Nifty, Sensex will move sideways – Weekly closing report

Nifty may move in a narrow range between 7850 and 8000


The S&P BSE Sensex closed the week that ended on 1st October at 26,568 (down 58 points or 0.22%), while the NSE's CNX Nifty ended at 7,946 (down 23 points or 0.29%). Last week, we had mentioned that the Nifty could rally until 8,100 as long as it does not go below the last week’s low of 7,841. Although this week, the index did not cross the level of 7,841, the benchmark was directionless

Following a volatile session, Nifty closed marginally lower on Monday. Nifty closed at 7,959 (down 10 points or 0.12%). Prime Minister Narendra Modi, who was on his five-day official visit to United States starting 26 September 2014, was due to meet US President Barack Obama at the White House on 29-30 September 2014. Market waited for the Reserve Bank of India (RBI) bi-monthly monetary policy review on Tuesday.

In line with what we anticipated on Monday, most of the session the Nifty moved sideways on Tuesday, except for volatility observed in the afternoon session. Nifty closed at 7,965 (up 6 points or 0.07%). As was widely foreseen RBI kept the key rates unchanged. The RBI in its fourth bi-monthly credit policy review kept repo, reverse repo, cash reserve ratio and bank rate unchanged.

Data released by the government after trading hours on Tuesday, showed that eight core industries, comprising nearly 38% of the weight of items included in the index of industrial production (IIP), grew 5.8% in August 2014 up from 2.7% growth posted in July 2014.

Against what we mentioned on Tuesday, the Nifty closed lower on Wednesday following the weak data from the US. Nifty closed at 7,946 (down 19 points or 0.24%). Confidence among US consumers fell to a four-month low in September as Americans' views of the labour market deteriorated.

Fitch said India's growth is expected to accelerate to 5.6% in the current fiscal and further to 6.5% in 2015-16, buoyed by strong investments and political certainty.
The Indian stock exchanges remain closed on Thursday on account of Mahatma Gandhi Jayanthi and again on Friday on account of Dussehra.

For the week, among the other indices on the NSE, the top two performers were IT (3%) and Media (3%), while the worst two performers were Realty (3%) and Metal (2%).

Among the Nifty stocks, the top five stocks for the week were Sun Pharma (7%); Wipro (5%); Infosys (5%); Zee Entertainment (4%) and Tata Consultancy (3%) while the top five losers were DLF (7%); Jindal Steel & Power (7%); Tata Steel (5%); Tata Power (4%) and IDFC (4%).

Of the 1,499 companies on the NSE, 785 companies closed in the green, 663 companies closed in the red while 51 companies closed flat.

Out of the 27 main sectors tracked by Moneylife, top five and the bottom five sectors for this week were:


ML Top sector


ML Worst sector


Consumer Durables


Real Estate






Software & IT Services


Non-Ferrous Metals




Oil & Gas








Tatkal tickets become costlier

With the introduction of dynamic pricing, 50% of the Tatkal tickets would become costlier and there is no refund or concession


The Indian Railways has introduced premium Tatkal tickets online for select trains. These tickets, sold only online on a confirmed basis under dynamic pricing, form 50% of the regular quota available under the Tatkal scheme.


Under the dynamic pricing scheme based on distance-slab, the fare would increase by 20% after each slab of 10% of berths are sold. There, however, is a cap on maximum fare, which can be charge under the dynamic pricing scheme.


In addition, there will not be any concession or refund on tickets brought from this quota. All existing rules for Tatkal booking will apply to the premium tickets as well.



suneel kumar gupta

3 years ago

Again misdirected move. Rather than increasing accommodation in trains, increase in tatkal charges


Gopalakrishnan T V

3 years ago

Greed has no end. Exploitation is the means to satisfy the greed. The hapless people have no means to fight it out but to succumb to the greed and contribute and suffer perennially. Change of Government has changed the approach to loot the public.People have voted for only Mr Modi on his promises and definitely not the members he has elected to bring in the effective Corporate governance he has all along been harping.If these Ministers are referred to a Public referendum except perhaps one or two of his Ministers others would definitely do not stand a chance to continue.

Kiran Aggarwal

3 years ago

Trying to Go like Airline way.
Railways need to put atleast 5 trains
In 4 Directions of India.

People will be angry and
There will be a hue n cry
bcoz everybody's pocket is not that much deep- Railways wants it to be.

Railways need to Think like
Taj Mumbai


Rs4 lakh crore for a Clean India with more than Rs50,000 crore each year for Panchayats!

These are numbers being bandied about by the Modi government. Are they real? Where will the money come from?


Nitin Gadkari, the union minister for Rural Development and Drinking Water and Sanitation on Wednesday announced a grant of Rs20 lakh for each village in the country every year until 2 October 2019. Considering there are about 2.65 lakh gram panchayats in the country (2002 estimate), this translates into an additional expenditure of over Rs53,000 crore every year or about Rs2.65 lakh crore for next five years on the exchequer. This is in addition to Rs1.34 lakh crore, Gadkari's Ministry is spending for building toilets across the country. Both put together is about Rs4 lakh crore. The question is can India or better, can taxpayers afford this additional burden and where will the money come from?


India's weak public finances are manifested in a long history of general government fiscal deficits, averaging 8.8% of GDP over the past 20 years. There is an accumulated net general government debt stock of close to 70% of GDP. Prior governments have not been able to broaden India's revenue base (with general government revenue at about 21% of GDP, of which only half are taxes) or trim expenditure. India's budget is saddled with extensive subsidies for food, energy, and fertiliser.


According to a report from Reuters, India's fiscal deficit during the April-August 2014 was about Rs3.98 lakh crore or about 75% of the country's full year target. Net tax receipts were at Rs1.85 lakh crore during the first five months of the current fiscal that ends in March 2015, the report says.


Almost every minister in the Narendra Modi cabinet is seen making big announcement for spending public money without even thinking on resource mobilisation. Nobody is talking about increasing government resources or revenues but ministers are more eager to spend taxpayers’ money under public facilities.


Gadkari, often labelled in Maharashtra politics as 'flyover man' for initiating flyovers in the state, had already said that his ministry would spend over Rs1.34 crore for constructing over 11.11 crore toilets in the country over next five years. Piyush Goyal, another minister in the Modi government also announced that public sector units (PSUs) under his control would build about one lakh toilets in schools.


Last week, while revising India's outlook to 'stable' from 'negative' ratings agency Standards and Poor's (S&P) had said the country's fiscal and debt metrics are set to remain key rating constraints for some time. "We project net general government debt to decline to below 60% of GDP by the year ending March 2018, and with it, general government interest rate expense to just under 20% of revenues. A faster pace of deficit and debt reduction is unlikely in our view," the ratings agency said while affirming a 'BBB minus' rating on India.


Will S&P be forced to recalculate its numbers, given how Modi government is splurging money when no system of accountability has been put in place?




3 years ago

Never underestimate Nitin just recall inspite being in opposition he and Ajit cleaned off more than Rs 40,000 crores in irrigation projects so it ispossible he will exhaust the 5 year budget in next 2 years itself

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