Pre Session- Sensex set for positive opening on assembly elections, reform push 20/10/2014

Pre Session- Sensex set for positive opening on assembly elections, reform push
20/10/2014 08:28
The key domestic benchmarks are likely to open higher today tracking a firm trend in fellow Asian markets while results of the recently held assembly elections in which the BJP party emerged victorious and the government’s decision to deregulate diesel prices may bring cheer to Dalal Street. The BJP emerged as the single largest party in Haryana as the Modi wave helped sweep the assembly polls, but it will need outside support to form the government in Maharashtra. The decision to deregulate diesel prices, a long overdue reform may help boost foreign investor sentiment. Diesel price deregulation means the scrapping of the diesel subsidy which will help stem the fiscal deficit and may lead to a reduction in interest rates by the RBI. China’s Shanghai Composite rose after a government official said that the country’s central bank is planning to inject funds into some banks, a sign that the world’s second biggest economy is stepping up stimulus fire to bolster growth. Hang Seng rose while Japan’s Nikkei 225 surged as a weaker yen boosted the appeal of exporter stocks.

Top traded Volumes on NSE Nifty – DLF Ltd. 32878550.00, Hindalco Industries Ltd. 13305567.00, Tata Motors Ltd. 9493560.00, ITC Ltd. 7516764.00 and Tata Steel Ltd. 6709248.00.