The Bombay Stock Exchange (BSE) logo is displayed in front of a bronze bull statue at the Bombay Stock Exchange in Mumbai, India. (Photographer: Dhiraj Singh/Bloomberg)

Weekly Wrap: Sensex, Nifty Extend Gains As Earnings Momentum Continues

Indian equity benchmarks rose for the third straight week, supported by earnings momentum while shrugging off escalating global geopolitical risks.

The S&P BSE Sensex Index gained 0.83 percent to 37,869 and the NSE Nifty 50 Index climbed 0.6 percent to 11,429.

Of the 46 Nifty companies that have reported earnings so far, 31 have either met or beaten estimates, while 15 have been below estimates, data compiled by BloombergQuint showed.

It was a good week for the markets led by gains in Reliance Industries Ltd. and public sector banking shares, AK Prabhakar, head of research at IDBI Capital, told BloombergQuint over the phone. “But Nifty is facing major resistance around 11,500 and till that level is not crossed, some profit booking towards 11,250-11,200 is possible.”

Domestic investors infused around Rs 300 crore in the market this week, while foreign investors pumped in around Rs 5,078 crore into debt and equities during the period as on Aug. 09.

Weekly Wrap: Sensex, Nifty Extend Gains As Earnings Momentum Continues

Private sector banking shares were the best performers this week. Among sectoral gauges, the NSE Nifty Pharma Index was the lone loser, down 3.8 percent.

Another highlight was the listing of HDFC Asset Management Company Ltd. The asset manager’s shares listed at a premium of 65 percent at Rs 1,815 apiece on the National Stock Exchange Ltd., compared with its issue price of Rs 1,100. The stock settled the week at Rs 1,748, up 58.9 percent from its issue price.

Weekly Wrap: Sensex, Nifty Extend Gains As Earnings Momentum Continues

The rupee was the third worst performing currency across Asia this week.

The local unit weakened 0.33 percent to 68.83 per dollar, tracking other emerging market currencies that depreciated against the dollar as tensions between the U.S., Turkey and Russia spurred risk-aversion in markets.

Big Talking Points This Week

Major Earnings To Watch Next Week

  • Tata Steel
  • Grasim
  • Sun Pharmaceutical Industries