|
|
|
Weekly Market Report: Week dedicated to GST: RBI policy to dictate coming Days
|
|
Saturday, August 6, 2016 |
| | | Market Commentary | | | Week dedicated to GST: RBI policy to dictate coming Days | | Indian shares surged for the week after the sentiments got boost from domestic and global cues. The Sensex and Nifty rose 0.09%-0.51% each for the week ended August 05, 2016. | |
 Major Headlines for the week:
Indian indices:
Welcome to the 'Weekly Market Wrap' for Friday, August 05, 2016 a divergent trend was witnessed among various index constituents in the week ended Friday, 5 August 2016.
The Sensex settled above the psychologically important 28,000 level after falling below that level during the course of trading.
The BSE Mid-Cap index was up 0.29%, outperforming the Sensex. The BSE Small-Cap index fell 0.02%, underperforming the Sensex.
Among key developments during the week, the Rajya Sabha on Wednesday, 3 August 2016 passed the much-awaited Goods and Services Tax (GST) constitutional amendment bill which is touted as one of the biggest indirect tax reforms since 1991.
The barometer index, the S&P BSE Sensex rose 26.49 points or 0.09% to settle at 28,078.35. The gains for the Nifty 50 index were higher than those for the Sensex in percentage terms. The Nifty rose 44.65 points or 0.51% to settle at 8,683.15.
Weekly market trend from August 01 - August 05, 2016:
August 01- Key benchmark indices registered small losses in a volatile trading session on Monday, as investors' maintained caution ahead of the possible discussion on the Goods and Services Tax (GST) bill in Rajya Sabha this week. The Sensex lost 48.74 points or 0.17% to settle at 28,003.12, its lowest closing level since 26 July 2016.
August 02-Key benchmark indices registered small losses in a volatile trading session on Tuesday. The Sensex lost 21.41 points or 0.08% to settle at 27,981.71, its lowest closing level since 26 July 2016.
August 03- Losses in auto, capital goods, FMCG sector stocks and index heavyweights Reliance Industries, HDFC and ITC led losses for key benchmark indices on Wednesday. The Sensex lost 284.20 points or 1.02% to settle at 27,697.51, its lowest closing level since 11 July 2016.
August 04- Key benchmark indices eked out minuscule gains in a volatile trading session on Thursday. The Sensex rose 16.86 points or 0.06% to settle at 27,714.37, its highest closing level since 2 August 2016.
 August 05- Trading for the week ended on a buoyant note on Friday, as key benchmark indices settled with strong gains as firmness in global stocks boosted sentiment on the domestic bourses. The Sensex rose 363.98 points or 1.31% to settle at 28,078.35.
Global indices:
Global indices ended on a mixed note this week. Nasdaq rose 1.20%, Hang Seng rose 1.16% and FTSE100 gained 1.03% while Nikkei fell 1.90%, CAC40 fell 0.66% and Shanghai Comp fell 0.08%.
 Sectoral and stock screening:
The 13 sectors too ended on a mixed note with S&P BSE CG down 2.09%, S&P BSE CD slipped 1.44% and S&P BSE FMCG slipped 0.79%. Top gainers: S&P BSE Metal up 3.68%, S&P BSE Auto rose 2.73% and S&P BSE PSU gained 1.34%.
| | Looking at the 'A' group stocks, the top three gainers of the week were: Indian Bank up 26.70%, Delta Corp up 23.51% and Edelweiss up 17.92%.
Top three losers of the week were: Just Dial down 15.92%, Bata India down 12.12% and Bharat Financial fell 10.14%.
FII/MF activity:
The foreign institutional investors (FIIs) have been the net buyers of the Indian stocks to the tune of Rs2081.11 crore as on August 04, 2016 and the domestic investors sold Indian shares worth Rs205.60 crore as on August 03, 2016.
| | TOP MOVERS (GROUP A) |  | | | | | | | | | | | | Edelweiss Financial Services | 111.85 | 17.92 | | | | | | | | | Bharat Financial Inclusion | 817.05 | -10.14 | | | | | |
| FII/MF ACTIVITIES | | | | | | | Gross purchase | 19,757.21 | 3,894.60 | | | Gross sale | 17,676.10 | 4,100.20 | | | Net investment | 2,081.11 | -205.60 | | | | | | | | *Data as on August 04, 2016
**Data as on August 03, 2016 | | | | Market Outlook for the coming week!
In the coming Week, next batch of Q1 June 2016 corporate results, progress of monsoon rains, macro economic data, trend in global markets, investment by foreign portfolio investors (FPIs) and domestic institutional investors (DIIs), the movement of rupee against the dollar and crude oil price movement will dictate market trend in the near term.
