Domestic and global woes weighed on the market sentiments this week. The Sensex fell 2.84% and the Nifty dropped 2.68% for the week ended March 27, 2015.
Major Headlines for the week:
Stock Update: PT revised; upgraded to Buy
Spectrum auction ends with aggregate payout of Rs1.1 lakh crore
Govt lowers domestic gas price by 10%
Indian indices:
Welcome to the ‘Weekly Market Wrap’ for Friday, March 27, 2015 where key benchmark indices edged lower in the week ended Friday, March 27, 2015.
Indian markets declined the last week on weak global cues. The S&P BSE Sensex slipped below the psychological 28,000 mark. Global stocks fell as weak US durable goods data sparked concerns about the pace of economic recovery in the world’s biggest economy. Geopolitical worries triggered by escalating conflict in Yemen also weighed on global stocks.
S&P BSE Mid-Cap index declined 2.50% to 10,359.93 and S&P BSE Small-Cap index shed 3.86% to 10,440.69. The barometer index, the S&P BSE Sensex, and the 50-unit CNX Nifty hit their lowest level in more than 10 weeks.
The S&P BSE Sensex fell 802.44 points or 2.84% to settle at 27,458.64. The CNX Nifty dropped 229.50 points or 2.68% to settle at 8,341.40.
Weekly market trend from March 23 – March 27:
March 23- Indian shares edged up on Monday, rebounding after falling in the previous three sessions to hit a near 1-1/2 month low as Asian markets gained, but Jindal Steel slumped after the government rejected its bids for three coal mines. The S&P BSE Sensex and CNX Nifty ended 0.24%-0.23% lower each. The 30-share Sensex ended down 69 points at 28,192 and the 50-share Nifty closed 20 points lower at 8,551.
March 24- Indian shares fell to the lowest close in nearly six weeks on Tuesday as gains in healthcare stocks such as Lupin were offset by fall in Tata Motors, which dropped ahead of a board meet to consider a rights issue. The S&P BSE Sensex and CNX Nifty ended 0.11%-0.09% lower each. The 30-share Sensex ended down 30 points at 28,162 and the 50-share Nifty dipped 8 points at 8,543.
March 25- Indian shares fell to its lowest closing level in nearly two and a half months on Wednesday as caution ahead of the expiry of monthly derivatives and the end of the fiscal year hit blue-chips The S&P BSE Sensex and CNX Nifty ended 0.18%-0.14% lower each. The 30-share Sensex ended 50 points lower at 28,112 and the 50-share Nifty declined 12 points to close at 8,531.
March 26- Indian shares fell over 2 percent on Thursday to their lowest in more than 10 weeks as blue chips slumped on worries foreign investors may trim positions on risk aversion after Saudi Arabia launched air strikes in Yemen. The S&P BSE Sensex and CNX Nifty ended 2.33%-2.21% lower each. The 30-share Sensex ended down 654 points at 27,458 and the 50-share Nifty closed down 189 points at 8,342.
March 27- Indian shares closed little changed after a volatile session on Friday, posting their third consecutive weekly loss on concerns about rising tensions in the Middle East. The S&P BSE Sensex rose 0.10% and CNX Nifty ended 0.01% lower today. The 30-share Sensex ended up 1 point at 27,459 and the 50-share Nifty ended down 1 point at 8,341.
Global indices:
Gainers- Shanghai Composite up 2.04% and Hang Seng up 0.46%. Losers- Nasdaq down 3.24%, Dow Jones down 2.48% and FTSE 100 down 1.85%.
Sectoral and stock screening:
All the 13 Sectors ended in red. Topmost losers are: S&P BSE PSU and S&P BSE IT down 3.30% respectively, S&P BSE Bankex down 3.20%, S&P BSE Oil & Gas down 3.13%, S&P BSE Teck down 3.10%.
Looking at the ‘A’ group stocks, the top three gainers of the week were – Hexaware Tech up 7.98%, Century Textiles up 10.87% and Natco Pharma up 8.32%.
Top three losers of the week were: Bhushan Steel down 7.98%, Idea Cellular down 4.96% and Cyient down 4.49%.
FII/MF activity:
The foreign institutional investors (FIIs) have been the net buyers of the Indian stocks to the tune of Rs1890.68 crore as on March 25, 2015 and the domestic investors sold Indian shares worth a net of Rs318.50 crore as on March 23, 2015.
Market Outlook for the coming week!
In the coming week, the trend in global markets, investment by foreign portfolio investors (FPIs), the movement of rupee against the dollar, and crude oil price movement will dictate trend on the bourses in the absence of any major domestic macro economic data.
The government will unveil Eight Core Infrastructure Industries data for February 2015 on Tuesday, (March 31, 2015).
The government will also unveil fiscal deficit data for February 2015 on Tuesday, (March 31, 2015).
Next week is a truncated trading week. The stock market will remain shut on Thursday, (April 02, 2015), on account of Mahavir Jayanti and again on Friday, (April 03, 2015), on account of Good Friday.
On the economic front, HSBC India Manufacturing Purchasing Managers’ Index (PMI) for March 2015 is due on Thursday, (April 02, 2015).
Ongoing geopolitical tensions in Middle East will be closely monitored as Saudi Arabia launched military operations including air strikes in Yemen. The Saudis claim the action is to counter Iran-allied forces surrounding the southern city of Aden where the US-backed Yemeni president had taken refuge.