Sunday, February 1, 2009

The Stock Market Ruling The World

By: Sourav Sharma
New Year came as a positive start for the Asian stock market with various corrective steps undertaken to ease the global economic meltdown. The Asian Stock Index flashed higher share price benchmarks for Tokyo, Sydney, Shanghai, Taipei, Malaysia, and India. In the Asian stock market, Indian shares flaunted a rise everyday except few fluctuations, the most dramatic being the day when Satyam mayhem was revealed. The optimistic approach as well as the rise in shares (for India) in the Asian Stock Index is an aftereffect of the Indian government's announcement of a fresh economic stimulus package, tax cuts, and increase of credits cum lowering of interests by the central bank. The Asian stock market is now performing strongly with the big stimulus packages announced by governments across nations. This has paved way for the Asian Stock Index to exhibit positive proceeds.

The Asian stock index revealed various sectors including realty, IT, oil & gas as the worst hit as a result of Satyam Computers cheating investors by inflating its proceeds. The Indian stock exchange saw a slump of 7.21 per cent with the Satyam mayhem. The top stock exchange losers were Satyam Computer Services, Reliance Communications, Jaiprakash Associates, Reliance Infrastructure, and DLF. With around 2124 BSE losers and 364 gainers, Hindustan Unilever, Grasim Industries, Infosys Technologies being among them, stock market India unfurled mixed results.
Disclosure of financial wrongdoings by Satyam Computers backed by overdose of negative publicity affected investors positively as well as adversely. With a number of coveted clients associated with it, Satyam is still an attractive buy. Few industry giants like Tesco, Caterpillar, Nestle and other companies are looking for alternate options for outsourcing rather than hanging up on India. Innovation is still the buzzword as many a company and operations are in full swing towards achieving the same despite the stock exchange news airing mixed index outcomes. Indian offshoring still continues unabated notwithstanding the Satyam fraud or stock exchange news. Tesco, the world's third biggest retailer, said it is going to accelerate offshoring to India.

About the Author
Sourav Sharma is freelance market analyst and is writing reviews articles on money market news, india finance news, india news and information on india business news.

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