Post Session Commentary - July 30 2008

The domestic market rebounded from yesterday’s losses to close with heavy gains on sustained buying over the ground led by favorable global cues and drop in crude oil prices. Indian market opened higher following positive global cues as crude declined to three month lows. Crude oil prices dropped by $2.54 to close at $122.19 a barrel on the NYMEX. Further, market traded sharply higher without any sign of weakness for through out of trading session. The interest rate sensitive like Bank and Real Estate shares, who were the major laggards yesterday made a smart come back in today session to conclude the day with hefty gains. NSE Nifty gained around 3% and ended above 4,300 mark. BSE Sensex closed with gains of more than 3% and ended above 14,200 level. The sharp rise was due to the heavy buying activities over the counters across all indices except FMCG stocks. Out of which, Bank and Reality indices rallied to close with a gain of more than 5%. Along with this, the Metal, Capital Goods, Oil & Gas, IT and Power stocks also witnessed heavy buying from these baskets. The market breadth was strong as 1784 stocks closed in green while 857 stocks closed in red and 83 stocks remained unchanged.

The BSE Sensex closed higher by 495.67 points at 14,287.21 and NSE Nifty ended up by 127.35 points at 4,317.20. The BSE Mid Caps closed with gains of 92.43 points at 5,581.01 and Small Cap ended up by 96.59 points 6,927.60. The BSE Sensex touched intraday high of 14,322.67 and intraday low of 14,002.19.

Gainers from the BSE are HDFC (7.99%), Tata Steel (7.83%), Tata Power (6.92%), Reliance Infra (6.90%), HDFC Bank Ltd (6.18%), Reliance Infra (10.36%), Sterlite In (5.13%), SBI 4.97%), Tata Motors (4.91%) and Wipro Ltd (4.90%).

Among the Sensex 30 pack 28 stocks closes in green and only two closed in red. Losers from the BSE are NTPC Ltd (4.23%) followed by ITC Ltd (1.11%).

The Metal index closed up by 568.34 points at 12,698.70. Gainers are Jindal Steel (8.92%), Tata Steel (7.83%), Hindustan Zinc (6.77%), Sterlite In (5.13%), NMDC Ltd (5.00%), and Gujarat Nre C (3.81%).

The BSE Bank index closed higher by 323.02 points at 6,522.62. Major gainers are Axis Bank (9.60%), Bank of Baroda (9.24%), Union Bank (6.69%), HDFC Bank Ltd (6.18%), Bank of India (5.37%), PNB (4.97%), ICICI Bank Ltd (4.59%), and Yes Bank (4.52%).

The BSE Capital Goods index gained 307.77 points to close at 11,628.37. Major gainers are Punj Lloyd (11.88%), Reliance Industrial Infra (5.00%), Walchand Ind (5.00%), BHEL (4.83%), Crompton Greaves (4.45%) and Jyoti Struct (3.95%).

The Oil & Gas index ended up by 304.17 points at 9,607.74. As Reliance Natural Resources (11.15%), BPCL (6.03%), IOC (5.16%), Reliance (3.74%), Gail India (3.37%) and Cairn India (3.37%) closed in positive territory.

The BSE Reality index ended higher by 244.17 points at 5,041.88. As Indiabulls Real (13.48%), Anant Raj (6.98%), Ansal Infra (5.72%), DLF Ltd (3.98%), Akruti City (3.88%), Unitech Ltd (3.41%), and Pheonix Mill (2.95%) closed in positive territory.

The BSE FMCG index lost 3.06 points to close at 2,133.22. Major losers are REI agro Ltd (4.78%) and ITC Ltd (1.11%).