Indian equity markets settle sharply lower for the second consecutive week - Microsec

Indian equity markets settled sharply lower for the second consecutive week with Sensex and Nifty slipping below their psychological marks (19,600 and 6,000) on weak global cues and uninspiring results. A downgrade in GDP at 5% announced this week had disappointed the market sentiment. Most of the sectoral indices traded weak led by BSE Consumer durables, PSU and Metal.

On domestic front, During the current financial year, Indian economy is expected to grow by its slowest pace since FY2002-03. According to CSO estimates, India is likely to grow by 5.0 percent YoY for the year ending March 31st, 2013 against 6.2 percent YoY last year.

India's Services PMI increased to a year's high of 57.5 in January 2013, against 55.6 in the previous month.

India's foodgrain production is estimated to decline by 3.5 percent to 250.14 million tonne in 2012-13 crop year against 259.32 million tonne last year.

On global front, During the month of January 2013, China's Exports grew 25.0 percent from a year earlier to USD187.4 billion and Imports surged 28.8 percent to USD158.2 billion, resulting a Trade Surplus of USD29.2 billion.

The U.S. Factory Orders rose by a seasonally adjusted 1.8 percent in December 2012 against a fall of 0.3 percent in November 2012.

Industrial production in Germany rose 0.3 percent in December 2012 against a 0.2 percent fall in November.

Source : Equity Bulls

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