Another week of record highs on Indian bourses. Sensex and Nifty are moving up as bears struggle to find any negative catalyst to put a brake on upward journey.
Modi govt has taken the complete charge of New Delhi and is urgently seeking to reboot the economy. It has initiated and publicly announced its intentions to completely overhaul the existing structure of subsidies and doles and get fiscal house in order.
All eyes on budget session now; which will begin in first week of July.
Sensex ended this week up by 4.9% while Nifty was up by 4.9% and Midcap up by 8.0%
Monday - Sensex up by 1.9%, Nifty up by 1.8%, Midcap up by 2.2%
Sensex and Nifty gained as PSU banks rallied on hopes the govt will rationalize the shareholding structure by selling some of its holdings. Investors seems to have shrugged off release of another sub-5% GDP growth numbers as they keenly await RBI’s policy review meeting on Tuesday.
Tuesday - Sensex up by 0.7%, Nifty up by 0.7%, Midcap up by 0.9%
Key benchmark indices gained as RBI held rates steady and toned down its hawkish stance hinting at a rate cut in coming review meeting. RBI also allowed more funds into the system for lending by cutting down on SLR by 50bps. Sugar stocks rallied on expectations that govt might push blending ethanol in petrol and increase the import duty to support local prices.
Wednesday - Sensex down by 0.2%, Nifty down by 0.2%, Midcap up by 1.6%
Sensex and Nifty retreated from their record closing highs as IT companies fell on concerns of stronger rupee. Rupee has gained around 4% so far this year and is among the best performers among the Asian currencies. Fertilizer stocks rallied on hopes that the govt will soon clear outstanding subsidy payments. Insurance companies also some rally on the expectations that govt will raise FDI limit to 49% from 26%.
Thursday - Sensex up by 0.9%, Nifty up by 1.0%, Midcap up by 1.4%
Sensex and Nifty made another record closing high as resource stocks led by Sesa Sterlite gained on positive momentum based on revival of Indian economy.
Friday - Sensex up by 1.5%, Nifty up by 1.5%, Midcap up by 1.7%
Another day of record close high of both Sensex and Nifty. Investors continued to stay bullish over the policy reforms (about to be) initiated by govt. FIIs continue to invest heavily in Indian markets with total purchase so far being $8.3bn this year.
Sunday, June 8, 2014
Sunday, May 11, 2014
Weekly Market Commentary - May 5, 2014 - May 9, 2014
And Sensex does it again. Indian markets driven by huge expectations from the coming (hopefully) BJP govt got a major spurt when PM candidate Narendra Modi declared on prime time that his party will form the most stable and strong govt in Indian history after Rajiv Gandhi. You can watch the full interview here. Any party to get a clean majority needs to score atleast 272 seats in general elections. Many exit polls and election survey predicts that there are chances that BJP (or current form of NDA) will do better than that.
A stable and decisive govt at the centre will certainly raise hopes of Indian investors, as trillions of rupees worth of projects are gathering dust in various govt departments waiting for approvals. Any govt formation that will expedite project approvals, unshackle the invested capital and get new (or better) jobs for our aspiring citizens is certainly welcome by public and businesses alike.
Sensex ended this week up by 2.6% while Nifty was up by 2.4% and Midcap up by 1.6%
Monday - Sensex up by 0.2%, Nifty slightly up by 0.1%, Midcap flat
Markets recovered a little after continuously falling over past five sessions. Sentiment although remains bearish as regional shares falls on news that China's April PMI has contracted for fourth consecutive month.
Tuesday - Sensex up by 0.3%, Nifty up by 0.2%, Midcap up by 0.2%
Investors showed some confidence in Indian stocks as key benchmark indices rose to touch its week high. HSBC PMI index showed some improvement (48.5 in Apr vs. 47.5 in Mar) but still languished below 50 mark indicating contraction, not growth, keeping hopes of expansion in hiring activities at bay.
Wednesday - Sensex down by 0.8%, Nifty down by 0.9%, Midcap down by 0.2%
Sensex and Nifty plunged due to heavy selling in IT counters amid weak global cues and rupee hitting a month high against US dollar. Investors are keeping an eye on US Fed testimony in congress related to continuous decline in value of USD while continuously hoping that tensions in Ukraine do not escalate into a full-fledged war.
