Buy Satyam, target of Rs 350: Karvy

We are in the midst of a huge amount of turmoil and newsflow for global markets. At one point, we were down 8% in the trading day, then we recovered and closed about 350 points down. After markets closed today, we got news that central banks across the world are acting in concert to cut rates. That was not unexpected after what Ben Bernanke said yesterday and today he has followed that up with a 50 bps cut in the Fed rate. Same has been picked up by the European Central Bank, by Bank of England, banks in Sweden, Switzerland, and in many other parts of the world like China.

So, many central banks are making a concerted effort to try and lift the pall of gloom across global markets, which itself were extremely volatile. Asia sold off. Europe started weak, but recovered after the rate cuts came in. That was after our markets closed for trade. Of course, the Dow Futures was all over the place around the time of news breaking. But this is a significant move and it may well see that relief rally that the market has been looking for after being terribly oversold.

Source: Moneycontrol