Mumbai: The BSE benchmark Sensex overcame the two week losing streak by regaining the key psychological level of 29K and the Nifty reaching the crucial 8,800-level to end the week on a high.
The week saw the market overcoming the volatility that emanated due to the BJP defeat in key Delhi assembly election, sustained foreign capital outflows, dismal corporate earnings results besides global uncertainty over Greek debt crisis as well as Russia-Ukraine skirmishes.
Discounting the AAP-win in the coveted Delhi election result, investors centred on the forthcoming Budget session which is the ruling BJP's first full-year financial plan amid expectations of further acceleration in economic reforms lifting up the market sentiment.
The slow down in December industrial output (IIP) growth by 1.7 percent and surge in January Consumer Price Index (CPI) inflation though well within RBI's range led to prospects of interest rate cut by the apex bank.
Banking stocks regained confidence as the country's largest public sector lender SBI's over 30 percent jump in its Q3 results along with supportive global cues due to Russia-Ukraine truce and Greece settling for deal in its debt helped in positive sentiments.
The Sensex opened lower at 28,566.50 and hovered around a high of 29,154.67 and low of 28,044.49 before settling at 29,094.93 during the week. The 30-share index has gained 377.02 points, or 1.31 percent over its previous close.
The 50-unit CNX Nifty also surged 144.45 points, or 1.67 percent to end at 8,805.50.
The week saw buying in sectors led by HealthCare, Power, Banking, Auto, Metals, Consumer Durables, FMCG, IT, Teck and Capital Goods along with shares from Mid-Cap and Small-Cap companies. However, Realty and Oil&Gas segments saw profit-booking.
Jignesh Chaudhary, Head of Research, Veracity Broking Services said," The markets observed bearish trend but also managed to recover on the same day and managed to close in green".
The Election results of New Delhi had not impacted the market much even though the ruling party Bhartiya Janta Party got its first defeat since it came to power.
The release of Economic data was also positive news as the retail inflation data was below the target of the RBI which further gives a chance of a rate cut.
Investors are also expecting reform initiatives from the government during the Budget to be presented on 28th of this month, which could be in favour of the markets.
Major blue chips posting amazing earning results also helped the markets. The Economic Calendar in the coming week has couple of important data release for Indian Markets such as WPI (Jan) and Bank Loan growth.
Both are expected to show improvement as compared to the previous data release.
Meanwhile, Foreign portfolio investors (FPIs) continued to sell shares during the week as they sold scrips worth a net Rs 1,755.26 crore as per the SEBI figures.
As many as 21 scrips out of the 30-share sensex pack ended higher while the remaining nine finished lower.
Major gainers were Dr Reddy's Lab (9.46 pct), SBI (5.75 pct), Icici Bank (4.21 pct), Hindalco (4.17 pct), M&M (3.72 pct), Coal India (3.67 pct), Axis Bank (3.22 pct), Maurti (3.20 pct), Infosys (3.01 pct), Tata Power (2.80 pct), Wipro (2.77 pct), Hero Motocorp (2.48 pct), NTPC (2.14 pct), Cipla (1.97 pct), Bajaj Auto (1.50 pct), ITC (1.22 pct), Sun Pharma (1.16 pct) and Tata Motors (1.05 pct).
However, Bharti Airtel fell by 3.40 pct followed by Gail India 3.30 pct, ONGC 3.10 pct, HUL 2.20 pct, BHEL 1.80 pct, TCS 1.40 pct and Larsen 1.30 pct.
Among S&P BSE sectoral indices, Healthcare rose by 4.19 pct followed by Power 3.59 pct, Bankex 3.03 pct, Auto 2.81 pct, Metal 2.04 pct, Consumer Durable 1.86 pct, IT 1.62 pct, FMCG 1.43 pct, Teck 1.07 pct and Capital Goods 1.05 pct.
Small-cap and Mid-cap indices also rose by 1.46 pct and 2.39 pct respectively on renewed buying from retail investors.
The total turnover at BSE and NSE dropped Rs 17,989.23 crs and Rs 92,153.98 crs respectively from the last weekend's of Rs 20,048.20 crore and Rs 1,00,170.58 crore.