Thursday - Sensex up by 0.1%, Nifty up by 0.1%, Midcap down by 0.2%
Investors continued to stay cautious as Indian general elections entered its last phase. BSE Sensex and Nifty recovered slightly from their recent lows as investors picked up some of the battered stocks. Indian market also got some sentiment uplift from dovish comments by US Fed Chair and upbeat Chinese trade data that suggested some signs of recovery in the world's second-largest economy.
Friday - Sensex up by 2.9%, Nifty up by 3.0%, Midcap up by 1.9%
Sensex and Nifty surprised all watchers as indices soared to touch their all time highs amidst weak trading sentiment ahead of election results. BJP’s PM candidate Narendra Modi’s interview previous night – where he declared that his party is getting clear majority probably lifted the mood of investors. Investors bought stocks in droves as country nears the closing of more bitterly contested general elections in its history on Monday.
A stable and decisive govt at the centre will certainly raise hopes of Indian investors, as trillions of rupees worth of projects are gathering dust in various govt departments waiting for approvals. Any govt formation that will expedite project approvals, unshackle the invested capital and get new (or better) jobs for our aspiring citizens is certainly welcome by public and businesses alike.
Sensex ended this week up by 2.6% while Nifty was up by 2.4% and Midcap up by 1.6%
Monday - Sensex up by 0.2%, Nifty slightly up by 0.1%, Midcap flat
Markets recovered a little after continuously falling over past five sessions. Sentiment although remains bearish as regional shares falls on news that China's April PMI has contracted for fourth consecutive month.
Tuesday - Sensex up by 0.3%, Nifty up by 0.2%, Midcap up by 0.2%
Investors showed some confidence in Indian stocks as key benchmark indices rose to touch its week high. HSBC PMI index showed some improvement (48.5 in Apr vs. 47.5 in Mar) but still languished below 50 mark indicating contraction, not growth, keeping hopes of expansion in hiring activities at bay.
Wednesday - Sensex down by 0.8%, Nifty down by 0.9%, Midcap down by 0.2%
Sensex and Nifty plunged due to heavy selling in IT counters amid weak global cues and rupee hitting a month high against US dollar. Investors are keeping an eye on US Fed testimony in congress related to continuous decline in value of USD while continuously hoping that tensions in Ukraine do not escalate into a full-fledged war.
Thursday - Sensex up by 0.1%, Nifty up by 0.1%, Midcap down by 0.2%
Investors continued to stay cautious as Indian general elections entered its last phase. BSE Sensex and Nifty recovered slightly from their recent lows as investors picked up some of the battered stocks. Indian market also got some sentiment uplift from dovish comments by US Fed Chair and upbeat Chinese trade data that suggested some signs of recovery in the world's second-largest economy.
Friday - Sensex up by 2.9%, Nifty up by 3.0%, Midcap up by 1.9%
Sensex and Nifty surprised all watchers as indices soared to touch their all time highs amidst weak trading sentiment ahead of election results. BJP’s PM candidate Narendra Modi’s interview previous night – where he declared that his party is getting clear majority probably lifted the mood of investors. Investors bought stocks in droves as country nears the closing of more bitterly contested general elections in its history on Monday.
Saturday, March 29, 2014
Weekly Market Commentary - Mar 24, 2014 - Mar 28, 2014
Indian markets continued to zoom ahead as its peers in BRIC group faltered. Global investors – in search of better yields, seems to have gone full throttle on India in 2014 due to lack of other potential investment candidates.
Indian rupee has turned around dramatically in past eight months from being the worst performer among emerging market currencies to be the best performer. Strong fund inflows, positive economic data, shrinking current account deficit as well as easing inflation has helped the rupee and equities to move up with vengeance.
Problem with Russian equities is quite well known as investors continue to avoid them as global powers call for economic sanctions on the country in aftermath of Crimea annexation.
Brazil is facing somewhat similar political situation as India where current government has disappointed investors with their reforms pace and structure and market is preparing for a potential transition in October elections.
China, on the other hand, is facing prospects of recording its weakest growth since global financial crisis as manufacturing continues to disappoint. China released preliminary March factory survey data on Monday, which showed that manufacturing shrank for the third straight month. This release followed weaker-than-expected industrial output figures for January and February and a shocking fall in exports. Chinese Premier has asked investors to prepare for a wave of bankruptcies in the country.
