| Sr.No. | Category | No.of shares offered/reserved | No. of shares bid for | No. of times of total meant for the category |
| 1 | Qualified Institutional Buyers (QIBs) | 136800000 | 2217736125 | 16.2115 |
| 1(a) | Foreign Institutional Investors (FIIs) | 1785936090 | ||
| 1(b) | Domestic Financial Institutions(Banks/ Financial Institutions(FIs)/ Insurance Companies) | 431761545 | ||
| 1(c) | Mutual Funds | 0 | ||
| 1(d) | Others | 38490 | ||
| 2 | Non Institutional Investors | 22800000 | 160126845 | 7.0231 |
| 2(a) | Corporates | 125872035 | ||
| 2(b) | Individuals (Other than RIIs) | 33030990 | ||
| 2(c) | Others | 1223820 | ||
| 3 | Retail Individual Investors (RIIs) | 68400000 | 56208630 | 0.8218 |
| 3(a) | Cut Off | 52143225 | ||
| 3(b) | Price Bids | 4065405 |
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Tuesday, January 15, 2008
Reliance Power - Oversubscription - Allotment - Day 1
Future Capital - Subscription/Allotment Chances
| Sr.No. | Category | No.of shares offered/reserved | No. of shares bid for | No. of times of total meant for the category |
| 1 | Qualified Institutional Buyers (QIBs) | 3853680 | 135085872 | 35.0537 |
| 1(a) | Foreign Institutional Investors (FIIs) | 120626344 | ||
| 1(b) | Domestic Financial Institutions(Banks/ Financial Institutions(FIs)/ Insurance Companies) | 14198128 | ||
| 1(c) | Mutual Funds | 0 | ||
| 1(d) | Others | 261400 | ||
| 2 | Non Institutional Investors | 642280 | 9089080 | 14.1513 |
| 2(a) | Corporates | 2460704 | ||
| 2(b) | Individuals (Other than RIIs) | 6605928 | ||
| 2(c) | Others | 22448 | ||
| 3 | Retail Individual Investors (RIIs) | 1926840 | 29476152 | 15.2977 |
| 3(a) | Cut Off | 28073592 | ||
| 3(b) | Price Bids | 1402560 |
Sensex sheds 477 points
Despite a strong response to the Rs 11000-crore IPO of Reliance Power (RPower), the market fell sharply today as heavyweights faced selling pressure. Bharti Airtel, Reliance Energy and ICICI Bank slumped. All the sectoral indices on BSE were in red. Banking, FMCG and power stocks were worst hit in today's fall. 27 out of 30 stocks from the Sensex pack were in red. Asian markets, which opened before Indian markets, were mostly in the red. European markets, which opened after Indian markets, too, were in the red.
The slide on the bourses today was attributed to the liquidity drain from the secondary market as the large IPO of RPower opened for subscription today, 15 January 2008. The IPO will close on 18 January 2008.
The IPO of RPower was fully subscribed within minutes of the opening of the book-building offer today. As per latest data, the IPO was subscribed 9.69 times. The IPO received bids for 220.98 crore shares compared to issue size of 22.80 crore shares.
The 30-share BSE Sensex fell 476.96 points or 2.30% to 20,251.09. Sensex hit a low of 20,203.63 at the fag end of the trade. At the day's low, Sensex declined 524.42 points. Sensex hit a high of 20,872.93 at the onset of the trading session. At the day's high, Sensex rose 144.88 points.
The broader CNX S&P Nifty was down 132.55 points or 2.14% to 6074.25.
The BSE Mid-Cap index fell 1.10% to 9,431.89. The BSE Small-Cap index fell 0.83% to 12,755.29. Both these indices outperformed the Sensex.
The market breadth was weak. On BSE, 988 shares advanced as compared to 1869 that declined. 31 remained unchanged.
BSE clocked a turnover of Rs 8095 crore compared to Monday (14 January 2008)'s Rs 7246 crore.
