On the other hand, the wide-based National Stock Exchange index Nifty, increased 38 points to 6,185.

Rising for the third straight session, the BSE’s 30-share calculate increased by 108 points to 20,321. In yesterday’s session, the Sensex had gone up by over 490 points.

The Persistent capital inflows from foreign funds also enhanced the market sentiment.

The Foreign institutional investors (FIIs) purchased shares, which worth a net Rs 1,646.95 crores as per provisional data from the stock exchanges.

Brokers said the sentiment stayed firm on ongoing buying by participants after WPI inflation reduced to over 3 years low, giving room for the Reserve Bank to cut interest rates, amid a firming trend in the global markets.

On the other hand, Japan’s Nikkei Index was down 1.42 %, while Hong Kong’s Hang Seng index up 0.31 % in early trade In the Asian region.

The US Dow Jones Industrial Average obtained 0.40 % to close at new all-time in yesterday’s trade.

The Indian rupee hit a near two-month low in early trading on Monday, tracking losses in most other Asian currencies, although some corporate dollar selling helped prevent broader losses in the local currency.

At 9.08am, the rupee was at 54.94/95, marginally weaker than its close of 54.90/91 on Friday. The unit dropped to as low as 55.15 in opening trades, its weakest since 8 January. At 9.22am, the BSE’s benchmark Sensex was trading at 18,862.23 points, down 0.30%.

Sentiment for the rupee has been bearish after a close above 54.80 on Friday, traders said. However, the dollar-rupee pair should see good technical resistance at around 55.15, ahead of the 55.89 peak in November

We witnessed a huge hike in Petrol, Diesel, CNG and LPG prices. As per Price Index is concerned we saw a massive price hike in Eatables and Vegetables too. In the pressure that Railway is going to hike the fares the share market today came 110 points down. BSE benchmark Sensex came at 19,186.02. NSE is down by 31.60 points.

The major companies that remained in Red are Maruti Suzki (2.03 per cent), Tata Motors (2.02 per cent), ICICI Bank (1.80 per cent), Gail India (1.78 per cent) and L&T (1.73 per cent). Some good rise is expected from the fruitful Railway budget.

There remained a very less liquidity in the market. Rumors are in the market that Federal Reserve might make less its bond buying program.

“There is risk off trade across the globe. Everywhere there is selling, so we are also going down,” Piyush Garg, chief investment officer at ICICI Securities said. At the time of close sensex was at 317 points lower than yesterday.

Though right now Rupee is 8 paise stronger then Dollar from its current situation. If situation becomes as it was early on than market will go much beyond from here on.

“This is the first sign of a selloff. Private sector banks, ICICI Bank, Yes Bank, which held out so far have started to fall.

A close below 5,825 on the Nifty, which is the 20-week exponential average, will send markets to 5,600 levels,” Anil Manghnani, director at Modern Shares & Stock Brokers said.

The biggest reason behind the Ruppe hike is overseas market. The demand of Rupee is consistent in the foreign market. It is good sign for the Indian market. Right now Indian Market is not doing very well. This hike can provide an initial boost up to the market. The main concerns of the Indian customers are for the Petrol and Diesel prices. This hike in Rupee can bring some changes in the Economy Budget of India.

Budget is going to be presented on 31 of March. All hopes are on the period of the gain for Rupee. If this stays for long time even with the same margin than it will do magical for the Indian Traders. Right now share market is picking some boom after people lost their interest in Gold.

Gold do not seems to be luxury anymore because as the Market experts the Gold is at its height. There are very few hopes that Gold will plus its price from here on.

BSE was already week at the start of the day and it remained negative through the day and closed with the same state. ”Indian markets succumbed to profit booking, on back of weak international cues,” said Nagji K Rita, chairman and managing director at In-venture Growth & Securities.

Though this is the current state of market and it is hoped that market will come back at normal soon but at the current state of market small investors need to take care of their investments.

Rupee was lowered at Rs. 53.25 per dollar as against Thursday’s closing level of Rs. 53.22 at the Inter-bank Foreign Exchange (Forex) Market. It hovered in a range of Rs. 53.40 and Rs. 53.24 before quoting Rs. 53.29 per dollar at 1050 hrs. It looks that again the scenario is very tight for the Indian currency and in the global economic pressure it is going to face more crisis in future.

The wide-based Nifty increased by 19 points, or 0.31 % to trade at 6,101.30 points, a level not seen since Jan 2011.

However, profit booking emerged at 2-year high levels and the sensitive index fallen to trade at 6,098.65 points at 1055 hrs (IST).

Among the NSE-50 stocks, 32 advanced, while 18 declined.

Brokers said steady inflow of capital inflows by the foreign funds driven by the government’s decision to deregulate diesel prices in a key economic reform measure, and better-than-estimated third quarter earnings by some blue-chip companies, helped Nifty to cross 6,100 level.

The major contribution to this jumps is regular buying of funds and driven by better-than-expected third quarter earnings by Tata Consultancy Services amid mixed Asian cues.

Though just after the hike it slipped bit and came down to 19,938.01 on profit-booking, still up by 31.60 points, or 0.16 percent, from yesterday’s close.

The contribution of IT sector, Tech sector and consumer durable sector stocks is very important in this hike. This jump is going to keep the tempo high a least for upcoming days. Right now economy is under pressure and this type of changes are much needed.

The capital market regulator today presented its paper format in front of press. With the new plan the companies have to buy at least 50% of its shares in a pre planned buy back method. If we look at the current rules there is no particular quantity is kept as a limit of the pre planned buy back. In the current law the favor of customers are kept on priority.