Equities marked a chain of record smashing sessions during the week trade, with benchmark Sensex crossing the 33-k mark on a closing basis, while the broader Nifty breaching above the psychological 10,300-level.
Key Indices started the week on a strong note and remained bullish to touch fresh highs for most of the days during the week.
The government announced the bank recapitalisation Tuesday, plan to overcome their bad loans problem, a booster dose to the economy through public sector banks (PSBs) in a front loaded manner, with a view to support credit growth and job creation.
As various measures taken by the government spur economy including capitalisation of public sector banks and massive road building programme boosted sentiment, with volatile session on the back of firmness in European cues, Sensex touched a first ever record all-time high at 33,286.51.
Opening the week on a high note at 32,411.86 points, the index marked all time historic record high of 33,286.51, before closing the week at 33,157.22, showing a smart rise of 767.26 points or 2.37 per cent.
Buying for the week was led by Bankex, Capital Goods, Power, Metal, Oil&Gas, Auto, Realty, Teck, IT, FMCG and Healthcare sectors, while IPOs and Consumer Durables witnessed profit-booking.
The second-line shares of S&P BSE Midcap and S&P BSE Smallcap spurted by 1.88 pct and 1.30 pct, respectively. Both the indices underperformed the Sensex.
The Nifty started the week at 10,176.65 and touched new historic milestone at 10,366.15.It finally ended at 10,323.05, up 176.50 points, or by 1.74 per cent.
Nifty PSU bank, Media and Metal stock were the top most gainers for the week, while Pvt Bank and IT were losers.
Lupin tumbled 4.91 per cent at Rs 1,000.85. The company announced that it has received final approval for its Testosterone Topical Solution, 30 mg per actuation from the US drug regulator to market a generic version.
HDFC Bank declined 3.29 pct at Rs 1,793.10. The bank’s net profit rose 20.13 pct to Rs 4,151.03 crore on 16.55 pct growth in total income to Rs 23,276.18 crore in Q2 September 2017 over Q2 September 2016.
Sun Pharmaceutical Industries rose 2.75 pct at Rs 550.35. The company announced that one of its wholly owned subsidiaries has received final approval from USFDA for its abbreviated new drug application (ANDA) for generic version.
Meanwhile, foreign portfolio investors (FPIs) and foreign institutional investors (FIIs) bought shares worth Rs 6,693.91 crore during the week, as per Sebi’s record including the provisional figure of October 27.
The S&P BSE Mid-Cap index advanced 149.29 points or 0.94 per cent to settle at 16,115.98. The S&P BSE Small-Cap index gained 137.73 pts or 0.81 per cent to close at 17,063.39.
Among sectoral and industry indices, PSU bank jumped by 10.33 per cent, bankex 4.67 per cent, Capital goods 4.62 pct, power 3.85 per cent, Metal 3.29 per cent, oil&gas 2.96 per cent, Auto 1.96 per cent, Realty 1.05 per cent and Teck 0.74 per cent, while IPO and consumer durables fell by 1.88 per cent and 1.95 per cent.
Among the 31-share Sensex pack, 24 stocks rose and remaining seven stocks fell during the week.
SBI spurted by 28.23 percent followed by ICICI Bank 16.72 pct, Adaniports 8.27 pct, Larsen 7.23 pct, ONGC 6.62 pct, Axis Bank 5.25 pct, Maruti 4.89 pct, NTPC 3.85 pct, Tata Steel 3.10 pct, BhartiAirtel 2.98 pct, SunPharma 2.75 pct, Bajaj Auto 2.56 pct, Infosys 2.20 pct, Cipla 2.18 pct, Reliance 2.10 pct, Coal India 1.62 pct and Wipro 1.42 pct.
However, Lupin fell by 4.91 pct, Kotak bank 4.18 pct, HDFC Bank 3.29 pct, HDFC 2.83 pct and TataMtrDvr 1.51 pct.
The total turnover during the week on BSE rose to Rs 25,064.52 crore as against last weekend’s level of Rs 10,488.25 crore and NSE climbed to 2,03,610.20 crore compared to Rs 88,518.18 crore previously.
Gold fails to sparkle
Gold fail to spark post-Diwali lull and extended losses for the second consecutive week at bullion market owing to slackened demand from local jewellers and retailers amid weak global trend.
Marketmen said fall in demand from local jewellers and retailers at domestic market amid weak global cues after the euro slipped against the dollar following the European Central Bank’s extension of its bond-buying programme, mainly kept pressure on gold prices.
Last week, Indians celebrated the Diwali and Dhanteras festivals, when buying gold is considered auspicious.
Standard gold shed a whopping 1.78 per cent in its second week downslide, or Rs 526.00 per 10 grams.
Silver also slumped below the Rs 39,000-mark on reduced offtake by industrial units and coin makers. The white-metal lost 3.46 per cent or Rs 1,376, in two-weeks.
