The BSE Sensex fell nearly 2 per cent at 25,638.11 and Nifty tanked below the key 7,800-mark during the week under review amid fears of US Fed rate hike this month.
Stock momentum in the first two days was positive but lacklustre on higher July-September GDP data and likelihood of passage of the GST Bill.
Though RBI kept the key repo rate steady at 6.75 per cent, the market enthusiasm worn out from the third session amid combined worries over data of November PMIs manufacturing which fell to 25-month low, and stagnation in services sector after its four straight months expansion.
The selling pressure also aggravated by US Fed Chair Janet Yellen's comments on first interest rate hike nearly over a decade spurring concerns of flight of capital from emerging market.
Sentiments also took a hit by the sell-off in global equities reacting to the much hyped higher stimulus measures from European Central Bank bond buying programme which was shunned and fell short of market expectations.
Domestic enthusiasm also dissuaded by heavy FII sell-off and volatile rupee valuation which lingered around over two year lows.
The Sensex resumed higher at 26,142.53 and hovered between a high of 26,256.42 and low of 25,623.71 before finishing the week at 25,638.11, showing a fall of 490.09 points or 1.88 per cent.
The 50-share Nifty also dropped by 160.80 points or 2.02 per cent to 7,781.90.
Selling was led by Banking, Auto, Consumer Durables, Teck, FMCG, PSUs, Power, Capital Goods and IT sectors. While the broader midcap witnessed selling, smallcap shares saw some buying activity.
Foreign portfolio investors (FPIs) continued their selling
spree during the week as they sold a net Rs 4,108.13 crores as per SEBI's record including the provisional figure of December 4.
The BSE Mid-Cap index fell 49.46 points or 0.45 per cent to settle at 10,935.11. The fall in the index was lower than Sensex's decline in percentage terms. The BSE Small-Cap index rose 11.68 points or 0.1 per cent to settle at 11,557.52. The index outperformed the Sensex.
Among the 30-share Sensex pack, 23 stocks declined and rest of them rose during the week.
Major losers were Bharti Airtel (5.97 per cent ) followed by HDFC (4.73 per cent), Tata Motors (4.23 per cent), BHEL (4.15 per cent), SBI (3.45 per cent), ONGC (3.25 per cent), Hero Motoco (3.22 per cent), ICICI Bank (3.02 per cent), ITC (2.43 per cent) and M&M (2.39 per cent).
However, Tata Steel gained 3.89 per cent followed by Dr Reddy by 3.09 per cent, Sun Pharma by 2.18 per cent, Hindalco by 2.06 per cent and Maruti by 0.54 per cent.
Among the S&P BSE sectoral indices, Bankex fell 2.68 per cent, Auto 2.12 per cent, Consumer Durables 1.83 per cent, Teck 1.66 per cent, Fast moving Consumer Goods 1.56 per cent, Capital Goods 1.39 per cent, IT 1.29 per cent, Power 0.55 per cent and Oil & Gas by 0.23 per cent.
However, Metal rose by 1.91 per cent, followed by Healthcare by 0.85 per cent and Realty by 0.35 per cent.
The total turnover at BSE and NSE rose to Rs 14,943.39 crores and Rs 94,796.17 crores respectively from the previous weekend's level of Rs 11,087.94 crores and Rs 69,864.40 crores respectively.
Forex: Snapping 7-week losing streak against the US
dollar, rupee recovered by seven paise to end the week at 66.69 per dollar on fresh selling of the American currency by banks and exporters after touching more than two-year low of 67.01 during the intra-week deals after RBI kept its key policy rates unchanged.
RBI adopted an accommodative stance while leaving the rates unchanged at its fifth bi-monthly policy review.
India's economic growth accelerated to 7.4 per cent in the July-September quarter from growth rate of 7 per cent in the previous quarter ended June 30.
The rupee resumed lower at 66.78 per dollar as against the last weekend's level of 66.76 at the Interbank Foreign Exchange and dropped further to more than two-year low of 67.01 per dollar on good dollar demand from banks and importers on the back of higher greenback overseas.
However, it recovered to 66.6250 per dollar on selling of dollars by banks and exporters before closing the week at 66.69, showing a gain of 7 paise or 0.10 per cent.
It had dropped by 202 paise or 3.12 per cent during the previous seven weeks.
The rupee had last touched 68.62 on September 4, 2013 during the intra-day trade and ended at 67.07 per dollar on the same day.
The domestic currency moved in a range of 66.6250 and 67.01 per dollar during the week.
