Stock markets’ reaction to PM’s press conference stoic
fe Bureau Posted online: Saturday, Jan 04, 2014 at 0000 hrs
Indian equities appear to have reconciled themselves to the UPA government not moving on reforms and staying populist for the rest of its tenure, reports fe Bureau in Mumbai. Prime Minister Manmohan Singh’s press conference on Friday didn’t do anything to boost sentiment and the Sensex closed in negative territory. The 30-share Sensex, which was trading at 20,782 at 11 am, registered a slight upswing to touch 20,844 before falling to 20,779.22 as the PM ended his speech. The Sensex finally ended the day at 20,851.33, down 37 points.
Market experts dismissed the presser as a non-event saying the election results would play a more decisive role in determining the direction of the market. “Nothing major was announced in the PM’s speech and the market is now waiting for the elections,” Andrew Holland, CEO, Ambit Investment Advisory, observed. Interestingly, foreign institutional investors turned net sellers for the first time in 11 sessions
with provisional data showing they sold shares worth $3 million.