Conviction slowly sets in! - IIFL

Healthy global cues and the great hope in the new RBI governor have slowly begun to bring some conviction to the investors. The Rupee gained 1.6% to close at 66.01 against the dollar. The main indices too staged a smart upmove. The rally underway could be short-lived and extreme caution should be exercised.

The outlook is a bright start. The developments in Parliament will be eyed too. Dovish comments have come in from the European Central Bank. The situation in Syria will also be on top of investors' minds. Syria will remain in focus at the G-20 conference in Russia which begins today. A resolution authorising use of military force in Syria by a vote of 10-7 was passed, clearing way for vote in the full senate next week.

Moody's has cut 11 India banks subdebt ratings on increased bail-in risk. US stocks moved up on strong US economic data. Asian stocks are mixed. Japan's Nikkei was 1% down while Hong Kong's Hang Seng index gained almost a percent.

Source : Equity Bulls

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