Global funds are making a beeline for India big time. Their growing interest, along with expectations of Narendra Modi taking power again and forecast of plentiful rains ahead, gave the bulls enough will power to stay in-charge for the sixth straight week on Dalal Street.
The Sensex rose 1.33 per cent, or 508 points, to 38,673 for the week to March 30. NSE’s Nifty jumped 1.46 per cent, or 167 points, to 11,624.
The finance ministry said liquidity in the economy is comfortable and will improve further with the central bank’s move to infuse Rs 35,000 crore through the rupee-dollar swap auction. That was good enough to stoke investment appetite.
“Hopes of a stable government took the Sensex higher by almost 8 per cent this month. Buying has been mainly led by FIIs who have put in around Rs 45,000 core into domestic markets. We believe that any rate cuts in developed markets such as the US or Europe may result in steady inflows for emerging markets (EMs),” said Hemang Jani, Head-Advisory, Sharekhan by BNP Paribas.
All eyes are on national elections starting next month, which will keep domestic markets volatile in the short term. The results are due on May 23.
In the long term, corporate earnings growth and revival in private capex remain crucial for further market upside, say experts.
How did major stocks and sectors play up the whole week? There we go.
The IPO update
Rail Vikas Nigam: The initial public offer (IPO) of state-owned Rail Vikas Nigam got subscribed 9 per cent on the first day of the bidding on Friday. The Rs 481-crore offering received bids for 2,19,01,620 shares against the total issue size of 25,34,57,280, NSE data showed.
MSTC: State-owned MSTC made a weak market debut on Friday and settled over 5 per cent down compared with the issue price of Rs 120 per share. The stock opened the day at Rs 111, down 7.5 per cent against the issue price on the BSE. Intra-day, it touched a high of Rs 116.55 and a low of Rs 110.05. However, it settle the day at Rs 114.20, 4.83 per cent lower.
Top Nifty movers
With a rally of 18 per cent, Indiabulls Housing Finance emerged as the leader of the Nifty pack. It was followed by YES Bank (up 8.91 per cent), State Bank of India (up 7.62 per cent), Bajaj Finance (up 6.64 per cent) and HCL Technologies (up 6.11 per cent).
On the other hand, Eicher Motors, Wipro, Hero MotoCorp, Hindalco, Tech Mahindra and Bajaj Auto slipped 1.30-4.19 per cent.
Jet AirwaysNSE -0.15 % flies higher
Shares of Jet Airways rallied nearly 19 per cent after founder Naresh Goyal on Monday quit as a board member, with the lenders taking control and deciding to infuse Rs 1,500 crore immediately into the ailing airline. The scrip settled the week at Rs 268.80 against Rs 226.10 on March 22.
DHFL takes spotlight
Dewan Housing Finance Corporation Ltd (DHFL) soared over 12 per cent during the week amid reports that Piramal Group and Baring Private Equity (PE) are in talks to acquire a majority stake in the company. The scrip advanced 12.34 per cent to Rs 150.30 during the week.
Britannia replaces HPCL on Nifty
FMCG firm Britannia Industries replaced OMC major Hindustan Petroleum Corporation on the Nifty50 on Friday. The stock closed 0.19 per cent down at Rs 3,081.95 on March 29 while HPCL settled 3.83 per cent up at Rs 283.50.
WABCO India drives up
Shares of WABCO India rallied nearly 5 per cent on Friday after the company clinched a definitive merger deal with ZF Friedrichshafen AG, a privately-held global leader in driveline and chassis technologies.
Stocks @ new all-time highs
As many as 25 stocks of the BSE500 index hit their fresh record highs during the week. The list included stocks such as ICICI Lombard General Insurance, Varun Beverages, RBL Bank, Future Lifestyle, Muthoot Finance, Ipca Labs, PI Industries, UPL, ICICI Bank, SKF India, Pidilite Industries, Torrent Pharma and Merck.
The sectoral scene
Among BSE sectoral indices, Consumer Durables rallied the most — 3.09 per cent — for the week under review. It was followed by Oil & Gas (up 3.08 per cent), Bankex (up 2.99 per cent), Metal (up 1.82 per cent) and Power (1.68 per cent). BSE Telecom (down 0.42 per cent) was the only loser.
Titan m-cap tops Rs 1 lakh cr
The market capitalisation (m-cap) of Titan surpassed Rs 1 lakh crore for the first time ever. With a rally of over 3.50 per cent, m-cap of the company jumped to Rs 1,00,985.70 crore on Friday, from Rs 98,073.70 on March 22. Before closing 0.69 per cent up at Rs 1,137.50, the scrip scaled its all-time high of Rs 1,146 on Friday.