Bullish FIIs Pushed Sensex To All Time High !
Broader markets underperformed the key benchmark indices however managed to stay in green with Mid cap index gaining 0.88 per cent and small-cap index inching up by 1.09 per cent.
Sensex created a new all time high for itself in the last week of November and managed to close above crucial 41000 levels for the first time. However, it is struggling to hold on to the gains with global market reeling under pressure. The US trade war rhetoric has resurfaced and the global markets are reacting negatively to the developments and announcements made by US president Trump. Trump suggested, that he may want to delay a trade deal with China until after 2020 presidential election. This has raised doubts about the prospects for resolving the dispute with Beijing. This development has already had a rub off effect on Asian markets.
The Indian markets were seen outperforming the global indices in the past couple of weeks. Sensex was up by 1.29 per cent and Nifty was up by 1.13 per cent even as Dow Jones Industrial Average was down by 0.90 per cent and S&P 500 slipped by 0.26 per cent. NASDAQ inched up by 0.21 per cent.
FTSE slipped 0.30 per cent, DAX retreated by 1.83 per cent while CAC 40 was down by 2.41 per cent thus making the french index the worst performing European index.
Asian market traded mixed with Hang slipping 0.89 per cent and Shanghai decelerating by 1.15 per cent. Nikkie was up by 0.48 per cent.
Metal index was the best performing sectoral index followed by Bankex and Realty Index. Metal index soared 3.69 per cent, Bankex gained 2.86 per cent while Realty index jumped 1.53 per cent in past couple of weeks. IT index was the worst performing sectoral index as it slipped by 3 per cent. Auto index retreated by 1.36 per cent and FMCG index went down by 0.77 per cent. Broader markets underperformed the key benchmark indices however managed to stay in green with Mid cap index gaining 0.88 per cent and smallcap index inching up by 1.09 per cent. Fresh shorts are seen in Index futures by FIIs and in selective metal stocks. This could mean that metal stocks may underperform in near to short term.
FIIs were net buyers to the tune of Rs 10043.85 crore in the market in past couple of weeks while DIIs remained net sellers to the tune of Rs 2133 crore in the market.
India November composite PMI came at 52.7 Vs 49.6 month on month (MoM) which means that the manufacturing activity jumped in November compared to October.
Going forward the market may take cues from the developments in the global markets and the RBI rate cut decision.
