NIFTY made a new lifetime high on Tuesday, November 26, and did so again two days later. Friday saw a sharp correction with the expected weak GDP numbers. The week ended with the BSESENSEX gaining 434.40 points or 1.08 per cent to close at 40,793.81 points, while the NIFTY gained 141.65 points or 1.19 per cent to close at 12,056.05 points.
The new lifetime highs made during the week were 41,163.79 points on BSESENSEX and 12,158.80 points on the NIFTY.
The broader market saw BSE100, BSE200 and BSE500 gain 1.23 per cent, 1.36 per cent and 1.38 per cent, respectively. The BSEMIDCAP was up 2.35 per cent while the BSESMALLCAP was up 1.55 per cent. The Indian Rupee lost 3 paisa, or 0.04 per cent, to close at Rs 71.74. Dow Jones gained 175.79 points, or 0.63 per cent, to close at 28,051.41 points.
November futures expired on a positive note, gaining 273.70 points or 2.30 per cent, to close at 12,151.15 points.
GDP for the second quarter (July-September) came in at 4.5 per cent. This is the slowest growth in about six years. While the number is poor, it is likely to be the bottom and should rebound in the coming two quarters. This slowdown would also put pressure on the RBI when they meet during December 3-5 for their bi-monthly monetary policy review meet. While a rate cut is expected and the street believes that 25 basis points would be cut from the present 5.15 per cent, I strongly believe that it could be more and may be in the region of 35-40 basis points.
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