LSE Securities. Major Indices Performance

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LSE Securities Weekly Report 26 April 2013 The markets extended their festive mood during the passing week, adding substantial gains and making a fabulous close of the April F&O series.

The markets remained in jubilation mood since the start of the week and the two major indices hit their highest level in almost five weeks, supported by a rally in rate-sensitive sectors such as

1 LSE Securities Weekly Report 26 April 2013 The markets extended their festive mood during the passing week, adding substantial gains and making a fabulous close of the April F&O series. Though it was again a holiday shortened week but markets kept their spirits high which reached its peak on expiry day with series posting a gain of around four percent. The markets remained in jubilation mood since the start of the week and the two major indices hit their highest level in almost five weeks, supported by a rally in rate-sensitive sectors such as banks, real-estate and auto amid hopes that the central bank would ease monetary policy more aggressively next month to boost growth in the Asia s third-biggest economy. Though next day there was some consolidation and euphoria in power sector fizzled out after the Cabinet Committee on Economic Affairs dropped the proposal to pool prices of imported and domestic coal to make the fuel affordable for new power plants. But there was a last hour recovery that helped the markets remain in green before going for a holiday as the Cabinet Committee on Investment (CCI) cleared 25 exploration and production blocks out of the 31 blocks where work had been stalled on account of security restrictions and also approved 13 power projects entailing investments worth Rs 33,000 crore that were stuck due to various reasons. The markets came back with a new vigor on Thursday and benchmarks despite being the series expiry never looked worried, gaining substantial gains in the final hours on hefty short covering in the dying hours. The overall mood remained optimistic going forward in the new series on Finance Minister P Chidambaram s statement to reach out to the main opposition BJP and other political parties seeking their support to get crucial legislations approved in the ongoing budget session. However, there was some profit booking on the final day of the week and benchmarks pared some gains, still they snapped the week higher by around one and half a percent. The Bombay Stock Exchange (BSE) Sensex surged points or 1.42% to during the week ended April 26, The BSE Mid-cap index was up by points or 0.92% to and the Small-cap index up by points or 0.81% to On the sectoral front, Auto up by points or 4.11% at , Capital Goods (CG) up by points or 3.16% at , Consumer Durables (CD) up by points or 2.48% at , Health Care (HC) up by points or 2.10% at and Bankex up by points or 2.04% at were major gainers on the BSE sectoral space, while IT down by points or 4.83% at , TECk down points or 2.24% at and Realty down 3.69 points or 0.19% at were the top losers on the BSE sectoral front. The NSE Nifty climbed by points or 1.53% to On the National Stock Exchange (NSE), Bank Nifty up by points or 1.99% to , CNX IT down by points or 4.17% to , while CNX mid-cap up by points or 1.19% to and CNX Nifty Junior up by points or 1.40% to Foreign Institutional Investors (FIIs) (till Thursday s data) were net buyers in equity segment in the week with gross purchases of Rs crore and gross sales of crore, leading to a net inflow of Rs crore. They stood as net buyers in the debt segment as well with gross purchases of Rs crore against gross sales of Rs crore, resulting in a net inflow of Rs crore. The foreign direct investment (FDI) in India declined by 19 percent in February, 2013 to $ 1.79 billion from the $ 2.15 billion recorded in the same month of the previous year, owing to the prevailing global economic slowdown. During the April-February period of FY13, FDI declined by 38 percent to $20.89 billion from $33.49 billion in the corresponding period last year. The sectors which have received maximum FDI during the first 11 months of the FY13 include services ($4.74 billion), hotel and tourism ($3.21 billion),metallurgical ($1.39 billion),construction ($1.26 billion) and Pharmaceuticals ($1.11 billion). Country wise, India received maximum FDI from Mauritius ($8.97 billion), followed by Japan ($2.11 billion), Singapore ($1.98 billion), the Netherlands ($1.67 billion) and the UK ($1.06 billion). SYMBOL Last 26 April 2013 Major Indices Performance High Low Last Week Close 18 April 2013 % BANKNIFTY CNX CNX CNXIT CNXMIDCAP MIDCAP NIFTY NIFTYJR

