BSE Sensex closed at 19427.56 points, while the NSE Nifty closed at 5872.60 points
The Indian equity benchmarks traded with high volatility as the index oscillated in a wide range. The Nifty traded with a negative bias through out the week as it closed in red in four out of the five trading session during previous week. Nifty started the week on a negative note and traded with downward bias for the first three days of the week. It recovered most of its intra week losses on Thursday's trade as the latest data revealed that core inflation has eased to a three-year low, but the pull back was short lived as the Nifty gave up most of its gains on the last trading day of the week to close down by more then 1% on weekly basis
  • The 30 share BSE Sensex closed at 19427.56 down by 255.67 points or 1.30%, while the NSE Nifty closed at 5872.60, down by 73.10 points or 1.23%, week on week basis
  • Ranbaxy, State Bank of India, Siemens Hindustan Unilever and Asian Paints were the major gainers in the index where as Axis Bank, Bajaj Auto, BHEL, ICICI Bank, Infosys Technology, Hindalco and Tata Motors were the key draggers amongst Nifty constituents
  • The domestic markets started the week in the red led by Auto stocks after an industry body said car sales in India posted their biggest monthly slump in more than 12 years
  • Rate sensitive stocks also fell after Reserve Bank of India Governor Duvvuri Subbarao rejected high inflation as the new normal sparking concerns the Central Bank would be more hawkish on interest rates
  • Better-than-expected factory data and accelerating consumer inflation further strengthened that stand
  • Markets were also weighed down by weak Asian and European cues as renewed concerns about a slowdown in China and uncertainty over Europes economic outlook kept investors at bay
  • However, the latter part of the week brought cheers to the rate sensitive stocks as core inflation data came in lower than expected

Week Ahead : FIIs were net buyers to the tune of 5888 crore
Nifty on the weekly chart has formed a bearish candle with a long lower shadow signaling strong resistance at 5971 levels. The Nifty as expected during the previous week took support near 5800 levels which was the 50% retracement of the last week rally (5663-5971), though the bounce back from the support level fizzle out on the last trading days of the week as the index gave up most of its Thursday's gain and closed more then 1% down on weekly basis.
  • The volatility is likely to remain high in the coming week as the markets waits for the interest rate decision by RBI. The RBI is scheduled to announce mid-quarter review of the monetary policy on 19th March 2013
  • The index, however, has a critical hurdle at 5971, which has remained a stronghold of bears since February 2013
  • A sustained close above 5971 would open the doors for a further rally towards the January 2013 high of 6111
  • On the flip side, a sustained breach of 5800 would put bullish efforts on the backtrack and even challenge early March lows of 5663
  • In the month of March (till March 14), FIIs were net buyers to the tune of 5888 crore while DIIs were net sellers to the tune of 5481 crore
  • The domestic markets would be eagerly waiting for the interest rate decision by RBI in the coming week
  • Overseas, markets would be looking out for MBA Mortgage applications, initial jobless claims and FOMC rate decision in the US and PMI manufacturing and trade balance data in the Eurozone