Follow my blog with Bloglovin
Saturday , 18 November 2017
Breaking News

Indian equity markets turn bullish over GST rollout, monsoon (Market Review)

By Porisma P. Gogoi
Mumbai, July 8 (IANS) Despite trading volatile amidst geo-political tensions and weak global indices, the Indian equity markets closed the week’s trade with gains of around 1.5 per cent, cheered by the launch of the country’s much-awaited Goods and Services Tax (GST) reform on July 1 and healthy monsoon.

On Friday, the 30-scrip Sensitive Index (Sensex) of the BSE closed at 31,360.63 points — up 439.02 points or 1.42 per cent from its previous week’s close.

The wider Nifty of the National Stock Exchange rose by 144.9 points or 1.52 per cent to close the week’s trade at 9,665.80 points.

“Markets rallied higher this week from a low of 9,543 on Monday, July 3. Smooth initial rollout of GST and on par monsoon so far helped,” Deepak Jasani, Head of Retail Research, HDFC Securities, told IANS.

“This week’s gains came after three weeks of losses. Market breadth was positive in all the five trading sessions of the week.”

According to D.K. Aggarwal, Chairman and Managing Director, SMC Investments and Advisors, the global stock and bond market took big losses during the week amidst mounting investor uncertainty as central banks across the globe adopted more hawkish stances.

“Back at home, stock markets though joined global markets selloff, but closed in green in anticipation of positive quarterly earnings that are set to roll-in later this month. Actually, the concern over global central banks reining in stimulus has dented some confidence,” said Aggarwal.

“So far, the Indian stock market has gained well over 17 per cent, making it the best performing index among its Asian peers.”

On the currency front, the Indian rupee closed on a flat note at 64.59 against the US dollar from it’s last week’s close.

Sector-wise, the top gainers were the realty, pharma and media indices. The top losers were the IT, FMCG and PSU bank indices.

“The markets turned cautious mid-week after North Korea test-launched an intermediate-range ballistic missile days before leaders from the group of 20 nations are due to discuss steps to rein in Pyongyang’s weapons programmes,” said Dhruv Desai, Director and Chief Operating Officer of Tradebulls.

“However, the market managed to bounce back after sentiments got a boost after India’s services PMI rose to an eight month high in June at 53.1 as against 52.2 in May of 2017.”

Desai added: “Some support also came with the report that global and domestic private equity funds have pumped in around $11.3 billion in the country for the first half of the current year ending June 30, making it the record highest foreign direct investment into the country.”

Figures from the National Securities Depository (NSDL) revealed that foreign portfolio investors (FPIs) invested in a total of equities worth Rs 334.47 crore, or $51.9 million, during the week ended July 7.

Provisional figures from the stock exchanges showed that foreign institutional investors (FIIs) sold stocks worth Rs 1,948.83 crore, while domestic institutional investors (DIIs) purchased scrip worth Rs 2,361.61 crore during July 3-7.

The top weekly Sensex gainers were: Reliance Industries (up 8.01 per cent at Rs 1,490.80), Lupin (up 5.31 per cent at Rs 1,116.75), ITC (up 3.17 per cent at Rs 334.10), Maruti Suzuki (up 2.93 per cent at Rs 7,429.25) and Coal India (up 2.81 per cent at Rs 251.05).

The losers were: Bajaj Auto (down 2.96 per cent at Rs 2,707.95), Axis Bank (down 2.48 per cent at Rs 503.30), Cipla (down 1.50 per cent at Rs 546.05), Tata Consultancy Services (down 1.36 per cent at Rs 2,332.20), and Sun Pharma (down 0.87 per cent at Rs 549.70).

(Porisma P. Gogoi can be contacted at [email protected])

–IANS
ppg/bg
Source: Ians feed

Comments are closed.

Scroll To Top
badge