Sensex may cross 7,000-mrk on Monday: Brokers'

The settlement in the Reliance empire could have repurcussions on the bourses when they open on Monday with the Sensex poised to breach the psychological 7,000 points mark.

"It is quite positive that Sensex might cross 7,000 mark during the first session after Reliance Industries' settlement," a Delhi-based broker said, provided there were no major dampening factors.

Because of the heavy weightage on the key BSE Sensex, even a Rs 25 per share increase might make it quite possible for index to cross the 7,000 mark, another broker said.

Both said the market would remain bullish for the major part of the next trading week. There were chances of RIL shares hitting the upper circuit.

Another broker said the settlement would be positive for the markets and the Sensex was expected to cross 7,000 mark, at least in intra-day trading, depending on the other market forces.

However, a section of the market feels that there could be resistance since the global oil prices have soared to $59 a barrel, affecting sectors across the board.

With Reliance finally clearing the air as far as "ownership" issues are concerned, Ratnesh Gupta, an investor in RIL, said, "the stock will now find its real value."

Gupta said the settlement in the flagship RIL was good for the market, particularly retail investors.

A foreign fund house, however, prefered to follow a wait-and-watch policy since it felt that there could involve cash payment.

"We don't have the details, but the brothers must ensure it is in the interest of the minority shareholders," sources in the fund house said.