Indian stock market daily morning report by Keynote Capitals (August 14, 2009, Friday) 

Discussions on new tax code, strong global cues and a strong recovery in industrial production helped the Sensex gain almost 500 points yesterday. The markets continued to strengthen after the announcements that Germany and France reported positive GDP. High beta real estate, banks and metals stocks led the rally, while recent outperformers IT and pharma stocks saw lackluster buying. Asian markets opened strong today as well. However, they are seen correcting on profit taking. We expect a positive opening for the Indian markets today following cues from the Asian markets. Weak monsoon may however impact the sentiment; traders and investors may try to book profits at higher levels, today being the last day of the week. Commerce and Industry Minister said that India's economy can achieve the same level of growth in FY10 seen a year earlier in spite of worsening dry conditions that threaten to dent its nascent recovery. He expects that the economy would achieve 6.7% growth.