Weekly Overview About Equity Market

Highlights for the week :
• The benchmark Sensex closed higher (up 2.7%) for the week. Mid-cap Index (up 2.4%) and Small cap Index (down 2.8%) marginally under-performed its large cap peers for the week.
• BSE Bankex (up 6.4%), BSE Capital Goods (up 5.9%) and BSE Metals (up 5.2%) were the better performing indices, while BSE FMCG (down 0.1%), BSE Auto (up 0.4%) were the worst performing indices.
• Food inflation entered the negative territory for the first time in nearly six years, raising hopes that the RBI might ease back on lending rates soon. The WPI for food articles plunged to -3.36% as on December 24, on the back of a sharp fall in the price of mass consumption vegetables.
• In a bid to give India Inc respite from possible pressures arising from redemption of FCCB, RBI said eligible borrowers can raise these bonds for up to US$750mn or equivalent per financial year for permissible end-uses.
• Government data shows that STT collections have fallen by over 26% during April-December 2011.
• Exports during November 2011 grew at the slowest pace in two years, registering an increase of just 3.87% over the same month in 2010 to US$22.32bn.