Sensex down for seventh consecutive week

Sensex down for seventh consecutive week

BILAL HUSSAIN


Srinagar, July 6: The markets closed in red for the seventh successive week, bears hold the market for three of the five trading sessions during the week.
The sensex ended the week with a loss of 348 pts closed at 13454, nifty closed shed 120 pts ended at 4016. The markets are losing due to high crude prices, surging inflation, weak global markets, investment pull out by the foreign institutional investors, and the political instability in India.

l Market wrap:
The markets opened positive on Monday, the indices were unable to sustain the initial gains in the ensuing hours and closed well below dotted line. The sensex has hit an intraday low of 13,405.54, before closing the day at 13,461.60, down by 340.62 pts. The nifty fell by 96.1 pts to end at 4021.70 after touching a low of 4021.70.
The markets continued to remain in reds on Tuesday as well and the indices slipped further below dotted line on the account of growing concerns over crude and political uncertainty. The BSE’ benchmark index, sensex, tumbled 500 pts and closed below the 13K levels. The sensex closed below 13,000 for the first time since April 5, 2007 and nifty below 3,900 for first time since April 12, 2007. The sensex closed at 12,961.68 down by 499.92 pts. Nifty lost 143.8 pts to end at 3896.75.
After two days downhill journey of the indices on the bourses, Wednesday came on rescue session of the week. The sensex shot up by 750.63 pts, which was the highest intraday absolute gain for sensex since March 25, 2008. It closed with a gain of 702.94 pts closed at 13,664.62. Nifty has hit a high of 4107.15, up by 196.6 pts to settle at 4093.35.
On Thursday the sensex was down by 570.51 pts ended at 13,094.11, nifty crashed at 3925.75 down by 167.6 pts.
On Friday the markets close the week on an unstable but positive note aided by realty, consumer goods and power sector stocks. The market sentiments were dampened during the mid-session on account of higher inflation numbers of 11.63 per cent against 11.42 per cent a week ago but buying across sectors helped the indices to recover most of the losses and close well above breakeven.
The sensex has touched an intraday high of 13,509.74 and low of 13,027.79, before ending the day at 13,454, up by 359.89 pts. The nifty managed to end above 4000 mark and closed at 4016 up by 90.25 pts.

Institutional Front:
For the week ended July 4, 2008, mutual funds emerged as net buyers to the tune of Rs 6 billion, while the Foreign Institutional Investors emerged as net sellers to the tune of Rs 5 billion.

Experts’ opinion:
Rising crude oil prices is one of the main dampener in Indian stock markets. The investors should be caution while making any fresh investment and should make thorough analysis of the equities of different companies.