2 FIIs Movement ( Rs. Cr.) Mutual Fund Movement ( Rs. Cr.) Gross Purchase Gross Sales Net Investment Equity Debt Equity Debt Equity Debt Gross Purchase Gross Sales Net Investment Equity Debt Equity Debt Equity Debt 22-Apr Apr Apr Apr Apr Apr Outlook for the coming week Indian equity markets, in the passing holiday shortened week, registered gains of over a percent and ended in green for three out of four trading sessions. The coming week would see the much awaited RBI s Monetary Policy Review on May 3, which would dictate stock markets movement for the near term. The Reserve Bank of India (RBI) is likely to cut interest rates for a third time this year, drawing comfort from a fall in inflation as it seeks to help lift the economy from its lowest growth in a decade. Further, in the ongoing result season, the major corporate s that would report their earnings for the coming week, include, Hindustan Unilever, ING Vysya Bank, Shree Cement, Dabur India, Godrej Consumer, Marico, Petronet LNG, IDFC, Ambuja Cements, etc. Since coming week, would mark the start of next month, market-participants would await the Auto numbers for the month of April. While, Markit Economics will announce HSBC India Manufacturing PMI, which gauges the business activity of India s factories, for April 2013 on Thursday, May 2, On the global front, investors will be eyeing the release of batch of economic data from the United States, starting from Existing Home Sales data on May 22, followed by FOMC Minutes, Jobless Claims, New Home Sales and Durable Goods Orders data on May 24, Weekly Top Gainers Axis Bank up by 23.53% was the top gainer on Nifty for the week - Axis Bank s net profit for the quarter ended March 31, 2013 jumped by 21.75% at Rs crore for the quarter as compared to Rs crore for the quarter ended March 31, The bank s net profit for the year ended March 31, 2013 rose by 22.09% at Rs crore as compared to Rs crore for the previous year ended March 31, Its total income has surged by 23.05% to Rs crore for the year under review from Rs crore for the previous year. Maruti Suzuki up by 18.88% was another top gainer on the Nifty - Maruti Suzuki India reported a rise of 93.74% in its net profit at Rs crore for the quarter ended March 31, 2013 as compared to Rs crore for the same quarter in the previous year. Total income of the company has increased by 13.45% at Rs crore for quarter under review as compared to Rs crore for the quarter ended March 31, For the year ended March 31, 2013, the company has posted a rise of 46.29% in its net profit at Rs crore as compared to Rs crore for the same period in the previous year. Company Name NSE TOP Gainers - Nifty Last (Rs.) 26/04/13 Prev (Rs.) 18/04/13 Chg (Rs.) Axis Bank Maruti Suzuki Indusind Bank JP Associate Larsen & Toubro Chg%

3 Top Losers Infosys down by 20.04% was the top loser of the week on Nifty- Infosys managed to add a number of smaller clients last financial year, a reflection of the tough times it had to go through, while its peers managed to grab some large-size deals. Meanwhile, bagged the top IT/ITeS exporters award (above Rs 500 crore) from Andhra Pradesh state. TCS down by 8.55% was another major loser on the Nifty - Tata Consultancy Services (TCS) is planning to go for job cuts in Finland, which will affect staffers who had come on its rolls in January as part of an outsourcing arrangement. TCS is trying to streamline its operations in selected areas and harmonising them with its global operations and thus the employee are facing a risk of losing their jobs. The entity has started the process of collective consultations with employee representatives in Finland. NSE TOP Losers - Nifty Company Name Last (Rs.) 26/04/13 Prev (Rs.) 18/04/13 Chg (Rs.) Chg% Infosys TCS HCL Tech Jindal Steel & Power Hindustan Unilever Technical Viewpoint - CNX Nifty During the week, CNX Nifty touched the highest level of on April 25, 2013 and the lowest point of on April 22, On the last trading day, the Nifty closed at with a weekly gain of points or 1.53%. For the coming week, followed by are likely to be good support levels for the Nifty, while the index may face resistance at and levels. NSE Weekly Chart /4/ /4/ /4/ /4/2013