In overseas trade, gold suffers a second weekly loss but finished higher Friday, finding some support from uncertainty surrounding the next US Federal Reserve chief, but prices held on to a loss for the week as upbeat economic data buoyed the dollar.
December gold tacked on USD 2.20, to settle at USD
1,271.80 an ounce, gold’s finish at USD 1,269.60 Thursday, was the lowest since August 8. It lost around 0.6 per cent for the week, which marked its sixth decline in seven weeks.
Among other metals, December silver settled at USD 16.752 an ounce, for the session and logging a weekly loss of 1.9 per cent.
In the New York Comex trade, gold for December delivery dropped to settle at USD 1,271.80 an ounce compared to last weekend’s close of USD 1,280.50, while December silver contract fell to end at USD 16.752 an ounce from USD 17.078.
On the domestic front, standard gold (99.5 purity) resumed lower at Rs 29,435 per 10 grams from last Friday’s closing level of Rs 29,571, drifted further to settle at Rs 29,225, revealing a loss of Rs 346, or 1.17 per cent.
Pure gold (99.9 purity) also commenced lower at Rs
29,585 per 10 grams compared to preceding weekend level of Rs 29,721 and fell further and closed at 29,375, revealing a fall of Rs 346 per 10 grams, or 1.16 per cent.
Silver ready (.999 fineness) opened lower at Rs
39,395 per kilo gram from last Friday’s closing level of Rs 39,811 and dropped further to finish at Rs 38,860 showing a loss of Rs 951 per kilo, or 2.39 per cent.
Rupee closes virtually flat
The rupee failed to hold its early strong gains and ended virtually flat for the week with negative bias at 65.05 against the bullish dollar as sentiment turned cautious ahead of the US Federal Reserve meeting.
Forex market trading was largely muted and exhibited high amount of volatility and sharp bounces in the face of sharp dollar swings even as traders preferred to stay on the sidelines and avoided taking long positions.
Despite a strong start, the home currency failed to make much ground in the face of steady dollar demand from corporates and banks along with consistent capital outflows.
Global crude prices hitting a fresh 27-month high of
USD 59.87 a barrel, spurred by Saudi remarks supporting the oil production cut through to the end of 2018 also added pressure on the rupee front.
However, better macro conditions as well as record breaking run in domestic equity markets cushioned the impact.
The home currency touched a one-week low Tuesday before staging a smart rebound as trading mood witnessed a sudden revival following government’s Rs 2.11 lakh crore recapitalisation plan to bolster NPA-hit public sector banks.
During the week, foreign funds and investors turned net buyers of local equities after a long selling spell and infused USD 1,126.66 million as per stock exchanges data.
At the Interbank Foreign Exchange (forex) market, the home currency resumed marginally lower at 65.08 as compared to 65.04 last Friday and tumbled to touch a low of 65.20 due to immense dollar pressure.
But, later it bounced back with solid strength to hit a high of 64.72 before retreating sharply to settle at 65.05, showing a mere gain of one paisa.
Meanwhile, it was a great week for the US dollar on growing acceptance that the Fed will raise rates in December and that there will be more rate hikes next year and also supported by robust US Gross Domestic Product data that showed the economy expanded by 3.0 per cent in the third quarter of this year beating expectations.
The Dollar Index’s 1.25 per cent gain this week is the largest of the year.
The RBI fixed the reference rate for the USD at Rs
65.0931 and euro at Rs 75.6837, respectively.
On the global front, the dollar touched its strongest level against the yen for more than three months as growth bulls applauded news that the Senate had adopted a fiscal 2018 budget resolution, opening the way for tax reform.
The dollar index — a measure of the US currency against a basket of six trade-weighted major rivals surged ahead to end at 94.72 from preceding weekend level of 93.57.
In cross-currency trade, the Indian currency hardened against the British pound to end at 85.17 per pound from last weekend level of 85.69 and firmed up further against the Euro to settle at 75.54 from 76.43 earlier.
The local currency also strengthened further against the Japanese Yen to close at 57.00 per 100 yens from 57.70 last Friday.
In the forward market, premium for dollar remained sluggish on the back of steady receiving from exporters.
The benchmark six-month forward dollar premium payable for March slipped to 114-116 paise from 117.25-119.25 paise and the far-forward contract maturing in September 2018 also softened to 255-257 paise from 255.50-257.50 paise last Friday.
In global commodity trade, global energy market regained their buoyancy with brent crude prices breaking through the psychological 60-mark a barrel to trade at its highest levels since mid-2015 driven by bullish comments from key oil producing countries.
Oil prices have been hovering near their highest levels for this year amid recent signs of a tightening market, talk of an extension of production cuts and tensions in Iraq.
Brent crude rose as high as USD 60.53, its highest level since July 3, 2015.
US light crude oil ended Friday’s session up 1.26, or 2.4 per cent, at USD 53.90, closing at an 8-month high. (PTI)
