Fear on D-Street

Tide of bad news has spooked the market

A n interest rate cut by the US Federal Reserve, the first since 2008, should have brought cheer to the equity markets. Instead the Indian markets saw huge swings on Thursday and settled lower in line with other Asian bourses. Though the Fed highlighted global growth concerns, it did not signal the beginning of a rate-cut cycle, leading to nervousness. As a result, the BSE Sensex, which had declined 2.1 per cent in intra-day trade, staged a partial recovery, closing the day 1.2 per cent lower. The broader market has been under stress for quite some time now, with the