INSUBCONTINENT EXCLUSIVE:
Indian equities picked up more steam on Friday, riding on a rally in PSU bank, financial and energy shares.
It turned out to be the third
straight week of gains for the key benchmarks.
Strong FII inflows along with a firm rupee suggested that investors are slowly but gradually
overcoming their fears that had gripped Dalal Street over the last few weeks.
The day saw the BSE Sensex shut shop at 35,457, up 196.62
Bharti Airtel made merry as the top index gainer, with a gain of 9.42 per cent.
RIL, SBI, Hero MotoCorp, HDFC and HDFC Bank too scored,
jumping up to 2.74 per cent.
However, YES Bank was on a sticky pitch, down 6.46 per cent, after former SBI chairman O P Bhatt resigned from
the panel set up by the private sector lender to find a successor to its MD and CEO Rana Kapoor
The private lender has tanked nearly 15 per cent in a span of three days.
The advance-decline ratio was 2:3, a sign of underlying
bearishness in the market
Midcap and smallcap indices underperformed the Sensex.
Telecom, energy, FMCG and IT indices looked good
Metal, oil and gas and basic material indices were among top sectoral losers
Vodafone Idea was the top BSE performer, rallying by over 16 per cent.
Let's look at what made stocks rally today
Financials, energy lift moodBuying is back in public sector, financial and energy stocks
The BSE Energy index soared 1.47 per cent, with RIL emerging as a big hitter
RIL pipped TCS in today's session to become the most valued company in market cap terms.
Although public banks rose significantly, their
Top private lenders such as YES Bank, ICICI Bank, Axis Bank and IndusInd Bank all ended down.
2
FII outflows come to a haltIn the past four days to the week, FIIs have poured in Rs 1,141 crore into Indian equities
The figure stood at a net Rs 1,322 crore so far this month
This compares with outflows of Rs 28,921 crore in October and Rs 10,824 crore in September.
3
Rupee does all the talkingLooks like, the rupee is on a roll
The local currency went up a solid 48 paise against the dollar during intra-day trade to hit a high of 71.50
The domestic unit got some of its lustre back amid foreign fund inflows and lower crude oil prices
Oil on track for weekly lossOil is set for a sixth weekly loss on oversupply concerns that have knocked off more than a fifth off the Brent
crude benchmark since early October
A cheaper oil means lighter import bill for India.
Expert-talk:
Vinod Nair, Head of Research, Geojit Financial Services
"Market was range
bound with a positive bias amid strong rupee and inflow of foreign funds
Broadly, the second quarter earnings were tad below the expectation of 15 per cent YoY (Nifty50) and the market has largely factored in a
gradual downgrade in earnings in the second half of FY19
While investors are looking for major triggers for a decisive upmove above 10700 level, stability in the rupee and oil prices will provide
direction to the market despite election-led uncertainty."
