Just when it looked like the momentum was picking up, yesterday came a bad blow from the global markets. The US markets sold off quite dramatically overnight. The Dow Jones was down 250 points, one of the biggest seen in recent days.
That pegs us back today once again as the economic data from the US has failed us. We have to see whether we can preserve some of the gains of yesterday on a weekly closing or we get pegged back right into that trading range again, said Udayan Mukherjee, managing editor, CNBC-TV18.
The US manufacturing data and the economic data is disappointing. That is not good news because we have just come out of a Fed meeting. The Fed said that it will hold its fire power for sometime till things warrant a QE3 and immediately after that we have seen the economic data worsen quite a bit. Also the Moodys downgrade of many banks did not help yesterday at all.
For the last few weeks and days we have all been freighting about Europe and the risks from the