Global jitters spook Indian stocks, Sensex, Nifty lose 1 pc

Stocks: Market witnessed a downward journey for the third consequent week as this time the fears of global recession marred the trading sentiment. Good earning results did not save the momentum, as both the benchmark Sensex and Nifty lost one per cent during the current truncated week.

The market, already under pressure by uninterrupted capital outflows due to FIIs' turn-around from buyers to net sellers, later heaved a sigh of relief following the release of key US Federal Open Market Committee (FOMC) minutes which indicated that interest rates would remain low in near future.

The reprieve turned to anxiety for the investors following IMF warning forecast that US Federal Reserve would risk massive losses.

Eurozone's biggest economy Germany's worst industrial output data signalling recessionary fears triggered a global sell-off, severely affecting the market sentiment.
This is despite the good domestic corporate earnings results as IT major Infosys which posted a 28.6 per cent jump in consolidated net profits for the quarter ended September 30.

Across the sector selling was led by HealthCare, Metal, FMCG, Auto, IT, Teck and Consumer durables along with shares of Mid-Cap and Small-Cap companies.
However, stocks from Power, Oil&Gas, Realty, Capital Goods and Banking segments managed to trade positive.

The BSE 30-share barometer resumed lower at 26,487.51 and moved in a range of 26,688.70 and 26,150.09 before ending the week at 26,297.38, a net fall of 270.61 points or 1.02 per cent.

Sensex has dropped 793.04 points or 2.93 per cent during the three weeks trade.
Similarly, the broad-based 50-issue CNX Nifty of the NSE also declined by 85.60 points, or 1.08 per cent, to 7,859.95.

FPIs/FIIs sold shares worth Rs 1,349.19 crs during the week, including provisional figure of October 10.

19 scrips of the 30-share sensex ended lower while 11 others finished higher.
Major losers were SSLT (7.72 pct), Dr Reddy's Lab (6.27 pct), M&M (5.19 pct), Wipro (5.04 pct), Cipla (4.99 pct , Sun Pharma (4.84 pct), HDFC (4.17 pct), TCS (3.48 pct), Hindalco (3.19 pct), ITC (2.99 pct), Tata Motors (2.07 pct) and Hero Motocorp (1.27 pct).
However, BHEL rose by 10.62 pct, Reliance Ind 3.61 pct, ICICI Bank 2.21 pct, Tata Power 2.16 pct, NTPC 1.62 pct, Gail India 1.23 pct, SBI 1.17 pct, Infosys 1.09 pct and Larsen 1.00 pct.

Among the S&P BSE sectoral indices, Healthcare fell by 4.17 pct, Metal 3.79 pct, FMCG 2.44 pct, Auto 2.10 pct, IT 1.97 pct, Teck 1.82 pct and CD 1.81 pct while Power rose by 2.02 pct, Oil&Gas 1.81 pct, Realty 1.33 pct and CG 1.32 pct.

The total turnover at BSE and NSE rose to Rs 11,458.36 crores and Rs 60,172.62 crores respectively during the week from the last weekend's level of Rs 9,237.07 crs and Rs 43,382.07 crs.

Forex: The Indian rupee snapped its 4-week losing streak, recovering 26 paise to 61.35 against the American currency on fresh dollar selling by exporters and some banks despite weak local equities and capital outflows from foreign funds.

The rupee resumed higher at 61.41 per dollar as against the last weekend's level of 61.61 per dollar at the Interbank Foreign Exchange (Forex) Market and hovered in a range of 61.5150 per dollar and 60.90 per dollar before concluding the week at 61.35 per dollar, showing a gain of 26 paise or 0.42 per cent.

The rupee had lost 122 paise or 2.02 per cent in the previous four weeks.
Veracity Group CEO Pramit Brahmbhatt said," After a four week fall last week rupee appreciated by almost half percent. Investors preferred to book profit in the already elevated dollar and to end the week at USD 85.91. Although the rupee gain was capped by the weak local equities which closed at two month low for the week." The trading range for the Spot USD/INR pair is expected to be within 60.90 to 61.90.

Indian local equities traded low during the week taking cue from the concern over the growth in china which hammered the metal stocks and forced it to lead the decline. Weak German export data released last week disappointed and raised the concern over the growth of European countries.

After 12 weeks dollar index posted its first weekly fall last week. Investors chose to book profit mainly after Fed reserve in its minutes indicated that the interest rate will remain near zero for the considerable time after it stops buying assets, he added.


In the forward market, premium ended lower on fresh receipts by exporters.
The benchmark six-month forward dollar premium payable in March dropped to 221-223 paise from 234.5-236.5 paise last weekend and far-forward contracts maturing in September, 2015 also dipped to 452-454 paise from 473.5-475.5 paise.

The RBI fixed the reference rate for the USD at 61.1624 and the euro at 77.6701 from preceding weekend's level of 61.7511 and 77.9546 respectively.
The rupee recovered sharply against the pound sterling at 98.50 from 99.72 last weekend while remained weak against the Japanese currency to end at 56.93 per 100 yen from 56.05.

It, however, fell back to 77.65 per euro from 77.56 previous weekend. (


Oils and oilseeds: Groundnut oil surged, refined palmolein slipped, while the non-edibles ended stable at the oils and oilseeds market during the week under review.
Groundnut oil prices shot-up smartly on heavy stockists buying as well as fresh retail demand coupled with ensuing festivities.

Refined palmolein slipped due to lack of retail buying activity.
Castorseeds bold and castoroil commercial showed some alternate bouts of buying and selling from shippers and soap industries and ended stable.
Linseed oil also maintained steady trend due to lack of any major buying from paint and allied industries.

The market remained closed on Monday on account of 'Id-ul-Zuha' (Bakri-Id).
In the edible oils segment, groundnut oil resume higher at Rs 805, and later surged to close at Rs 840 from last weekend's level of Rs 790, showing a rise of Rs 50 per 10kg.
Refined palmolein opened higher at Rs 515 but later drifted further to finish at Rs 505 from its previous level of Rs 512 per 10kg, showing a fall of Rs 7.

Turning to non-edible section, castorseeds bold resumed stable at Rs 4,050 and later eased to Rs 4,025 before recovering to settle at its preceding weekend's level of Rs 4,050 per 100kg.

Castoroil commercial also commenced steady at Rs 840 and later fell to Rs 835 before rebounding to close at last weekend's level of Rs 840 per 10kg.
Linseedoil remained stable throughout the week and closed at its previous weekend's level of Rs 765 per 10kg.