Key benchmark indices edged higher for the fourth consecutive session this week. Price rose on account of positive global and domestic cues. The week started off on a positive note as GDP numbers for the first quarter came in better than expected. The first 3 months of the new government saw GDP grow at 5.7%, compared to an expectation of 5.5%. Additionally there was some optimism among market participants that the Supreme Court would not go through with the cancellation of coal blocks as it resumed hearing in coal block cases.
On the global front, European indices performed well during the week which rubbed off on domestic indices. This happened after Ukraine’s president came to a decision of permanent ceasefire, mutually with Russian president Vladimir Putin. Crude price also fell significantly at the start of the week which further added to domestic gains. Lower crude price lowers pressure on trade deficit as India imports nearly 80% of its crude requirement.
However, things turned grim in the penultimate and last trading sessions. This was primarily crude to a sudden surge in global crude prices. However, market did manage to trim some losses towards the end of the last session and closed the week with a fresh all-time high.
Domestic indices rose in 3 of the 5 trading sessions. S&P BSE Sensex gained nearly 390 points or 1.46% during the week. Broader indices fared much better as BSE Midcap closed the week with gains of 4%, while BSE Smallcap rose 3.5%. CNX Nifty was up 1.67%.
On the BSE sectoral space, Consumer Durables was the top performing section as it rose by 5.22%. The sector was preceded by BSE TECk and Infra, which were up by 3.54% and 3.48%, respectively. At the opposite end of the spectrum, FMCG was down 0.58% and was the sole loser on the BSE this week.
Foreign institutional investors stood net buyers, both in the equity as well as the fixed income segment. Net inflows on the equity side stood at Rs. 2240 crores, while the fixed income side saw inflows worth Rs. 3348 crores
