All that glitters is certainly not GOLD. Nothing would explain this better than India’s present Economic Story.Though for the past few years people have been raving about India’s Growth story, Not everything seems hunky dory over here .A lot of factors have a spiraling effect on the Inflation Index.The entire market is suffering from this fear that inflation is rising much faster than expected and would continue to do so for the next few months.

Sensex has finally shown some respite to the Investors. For the week 4th Aug 2008 – 8Th Aug 2008 SENSEX ended 3.5% higher i.e 511 points. The rise in Sensex brought some relief to concerns regarding monetary policy tightening. The uniform market sentiment in the past few weeks have been quite negative.Investors expected - Aggressive monetary tightening. - And Growth rate slowing down due to higher inflation. This week thanks to the correction in Commodity Price and Monsoon picking up uplifted their sentiments.