VARIATIONS IN SENSEX AND NIFTY

B/W 1ST 31ST JULY 2008

PRESENTED BY:Shakti Shiromani Shukla

BULLS AND BEARS

BSE
The oldest stock exchange in Asia, established in 1875.
Bombay Stock Exchange Limited (BSE) has had an interesting

rise to prominence over the past 133 years.

SENSEX
SENSEX is the short form of The Bombay Stock Exchange Sensitive

Index.
Its a benchmark it shows the health of the share market.
BSE Sensex consists of the 30 largest and most actively traded
stocks, representative of various sectors, on the BSE stock exchange.
SENSEX is calculated using the "Free-float Market Capitalization"
methodology. The level of index at any point of time reflects the Freefloat market value of 30 component stocks relative to a base period.

NSE
In the year 1991 Pherwani Committee

recommended to establish (NSE) in India.

In 1992 the Government of India authorized
IDBI for establishing this exchange
The National Stock Exchange (NSE), located
in Bombay, is India's first debt market. It was
set up in 1993.
It opened for trading in mid-1994. The
instruments traded are, treasury bills,
government security and bonds issued by
public sector companies.

New NSE Reference Rates

Both MIBOR (Mumbai Inter Bank Offer Rate)

and MIBID (Mumbai Inter Bank Bid Rate) are

the two new references rates of the
National Stock Exchange.
Both MIBOR and MIBID work simultaneously.
The MIBOR indicates lending rate for loans
while MIBID is the rate for receipts.

WHY SENSEX OR NIFTY GOES UP AND

DOWN
As the companys performance change the shares

go up or down.
If theres some positive news about the country
like India becoming a nuclear power, SENSEX OR
NIFTY will go up.
If theres a bad news, SENSEX OR NIFTY will go
down.
Any news that indicates threats for India or Indian
economy and world economy results into
downward moving market.
So both companies and the country are
responsible for the SENSEX OR NIFTY movements.

JULY 1
BSE Sensex 12961.68 (-499.92)
S&P CNX Nifty 3896.75 (-143.80)
The rupee continued its downward trend and closed 30
paise lower against the dollar, due to fears of high oil
price and pullout by FIIs from the domestic stock
market.
JULY 2
BSE Sensex13664.62 (+702.94)
S&P CNX Nifty4093.35 (+196.60)
Stock markets, which lost heavily in the last three
trading sessions, bounced back on Wednesday, mainly
on buying support from domestic institutions and
proprietary traders.

world deeply concerned over soaring

crude prices with no upper limit in sight
JULY 3
BSE Sensex13094.11 (-570.51)
S&P CNX Nifty3925.75 (-167.60)
Stock markets suffered another major fall on
Thursday, wiping out most of yesterdays gains.
Crude touching $146 a barrel.
GOOD PROSPECTS IN NUCLEAR GAME
JULY 4
BSE Sensex 13454 (+359.89)
S&P CNX Nifty 4016 (+90.25)
No news is often good news for stock exchange.

STOCK MARKET STILL FLOATS

JULY 7
BSE Sensex13525.99 (+71.99)
S&P CNX Nifty4030 (+14)
Hopes to get approval of Nuclear Suppliers
Group members. Three years after
persuading the US President, Mr. George W.
Bush, to agree to a nuclear deal with India.

STOCK MARKET SNEAKS ON TRUST

VOTE
JULY 8
BSE Sensex13349.65 (-176.34)
S&P CNX Nifty3988.55 (-41.45)
Govt will go to IAEA after trust vote. New Delhi,
July 8 Ending weeks of speculation, the Left
parties on Tuesday announced withdrawal of
support to the ruling United Progressive Alliance
(UPA) Government . Indian equities recovered
part of their intra-day losses in the afternoon
session as news trickled in that the Government
may survive with support from the Samajwadi
Party.

HANGOVER CONTINUES.
JULY11

BSE Sensex13469.85 (-456.39)

S&P CNX Nifty4049 (-113.20)

TIME WAKE UP
JULY 14

BSE Sensex13330.51 (-139.34)

S&P CNX Nifty4039.70 (-9.30)

Reliance Industries head Mr Mukesh Ambanis visit to
the Capital today was largely marked by speculation.
He met important Government functionaries, including
the Prime Minister, Dr Manmohan Singh.

All Sensex and Nifty stocks ended in

red.
JULY 15
BSE Sensex12676.19 (-654.32)
S&P CNX Nifty3861.10 (-178.60)
Stocks fell sharply on Tuesday driving the
Sensex down to 12,676, a low not seen
since April last year. Bears completely
weighed on markets, which closed at 15month low. Most beaten down sectors were
banking, capital goods, metal, power,
realty, pharma and oil & gas.

