Stock Market Update

Indian Market:

Sensex ended trade on a strong note ahead of a long weekend. After a disastrous fall last week, the Nifty recovered nearly 200 points to end near 5950 level this week. The rally was fueled by RBI's monetary policy, which come out today. The Central Bank kept key policy rates unchanged, which helped boost sentiment of traders and investors in the markets.

BSE IT index was the top gainer in trade today with close to 3% gain. Rate sensitive's like realty, banks and metal stocks too surged in trade post credit policy. All BSE sectoral indices ended in green barring capital goods.

The state government of Uttar Pradesh has reportedly signed agreements with Bajaj Hindusthan and Parekh Aluminex to set up power generation projects with a total capacity of 2,230 megawatt.

Global Cues:

Asian stock markets posted muted gains Thursday, 16 December 2010, amid concerns about Europe's sovereign debt problems. The key benchmark indices in South Korea, Indonesia and Hong Kong fell by between 0.03% to 1.52%. The key benchmark indices in China, Japan, Singapore and Taiwan rose by between 0.02% to 0.34%.

U.S. stocks fell, dragging the Standard & Poor's 500 Index down from a two-year high, after a six-day rally left the benchmark gauge trading at its most expensive level since June and a surge in bond yields fueled concern that borrowing costs will increase.

Ratings agency Moody's warned Spain on Wednesday that its debt could be downgraded and Portugal took steps to revive its economy amid concerns about euro zone debt contagion on the eve of a European Union summit.