Nifty January 2008 futures were at 6063, at a discount of 11.25 points as compared to spot closing of 6074.25.
The NSE's futures & options (F&O) segment turnover was Rs 65,569.15 crore, which was higher than Rs 53,245.37 crore on Monday, 14 January 2008.
India's second largest power utility by revenue Reliance Energy (REL) fell 4.42% to Rs 2364.55 after foreign brokerage firm Morgan Stanley downgrading REL to underweight. The brokerage has kept a price target of around Rs 2,008, which is 20% lower than its current levels. The main reason for downgrading the price is the valuation of RPower. Post-issue REL's stake in RPower will go down to 45% from current 50%.
The BSE Power index declined 2.45% to 4,632.27. It underperformed the Sensex. Torrent Power fell 4.44% to Rs 201.25, Suzlon Energy declined 3.95% to Rs 2,046.25, NTPC skid 3.84% to Rs 274 and Power Grid Corporation of India fell 2.97% to Rs 138.95.
India’s largest private sector firm by market capitalization and oil refiner Reliance Industries fell 1.69% to Rs 3126. The company on Monday, 14 January 2008, announced yet another gas discovery in block KG OSN-2001/1 in the Krishna Godavari (KG) basin on the east coast of India.
India’s largest listed cellular service provider by market share Bharti Airtel slumped 5.51% to Rs 857.30 after rival company Reliance Communications was allocated Global System for Mobile (GSM) communications spectrum in 14 circles in India.
Reliance Communications slipped 3.45% to Rs 777.40, Satyam Computers shed 2.87% to Rs 387.95, Mahindra & Mahindra gave away 2.86% to Rs 734.05, Larsen & Toubro fell 2.51% to Rs 4062.05 and Infosys Technologies declined 1.86% to Rs 1501.80.
Tata Steel rose 1.54% to Rs 851.85, Maruti Suzuki moved up 1.44% to Rs 867.25, and Tata Motors climbed 0.56% to Rs 769.25.
The BSE Bankex fell 2.39% to 12,258.42. It underperformed the Sensex. India’s largest private sector bank by assets ICICI Bank slipped 4.05% to Rs 1351.40.
Axis Bank fell 4.53% to Rs 1207.90, Karnataka Bank declined 2.57% to Rs 261.55, Canara Bank shed 2.41% to Rs 364.90, Andhra Bank gave away 2.06% to Rs 114.35 and State Bank of India skid 1.95% to Rs 2414.35.
The BSE FMCG index fell 2.34% to 2,354.16. It underperformed the Sensex. United Breweries slumped 6.39% to Rs 330.30, Tata Tea slipped 5.79% to Rs 826.15, ITC fell 3.70% to Rs 216.20, Britannia Industries declined 2.46% to Rs 1,571 and Hindustan Unilever shed 1.53% to Rs 216.20.
Reliance Natural Resources clocked the highest turnover of Rs 550.04 crore on BSE. Indiabulls Real Estate (Rs 406.81 crore), Reliance Industries (Rs 286.51 crore), Aries Agro (Rs 284.76 crore) and Reliance Energy (Rs 241.64 crore), were the other turnover toppers on BSE in that order.
Reliance Natural Resources recorded highest volume of 2.44 crore shares on BSE. Centurion Bank of Punjab (1.63 crore shares), Aries Agro (1.21 crore shares), Ispat Industries (1.11 crore shares) and G V FIlms (1.07 crore shares), were the other volume toppers on BSE in that order.
In Europe, key indices in UK, France and Germany were down 0.65% to 1.09%.
Asian markets opened higher backed by the strong close in US markets overnight, but most of the indices declined as the day proceeded weighed down by export oriented shares as the dollar depreciated against local currencies. Key benchmark indices in Hong Kong, Japan, South Korea, and China were down 0.98% to 2.38%. However, Taiwan's Taiwan Weighted index was up 3.13%.