STOCK MARKET INFLATION

DEFLATED
JULY 17
BSE Sensex13111.85 (+536.05)
S&P CNX Nifty3947.20 (+130.50)
The annual Wholesale Price Index-based
inflation moved up to 11.91 per cent for the
week ended July 5, with a slowdown in the
primary articles inflation ensuring that the
rise was only marginally higher than the
11.89 per

JULY 18

BSE Sensex13635.40 (+523.55)

S&P CNX Nifty4092.25 (+145.05)

Speculations that govt. will be safe in

center. Inflation is down.

GOVT. LOOKING SAFE

19 JULY

Sensex 13,635.40 (+ 165.55 )

Nifty 4,092.25 (+43.25 )

22 JULY
Sensex

14,206.13 (+350)
The bulls lifted the Sensex up by over 350
points in early afternoon trade today. With
the fate of the ruling UPA coalition's stint at
the helm to be determined later in the day,
the mood on the bourses was expected to
remain cautious today.

25 July 2008.
Sensex gained 14,274.94 (+640)
S&P CNX Nifty 4,311.85(219.60 )
Market extends gains for third straight week
The key benchmark indices extended gains

for the third straight week in the week

ended Friday, 25 July 2008, buoyed the
Congress-led coalition government winning
confidence vote in parliament, sharp
correction in crude oil and short covering of
derivatives positions.

Stocks turn choppy after positive start

28 JULY
Sensex 14,278.68

(+3)
Nifty 4328.35
(+17)
Biggest Sensex gainers were Hindustan
Unilever (1.64%), Tata Consultancy Services
(1.5%), ONGC (1.21%), Reliance
Communications (1.17%) and Infosys
Technologies (0.95%).
Losers comprised Sterlite Industries (-3.61%),
ICICI Bank (-3.01%), ACC (-.091%), Mahindra &
Mahindra (0.87%) and Reliance Industries
(0.39%).

Market tanks as RBI hikes rates in

inflation fight
29 JULY

Sensex 13,759.89 (-589.22)

Nifty
4,177.80
(-154)

Raised cash reserve ratio (CRR) by 25 basis points and

repo rate by 50 basis points at quarterly review of the
monetary policy.

Biggest index losers were ICICI Bank (-8.85%), Reliance

Infrastructure (-8.6%), HDFC Bank (-7.98%), Tata Motors (7.71%),

Biggest gainers were Hindustan Unilever (2.97%), Sterlite

Industries (0.83%) and Infosys Technologies (0.01%) were
the only gainers in the 30-share index.

JULY 30
BSE Sensex13461.60 (-340.62)
S&P CNX Nifty4040.55 (-96.10)
Mumbai, June 30 Equity markets saw

further erosion in value on Monday as the

rising oil price and weak global markets
continue to dampen investor sentiment.The
BSE Sensex and the NSEs Nifty fell by
more than 2 per cent as FIIs .

31 July
Senseex 14,369.42 (355.75)
Besides, the progress of the monsoon and

corporates quarterly numbers will also be

keenly watched.
Volatility may remain high ahead of the
expiry of futures & options contracts for
July 2008 series on Thursday.

THANK YOU

QUESTIONS.

FREE FLOAT MARKET

CAPITALIZATION
Suppose, for a free-float market cap
of Rs.100,000 Cr... the Sensex value
is 4000
Then, for a free-float market cap of
Rs.150,000 Cr... the Sensex value will
be..

=Rs.6,000
Cr

TOP GAINERS OVER THE

MONTH
MASTEK
THOMAS
COOK IN
DIA
ICI INDIA
HIND. U
NILEVER
NESTLE
CIPLA

351.65

83.70

76.75

492.00

525.10

12.7%

679/45
0

238.90

219.20

10.0%

256/17
0

1,654.95 1,570.85

8.8%

1,880/1
,140

5.6%

243/16
0

233.45

214.65

19.4%

419/22
0

373.05

18.9% 144/55

TOP LOSERS OVER THE

MONTH
0
ORCHID
CHEMICA
LS
GSFC
HINDUJA
TMT
UNITED
BREWERI
ES
GUJ.NA
RMADA

256.30

254.45

-42.5%

330/10
7

163.80

149.75

-38.6%

370/14
0

220.20

202.35

-35.7%

884/18
2

179.20

131.45

-30.1%

415/12
3

123.35

112.20

-28.8%

231/10