Today, the market could extend the two-day rally, at least at the start today. Thereafter, we expect the key indices to remain a bit subdued. What may also keep the overall mood cheerful are expectations of fresh stimulus measures in the interim budget.
Meanwhile, all eyes are on Washington. Global markets are awaiting the passage of Obama administration’s stimulus package. Also being eagerly awaited is the unveiling of a revamped bank rescue plan. Both the key events will take place later today in the US. So, the Asian markets will be able to react to the same only on Wednesday.
The moot point is whether global markets can sustain the bounce once the expected events are out of the way. The jury’s still out on this. The best thing would be to play for a short-term spurt and make a quick exit. It’s easier said than done, but nothing wrong in giving it a shot.
