|
|
|
Weekly-market: Markets end 1st week of September with marginal gains
|
|
Saturday, September 8, 2012 |
| | | Market Commentary | | | Markets end 1st week of September with marginal gains | | It was a volatile week for the Indian markets, with the Sensex unexpectedly closing 1.83% higher and the Nifty up by 1.90%. The markets gained marginally for the first week of September after a fall in the previous week. | |
 Major news for the week:
Indian indices
The Indian markets reversed the losing trend of previous week by ending on a positive note for the week ended September 08, 2012. Volatility ruled the markets this week on account of global woes both in local and overseas indices. In the week gone by, markets witnessed buying across the board. The 36th trading week of 2012 ends with analyzing fresh jobs data and hoping that the weak report would spur the Federal Reserve to act. It was a volatile week, with the markets falling on one day and rising on another.
The major news that kept hovering in this week was the European Central Bank (ECB) meet which came out on Thursday (September 06, 2012) and strengthened the investors risk appetite after ECB unveiled an expansive bond-buying plan to stabilize the markets.
The markets rose in four out of six trading sessions. The BSE Sensex rose 320.09 points or 1.83% to 17,749.65 and NSE Nifty rose 100.20 points or 1.90% to settle at 5,358.50.
Events for this week -
India's annual exports fell 14.8% to $22.4 bn in July, while imports fell 7.6% to $37.9 bn, leaving a trade deficit of $15.5 bn, the trade ministry said. Exports have fallen from year-earlier levels in four out of the last five months. Exports between April and July fell 5.1% on year to $97.7 bn, the statement added. Oil imports were down 5.5% to $12.2 billion in July. -
The other main news was from the home ground. The petrol prices were expected to see a rise of Rs5 but the government has no immediate plan to raise petrol, diesel, kerosene and cooking gas prices and the pricing issue will be decided by the Cabinet, oil minister Jaipal Reddy said on Friday. He said prices would be raised only after a political consensus. "Fuel price is a classic case of politics defeating economics," he told reporters. Weekly market trend from September 03 - September 08, 2012 -
Trading for the week began on a negative note. Key benchmark indices declined on September 03, 2012, as investors were concerned about the latest data showing growth in manufacturing sector easing to a nine-month low in August 2012. The Sensex closed at 17384.40, down by 45.16 points while the Nifty fell by 4.75 points to close at 5253.75. -
On September 04, 2012, the Indian markets gained, after a panel appointed by the government to review the proposed General Anti Avoidance Rules (GAAR) recommended in a report submitted to the government on September 01, 2012 that the government should abolish the tax on gains arising from transfer of listed securities. The Sensex ended at 17443.15, up by 58.75 points while Nifty closed at 5276.85, up by 23 points. -
On September 05, 2012, the Key benchmark indices traded lower, as investors remained cautious on hopes of new reforms and strategies to limit the rising fiscal deficit and diesel price cut by the government. Both the houses of parliament were adjourned for the 11th day of monsoon session as the Bharatiya Janata Party stuck to its protest over coal allocation scam. The Sensex settled at 17,313.34 down by 127.53 points. The Nifty slipped 48 points to close at 5,225.70. -
On September 06, 2012, the Indian markets followed the global trend as investors awaited more details of a new bond buying program from the ECB. The Sensex closed at 17346.27, up by 32.93 points while the Nifty rose 12.70 points to close at 5238.40. -
On September 07, 2012, the key indices trades higher as investors' hopes were raised after the ECB unveiled an expansive bond-buying plan to stabilize the markets. The better-than-expected ADP employment, weekly jobless claims and ISM Services data in the US too supported the rally. The Sensex ended up 337.46 points to close at 17,683.73 and Nifty ended up 103.70 points to settle at 5,342.10. -
On September 08, 2012, the stock market opened for a short duration of 1-1/2 hours on account  of Special trading session. Indian shares closed at two-week high on Saturday, led by hopes of another economic stimulus by the Federal Reserve after a weaker-than-expected jobs report yesterday. The Sensex closed at 17749.65, up by 65.92 points while the Nifty rose 16.60 points to close at 5358.70.
Global indices
All the global markets closed green. Top gainers: Shanghai Composite up by 3.92%, Dax100 up by 3.50% and CAC40 up by 3.11%.
 Sectoral and stock screening
All the sectors closed the week on a positive note. The topmost gainers were - IT which rose by 4.20%, TECk up by 4.18% and Auto advanced by 3.24%. | | Looking at the 'A' group stocks, the top three gainers of the week were - Aurobindo Pharma up by 17.07%, Torrent Power up by 16.85% and Jaiprakash Power Ventures up by 13.02%. The top three losers of the week were - Jain Irrigation fell by 6.34%, Bharat Heavy Electricals fell by 5.46% and IDFC fell by 4.99%.
