Previous Week : Sensex was down by 633 points for the week to settle at 16,213.46
The Indian markets ended this week on a fragile note ahead of the action-packed events lined-up for the upcoming week. Benchmark Indices gave up most of its gains it recorded last week. Nifty started the week on a positive note but selling pressure at the second half of the week saw the indices trembling more then 3.5%, closing almost at the low of the week.
  • The Sensex was down by 633 points or 3.75% for the week to settle at 16,213.46 whereas the Nifty closed at 4866.70, down by 183.45 points or 3.60%
  • Capital Goods, oil & gas, metals, realty and banking stocks were the major draggers during last week trade
  • The ruling Congress party put on hold plans to open up the country's $450 billion retail sector to foreign supermarkets giving a big set back on intended reforms initiatives by government
  • In addition to this, a key parliamentary panel saw "no merit" for 49% foreign investment in insurance companies and comprehensively rejected a legislation intended to provide legal backing to National Identification Authority of India
  • Job gains in the U.S. picked up last month and the unemployment rate unexpectedly fell to the lowest level since March 2009
  • Nymex crude climbed to $100/ barrel on weekly basis (up 3.6% on Thursday)
  • Payrolls climbed by 120,000, after a revised 100,000 increase in October, with more than half of the hiring coming from retailers and temporary help agencies

Week Ahead - Markets to take cues from crucial EU meet
Equity benchmarks were reeling under heavy selling pressure till the final hour of trade on Friday as bears returned to haunt Dalal Street after a brief sabbatical. Nifty has closed the week precariously close to the previous week's bullish gap-up area of 4915-4851, which also coincides with the 61.8% retracement (4815) of the current pullback (4639-5099).
  • Closing below the key support area (4850-4815) could jeopardise the current pullback attempt and threaten the recent lows of 4639 levels
  • On the higher side only sustaining above 4955 levels which is the 21 days EMA will see the index testing the previous week high of 5100
  • In the month of December (December 8) FIIs have bought shares worth 1592 crores while DIIs have sold shares worth 1171 crores
  • Markets on Monday will take cues from crucial EU meet on Friday. Key data to watch globally would be US MBA mortgage applications, Initial Jobless claims, and Advanced retail sales
  • In India, next week the key data to watch would be IIP (Bloomberg estimates: -0.6%), RBI Policy (on Friday), Monthly wholesale prices, and weekly inflation