Wednesday, March 18, 2009

Stocks gain on Fed plan

Investors cheered the Fed's plan to buy treasuries as stocks rallied from a morning loss as the Dow closed at 7486 and the S&P at 794. Stocks also rose in Mumbai as the Nifty ended the day at 2794 and the Sensex at 8976. The US dollar moved sharply lower as the increased debt burden from the Fed plan made the greenback less attractive.

The market is extending this bull run further than expected as the negativity from the Mercury-Saturn opposition appears to have been offset by the presence of Jupiter near the same degree. It's possible the up trend may squeeze a few more percent gain before the bears take control again.