Today,when the world was down, India was shining, especially late in the afternoon. The rise coincided with the Finance Minister’s announcement that the government plans an additional Rs257bn in public expenditure during the current fiscal year. The gains are less likely to be maintained given the weakness all around. However, bulls will strive for a recovery later in the day. In the US, the Dow shed over 100 points following a strengthening dollar, weakening oil and gold prices and some below expectation corporate numbers. Asian markets are weak after Japan’s economy expanded less than expected. Japan has cleared an additional $81bn stimulus.
U.K and Germany manufacturing is still weak. Ratings agencies have warned about debt problems. First it was Dubai and now Fitch has lowered Greece's credit rating. People may not know where to find Greece on the map but some impact will be felt in markets.
