The BSE Sensex ended lower on Friday in a volatile session, after both the houses of parliament were adjourned on the second day of the winter session, raising questions about the fate of proposed legislation.
Markets will now focus on the government's ability to push through reforms, while also paying close attention to the country's efforts to contain its fiscal deficit, including a 4 percent stake sale in Hindustan Copper Ltd
Global market developments will also be key as the U.S. Congress continues budget negotiations over the so-called 'fiscal cliff' and the IMF and European Central Bank meet again on Monday over aid to Greece.
"The focus over the next few weeks will remain on reforms and the fiscal cliff in the US," said Phani Sekhar, fund manager-PMS, Angel Broking. "Even the GDP data is discounted, the key is reform measures," he said.
The benchmark Sensex ended down 0.06 percent, or 10.77 points, to end at 18,506.57, gaining 1.08 percent for the week.
The broader Nifty ended 0.02 percent lower, or 1.15 points, to end at 5626.60. It added 0.94 percent for the week.
The weekly gain was the first since the week ending November 2, on value-buying for selective stocks.
Nonetheless, markets ended on a weaker note on Friday. Drug makers retreated a day after India approved a new drug pricing policy designed to increase the number of drugs deemed essential that are subject to price caps.
GlaxoSmithKline Pharmaceuticals Ltd
Ranbaxy Laboratories Ltd
Cigarette maker ITC Ltd
Hindustan Copper Ltd
Shares in NTPC Ltd
Among gainers, shares in biofuels technology company Praj Industries Ltd
(Additional reporting by Abhishek Vishnoi; Editing by Prateek Chatterjee)