The SENSEX, short form of the BSE-Sensitive Index, is a "Market Capitalization-Weighted" index

of 30 stocks representing a sample of large, well-established and financially sound companies. It

is the oldest index in India and has acquired a unique place in the collective consciousness of
investors. The index is widely used to measure the performance of the Indian stock markets.
SENSEX is considered to be the pulse of the Indian stock markets as it represents the underlying
universe of listed stocks at The Stock Exchange, Mumbai. Further, as the oldest index of the
Indian Stock market, it provides time series data over a fairly long period of time (since 1978-79).

The rise and fall of Bombay Sensex the popular indicator of stock market sentiments has always
been a headline making incident over it’s 20 year life span . The Sensex which is weighted
average (based on market capitalization) of 30 leading scrips against base year 1979 has
witnessed unanticipated crash or boom on several occasions .

The rise of sensex is linked to strengthening of the Indian economy and fall in sensex is linked to
temporary setbacks and corrections over the past two decades. Starting it’s journey from 1986
the sensex touched the four figure mark in July 1990 and later fuelled by the liberal economic
policies of the then Finance Minister Manmohn Singh it zoomed past the 4000 mark in 1992 .
Arrival of Harshad Mehta on the scene and the subsequent devastation and mayhem in the Stock
exchange kept the markets subdued for the next several years . Sensex could touch the 5000
mark only in 1999 . Journey from 6000 to 7000 mark again took 5 years but thereafter there was
no looking back. The sensex gained 10000 points in next 30 months touching 18000 in Oct .2007.

The rise and fall of sensitve index always indicate to investors sell and buy share market is
toomuch volatility it depend upon the many activity on economy,political,foriene investor(FDI),
if we look at the index performance in 2007,2008,upto Oct.2009 Sep.07-10.24,Oct.07-
12.36,Apr.09- 21.34,May09-17.28,June09-22.1,Aug09-10.33 Jan.08-12.31,March.08-
10.8,June.08-17.28,Sep.08-10.33,Sep.08-10.33,Oct.08-32.43 these are most rise and fall show
in both colour Apr.09-21.34,June-09-22.1 and Oct08-32.43.Best stock JAIPRAKASH
 ASSO,STERLITE IND.,TATA MOTORS,MARUTI SUZUKI,ICICI BANK LTD,these are five stock
increased by more than hundred percentage

BSE listed stock if we were invested in 2008 to oct 2009 return would be

JAIPRAKASH ASSO. 202.8%

STERLITE IND. 177.3%

TATA MOTORS 146.8%

MARUTI SUZUKI 135.2%

ICICI BANK LTD. 117.7%

Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
2009 8674 8822 8160 9902 11683 14266 13400 14785 15398 16643
2008 16730 16608 14809 15343 16276 13462 12576 14048 12596 8510 8451 8739
2007 13362 12938 12415 12455 13765 14003 14664 13989 15422 17329 18526 19080
2006 9238 9743 10509 11237 10399 8929 10007 10752 11551 12204 13033 12995

