Sensex unbeaten for sixth day, settles above 13,500

The BSE Sensex emerged victorious on the sixth consecutive day, living up to its new found trend of ending with modest gains, as buying continued at record levels. From 13,072.51 on 8 November, the Sensex has consistently gained ground, to finish at 13,469.37 on 15 November.

The Sensex finished 36.52 points (0.27%) ahead, at 13,505.89, a lifetime closing high. It surged to an all-time high of 13,588.01, its low being 13,459.28, and thus swinging close to 129 points for the day in highly volatile session of trade.

The S&P CNX Nifty rose 0.55 points (0.01%), at 3,876.85.

The BSE bellwether index had advanced to a record high for the fifth straight session, boosted by a strong influx of foreign funds, which have topped $ 7.8 billion this calendar year (till 14 November). Last year saw foreign investment of $10.7 billion, a record, in 2005. The BSE Sensex has surged over 15% since the start of September, and over 44% so far for the calendar year. It is by far the best performer in the Asia-Pacific.

The market-breadth, positive for the first half of the day, turned negative as selling started in smallcap and midcap stocks. On BSE 1,537 shares declined, while only 1,009 advanced. As many as 62 scrips remained unchanged. The BSE Mid-Cap index was down 10.72 points (0.19%), at 5,583.36, while the BSE Small-Cap index lost 17.44 points (0.27%), to 6,484.18.

The total turnover on BSE exceeded Rs 6,000 crore, at Rs 6,110, boosted by two huge deals of 25.03 lakh shares each in Gujarat Ambuja Cements counter, at an average Rs 138.75 per share. As per market talks, Swiss cement maker Holcim, which presently holds 15.6% of Indian cement maker Gujarat Ambuja Cements, acquired additional 3.6% stake from the promoter group.

Gujarat Ambuja Cement rose 1.65% to Rs 139.50, on a cumulative volume of 51.65 lakh shares. The block deals with a turnover of Rs 694 crore, constituted 3.6% (5 crore shares, 2.5 crore shares each) of its equity capital of Rs 272.02 crore (face value Rs 2 per share).

It was also the top-traded counter on BSE, with a total turnover of Rs 716.88 crore, resulting around 11.75% of the total turnover on BSE. The total turnover on Wednesday was Rs 5,115 crore.

Among the 30-Sensex pack, 18 declined while the rest advanced.

Private sector HDFC Bank was the top gainer, up 6.58% to Rs 1,148.25, on a volume of 4.02 lakh shares. It had surged to a fresh all-time high of Rs 1,150, in the last moments of trading.

Cement major ACC surged 5.83% to Rs 1,079, on 16.35 lakh shares. It had also advanced to a lifetime high of Rs 1,093.80, intraday.

Pharma counters witnessed selling pressure. Ranbaxy (down 1.83% to Rs 396) and Dr Reddy's (down 1.73% to Rs 766) declined.

IT bellwether Infosys lost 1.27% to Rs 2,195. It has recovered from a low of Rs 2,154.

Tata Motors lost 1.51% to Rs 811, amid reports that it has cut Tata 207 LCV price, by Rs 75,000.

Cigarette major ITC finished at Rs 185.25, down 0.30% from its previous close of Rs 185.80.

The BSE Bankex was a top gainer among sectoral indices. It rose 152.15 points (2.16%), at 7,212.38, after surging to a fresh all-time high of 7,353.38, as investors made a beeline for banking stocks.

The rally in banking stocks spilled over to the second consecutive day.

India’s largest private sector bank ICICI Bank ended marginally lower by 0.10% to Rs 880.35, on a volume of 11.56 lakh shares. It had, earlier, surged to an all-time high of Rs 925. ICICI Bank has received Reserve Bank of India's approval for establishing new branches and off-site ATMs.

SBI jumped 3.21% to Rs 1,216, on a volume of 14.28 lakh shares. It had also surged to an all-time high of Rs 1,227.95.

Punjab National Bank (up 0.27% to Rs 548), Federal Bank (up 4.20% to Rs 223.55), Indian Overseas Bank (up 4.36% to Rs 120.80), Oriental Bank of Commerce (up 1.73% to Rs 255), Canara Bank (up 0.89% to Rs 300), and Bank of India (up 2.63% to Rs 191) moved higher.

