)
Breaking a three-week fall, market surged this week as investors looked at picking stocks at rather attractive valuations after three weaks of weakness. Hopes of a better than expected macro-economic numbers gave legs to the rally that started a day before investors rolled over positions in the futures & options (F&O) segment from the near month November 2013 series to December 2013 series.
Market was volatile this week on account of November 2013 derivatives contracts expiry on Thursday. Total market roll-over was robust at 79% as compared with three-month series rollover of 70%. An uptick in the roll-over poistions taken by the investors suggest an increase in risk-appetite of the investors going forward.
"Aggressive position rolled in November series fail to sustain momentum as market player unwind their leverage positions. This has resulted in a weak Nifty rollovers for the month of December vis-à-vis November (~18.6mn shares rolled against ~24.4mn shares in previous expiry). However, market wide rollovers were on higher side indicating traders may have opted
for stock specific approach. Going forward, we expect Nifty to face resistance close to 6300-6400 levels were support would be seen for nifty at 5850 for the next 10-15 days." said brokerage IIFL in a report.
In the week ended 29 November, the 30-share Sensex surged almost 575 points or 2.8% to 20,792 levels and Nifty rose 181 points or 3.01% to close at 6,176 levels.
The BSE Mid-Caps index closed 2.78% higher and the Small-Cap index was up 1.76%.
The week started on a high note as world market rallied around nuclear deal being reached with Iran by US and 5 other western powers which saw oil prices correcting. Benchmark Sensex surged 388 points. Investors booked profits the next day with Sensex losing around 180 points on Tuesday.
Sensex surged garnered 387.69 points or 1.92% to settle at 20,605.08, its highest closing level since 20 November 2013.
Markets surged on Friday with Sensex surging almost 257 points to close at 20,791 levels as investors anticipated an uptick in the GDP data for second quarter of the current financial year. The Indian economy may have bottomed out, if the 4.8 per cent GDP growth in the July to September quarter is an indication. While this is marginally ahead of consensus estimates (4.6 per cent), it needn't be interpreted as a recovery yet because services and industry are still struggling. This quarter's growth has largely been driven largely by a pick-up in agriculture (4.6 per cent), financial services (10 per cent) and industry (2.4 per cent). Government spending has declined by one per cent during the quarter and going forward, this will continue to decline as fiscal prudence will drive spending cuts.
Out of 30 Sensex stocks this week 26 stocks gained while only four ended in red for the week ended 29 November, 2013.
Banking stocks were major winners this week as frontliners rose across the board. HDFC Bank (up 2.93%) and ICICI Bank (up 4.54%) rose while State Bank of India gained 4.67%.
In the week ahead, investors will shift focus to politics for triggers. Voters will decide the fate of Delhi as the state goes to its legislative assembly polls on 4th December, 2013. The winter session of parliament will begin on December 5, and would be keenly watched for policy action. Key macroeconomic data will send counters buzzing with activity as November manufacturing and Services PMI data and major port traffic data for the month April-November, will give an insight whether the green shoots of recovery are visible or weed of sluggishness still engulfs the econoy. Also, the US government will release the influential US non-farm payrolls data for November 2013 on 6 December, which is off-late being keenly watched for any clear direction on the tapering front.
For the week, L&T surged 8.23%, the engineering major Larsen and Toubro (L&T) today said it is evaluating avenues to monetise certain assets of a subsidiary including through an initial public offering (IPO). "We wish to inform that the company is evaluating alternatives for monetising of certain assets of L&T Infrastructure Development Projects Ltd (L&T IDPL), a subsidiary of the company...," L&T said in a BSE filing.
Capital goods stocks rose as a shift in focus turned the tide in favour of beaten down counters this week. Bhel jumped 13.91% to Rs 156.05.
Jindal Steel & Power (JSPL) was up 3.76% this week. Axis Bank replaced the scrip on BSE Sensex with effect from from 23 December 2013.
