Go where the winners go - World Stock Markets Assess!

After crashing to a record low Monday, India's Sensex market opened Tuesday only to immerse again within minutes, this time dropping 11 percent before activating an automatic halt for one hour. The market did recover later in the afternoon to close down about 5 percent. At one point during the day, 1,190 of the index's 1,198 stocks were down. It is clear that India, despite being one of the quickest-growing economies in the world, is not resistant to the global economic sufferings.

Indian Finance Minister Palaniappan Chidambaram continued to recommend investors to "remain calm" and ignore the turmoil in Western markets. He said the Indian economy was expected to grow at 9 percent this year and 8.5 percent next year.The financial crisis in the United States has spread global fears, including in India, which relies on the United States for exports and outsourcing contracts.

"The rate cuts will soothe a little bit of jangled nerves at this time. I think it will have a definite positive impact on the market and also the Asian markets, because there's been a very sharp 30 percent drop across Asia," said Ketan Gandhi, 43, director of financial services for Pioneer Invest Corp., a financial services and brokerage house based in Mumbai. "So it will kind of sentimentally help improve things."

Reference Link: Abcnews