The market surged today boosted by reports that the Left front may allow the government to negotiate safeguards for a civilian nuclear agreement with the US. However, the market pared gains in late trade from a sharp surge as profit booking emerged at higher levels. Volatility was high. Infosys edged lower, in volatile trade. Banking, capital goods and power stocks were star performers in todays trade. Reliance Natural Resources soared. The market breadth was strong. European markets were in the red. Asian markets were mixed.

As per reports, the Left front may allow the government to negotiate safeguards for a civilian nuclear agreement with the US, while retaining the right to veto the deal's further progress. A panel set up by the coalition and the left parties to discuss concerns over the accord may consider such a proposition, A.B. Bardhan, general secretary of the Communist Party of India, said in an interview yesterday, 12 November 2007, to a television channel.

Bardhan's remark indicates a softening of the stand by the communist parties, whose support is crucial to the coalition government's majority in parliament. The left parties, who oppose the agreement, had earlier turned down the government's plea to allow the start of negotiations with the International Atomic Energy Agency, the global nuclear watchdog.

The 30-share BSE Sensex was up 348.85 points or 1.86% to 19,086.12, as per provisional closing. Sensex hit a high of 19,210.48 in mid-afternoon trade. At day's high of 19,210.48, Sensex had risen 473.21 points. Sensex hit a low of 18,636.21 in early trade. At the days low of 18,636.21, the Sensex lost 101.06 points.

The broader S&P; CNX Nifty was up 93.5 points or 1.66% to 5710.60, as per provisional closing.

The market recovered today after a sustained slide over the past six days in a row.

The market breadth was strong. On BSE, 1847 stocks advanced, while 901 stocks declined and 65 remained unchanged. 20 out of 30 Sensex stocks edged higher

The BSE Mid-Cap was up 2.10% to 8,111.99 and the BSE Small-Cap was up 2.02% to 9,814.32.

Reliance Industries, India's biggest private sector firm in terms of market capitalisation and oil refiner, was up 0.94% to Rs 2702, off session's low of Rs 2651.55. Its wholly owned subsidiary, Reliance Exploration and Production DMCC signed a production sharing agreement with the government of Oman for offshore block number 41 in Oman.

NTPC moved up 7.32% to Rs 272.05, HDFC Bank jumped 7.08% to Rs 1580, Larsen & Toubro jumped 4.86% to Rs 4370, State Bank of India gained 2.80% to Rs 2299.90 and ICICI Bank rose 2.82% to Rs 1179.

Wipro fell 3.60% to Rs 441.80, Mahindra & Mahindra dropped 2.59% to Rs 709.50, TCS fell 1.62% to Rs 949.95, Hindalco Industries gave away 1.11% to Rs 204.50 and Infosys Technologies slipped 1.09% to Rs 1624.

Reliance Natural Resources (RNRL) soared 13.90% to Rs 168.40 on huge volumes of 3.36 crore shares on BSE.

The BSE Bankex gained 3.80% to 10,573.58, the BSE Capital Goods index 3.69% to 20,348.37 and the BSE Power index rose 3.27% to Rs 4,537.63. The Metal index moved up 1.8% to 17,073.77.

Six core infrastructure industries grew by a disappointing 6% in September this year as against 10.6% a year ago, government data showed on Tuesday, 13 November 2007. The growth rate during the April-September period of 2007-08 also dropped to 6.6% from 8.7% in the same period last fiscal.

Among the six key infrastructure industries, which contribute 26.7% to the overall industrial growth, crude petroleum production put up the worst performance with a negative growth of 0.7% against 9.4% growth in the year-ago period.

In Europe, UKs FTSE 100 fell 0.48% to 6,307.60, Frances CAC 40 dropped 0.54% to 5,505.47 and Germanys DAX declined 0.48% to 7,769.29.

Asian markets were mixed. Taiwan Weighted rose 0.65% at 8,727.21, South Korea's Seoul Composite was up 0.49% at 1,932.89 and Hong Kong's Hang Seng rose 0.50% at 27,803.35. Singapore's Straits Times was down 1.02% at 3,475.47 and Japan's Nikkei was down 0.46% at 15,126.63.

US markets edged lower on Monday, 12 November 2007 on expectations of further fallout from the ongoing credit crisis. The Dow Jones industrial average fell 55.19 points, or 0.42%, to 12,987.55. The S&P; 500 index slipped 14.52 points, or 1%, to 1,439.18, while the Nasdaq Composite index dropped 43.81 points, or 1.67%, to 2,584.13.

The foreign inflows have slowed in November 2007 after the market regulator curbed the use of participatory notes used by unregistered foreigners to buy Indian shares, while the lingering credit worries in the United States have also weighed. As per provisional data, FIIs sold shares worth a net Rs 1194.38 crore, while domestic institutional investors (DIIs) were net buyers of shares worth Rs 65.99 crore on Monday, 12 November 2007.

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