% INCREASE AND DECREASE OF BSE INDEX

YEAR JAN FEB MAR APR MAY JUNE JULY AUG SEP OCT NOV DEC
2009 0.74 1.7 7.5 21.34 17.98 22.1 6.07 10.33 4.14 8.08 ------ ------
2008 12.31 0.72 10.8 3.6 6.08 17.28 6.58 11.7 10.33 32.43 0.69 3.4
2007 2.82 3.17 4.04 0.32 1.72 1.72 4.72 4.6 10.24 12.36 6.9 2.99
 BSE 30 STOCKS MONTHLY AVG.CLOSING SHARE PRICES
PERIOD SEP.2007, 2008, 2009
1 YRS.RETURN
2007 2008 2009 2008 2009
COMPANY SEP OCT. SEP OCT SEP OCT SEP OCT SEP OCT
ACC LTD 1,123.0 1,143.7 600.4 515.3 802.4 780.4 -46.5 -54.9 33.6 51.4
BHARTI AIRTEL 879.7 1,017.7 794.6 688.5 419.2 339.7 -9.7 -32.4 -47.2 -50.7
BHEL 1,937.8 2,290.0 1,670.9 1,306.5 2,254.4 2,405.0 -13.8 42.9 34.9 6.5
DLF LTD. 681.2 875.6 441.8 277.3 419.7 428.3 -35.2 68.3 -5.0 54.4
GRASIM IND.LTD. 3,267.8 3,661.5 1,922.6 1,338.2 2,718.7 2,342.9 -41.2 -63.5 41.4 -11.7
HDFC 2,245.4 2,548.7 2,244.0 1,806.5 2,562.8 2,731.7 -0.1 -29.1 6.3 51.2
HDFC BANK LTD. 1,266.8 1,468.4 1,261.3 1,087.3 1,524.5 1,671.5 -0.4 26.0 20.9 53.7
HINDALCO IND. 159.2 182.5 114.5 71.6 121.7 130.8 -28.0 -60.8 6.2 83.0
HUL 216.4 217.2 246.9 246.9 265.6 281.3 14.0 13.8 7.6 13.8
ICICI BANK LTD. 943.7 1,104.0 631.4 412.7 819.9 898.2 33.1 -62.6 29.9 117.7
INFOSYS TECH 1,844.3 1,922.6 1,616.6 1,307.9 2,263.7 2,235.1 -12.3 32.0 40.0 70.9
ITC 182.2 183.0 191.4 166.6 229.9 251.8 5.1 -9.0 20.1 51.2
JAIPRAKASH ASSO 964.3 1,223.5 144.7 78.8 233.8 238.7 -85.0 -93.6 61.6 202.8
L&T LTD. 2,676.9 3,379.0 2,583.5 900.0 1,615.7 1,638.8 -3.5 73.4 -37.5 82.1
M & M LTD 728.5 771.7 564.6 555.6 817.1 850.7 -22.5 -28.0 44.7 53.1
MARUTI SUZUKI 909.1 1,102.0 1,098.2 640.4 1,563.2 1,510.9 5.8 -41.9 62.5 135.9
NTPC 189.2 219.6 175.4 156.1 208.3 212.8 -7.3 -28.9 18.8 36.4
ONGC 874.7 1,095.0 1,046.4 824.0 1,165.5 1,194.1 19.6 -24.8 11.4 44.9
RANBAXY LAB 413.9 426.8 388.9 242.6 351.5 390.5 -6.0 -43.2 -9.6 61.0
RELIANCE COM. 558.1 718.5 375.5 253.8 298.9 237.5 -32.7 -64.7 -20.4 -6.4
RELIANCE IND. LTD. 2,114.9 2,581.5 2,023.9 1,432.1 2,094.8 2,112.0 -4.3 -44.5 3.5 47.5
RELINACE INFRA 941.7 1,597.3 920.9 540.7 1,186.4 1,245.2 -2.2 -66.2 28.8 130.3
SATYAM COMP 433.5 459.3 373.6 288.3 120.1 110.8 -13.8 -37.2 -67.8 -61.6
SBI 1,713.9 1,897.0 1,517.8 1,358.5 1,979.3 2,255.7 -11.4 28.4 30.4 66.0
STERLITE IND. 661.8 858.8 506.9 290.4 732.4 805.4 -23.4 -66.2 44.5 177.3
TCS 1,034.7 1,073.9 768.5 550.6 568.9 613.1 -25.7 -48.7 -26.0 11.4
TATA MOTARS 715.4 792.1 406.0 248.4 569.7 613.1 -43.2 -68.6 40.3 146.8
TATA POWER 762.1 1,076.8 1,015.2 751.4 1,296.7 1,368.0 33.2 30.2 27.7 82.1
TATA STEEL LTD. 724.6 875.1 509.7 273.9 479.6 529.5 -29.7 -68.7 -5.9 93.4
WIPRO LTD. 456.1 488.1 403.3 280.1 562.0 587.6 -11.6 42.6 39.3 109.9
(Source: BSE)