Market Summary:

Markets extended its run-up from last week to record its 2nd consecutive weekly gain despite weakness in the Global markets & a CRR hike by the RBI. The indices depicted high volatility moving between 20200 – 19700 mark for most of the week. Global weakness on the last day did send jitters to the Bulls as sensex dropped to 19250 mark on Friday, but recovered sharply from last weeks gap opening to close at a new weekly high. The BSE benchmark index added 733 points or 3.80% for the week to close at 19976 and Nifty registered gains of 4% or 230 points to close at 5932. Nifty futures hit the 6000 mark for the first time ever.

Banking stocks bucked the negative news in form of a 50 bps point CRR hike by the RBI to curb capital inflows. The hike which previously used to dampen sentiment in Banking stocks failed to do so this time around. The BSE Bankex gained 9.50%. Banking majors SBI & ICICI bank hit new highs. PSU banking stocks too gained smart ground to close at its highest levels ever. Capital Goods continued to outperform the markets and gained as much as 10% for the week largely with the help of gains from L&T. The stock gained another 15% bagging another prestigious order { Mumbai Airport revamp order from GVK worth Rs.5000 crs}. ONGC had a good run from last week and was the biggest contributor to the rise in the Sensex. The stock gained 18% on higher crude prices. Metals continued to shine gaining 5.7% for the week. Auto stocks were the target of a sell-off with the CRR hike acting as a dampner. FMCG stocks too lost ground on weak results from HUL. Telecom stocks too headed south from higher levels on weak Q2 numbers, except Rcom. The top sensex gainers were Ongc{+18%}, L&T{+15%}, Tata power {+14%}, HDFC Bank{+13.80%} while draggers included HUL{-10%}, Bharti Airtel{-10%}, Hero Honda{-8.50