Thursday, February 12, 2009

US stocks finish flat after steep midday plunge

US markets ended flat after after a huge final hour rally erased deep losses that saw the indexes move closer to their November lows. After trading below 7700, the Dow closed at 7932 while the SPX ended at 835 after touching 810 around 3 p.m. In Mumbai, the Sensex closed at 9465, down 1.5% on the day while the Nifty ended at 2893.

An interesting point about today's rollercoaster action: the Moon moved from Mars-ruled section of Hasta to Rahu's section in the early afternoon. Given Rahu's strength from the Jupiter conjunction, this may have been one factor that allowed sentiment to improve for the rally in the last hour. Of course, the sublord shift occurred while the market was still falling at 1 pm so we can't take this influence too far. The relief rally will likely continue tomorrow in New York, although I'm less optimistic about the Indian market.