Post Session Commentary - Aug 5 2008

The domestic market ended with handsome gains after remained instable till afternoon. Heavy buying was contributed by sharp drop in crude oil prices and rate sensitive stocks on expected Fed rate hike. Federal Reserve’s meeting is scheduled today to decide on US interest rates. Crude oil dropped by $3.69 to close at $121.41 a barrel on the NYMEX. Positive cues from European markets also added to the positive sentiment. Market opened with marginal losses tracking weak global cues and soon after start it turned volatile. Further, market gathered momentum after mid session and continued to gain ground till end. NSE Nifty ended above 4,500 mark and BSE Sensex ended above 14,900 level and reached very nearer to 15,000 mark. BSE Midcaps and Smallcaps maintained their opening gains and ended with increase of more than 1%. From the sectoral front, Bank and Reality stocks posted sharp gains with increase of more than 6% followed by Auto stocks, which gained more than 4%. Along with this, Capital Goods, Oil & Gas, Power and IT stocks also were in the limelight as witnessed significant buying from these baskets. However, only Metal and Consumer Durables stocks were sufferers of negative sentiment. The market breadth was positive as 1779 stocks closed in green while 923 stocks closed in red and 65 stocks remained unchanged.

The BSE Sensex closed higher by 383.20 points at 14,961.07 and NSE Nifty ended up by 107.50 points at 4,502.85. The BSE Mid Caps closed with gains of 101.16 points at 5,843.88 and Small Cap ended up by 89.45 points 7,192.79. The BSE Sensex touched intraday high of 14,986.63 and intraday low of 14,529.21.

Gainers from the BSE are ICICI Bank Ltd (8.24%), DLF Ltd (7.66%), Maruti Suzuki (7.38%), HDFC Bank Ltd (6.83%), Grasim In Ltd (6.56%), JP Associates (6.05%), M&M Ltd (5.46%), ACC Ltd (5.18%), SBI (4.62%) and Relaince Infra (4.18%).

The BSE Bank index gained 450.37 points to close at 7,217.98. Major gainers are IDBI Bank Ltd (9.08%), ICICI Bank Ltd (8.24%), Axis Bank (7.76%), Bank of Baroda (7.35%), Canara Bank (7.18%) and Indus Ind Bank 6.94%).

The BSE Reality index ended up by 343.45 points at 5,575.07. Major gainers are Unitech Ltd (7.73%), DLF Ltd (7.66%), Sobha Dev (7.47%), Omaxe Ltd (7.38%), Mahindra Life (6.91%) and Orbit Co (4.99%).

The BSE Capital Goods index closed higher by 250.81 points at 12,279.77. Gainers are Elecon Eng C (13.40%), Crompton Greaves (7.08%), Aiaengineer (3.84%), Thermax Ltd (3.59%), BHEL (3.28%), Gammon Indi (3.28%) and Punj Lloyd (2.53%).

The BSE Auto index ended up by 150.58 points at 3,819.17. As Ashok Leyland (9.83%), Maruto Suzuki (7.38%), Apollo Tyre (6.96%), M&M Ltd (5.46%), Cummins India (4.94%) and Hero Honda Motors (4.23%) closed in positive territory.

The Oil & Gas index ended higher by 130.66 points at 10,159.11. As Gail India 4.04%), HPCL (3.24%), BPCL (2.64%), ONGC (2.12%) and IOC Ltd (1.69%) closed in positive territory.

The Metal index closed down by 258.74 points at 13,264.83. Lossers are Sterlite In (6.76%), Sesa Goa Ltd (5.95%), Gujarat Nre C (5.93%), JSW SL (3.92%), Tata Steel (2.28%), and Ispat Indus (2.18%).