The Telegraph
Since 1st March, 1999
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Pretty perch at Point 13000

Mumbai, Oct 30: The Sensex soared above 13000 points today — the fourth major peak it scaled this year — but the climb was more arduous and took all of 135 trading days from Point 12,000 which was conquered on April 20.

The euphoria over the bellwether index scaling another historic high was less visible today with market mavens divided over whether the level could be sustained in the weeks ahead.

The market rally has been stoked by the robust 8.9 per cent growth in the economy in the first quarter of April to June and a steady stream of strong performances from India Inc.

“The continuity of the rally will depend on how the corporate results season ends,” said Shashi Bhusan, head (retail equities), IL&FS Investmart.

India has emerged as an attractive destination for global investors who have bought shares worth $1.2 billion in October alone.

The other big feel-good factor came from the RBI which said inflation was no longer the scary bugbear it was made out to be.

But the real sense of economic well-being for the people at large will depend on the RBI’s meeting tomorrow when governor Y.V. Reddy makes a mid-term review of the credit policy and decides whether or not to raise interest rates.

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