seen yesterday (Muhurat Trading) followed by global sentiments, the bulls could have a strong start.
The U.S. market rallied yesterday. Asian stocks are up this morning on hopes that Japan will cut interest rates. China is also expected to take steps to boost equities. The Bank of Japan is considering lowering its benchmark rate by a ¼%, according to reports. Meanwhile, the U.S. Federal Reserve will announce its decision later in the evening though expectations are of a rate cut.
Yesterday, at Muhurat Trading, the Sensex opened higher at 8957 and closed marginally above the 9000 mark at 9008. But The F&O expiry today may provide volatility. Settlement for trades done on stocks bought on October 27 and 28, 2008 will be done on October 31, 2008.