Sensex rises 2.93

As for sectoral performance,Auto and Metal were the best-performing sectors,rising 8.04 per cent and 7.84 per cent respectively. Oil and Gas and FMCG were the worst-performing sectors: the former declined - 1.06 percent while the latter rose by a meagre 0.96 per cent. Says Kapur: Because of government initiatives such as the Sixth Pay Commission and NREGS,there is a lot of money in the hands of consumers which is being spent on automobiles. Besides,exports are expected to pick up. Maruti and Tata Motors are expected to export a great deal over the next two years. Metal has done well because internationally demand is robust and prices are going up.

The Oil amp; Gas sector fell because it was expected that the government would take steps to reduce the subsidy burden on oil marketing companies,but that didnt happen. The FMCG sector performed poorly because it is a defensive sector that doesnt do well when the markets are rising rapidly. As for the future,Kapur says that as long as easy liquidity is available,the markets will rise. S.K. Singh