>Anagram's Weekly Watch : 13/12/2008

The US Senate failed to reach a consensus and rejected the $14 billion auto
rescue package. Though the Dow managed to keep its head above the water as
US government said it would assist the troubled automakers and was
also considering
tapping a $700 billion financial industry bailout fund to prevent a collapse
of ailing U.S. automakers, failure of whom would result in a further job
losses and problems for the already ailing economy.

Next week the Federal Reserve is expected to cut interest rates to a record
low after it concludes a two-day policy-setting meeting on Tuesday. The Wall
Street is expecting Fed to cut key federal funds rate by 50 basis points,
which would bring it down to an unprecedented 0.5 percent.

Coming to our markets, next week markets would be awaiting the Second
Stimulus Package by the government, which this time will focus on export
sector. Nifty gained 7.60% during the week and showed resilience to rise on
bad news and closed in green on Friday even on back of negative IIP number
of –0.40%, which we think is positive going forward.

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Anagram's Weekly Watch : 13/12/2008