"Rupee has remained range bound with positive bias. Interest rate decision and dovish view of RBI Governor has given support to equity market," Veracity Group CEO Pramit Brahmbhatt said.
Although investors have already increased their bets that the US Federal Reserve will start raising rates in the middle of this month, the pace of dollar purchases has slowed after a downbeat US manufacturing report hinted at gradual US rate increases next year.
Meanwhile, the foreign funds pumped out USD 353.65
millions from equities during the first four days of the week as per the SEBI's record.
In the forward market, premium for dollars fell on good receivings from exporters.
The benchmark six-month forward dollar premium payable in May fell to 200.5-202.5 paise from preceding weekend's level of 213-215 paise and far-forward contracts maturing in November also dropped to 407.50-409.50 paise from 424-426 paise.
The RBI fixed the reference rate for the USD at 66.8365 and the euro at 73.0456 from last weekend's level of 66.7503 and the euro at 70.8755 respectively.
The rupee declined against the pound sterling to 100.76 from 100.63 from last weekend level and also moved down to 72.55 per euro from 70.71 per euro previously.
It recovered against the Japanese yen to 54.27 per 100 yen from the last weekend's level of 54.45.
Oils and Oilseeds: Refined palmolein gains, groundnut
oil and linseeds oil held steady, while castorseeds bold and castoroil commercial drops further at the wholesale oils and oilseeds market during the week under review.
Refined palmolein prices gained further due to sustained demand from retailers.
Groundnut oil maintained its stable trend in the absence of any worthwhile buying.
However, castorseeds bold and castoroil commercial dropped further due to consistent stockist selling as well as reduced offtake from shippers and soap industries.
Linseed oil ended stable in the absence any major buying activity from paint and allied industries.
In the edible segment, refined palmolein commenced higher at Rs 528 and moved in a range of Rs 520 and Rs 527 before ending at Rs 528 per 10 kg as against last Saturday's closing level of Rs 525, revealing a rise of Rs 3 per 10 kg.
Groundnut oil prices resumed higher at Rs 940, later drifted to Rs 920 before recovering to settle at the last week's level of Rs 930 per 10 kg.
Castorseeds bold opened lower at Rs 3,075 and dropped further Rs 2,950 before settling at Rs 2,975 as against last weekend level of Rs 3,110 per 100 kg, showing a loss of Rs 135.
Similarly, castoroil commercial also resumed lower at Rs 645 and declined further to Rs 620 before ending at Rs 625 per 10 kg as against Rs 652 previously, a loss of Rs 27.
Linseed oil prices opened steady at Rs 840 and moved up to Rs 860 towards the fag end, before settling at the preceeding weekend level of Rs 840 per 10 kg.
Bullion: Gold surges for the second straight week in a
volatile bullion market following bouts of demand from stockist and jewellers on the back of seasonal buying support amid bullish overseas clues.
Despite a brief mid-week profit-taking by speculative traders, yellow-metal staged a healthy comeback. Yellow-metal resumed slightly higher due to good buying support from jewellery stockists and retailers.
But, it soon lost momentum and witnessed bouts of selling as speculative traders preferred to take out some profits at higher levels, though it recouped a major portion of early losses towards the fag-end trade.
Elsewhere, silver rebounded in a highly volatile trade owing to good speculative as well as industrial demand.
In worldwide trade, gold gained around 4 per cent to close at a 13-month high after February jobs data offered a picture of the labor market that was healthy but not spectacular.
In New York Comex trade, gold for April delivery recovered to settle at USD 1,270.70 an ounce against last weekend's close of USD 1,220.40 and March silver contract also rebounded to close at USD 15.694 an ounce from USD 14.689.
On the domestic front, standard gold (99.5 purity) resumed slightly lower at Rs 29,040 and moved down further to Rs 28,695, before finishing at Rs 29,300 from its last weekend level of Rs 29,080, showing a gain of Rs 220 per 10 grams or 0.76 per cent.
Similarly, pure gold (99.9 purity) also opened marginally lower at Rs 29,190 and drifted further to 28,845, before ending at Rs 29,300, from its last weekend level of Rs 29,230, registering a rise of Rs 220 per 10 grams or 0.75 per cent.
Silver ready (.999 fineness) commenced sharply lower at Rs 36,465 and hovered in a range of Rs 36,450 and Rs 37,450 before settling at Rs 37,650, from its last weekend's level of Rs 37,410, showing a rise of Rs 240 per kilo or 0.64 per cent.
