Saturday, 29 December 2012

Sensex snaps 2-week losing streak, surges 203 points during week

Sensex snaps 2-week losing streak, surges 203 points during week
Clean Media Correspondent

MUMBAI, Dec 29 (CMC) The last week of the year 2012 paved the way for 2013 to gain further momentum on the back of year-end reforms amid indications of more tough stance to be taken by the government to deal with the rising fiscal as well as trade deficit. 

Sensex rose by almost 203 points to end the week at 19,444.84, snapping its last 2-week losing streak. 

All-round buying led by refineries, realty, power and capital goods, following persistent capital inflows from foreign funds amid sops for exporters announced by the government during the week also boosted the market sentiment. 

RILBSE 2.73 %, ONGCBSE 2.49 %, IOCBSE 3.03 % and BPCLBSE 2.23 % attracted heavy buying following reports that the government might gradually increase the diesel price to cut subsidies. 

The possibility of tough reforms after speech of Prime Minister Manmohan Singh at the National Development Council (NDC) meeting, indicating a phased reduction in energy subsidies, and an early implementation of the Goods and Services Tax ( GST) helped the recovery. 

The government announced extension of 2 per cent interest subsidy to exporters till March 2014 and a pilot scheme of 2 per cent interest subsidy for project exports through Exim Bank. 

The BSE benchmark Sensex resumed higher at 19,278.00 and hovered in a range of 19,504.40 and 19,237.26 before settling the week at 19,444.84, disclosing a net gain of 202.84 points or 1.05 per cent. 

The NSE 50-share Nifty also shot up by 60.65 points or 1.04 per cent to 5,908.35.

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