As GDR markets moved ahead of domestic markets, the average premium climbed from 26.72 per cent to 28.94 per cent. The average spreads went down from 66.41% in the previous week to 65.84 per cent in this week. The undertone appears to have firmed up on expectations that most of the bad news is in the price. The relatively stable political situation has also contributed to sentiment.

During the week, 65 GDRs on an average appreciated 3.34 per cent and the shares 1.46 per cent. Among GDRs no sector was a loser. The auto sector was the top gainer rising 10.90 per cent, followed by hotel and telecom GDRs at 8.79 per cent and 8.05 per cent. The fertilizer sector remained unchanged.In shares, fertilizers and pharma segments were the onlylosers declining 0.24 per cent and 0.46 per cent respectively, while the top gainers were hotel (0.35 per cent), aluminum (5.89 per cent) and power (5.59 per cent).

The textile sector is deteriorating by the day. Sanghi Polyester had its term loans rescheduled, JCT is having its assets and business restructured and SIV Industries has decided to divest investments in its subsidiary companies and focus on its core competence. In the period from April 1 to September 17, the GDRs of textiles industry have lost 29.09 per cent against a loss of 32.02 per cent in the Skindia GDR Index. None of the companies made any gains in this period. The top losers were Bombay Dyeing (falling 50.00 per cent to $ 1.25), Arvind Mills (38.83 per cent to $ 1.15) and Raymond (38.75% at $ 2.45). Sanghi Poly remained unchanged at $ 1.00. The situation in the domestic markets was similar. The sector lost 38.37 per cent as compared to a loss of 21.37 per cent in the BSE Sensex for the period April 1 to Sept 17.