Fried on Friday

The week gone by behaved exactly as envisaged Then Friday happened The impairment provision provided by Tata Motors saw the company report a loss of Rs 27000 crore and the share fell Friday saw markets lose over 13 per centMarkets however managed to close with small gains with BSESENSEX up 7705 points or 021 per cent at 3654648 points NIFTY gained 4995 points or 046 per cent to close at 1094360 points The broader indices saw the BSE100 BSE200 and BSE500 were a mixed bag with a movement of 008 per cent and negative 009 per cent and 027 per cent respectively BSEMIDCAP and BSESMALLCAP were down 213 per cent and 211 per centLoser userThe top sectoral gainer was BSETECK up 166 per cent followed by BSEIT 123 per cent and BSECONS DURABLE 113 per cent The top loser was BSEPOWER down 563 per cent followed by BSECAP GOOD 353 per cent and BSEMETAL 262 per cent In individual stocks the top gainer was ZEE Entertainment up 1202 per cent followed by Infratel 969 per cent and Bajaj Auto 943 per cent The top loser was Tata Motors down 1675 per cent followed by India bulls Housing 932 per cent and Yes Bank 584 per centTrump fightThe Indian Rupee lost 6 paisa or 008 per cent to close at Rs 7130 Dow Jones gained 4244 points or 017 per cent to close at 2510633 points Donald Trump is now fighting against several fronts Firstly the ChinaUS trade wars Secondly he is fighting Democrats on the Mexican wall and funds required for it Thirdly he himself is under investigation as far as his businesses are concernedSurprise packageRBI delivered a surprise package with a rate cut which was unexpected Repo rates were cut by 25 basis points to 625 per cent This rate cut is after 17 months RBI also changed its stance to neutral from calibrated tightening indicating that they are comfortable with the current level of inflation and do not expect the same to rise in the near term This incidentally was the Governor Shaktikanta Dass first policy meeting Markets probably did not like the unexpected rate cut This can be seen as after remaining in positive territory they ended flat for the dayListing lookThere were two listings last week The first was Xelpmoc Technology and Design Limited which had raised Rs 23 crore at Rs 66 Shares listed weak and gained thereafter to close at Rs 7130 a gain of Rs 530 or 803 per cent The other issue was from Chalet Hotels Limited which had raised Rs 950 crore through a fresh issue and an offer for sale of 24685 crore shares at Rs 280 The share listed on Thursday and closed at Rs 29215 a gain of Rs 1215 or 434 per centShort goingMarkets have seen BSESENSEX gain about 500 points and NIFTY about 80 points Market players have been able to get some share or the other to short every week and make money This shorting is on account of news flow and has made players bearish in their view as well Last week was the turn of ADAG Anil Ambani companies and Friday was Tata Motors With such opportunities every week it is natural for their confidence levels to rise and they see markets looking weak as well It is this bearish sentiment that is pushing markets and making them extra volatile Every rally is sharp and so are the fallsThe week ahead would see the last week for the quarter results ending December 2018 being declared There are bound to be surprises in them some positive and some negative Continue trading on both sides with buys on sharp dips and selling on rallies in the coming week Markets will trade in a broad range like last week but with a positive biasArun Kejriwal is founder of the Mumbaibased advisory firm Kejriwal Research amp Investment Services Pvt LtdDisclaimer No financial information whatsoever published anywhere in this newspaper should be construed as an offer to buy or sell securities or as advice to do so in any way whatsoever All matter published here is for educational and information purposes onlyCatch up on all the latest Mumbai news crime news current affairs and also a complete guide on Mumbai from food to things to do and events across the city here Also download the new midday Android and iOS apps to get latest updates