FII/MF activity
The foreign institutional investors (FIIs) have been the net buyers of the Indian stocks to the tune of Rs244.50 crore till Sept 06, 2012. The domestic investors sold Indian shares worth a net of Rs417.10 crore on Sept 05, 2012. | | TOP MOVERS (GROUP A) |  | | | | | | | | Aurobindo Pharma | 129.60 | 17.07 | | | Torrent Power | 173.00 | 16.85 | | | | | | | Jain Irrigation | 60.55 | -6.34 | | | | | | | | | |
| FII/MF ACTIVITIES | | | | | | | *Data as on September 06, 2012
**Data as on September 05, 2012
| | | |
Investors will keep an eye on the following events in the forthcoming week
Advance tax data for Q2 September 2012, policy meeting of the Federal Open Market Committee on US interest rates and mid-quarter policy review by the Reserve Bank of India (RBI) will dictate near term trend on the bourses.
Advance tax data for the 2nd installment due on September 15, 2012 could provide cues on the corporate earnings for Q2 September 2012.
On the global front, the Federal Open Market Committee (FOMC) holds a two-day meeting for the US interest rates on September 12-13.
Germany's constitutional court will decide on September 12, 2012, whether the European Stability Mechanism (ESM) - the proposed permanent successor to the euro-zone's current emergency lender viz. the European Financial Stability Mechanism - violates German law and the Maastricht Treaty's 'no bailout' clause.
The results of a detailed audit on the capitalisation needs of Spain's banks are expected in mid-September 2012. | | | | | | | |  | | | | | | To know more about our products and services, click here. |
 | Sharekhan Ltd., Regd Add: 10th Floor, Beta Building, Lodha iThink Techno Campus, Off. JVLR, Opp. Kanjurmarg Railway Station, Kanjurmarg (East), Mumbai - 400 042, Maharashtra. Tel: 022 - 61150000. BSE Cash-INB011073351; F&O-INF011073351; NSE - INB/INF231073330; CD - INE231073330; MCX Stock Exchange : CD - INE261073330 DP: NSDL-IN-DP-NSDL-233-2003; CDSL-IN-DP-CDSL-271-2004; PMS INP000000662; Mutual Fund: ARN 20669. | | | | "This document has been prepared by Sharekhan Ltd. This Document is subject to changes without prior notice and is intended only for the person or entity to which it is addressed to and may contain confidential and/or privileged material and is not for any type of circulation. Any review, retransmission, or any other use is prohibited. Kindly note that this document does not constitute an offer or solicitation for the purchase or sale of any financial instrument or as an official confirmation of any transaction.
Though disseminated to all the customers simultaneously, not all customers may receive this report at the same time. SHAREKHAN will not treat recipients as customers by virtue of their receiving this report.
The information contained herein is from publicly available data or other sources believed to be reliable. While we would endeavour to update the information herein on reasonable basis, SHAREKHAN, its subsidiaries and associated companies, their directors and employees ("SHAREKHAN and affiliates") are under no obligation to update or keep the information current. Also, there may be regulatory, compliance, or other reasons that may prevent SHAREKHAN and affiliates from doing so. We do not represent that information contained herein is accurate or complete and it should not be relied upon as such. This document is prepared for assistance only and is not intended to be and must not alone betaken as the basis for an investment decision. The user assumes the entire risk of any use made of this information. Each recipient of this document should make such investigations as it deems necessary to arrive at an independent evaluation of an investment in the securities of companies referred to in this document (including the merits and risks involved), and should consult its own advisors to determine the merits and risks of such an investment. The investment discussed or views expressed may not be suitable for all investors. We do not undertake to advise you as to any change of our views. Affiliates of Sharekhan may have issued other reports that are inconsistent with and reach different conclusion from the information presented in this report.
This report is not directed or intended for distribution to, or use by, any person or entity who is a citizen or resident of or located in any locality, state, country or other jurisdiction, where such distribution, publication, availability or use would be contrary to law, regulation or which would subject SHAREKHAN and affiliates to any registration or licensing requirement within such jurisdiction. The securities described herein may or may not be eligible for sale in all jurisdictions or to certain category of investors. Persons in whose possession this document may come are required to inform themselves of and to observe such restriction.
SHAREKHAN & affiliates may have used the information set forth herein before publication and may have positions in, may from time to time purchase or sell or may be materially interested in any of the securities mentioned or related securities. SHAREKHAN may from time to time solicit from, or perform investment banking, or other services for, any company mentioned herein. Without limiting any of the foregoing, in no event shall SHAREKHAN, any of its affiliates or any third party involved in, or related to, computing or compiling the information have any liability for any damages of any kind. Any comments or statements made herein are those of the analyst and do not necessarily reflect those of SHAREKHAN." | To unsubscribe write to myaccount@sharekhan.com
| | | | | www.sharekhan.com to manage your newsletter subscriptions | |
|
posted by Anonymous @ 8:08 AM  |
|
|
|
|
|
