INDIAN BENCHMARKS end at 5- week low…Broader markets crash

INDIAN EQUITY BENCHMARKS ended at 5-week closing low dragged by heavy profit booking even investors sought the safety of defensive shares. Market fell after government said that General Anti-Avoidance Rules (GAAR) will be applicable from April 1, 2015. Market was hoping the government would defer GAAR to 2017.

·        1.  Further, Banking shares mainly PSUs fell for seventh straight session, touching over one-month low as the government has decided to reduce its stake in the public sector banks.

·        2.  Jain Irrigation Systems saw selling pressure on a 21 percent reduction in overall subsidy under National Mission on Sustainable Agriculture by Finance Minister Arun Jaitley in maiden Union Budget 2014-15.

The crucial resistance for Nifty is now seen at 7625 and above this 7730. Support for the immediate term is now placed at 7440 and next support will be 7360.