4 Derivatives Snapshot Highest In OI (Index Futures, Index Option) Type Symbol Expiry Type Strike LTP Volume in Volume Value (Rs. Lakhs) in Open Interest O I FUTIDX NIFTY 30-May FUTIDX BANKNIFTY 30-May FUTIDX NIFTY 27-Jun OPTIDX NIFTY 30-May-13 PE OPTIDX NIFTY 30-May-13 PE OPTIDX NIFTY 30-May-13 CE Highest In OI (Stock Futures, Stock Option) Type Symbol Expiry Type Strike LTP Vol in Vol Value (Rs. Lakhs) in Open Interest O I FUTSTK MCDOWELL-N 30-May FUTSTK RELIANCE 30-May FUTSTK SBIN 30-May OPTSTK INFY 30-May-13 CE OPTSTK INFY 30-May-13 CE OPTSTK MCDOWELL-N 30-May-13 CE US Market The US markets remained in a jubilant mood during the passing week as investors embraced earnings and lessdismal-than-anticipated corporate forecasts. The gains were despite reports that US companies are pulling back on borrowing, which could put a drag on the limping US economy and make it even harder for banks to break out of their long slump. The outstanding loans by the biggest banks to US companies declined 9% in the first two weeks of April compared with the end of March. The slip followed a 2.7% rise in the first quarter, the smallest quarterly gain in two years. On the economy front, the Labor Department reported that the number of people who applied last week for new unemployment benefits fell near a five-year low, though the decline probably reflected temporary distortions that often occur after the Easter holiday and not a marked improved in the US labor market. Initial jobless claims dropped by 16,000 to a seasonally adjusted 339,000 in the week ended April 20. That s the second lowest reading in 2013 and approached levels last seen in January The sales of new single-family homes rose in March following a substantial drop in the prior month, signaling restarted momentum in the housing market. The US Department of Commerce reported that the seasonally adjusted annual rate of new-home sales rose 1.5% to 417,000 in March from 411,000 in February. Besides, US home prices rose 0.7% on a seasonally adjusted basis in February, the Federal Housing Finance Agency stated. In the 12 months ended in February, home prices were up 7.1%, though they are still 13.6% below the index s April 2007 peak. The FHFA index has not declined in any month since January On the other hand, the US flash manufacturing purchasing managers index fell to a 52.0 reading in April from 54.6 in March, Markit stated. This is the lowest reading in six months. New orders slowed sharply in April, employment also expanded at a slower rate. High Low % Dow Jones Nasdaq S&P

5 European Market The European markets looked a bit relaxed during the week though the data showed that France and Spain fell short of their budget deficit goals last year, although the overall financial picture for the euro zone improved. France s budget deficit for last year was 4.8% of gross domestic product (GDP), statistics office Eurostat stated. That compared with a target of 4.5%. Spain s budget shortfall was 7.1% of GDP, excluding bank recapitalization, higher than the government s 6.98% official year-end reading and well above Madrid s original target of 6.3%. Overall, the euro zone looked much better off at the end of last year. Its combined financial deficit was 3.7% of gross regional product, compared with 4.2% in 2011 and 6.5% in Both Spain and France are expected to get more time to reach the EU-mandated deficit targets of 3% of GDP. Besides, unemployment soared to records in both France and Spain as the impact of government spending cuts and a collapse in consumer confidence forced employers to shed thousands of workers. In France, the number of people out of work reached a record 3.2 million in March in a blow to socialist president François Hollande, who has struggled to stabilize the economy in the face of declining exports and a fall in domestic demand. The figures triggered a heated debate about Europe s austerity drive with leading IMF and European Central Bank officials sharply at odds. The IMF is also calling for a relaxation in austerity drives - for both the euro zone and Britain - but Germany and the ECB are opposed. High Low % DAX FTSE Asian Market Asian markets resumed their northward journey after a week of halt as investors chased for value buying across the region hoping that the European Central Bank will cut interest rates next week in wake of weaker-than-expected German and euro zone industrial production and service-sector output figures. Sentiment remained jubilant after upbeat US labour market data. Back on regional front, Japanese Nikkei remained the top gainer among the regional peers, garnering gains of over four percent as investors piled up position in the risky assets during the week ahead of BOJ meeting. Sentiments also got support after the Bank of Japan on April 26, 2013 boosted its inflation and economic growth projections for the world s third-largest economy as it eyes an end to years of deflation. South Korean shares edged higher by about two percent after country s economy grew the most in two years in the first quarter, as the government front-loaded spending and exporters weathered the slide in the yen that aids rivals in Japan. Gross domestic product (GDP) gained 0.9 percent from the previous three months after a 0.3 percent increase in the fourth quarter. However, Shanghai composite remained the only loser among the Asian peers after a preliminary version of HSBC s manufacturing Purchasing Managers Index slipped to a two-month low of 50.5 in April, compared with a final reading of 51.6 in March. Hong Kong market snapped the week in red as commodity producers suffered selling. High Low % Hang Seng KLSE Nikkei Straits Times Seoul Shanghai Disclaimer : This document has been prepared by LSE Securities and Accord Fintech Pvt. Ltd. and is being distributed in India by LSE Securities, a registered broker dealer. This information in the document has been complied by the research department. Due care has been taken in preparing the above document. However, this document is not, and should not be construed, as an offer to sell or solicitation to buy any securities. Any act of buying, selling or otherwise dealing in any securities referred to in this document shall be at investor s sole risk and responsibility. This document may not be reproduced, distributed or published, in whole or in part, without prior permission from the company. Copyright Accord Fintech Pvt. Ltd. and LSE Securities

LSE Securities. Major Indices Performance

LSE Securities. Major Indices Performance Weekly Report 26 July 2013 Markets witnessed full volatility in the F&O expiry week and despite snapping the series with gain of over four percent, the week remained disappointing for the markets. Reserve