13 Sep, 2012 (8:27 PM IST)
Indian markets have got an unexpected “gift” for the government tonight, as it announced a massive hike in Diesel prices (rs. 5/L). Oil companies has been demanding a price hike in petroleum products for a long time.
The price hike would be implemented form midnight today.
There has been no change in petrol or kerosene prices.
As I had written earlier, a combination of petroleum products price hike in India and Fed relief in U.S. would have a massive positive effect on Indian markets tomorrow.
More than the price hike, it is the indication that the government is willing to take tough economic decisions that will infuse enthusiasm in markets.