Tuesday, December 30, 2008

Stocks in year end rally

Stocks in New York rose 2% on renewed hopes that government support for the auto industry would stave off bankruptcy. The Dow closed at 8668 and the S&P at 890. The rally in the US followed world markets higher as Mumbai was also up 2% with the Sensex at 9716 and the Nifty at 2979.

This rally was expected in advance of the Mercury-Jupiter conjunction, although the Indian markets have been extra strong, perhaps as a result of the end of Indo-Pak tensions. Tomorrow may well see another up day, although with the Mercury-Jupiter conjunction coming exact before trading in the US, it is possible that the rally may sputter somewhat.