Tata Motors ended 6.79% higher at Rs 398.60. The stock hit a record high of Rs 405 in intraday trade on Thursday, 28 November 2013.
Market was volatile this week on account of November 2013 derivatives contracts expiry on Thursday. Total market roll-over was robust at 79% as compared with three-month series rollover of 70%. An uptick in the roll-over poistions taken by the investors suggest an increase in risk-appetite of the investors going forward.
"Aggressive position rolled in November series fail to sustain momentum as market player unwind their leverage positions. This has resulted in a weak Nifty rollovers for the month of December vis-à-vis November (~18.6mn shares rolled against ~24.4mn shares in previous expiry). However, market wide rollovers were on higher side indicating traders may have opted
for stock specific approach. Going forward, we expect Nifty to face resistance close to 6300-6400 levels were support would be seen for nifty at 5850 for the next 10-15 days." said brokerage IIFL in a report.
In the week ended 29 November, the 30-share Sensex surged almost 575 points or 2.8% to 20,792 levels and Nifty rose 181 points or 3.01% to close at 6,176 levels.
The BSE Mid-Caps index closed 2.78% higher and the Small-Cap index was up 1.76%.
The week started on a high note as world market rallied around nuclear deal being reached with Iran by US and 5 other western powers which saw oil prices correcting. Benchmark Sensex surged 388 points. Investors booked profits the next day with Sensex losing around 180 points on Tuesday.
Sensex surged garnered 387.69 points or 1.92% to settle at 20,605.08, its highest closing level since 20 November 2013.
Markets surged on Friday with Sensex surging almost 257 points to close at 20,791 levels as investors anticipated an uptick in the GDP data for second quarter of the current financial year. The Indian economy may have bottomed out, if the 4.8 per cent GDP growth in the July to September quarter is an indication. While this is marginally ahead of consensus estimates (4.6 per cent), it needn't be interpreted as a recovery yet because services and industry are still struggling. This quarter's growth has largely been driven largely by a pick-up in agriculture (4.6 per cent), financial services (10 per cent) and industry (2.4 per cent). Government spending has declined by one per cent during the quarter and going forward, this will continue to decline as fiscal prudence will drive spending cuts.
Out of 30 Sensex stocks this week 26 stocks gained while only four ended in red for the week ended 29 November, 2013.
Banking stocks were major winners this week as frontliners rose across the board. HDFC Bank (up 2.93%) and ICICI Bank (up 4.54%) rose while State Bank of India gained 4.67%.
In the week ahead, investors will shift focus to politics for triggers. Voters will decide the fate of Delhi as the state goes to its legislative assembly polls on 4th December, 2013. The winter session of parliament will begin on December 5, and would be keenly watched for policy action. Key macroeconomic data will send counters buzzing with activity as November manufacturing and Services PMI data and major port traffic data for the month April-November, will give an insight whether the green shoots of recovery are visible or weed of sluggishness still engulfs the econoy. Also, the US government will release the influential US non-farm payrolls data for November 2013 on 6 December, which is off-late being keenly watched for any clear direction on the tapering front.
For the week, L&T surged 8.23%, the engineering major Larsen and Toubro (L&T) today said it is evaluating avenues to monetise certain assets of a subsidiary including through an initial public offering (IPO). "We wish to inform that the company is evaluating alternatives for monetising of certain assets of L&T Infrastructure Development Projects Ltd (L&T IDPL), a subsidiary of the company...," L&T said in a BSE filing.
Capital goods stocks rose as a shift in focus turned the tide in favour of beaten down counters this week. Bhel jumped 13.91% to Rs 156.05.
Jindal Steel & Power (JSPL) was up 3.76% this week. Axis Bank replaced the scrip on BSE Sensex with effect from from 23 December 2013.
Tata Motors ended 6.79% higher at Rs 398.60. The stock hit a record high of Rs 405 in intraday trade on Thursday, 28 November 2013.