Select firms developing real estate surged today. Hindustan Motors jumped 8.7% to Rs 37.75. The stock rose on a volume of 33.84 lakh shares on BSE. The company already has permission from the West Bengal government to develop land into a residential township, auto parts cluster and an IT hub in 314 acres, out of the 700 acres it owns at the plant near Kolkata.

Among side-counters, Punjab Chemicals & Crop Protection jumped 5.90% to Rs 172.55 after the company signed an agreement to buy Argentina's Sintesis Quimica, for $ 10 million.

Thermax jumped 6.14% to Rs 355.35, after reporting 38.6% growth in net profit for Q2 September 2006. Thermax jumped 6% to Rs 355, after reporting 38.6% growth in net profit for Q2 September 2006. The company has a robust order-book position with a order backlog of Rs 2,973 crore on a consolidated basis, as on 30 September 2006.

Sterlite Industries rose 0.90% to Rs 542.15, on the back of robust Q2 results, and a board decision to venture into power sector. The company reported a surge in consolidated net profit for the quarter ended September 2006 to Rs 1,207 crore from Rs 259 crore. Net sales surged to Rs 6,718 crore from Rs 2,647 crore. Sterlite also said its board had approved a project to enter the commercial energy business in India. The first phase of this project involves a 2,400 Mw greenfield power plant in Jharsuguda, Orissa, for $1.9 billion.

Textile firm Sangam India jumped 6.28% to Rs 88, after it secured an export order worth Rs 81 crore, which is due to be executed within four months.

Tech Mahindra attained a lifetime high of Rs 1,149.70, after Merill Lynch put a 'buy' on the scrip, with a price target of Rs 1,280. The stock surged 7%, to Rs 1,149.70; as many as 27.08 lakh shares having changed hands on BSE.

Zandu Pharmaceutical Works jumped 10% to Rs 4,644.05, the maximum permissible level, after its board scheduled a meeting on 16 November 2006 (today) to consider an issue of bonus shares. The company is one of those few companies, whose scrips have a face value of Rs 100. The company’s latest book value per share is Rs 1,046.30 and a tiny equity base of Rs 6.05 crore.

Automotive Axles rose 3.20% at Rs 526, after it reported 49.4% surge in net profit for Q4 September 2006, to Rs 13.29 crore (Rs 8.89 crore). Sales rose 35.5% to Rs 155.11 crore.

The Nikkei lost 0.49% on Thursday as Shinsei Bank dropped on its dimmer outlook, while caution ahead of Bank of Japan Governor Toshihiko Fukui's news conference spurred selling in recent gainers such as Tokyo Electron.

After a two-day board meeting, the Bank of Japan kept the overnight call rate target at 0.25%, by a unanimous vote. But traders remain nervous about a possible rate hike in the next few months after a mixed bag of economic indicators in recent weeks.

Shares of Nissin Food Products Co surged after Merrill Lynch raised its rating on the instant noodle maker to 'buy' from 'sell', following its $314 million bid for smaller rival Myojo Foods. The Nikkei 225 index shed 79.60 points, to 16,163.87, extending its loss into the second straight day.

Hang Seng index rose 0.32% (61.07 points), to 19,154.07.

US stocks rose on Wednesday, as a proposed airline merger lifted airline shares and after positive broker comments sparked a surge in Google Inc's shares. But all three major US indices ended sharply off the session's levels as minutes from the Federal Reserve's recent policy-setting meeting sparked worries that the central bank can delay interest-rate cuts as it fights inflation. The Dow Jones industrial average gained 33.70 points, or 0.28%, to end at a record 12,251.71. The Nasdaq Composite Index rose 12.09 points, or 0.50%, to close at 2,442.75. A key US data, the US consumer prices data, is due later in the day.

FIIs were net buyers to the tune of Rs 262 crore in index-based futures on Wednesday. They were net sellers to the tune of Rs 31 crore in individual stock futures, the same day. As per provisional data, FIIs were net sellers to the tune of Rs 84 crore in the cash segment that day.