By Ankush Arora and Sankalp Phartiyal
The BSE Sensex rose 2.7 percent in the week ending September 20, as foreign inflows and the U.S. Federal Reserve’s surprise decision to continue with its bond-buying programme boosted market sentiment.
The benchmark index, which is now up 9 percent in September and has gained for four consecutive weeks, touched its highest level since November 2010 on Thursday after the Fed’s surprising move. Analysts said the U.S. central bank’s decision could lead to a resurgence of portfolio flows into emerging markets such as India.
On Friday, the Reserve Bank of India stunned markets by raising the repo rate by 25 basis points (bps), but some of the recent rupee support measures were trimmed. The Indian currency gained 2 percent in the last five sessions and ended the week at 62.23/24 per dollar.
Here are the top gainers and losers of this week:
MARUTI SUZUKI: India’s biggest carmaker was the top Sensex performer, with its stock surging 11 percent, taking its gains for the month to almost 18 percent.
The coming months are expected to be tough for India’s auto sector. Sales growth is expected to remain in the negative in the fiscal year ending March 2014, an industry executive said on Sept. 10.