1. Sensex soars 412 points on Rajan's measures; Rate sensitives rally
Market Summary
05-Sep-2013
Markets celebrated the reforms unveiled by Dr. Raghuram Rajan to tighten liquidity. Benchmarks reclaimed their
crucial levels of 19K and 5600 in morning deals. The jubilation continued amid choppy trades, as Rupee witnessed
decent recovery. Both frontline gauges rocketed over 2% with Sensex rallying over 400 points and Nifty near 5600 at
the close. Among BSE sectorials, Rajan’s announcements had set rate sensitives on fire. Banking index zoomed
9.22% followed by Realty spiking 5%.
On global front, US markets gained for second day over prospective US intervention in the Syrian civil war. Asian and
European indices also inched up as Bank of Japan maintained its massive monetary stimulus and revised up its
outlook for the economy.
Back home, after taking the helm of RBI, Dr, Raghuram Rajan, in his first press conference has announced a slew of
measures for bringing back investor’s confidence in Indian economy. The measures are eyed towards boosting rapidly
depreciating domestic currency, checking inflation, balancing liquidity with priority sector lending and growth. Banking
index climbed 9% on the back of RBI’s measures. Yes Bank was the star performer soaring 25%. Federal Bank, Axis
Bank, IndusInd Bank, ICICI Bank and SBI spurted 10-20% on BSE.
Bajaj Finance (up 7.61%), JM Financial (up 11.19%), LIC Housing Finance (up 5.49%), L&T Finance Holdings (up
2.78%), IDFC (up 6.19%), India Infoline (up 2.54%) rallied on BSE over a rough indication by Rajan of announcing new
banking licenses by around January 2014.
Long awaited, Pension Fund Regulatory and Development Authority Bill, 2011 has been passed by Lok Sabha
yesterday. The Bill, if becomes act will create a regulator for the pension sector and extend the coverage of pension
benefits to more people. The Bill was passed with final voting reflecting a support of 174 MPs.
Coal India surged 7% on BSE as the company inked fuel supply agreements (FSAs) with sixteen private power
projects worth Rs 84,500 crore. (Read More)
State owned Hindustan Organic Chemicals (HOCL) rallied 9.52% on BSE on raising Rs 100 crore via four year bonds
carrying an interest rate of around 10%. (Read More)
The market breadth on the BSE closed in positive. Advancing and declining stocks were 1699 and 947 respectively,
while 176 scrips remained unmoved.
The S&P BSE Sensex ended at 18979.76, up 412.21 points or 2.22%. The 30 share index touched a high and a low
of 19117.52 and 18847.02 respectively. 25 stocks advanced against 5 declining ones on the benchmark index.
The CNX Nifty gained 144.85 points or 2.66% to settle at 5592.95. The index touched high and low of 5625.75 and
5552.70 respectively. 34 stocks advanced against 15 declining ones on the index.
S&P BSE Sensex CNX Nifty
The S&P BSE Mid-cap index moved up to 5420.23 and gained 1.69% while S&P BSE Small-cap index jumped up by
1.52% to 5310.31.
The broader S&P BSE 500 index increased to 6819.39 (up 2.29%) and CNX 500 index rose to 4264.05 (up 2.39%).
The volatility as denoted by INDIA VIX lost 8.29% at 28.53 from its previous close of 31.11 on Wednesday.
Sectors in action
On the BSE Sectorial front, Banks (up 9.30%), Real Estate (up 5.41%) and Consumer Durables (up 4.54%) were the
top gainers.
Information Technology (down 2.95%) and Healthcare (down 0.22%) were the top losers.
The Angels and the Devils
Bharat Heavy Electricals Ltd (up 14.91%), ICICI Bank (up 13.94%), State Bank of India (up 10.91%), Coal India Ltd (up
8.52%) and HDFC Bank (up 7.71%) were the top gainers on the Sensex.

2. Sesa Goa Ltd (down 2.80%), Wipro Ltd (down 2.26%), Infosys Ltd (down 1.03%), GAIL (India) Ltd (down 0.75%) and
Tata Consultancy Services Ltd (down 0.22%) were the top losers on the Sensex.
Benchmark Drivers
ICICI Bank (152.63 points), HDFC Bank (100.70 points), Housing Development Finance Corporation Ltd (89.23
points), Reliance Industries Ltd (67.05 points) and ITC Ltd (61.91 points) were the major Sensex drivers today.
On the other end ICICI Bank (26.30 points), HDFC Bank (26.06 points), ITC Ltd (20.41 points), Housing Development
Finance Corporation Ltd (18.12 points) and Infosys Ltd (-15.80 points) were the major Nifty movers today.
Pivot, Supports and Resistance Levels
CNX Nifty is now pivoted at 5590 for next session. The next support is at 5555 and on upside it has a resistance at
5628 levels.
CNX Nifty
Eff. Date S 3 S 2 S 1 PIVOT R 1 R 2 R 3 Actual Close
06-Sep-2013 5482 5517 5555 5590 5628 5664 5701 -
05-Sep-2013 5217 5268 5358 5409 5499 5550 5641 5592.95
04-Sep-2013 4993 5158 5250 5415 5507 5673 5764 5448.10
S&P BSE Sensex has a pivot at 18981 with first level of support and resistance at 18845 and 19116 respectively.
S&P BSE Sensex
Eff. Date S 3 S 2 S 1 PIVOT R 1 R 2 R 3 Actual Close
06-Sep-2013 18575 18711 18845 18981 19116 19252 19386 -
05-Sep-2013 17876 18032 18300 18456 18724 18880 19148 18979.76
04-Sep-2013 17090 17628 17931 18469 18773 19311 19614 18567.55
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