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Weekly-market: Markets end week with minute gains; RBI policy eyed
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Friday, January 24, 2014 |
| | | Market Commentary | | | Markets end week with minute gains; RBI policy eyed | | The Indian markets closed with marginal gains and remained in a narrow range throughout the week. The Sensex rose 0.33% and the Nifty was up by 0.08% for the week ended January 24, 2014. | |
 Major Headlines for the week:
Indian indices: Welcome to the 'Weekly Market Wrap' for January 24, 2014. This was the fourth trading week of 2014 for the Indian markets which closed with marginal gains owing to mixed cues. The Indian markets remained in a consolidation mode this week and traded in a tight range. The key indices too traded in a narrow range throughout the week. Reserve Bank of India's (RBI) Third Quarter Review of Monetary Policy 2013-14 remained key focus of investors. The market gained in four out of five trading sessions in the week just gone by
The S&P BSE Mid-Cap index fell 31.77 points or 0.49% to 6,455.26 and the S&P BSE Small-Cap index declined 32.30 points or 0.49% to 6,444.46. Both these indices underperformed the Sensex.
In the week ended, S&P BSE Sensex rose 69.94 points or 0.33% to 21,133.56 while CNX Nifty rose 5.10 points or 0.08% to 6,266.75. Weekly market trend from January 20, 2014 - January 24, 2014: -
Jan 20- Indian shares rose on Monday, snapping a two-session losing streak, as software services exporters gained after Wipro posted solid earnings and joined domestic rivals in giving a positive outlook for the sector. The BSE Sensex rose 0.67% and NSE Nifty was up by 0.68%. IT shares remained in demand with eight IT exporters reporting a combined 37% year-on-year growth in net profit and 27% net sales growth. The Sensex closed at 21205.05, up by 141.43 points, while the Nifty rose 42.30 points to close at 6303.95. -
Jan 21- Indian shares edged higher as interest rate-sensitives extended recent gains amid rising expectations the central bank will keep monetary policy unchanged next week. The BSE Sensex rose 0.22% and NSE Nifty was up by 0.16%. The Indian markets closed in the positive territory for the day as gains in financials helped the benchmark indices to recover some of the lost ground due to profit taking in IT heavyweights. The Sensex closed at 21251.12, up by 46.07 points, while the Nifty rose 9.85 points to close at 6313.80 -
Jan 22- India's benchmark index recorded 2014 closing high on Wednesday, gaining for a third consecutive session as drug makers rallied on optimism about their quarterly earnings. The BSE Sensex rose 0.41% and NSE Nifty was up by 0.40%. Both benchmarks closed a lukewarm session at record closing high of 2014 after posting their third consecutive session of gains. The Sensex closed at 21337.67, up by 86.55 points, while the Nifty rose 25.15 points to close at 6338.95 -
Jan 23- India's benchmark index recorded 2nd closing high of 2014 on Thursday gaining for a fourth consecutive session, as L&T surged after Q3 quarterly profit margins beat expectations. The BSE Sensex rose 0.17% and NSE Nifty was up by 0.11%. Indian markets extended gains for the fourth consecutive day, markets ended at fresh highs on a closing basis. The Nifty ended at its highest closing level in 2014 while S&P BSE Sensex hit an all time closing high. The Sensex closed at 21373.66, up by 35.99 points, while the Nifty rose 6.70 points to close at 6345.65. -
Jan 24- Indian shares ended lower, retreating from a record closing high hit in the prior session as interest-rate sensitive stocks declined after the central bank governor issued a strong warning on inflation. The BSE Sensex fell 1.12% and NSE Nifty was down by 1.24%. Benchmarks snapped a four-day winning streak on Friday with rate sensitive leading the decline after comments from  Reserve Bank of India Governor Raghuram Rajan late Thursday commented that inflation is a destructive disease which is forcing the central bank to keep interest rates high. The Sensex closed at 21133.56, down by 240.10 points, while the Nifty fell 78.90 points to close at 6266.75 Global indices:
Majority of the global markets closed on a negative note except Shanghai Composite which gained 2.47% and Nasdaq rose 0.51%. Topmost Losers of the week: Hang Seng dropped by 2.95%, Nikkei fell by 2.18% and Dow Jones lost 1.59%.
 Sectoral and stock screening:
Among the 13 sectoral indices five sectors closed in the green zone while others ended in red in the week gone by. Top Gainers - S&P BSE IT surged 1.43%, followed by S&P BSE TECk which rose 1.35%, S&P BSE Bankex up 0.60% and S&P BSE CD gained 0.48%. Top Losers - S&P BSE PSU down 1.67%, S&P BSE Oil & Gas fell 1.47% and S&P BSE Realty slipped 1.46%. | | Looking at the 'A' group stocks, the top three gainers of the week were - Aurobindo Pharma up by 9.89%, Prestige Estates rose 9.73% and IOCL up by 8.78%. The top three losers of the week were - Ranbaxy Labs fell by 19.85%, M&M Fin. Services slipped by 13.55% and Coal India dipped by 12.62%.
FII/MF activity:
The foreign institutional investors (FIIs) have been the net buyers of the Indian stocks to the tune of Rs704.5 crore as on January 22, 2014 and the domestic investors sold Indian shares worth a net of Rs75.30 crore as on January 22, 2014. | | TOP MOVERS (GROUP A) |  | | | | | | | | Aurobindo Pharma | 421.15 | 9.89 | | | Prestige Estates | 152.30 | 9.73 | | | | | | | Ranbaxy Labs | 336.50 | -19.85 | | | M&M Fin. Services | 245.65 | -13.55 | | | | | | | | | FII/MF ACTIVITIES | | | | | | | Gross purchase | 8,703.3 | 1,206.7 | | | Gross sale | 7,998.8 | 1,282.0 | | | Net investment | 704.5 | -75.3 | | | | | | | | Data as on January 22, 2014
| | | | Market Outlook for the coming week!
In the coming week, Q3 December 2013 results from a number of prominent Indian companies, the outcome of Reserve Bank of India's monetary policy review and the outcome of monetary policy review from the Federal Open Market Committee (FOMC) will dictate trend on the bourses. Trend in investment by foreign institutional investors, trend in other global emerging markets and the movement of rupee against the dollar hold key.
The Reserve Bank of India's Third Quarter Review of Monetary Policy for 2013-14 is scheduled on Tuesday, January 28, 2014. The market may remain volatile as traders roll over positions in the futures & options (F&O) segment from the near month January 2014 series to February 2014 series. The January 2014 F&O contracts expire on Thursday, January 30, 2014.
On the global front, the Federal Open Market Committee (FOMC) holds a two-day monetary policy meeting on January 28 and 29, 2014.
The week-long Chinese Lunar New Year holiday starts on January 31, 2014 and is a period in which cash gifts are made and families get together for celebratory feasts.
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posted by Anonymous @ 6:00 PM  |
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