Sensex closes week at 14-month high; posts 4.4% gain
15th September 2012 08:18 AM
It was a magnificent week for the domestic bourses, which registered triple digit gains led by domestic and global factors. The market sentiments were boosted by diesel price hike and announcement of economic stimulus by the Federal Reserve. Moreover, the markets would now be focused on RBI's monetary policy meet on Monday. Sectorally, BSE Metal, Realty, Capital goods, Bankex rallied this week. During the week, the 30-share index, Sensex climbs 780.54 points, or 4.41% to 18,464.27, a 14-month high. On the other hand, the broad based NSE Nifty gained 235.55 points, or 4.41%, to 5,577.65. The market is expected to continue upward trajectory next week as the government approved much awaited FDI in multi-brand retail (51%) and aviation sector (49%). The government has also allowed disinvestment in 4 PSUs to raise about Rs 150 billion.All the sectoral indices at the BSE ended in green. Top gainers were BSE Metal (6.44%), Realty (5.56%), Capital goods (5.31%), Bankex (4.97%), Auto (4.78%), Oil & gas (4.53%), IT (3.94%). Rest BSE Consumer durables, TECK, PSU were in the range of 3-2%. However, BSE Healthcare and Power dipped 0.38% and 0.16% respectively.Meanwhile, BSE Midcap and Smallcap gained 2.18% and 2.59% respectively. While commenting on the market outlook, broking firm Sanjeev Zarbade, vice president, at Kotak Securities said, ''Earlier, the US Fed announced QE3 i.e. to buy mortgage-backed securities (MBS) at a pace of USD 40 billion/month. Operation twist 2 which involves USD 45 billion/month purchase of treasuries till Dec 2012 would also remain intact. Valuations are in a fair zone but liquidity support may keep the market momentum going in the near-term.''Indian government announced Thursday a hike in diesel price by Rs 5 a litre in order to limit massive loss incurred by oil marketing companies (OMCs) on sale of fuel products below cost price. The government has also announced restriction on supply of subsidized LPG cylinders to 6 in a year. However, the government has retained kerosene and petrol prices. Currently OMCs are losing about Rs 6 a litre on petrol sale.
India's industrial production grew 0.1% during July 2012 following 1.8% contraction in June. The market was expecting industrial production to grow at 0.5%.India's headline inflation, based on monthly WPI, rose 7.55% in August 2012 as compared to 6.87% for the previous month. It came sharply above the market expectations of 7.06%. It was at 9.78% during the corresponding month of the previous year.
- South block watch
- Greasepaint fails to hide K-town tension
- T M Soundararajan: An Alchemist who mixed melodies with emotions
- Srinivasan's Kolkata connect
- UPA-II anniversary: No honest appraisal
- Woolwich attack provokes anti-Muslim backlash across UK
- Bangladesh allows transit for foodgrains for Northeast India
- Increasing friction between the Chandy and Chennithala factions
- Raids on six officials reveals huge stash
- Experts push for blanket ban on tobacco promotion
- Now, Delhi police go after eight Kings XI Punjab players
- Unswayed city backs CSK’s final ‘fix’ture
- Vidya Balan to go gangsta?
- Maoist attack: Kidnapped Chhattisgarh Congress chief, son found dead, toll 27
- Maths paper puzzles CBSE Class XII students