Sensex ended this week up 2.7% while Nifty was up by 3.1% and Midcap up by 4.4%
Monday - Sensex up by 1.4%, Nifty up by 1.4%, Midcap up by 0.7%
Benchmark indices opened the week in positive territory with banking sector leading the pack. Hope rally continued in the last week of March as investors bet on 3Rs: Reforms, Recovery and RBI.
Tuesday - Sensex and Nifty flat, Midcap up by 0.8%
Markets broadly continued their upward momentum as benchmark indices touch all time highs during the day. Oil and gas stocks corrected a bit as Election Commission took cognizance of issue of gas price hike and asked Centre to defer it.
Wednesday - Sensex up by 0.2%, Nifty up by 0.2%, Midcap up by 0.6%
BSE Sensex continued its record-breaking steak and closed the day at all time high on the back of strong FIIs inflow. Rupee declined a bit as US recovery strengthens and PSU buy USD on behalf of RBI to prop up the reserve levels. However, sustained FII inflow restricted the decline in rupee value. Rupee is trading at its seven month ahead against the dollar.
Thursday - Sensex up by 0.5%, Nifty up by 0.6%, Midcap up by 0.3%
BSE Sensex rose to another record high as banking stocks gain ahead of expected favorable RBI rate policy review on April 1 and expected decision on Base III norm. Street expects RBI to keep the interest rates unchanged in this meeting as inflation and deficit data is in RBI’s comfortable range.
Friday - Sensex up by 0.6%, Nifty up by 0.8%, Midcap up by 1.9%
Key benchmark indices finished the week at record high – fifth consecutive day of record close. Markets continued moving upwards as RBI extended the deadline by another year for banks to implement Basel III capital-raising rules. RBI extended the deadline to Mar 31, 2019 as banks raised concerns on potential stress to asset quality.
Indian rupee has turned around dramatically in past eight months from being the worst performer among emerging market currencies to be the best performer. Strong fund inflows, positive economic data, shrinking current account deficit as well as easing inflation has helped the rupee and equities to move up with vengeance.
Brazil is facing somewhat similar political situation as India where current government has disappointed investors with their reforms pace and structure and market is preparing for a potential transition in October elections.
China, on the other hand, is facing prospects of recording its weakest growth since global financial crisis as manufacturing continues to disappoint. China released preliminary March factory survey data on Monday, which showed that manufacturing shrank for the third straight month. This release followed weaker-than-expected industrial output figures for January and February and a shocking fall in exports. Chinese Premier has asked investors to prepare for a wave of bankruptcies in the country.
Sensex ended this week up 2.7% while Nifty was up by 3.1% and Midcap up by 4.4%
Monday - Sensex up by 1.4%, Nifty up by 1.4%, Midcap up by 0.7%
Benchmark indices opened the week in positive territory with banking sector leading the pack. Hope rally continued in the last week of March as investors bet on 3Rs: Reforms, Recovery and RBI.
Tuesday - Sensex and Nifty flat, Midcap up by 0.8%
Markets broadly continued their upward momentum as benchmark indices touch all time highs during the day. Oil and gas stocks corrected a bit as Election Commission took cognizance of issue of gas price hike and asked Centre to defer it.
Wednesday - Sensex up by 0.2%, Nifty up by 0.2%, Midcap up by 0.6%
BSE Sensex continued its record-breaking steak and closed the day at all time high on the back of strong FIIs inflow. Rupee declined a bit as US recovery strengthens and PSU buy USD on behalf of RBI to prop up the reserve levels. However, sustained FII inflow restricted the decline in rupee value. Rupee is trading at its seven month ahead against the dollar.
Thursday - Sensex up by 0.5%, Nifty up by 0.6%, Midcap up by 0.3%
BSE Sensex rose to another record high as banking stocks gain ahead of expected favorable RBI rate policy review on April 1 and expected decision on Base III norm. Street expects RBI to keep the interest rates unchanged in this meeting as inflation and deficit data is in RBI’s comfortable range.
Friday - Sensex up by 0.6%, Nifty up by 0.8%, Midcap up by 1.9%
Key benchmark indices finished the week at record high – fifth consecutive day of record close. Markets continued moving upwards as RBI extended the deadline by another year for banks to implement Basel III capital-raising rules. RBI extended the deadline to Mar 31, 2019 as banks raised concerns on potential stress to asset quality.
Thursday, February 20, 2014
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