Post Session Commentary - July 22 2008

The domestic market continued its rally as it witnessed strong buying support from the sectoral heavy weights as it sensed that vote of confidence would be in favor of UPA so that they will stay as a government. Trust vote is fixed at 6PM today, which will decide that UPA’s continuance as a government or not. Indian market opened on flat note due to the political uncertainty but further it gathered the momentum to trade higher on hopes that the government will last its term. Due to the strong buying support over the counters, market extended its gains to close on a firm note. The BSE Sensex ended above 14,000 level and NSE Nifty closed above 4,200 mark. From the sectoral front, the FMCG and Power indices closed with a gain of more than 4%. Along with this huge buying was seen in Metal, Capital Goods, Bank and Oil & Gas stocks. However, Auto stock was only sufferer of negative sentiment. The market breadth was positive as 1849 stocks closed in green while 734 stocks closed in red and 74 stocks remained unchanged.

The BSE Sensex closed higher by 254.16 points at 14,104.20 and NSE Nifty ended up by 80.60 points at 4,240.10. The BSE Mid Caps closed with gains of 89.04 points at 5,346.03 and Small Cap ended up by 98.44 points 6,536.42. The BSE Sensex touched intraday high of 14,206.13 and intraday low of 13,798.18.

Gainers from the BSE are Reliance Infra (6.83%), Ranbaxy Lab (4.74%), BHEL (6.04%), ITC Ltd (6.00%), Wipro Ltd (5.93%), Cipla Ltd (4.99%), Reliance Com Ltd (4.83%), Tata Steel (4.32%), ACC Ltd (4.08%) and SBI (3.73%).

Lossers from the BSE are Maruti Suzuki (9.29%), JP Associates (4.26%), Bharti Airtel (2.47%), DLF Ltd (2.00%) and Tata Motors (1.94%).

The BSE Metal index closed up by 466.21 points at 12,232.45. Gainers are Sesa Goa Ltd (7.01%), Welspan Gujarat Sr (7.00%), Steel Authority (6.96%), Jindal Steel (6.34%), Tata Steel (4.32%), and Ispat Industries (3.43%).

The BSE Capital Goods index ended up by 343.44 points at 11,406.30. As Jyoti Struct (18.03%), Alstom Proje (7.43%), Areva (6.17%), BHEL (6.04%), Punj Lloyd (5.10%) and Thermax Ltd (4.79%) closed in positive territory.

The BSE Bank index closed higher by 200.27 points at 6,628.98. Major gainers are Kotak Bank (6.97%), Axis Bank (6.09%), Bank of Baroda (5.50%), SBI (3.73%), Union Bank (3.60%), Canara Bank (3.38%), and Indian Overseas Bank (3.22%).

The BSE Power index gained 103.44 points to close at 2,512.68. Major gainers are Reliance Power (7.90%), GVK Power (7.70%), Reliance Infra (6.83%), Tata Power (6.23%), Areva (6.17%) and BHEL (6.04%).

The BSE Oil & Gas index ended up by 73.15 points at 9,382.31. As Reliance Natural Resources (6.83%), Cairn India (4.43%), BPCL (4.40%), Reliance Pet (3.53%) and HPCL (2.71%) closed in positive territory.

The BSE Auto index lost 35.10 points to close at 3,628.06. Major lossers are Maruti Suzuki (9.29%), Bharat Forge (4.02%), Tata Motors (1.94%) and Escorts Ltd (1.92%).