Sensex rises 864 points after US Fed rate cut

Font Size -

Agencies

Posted online: Wednesday, January 23, 2008 at 03:30:03
Updated: Wednesday, January 23, 2008 at 03:46:14

Mumbai, January 23: Stock market benchmark Sensex ended a seven-day losing streak on Wednesday, gaining 864 points after the US Federal Reserve cut interest rates in an emergency move to prevent the world's biggest economy from slipping into a recession.

The 3-share index rose 864.13 points to 17,594.07, led by index-heaviest Reliance Industries Ltd, which rose by Rs 196.80 to settle at Rs 2,554.85. The Sensex rose to a high of 17,997.11 and fell to a low of 16,951.03 points in volatile intra-day trading.

The wide-based National Stock Exchange index Nifty surged by 404.10 points at 5203.40, after touching the day's high of 5328.05 and a low of 4891.60 points.

The US central bank cut short-term benchmark rate by a steep 75 basis points on Tuesday, in a surprise move that is aimed at checking the nation's economy from slowing down and soothing the investor community.

Bookmark this Page

What is this?

Digg

On Digg, users share intersting online content by submitting links to the site. At that point, the Digg audience can vote on whether or not they think it is interesting. Articles with lots of votes, or "diggs," rise up higher on the site's main page and topical subsection pages. Another form of social sharing, this site also lets users categorize the content they are submitting to Digg and label it with descriptions of up to 350 characters. Digg users can also submit comments on each content item submitted to the site.

To register, go to: http://digg.com/register

del.icio.us

At its most basic level, del.icio.us allows users to save their bookmarks online. Del.icio.us also gives users the ability to "tag" their bookmarks with descriptive category names. For example, someone who has bookmarked multiple Web pages that deal with the Washington Nationals baseball team could tag those links with any terms they want, like "baseball," "nationals," "natsfan," etc.

As members of a "social bookmarking" community, del.icio.us sers can also see how many other people have bookmarked the same pages, and they can look at those users' bookmark collections to find other interesting online content.

To register, go to: http://del.icio.us/register

Reddit

Reddit allows users to submit news articles and other online content to the site. Users also give articles a thumbs-up or thumbs-down. Reddit then uses those votes to build a user profile and to find articles to recommend to you. Users can also submit comments on items posted to the site.

To register, go to: http://reddit.com/login

Digg

My Yahoo

Fark

del.icio.us

Newsvine

Rate this Article

Rating

Post Comments

Name*		Email ID*
Subject*		Country*
Message*	Characters remaining

TERMS OF USE: The views represented here are not neccesarily endorsed by www.expressindia.com and its allied websites. All messages will be moderated and no message that has inflammatory, abusive, derogatory language or any language deemed unfit for publication by the editor will be displayed. Though it will be endeavoured that as many messages as possible be displayed, there will be time lag between the submission and publication of the messages. The website reserves the right to publish or reject any message.

I agree to the terms of use.

Comments - 2

INDIA JOINED THE GLOBAL by DILIP on 23 Jan 2008

THIS EVENT SHOWS THE BENEFITS AND DISADVANTAGES OF GLOBAL ECONOMY. THIS HAPPENED FEW TIMES BEFORE ALSO. BUT INDIA HAD NOT JOINED THE COMMUNITY (WAS WITH RUSSIA), INDIA DID NOT SEE THIS, BUT NOW WE HAVE THE TASTE.BASICALLY MOST ASIAN COUNTRIES INCLUDING RICH JAPAN ARE PARASITES OF USA. THEY DEPEND AND LIVE ON AMERICA. 1)WHEN DOLLAR WAS STRONG, THEY ENJOYED EXPORT IN TO USA.2)WHEN US ECONOMY WAS BOOMING AND PEOPLE WERE SPENDING, THEY ENJOYED THE EXPORT.3)THESE COUNTRIES HAVE ALSO EXPORTED TONS OF PEOPLE WHO PUMP MONIES INTO THEIR COUNTRIES BECAUSE US DOES NOT HAVE RESTRICTIONS LIKE INDIA HAS. WITH WEAK US ECONOMY AND WEAK DOLLAR, THEY DON’T SEND MONEY BACK HOME.4)WITH WEAK DOLLAR IT MAKES USA TO EXPORT EASY, AND THAT’S WHY US ECONOMY IS HAPPY WITH WEAK DOLLAR (REMEMBER INDIRA HAD DEVALUATED RUPEE?).5)JAPAN CAN NOT EXPORT CARS INTO US. NISSAN PREDICTED LESS PROFIT NEXT YEAR BECAUSE AMERICANS ARE NOT SPEND AS MUCH AS WELL AS, DOLLAR IS WEAK, SO THEY GET LESS MONEY FOR A CAR. VERY INTERESTING GLOBAL MARKET.THE SITUATION IS, WHEN MASTER GETS WEAK ALL SERVANTS STARVE. JUST BECAUSE OF WEAK HOUSING MARKET IN USA, STOCKS IN INDIA TUMBLE, WHEN USA GOVT. BRINGS PRIME RATE DOWN BY 0.75% INDIAN STOCK MARKET JUMPS MORE THAN THOUSAND. IS USA CONTROLLING INDIAN STOCKS/ECONOMY? IS GLOBALIZATION GOOD OR BAD FOR THE WORLD?

Reply | Forward | Report Abuse

Is the regulator sleeping or acting.... by CK Raju on 23 Jan 2008

The trend of such mayhems are increasingly becoming monotonous. First there is an activity that would trigger the landslide - which would be originated by a responsible agency in a developed economy - here it happened to be from US. The FIIs would immediately start offloading their stocks. The stock markets would plunge further deeper and stay at very low level. Finance Minister and other Government dignitaries would step in and appeal for FIIs to return. FIIs oblige and start buying stocks from the available position - which are at rock bottom price levels. The indices would start the upward journey - waiting for the next triggering event. Are there anyone to expose possible linkages between FIIs and triggering agency ? Why is that in such bloodbath, there is only blood of domestic investors ? Why are FIIs invited even after they get away with their booty ?

Reply | Forward | Report Abuse