A benchmark index for
Indian equities markets rallied nearly three percent in this week's trade, closing in the positive for the fourth straight week on the back of strong buying support from foreign institutional investors.
The 30-scrip sensitive index (Sensex) of the Bombay Stock Exchange (BSE) ended the week at 17,233.98 points, up 2.96 per cent or 494.97 points from its previous week's close at 16,739.01 points.
The Sensex gained 0.92 per cent or 156.80 points to close at 17,233.98 points on Friday, the highest level in almost 10 weeks.
The 30-scrip index has jumped almost nine per cent since the beginning of this month on the back of strong buying support from foreign institutional investors.
These investors have pumped in over $2 billion since the beginning of the year. FIIs net inflow was $252 million on Friday.
In fact, overseas investors were the net sellers in Indian equities market last year. The FIIs had off-loaded equities worth Rs.3,642 crore ($728 million) in 2011.
Foreign fund flows have also led to a strong recovery in the value of rupee. The Indian rupee rose to a 11-week high of 49.31 against a US dollar this week.
The 50-scrip S&P CNX Nifty of the National Stock Exchange has also rallied almost 9 per cent this month. The Nifty closed 0.90 per cent or 46.40 points higher at 5,204.70 points on Friday, the last trading day of the week.
An unexpected
cut in the cash reserve ratio (CRR) by the Reserve Bank of India boosted investors' sentiments in the market this week.
The RBI in its
third quarter policy review cut the cash reserve ratio (CRR), the amount against deposits which commercial banks have to keep as liquid assets such as cash, by 50 basis points to 5.5 per cent from 6 per cent.
"This step will release Rs.320 billion into the system," RBI Governor D. Subbarao said Jan 24 after presenting the third quarter review of the monetary policy for the current fiscal year.
Buying activities intensified in Reliance Industries Ltd this week as buy-back date of the company's share nears.
The Mukesh Ambani-led Reliance Industries have offered to buy back up to 12 crore equity shares worth Rs.10,440 crore from the open market at a maximum price of Rs 870 per share. The buy-back will start from Feb 1 and close Jan 19, 2013.
Reliance Industries share rallied 3.48 per cent to close at Rs.817.60 on Friday.
Other prominent Sensex gainers Friday were: Sterlite Inds, up 5.49 per cent at Rs.120.15; Tata Motors, up 4.10 per cent at Rs 239.90; L&T, up 3.76 per cent at Rs 1,381.60; Bharti Airtel, up 3.66 per cent at Rs 372.55; and Tata Steel, up 3.09 per cent at Rs 458.75.
Major losers on the 30-scrip index were: DLF, down 3.47 per cent at Rs.211.55; Bajaj Auto, down 3.07 per cent at Rs 1,538.20; BHEL, down 2.84 per cent at Rs 273.65; and Hero MotoCorp, down 2.21 per cent at Rs 1821.85.
Khatav says he is not affected by the downturn as his company is not very big
In Categories, 'Small' refers to 2009/10 revenues of less than Rs 50 crore; 'Medium' refers to 2009/10 revenues between Rs 50 crore and Rs 200 crore.
Special 
