Beaten down sectors made good bounce back

CNBC-TV18’s Managing Editor, Udayan Mukherjee - It has not been a bad day for the market, yes a bit volatile that you would expect but after the initial pull down, after the gap up in the morning the market has managed to get back. So we are still within striking distance of 300-400 points higher around 13,000 mark and the Nifty too is just below 3,900, which is not a terrible place to be. The breadth is good, a lot of beaten down sectors like banks and infrastructure have done well but now we enter the critical last one hour of trade. This is the last hour before the inflation number, which comes in at 5o’clock in the evening today as well.

Better than expected I would imagine because after the first one hour the way the market was threatening to come down, we opened the day and went up to about 3,960 and from there we dipped to about 3,880 kind of levels. So it looked at that point you had the sinking feeling that is one more of those days but global markets have held out, crude has behaved itself at USD 134 per barrel and generally I think people are saying after such damage at least one good day is not such a bad idea after all.

All the beaten down sectors have bounced quite a bit, the big banks, the real estates, infrastructure and what has helped sentiment today is a couple of good reactions to results. HDFC for a case in point came in with very robust numbers yesterday and the way that stock has moved up, it is not Reliance but even so the sheer fact that one largecap heavyweights blue-chip stock has moved up after good earnings is a bit comforting because this earning season had not started off in a good fashion.