The major domestic event in the upcoming week is the Reserve Bank of India's (RBI) third bi-monthly monetary policy meeting scheduled on Tuesday, 9 August 2016. The central bank had left its benchmark repo rate unchanged at 6.5% in its last meeting.
Progress of monsoon rains will be watched. The India Meteorological Department (IMD) in its update issued on rainfall on Thursday, 4 August 2016 said that for the country as a whole, cumulative rainfall during this year's monsoon was 1% above the long period average (LPA) as on 3 August 2016.
Asian stock markets including Indian equities will on Monday, 8 August 2016, react to the outcome of the crucial US non-farm payrolls data scheduled to release on Friday, 5 August 2016.
Among macro economic data, the government will announce data on industrial production for June 2016 on Friday, 12 August 2016. India's industrial production (IIP) increased 1.2% in May 2016 over May 2015.
On the same day, the inflation based on the consumer price index (CPI) for July 2016 is scheduled to be released by the government. CPI inflation accelerated to 5.77% in June 2016 from 5.76% in May 2016.
On the global front, China's industrial production data for the month of July 2016 is slated on Thursday, 11 August 2016. Germany's industrial production data for the month of June 2016 is scheduled to release on Monday, 8 August 2016. UK's industrial production data for June 2016 is scheduled on Tuesday, 9 August 2016. | | | | To know more about our products and services, click here. |  | Registered Office: Sharekhan Limited, 10th Floor, Beta Building, Lodha iThink Techno Campus, Off. JVLR, Opp. Kanjurmarg Railway Station, Kanjurmarg (East), Mumbai - 400042, Maharashtra. Tel: 022 - 61150000. Sharekhan Ltd.: SEBI Registration details: BSE - INB/INF/INE011073351; NSE - INB/INF/INE231073330; MSEI: INB/INF-261073333, CD - INE261073330; DP-NSDL-IN-DP-NSDL-233-2003; CDSL-IN-DP-CDSL-271-2004; PMS-INP000000662; Mutual Fund-ARN 20669 ; Commodity trading through Sharekhan Commodities Pvt. Ltd.: MCX-10080 ; (MCX/TCM/CORP/0425) ; NCDEX-00132 ; (NCDEX/TCM/CORP/0142) ; NCDEX SPOT-NCDEXSPOT/116/CO/11/20626 ; For any complaints email at igc@sharekhan.com ; Disclaimer: Client should read the Risk Disclosure Document issued by SEBI & relevant exchanges and Do's & Don'ts by MCX & NCDEX and the T & C on www.sharekhan.com before investing. | | | | Disclaimer This document has been prepared by Sharekhan Ltd. (SHAREKHAN) and is intended for use only by the person or entity to which it is addressed to. This Document may contain confidential and/or privileged material and is not for any type of circulation and any review, retransmission, or any other use is strictly prohibited. This Document is subject to changes without prior notice. Kindly note that this document is based on technical analysis by studying charts of a stock's price movement and trading volume, as opposed to focusing on a company's fundamentals and as such, may not match with a report on a company's fundamentals.(Technical specific) This document does not constitute an offer to sell or solicitation for the purchase or sale of any financial instrument or as an official confirmation of any transaction. Though disseminated to all customers who are due to receive the same, 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 obtained from publicly available data or other sources believed to be reliable and SHAREKHAN has not independently verified the accuracy and completeness of the said data and hence it should not be relied upon as such. 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. This document is prepared for assistance only and is not intended to be and must not alone be taken as the basis for an investment decision. Recipients of this report should also be aware that past performance is not necessarily a guide to future performance and value of investments can go down as well. 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 licencing 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.
The analyst certifies that the analyst has not dealt or traded directly or indirectly in securities of the company and that all of the views expressed in this document accurately reflect his or her personal views about the subject company or companies and its or their securities and do not necessarily reflect those of SHAREKHAN. The analyst further certifies that neither he nor his relatives has any direct or indirect financial interest nor have actual or beneficial ownership of 1% or more in the securities of the company nor have any material conflict of interest nor has served as officer, director or employee or engaged in market making activity of the company. Further, the analyst has also not been a part of the team which has managed or co-managed the public offerings of the company and no part of the analyst's compensation was, is or will be, directly or indirectly related to specific recommendations or views expressed in this document.
Either SHAREKHAN or its affiliates or its directors or employees / representatives / clients or their relatives may have position(s), make market, act as principal or engage in transactions of purchase or sell of securities, from time to time or may be materially interested in any of the securities or related securities referred to in this report and they may have used the information set forth herein before publication. 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.
Compliance Officer: Ms. Namita Amod Godbole; Tel: 022-6115000; For any queries or grievances kindly email igc@sharekhan.com or contact: myaccount@sharekhan.com | | | |
|
posted by Anonymous @ 1:05 PM  |
|
|
|
|
|
