The expiration of October trading certainly played a disproportionate role in the record one-day gain, as it exercised a huge pressure on short positions. The meteoric rise also illuminates how much the vacillation is due to speculative activity.
As per reuters MUMBAI, after remaining subdued for major part of the day, Indian stock markets recorded a sharp recovery at the fag end as players covered some of their short positions on fall in crude oil prices. Amrendra Sharma, analyst with Global One Wealth management said: Volumes are very low. Unless Nifty breaches 4600 [...]
Barrel prices nosed upward of $115 on Monday, largely due to a sagging US dollar. Analyzing this in reference to last week’s barrel and dollar prices shows the extent to which crude is tied to currency differentials. The relationship is not one sided, either. For us Canadians, high oil prices are keeping our dollar near parity with that of our neighbours.
S V Narasimhan, Finance Director of Indian Oil Corporation (IOC), was quoted as saying: The stock loss is expected to be quite high. All the gains of the first quarter could be wiped out in this quarter. For more information, click here For IOC’s website, click here
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