US stocks rallied smartly on Monday, 14 January 2008 following better-than-expected results from IBM. The Dow Jones Industrial Average surged 171.85 points, or 1.36%, to 12,778.15. The Standard & Poor's 500 index shot up 15.23 points, or 1.09%, to 1,416.25 and the Nasdaq Composite index advanced 38.36 points, or 1.57%, to 2,478.30.
Nifty January 2008 futures at discount
Reliance group stocks dominate turnover charts
Nifty January 2008 futures were at 6063, a discount of 11.25 points as compared to spot closing of 6,074.25.
The NSE's futures & options (F&O) segment turnover surged to Rs 65,569.15 crore as compared to Rs 53,245.37 crore on Monday, 14 January 2008.
Reliance group stocks dominated turnover charts, as four out of five most active stocks in NSE's futures & options were from Reliance group. Reliance Natural Resources January 2008 futures were at discount, at 216.45, compared to the spot closing of 216.70. It was the most active contract on NSE's F&O segment with turnover of Rs 3272.17 crore
Reliance Industries January 2008 futures were at premium, at 3159, compared to the spot closing of 3156.
Reliance Capital January 2008 futures were at premium, at 2764.90, compared to the spot closing of 2745.
Reliance Energy January 2008 futures were at premium, at 2346, compared to the spot closing of 2330.
In the cash market, the S&P CNX Nifty tumbled 132.55 points or 2.14% at 6,074.25
NSE Bulk Deal Watch - Jan 15 2008
Date,Symbol,Security Name,Client Name,Buy/Sell,Quantity Traded,Trade Price / Wght. Avg. Price,Remarks
14-JAN-2008,ARIES,Aries Agro Limited,CPR CAPITAL SERVICES LTD.,BUY,79777,221.86,-
14-JAN-2008,ARIES,Aries Agro Limited,CREDENTIAL STOCK BROKERS LIMITED,BUY,113900,225.84,-
14-JAN-2008,ARIES,Aries Agro Limited,DINESH MUNJAL,BUY,170759,219.91,-
14-JAN-2008,ARIES,Aries Agro Limited,FIN BRAINS SECURITIES (INDIA) LTD.,BUY,84965,227.78,-
14-JAN-2008,ARIES,Aries Agro Limited,HARBUX SINGH SIDHU,BUY,224294,224.67,-
14-JAN-2008,ARIES,Aries Agro Limited,KARIMJEE PVT.LTD.,BUY,124898,225.00,-
14-JAN-2008,ARIES,Aries Agro Limited,PACE FINCAP PRIVATE LIMITED,BUY,119195,223.64,-
14-JAN-2008,ARIES,Aries Agro Limited,R.M. SHARE TRADING PVT LTD,BUY,159794,227.46,-
14-JAN-2008,ARIES,Aries Agro Limited,YOKE SECURITIES LIMITED,BUY,143895,223.68,-
14-JAN-2008,BURNPUR,Burnpur Cement Limited,ASTUTE COMMODITIES & DERIVATIVES Pvt Ltd,BUY,395809,41.30,-
14-JAN-2008,BURNPUR,Burnpur Cement Limited,NISSAR BROTHERS,BUY,349853,39.30,-
14-JAN-2008,BURNPUR,Burnpur Cement Limited,SANJAY BHANWARLAL JAIN,BUY,255866,39.41,-
14-JAN-2008,BURNPUR,Burnpur Cement Limited,TRANSGLOBAL SECURITIES LTD.,BUY,499371,39.70,-
14-JAN-2008,NICCO,Nicco Corporation Limited,RAPID ESTATES PRIVATE LIMITED,BUY,788670,38.00,-
14-JAN-2008,OMNITECH,Omnitech Infosolutions Li,MANISH VRAJLAL SARVAIYA,BUY,107108,223.04,-
14-JAN-2008,PPAP,Precision Pipes And Profi,FIN BRAINS SECURITIES (INDIA) LTD.,BUY,103853,145.89,-
14-JAN-2008,PPAP,Precision Pipes And Profi,NEPTUNE FINCOT PVT LTD,BUY,71498,149.26,-
14-JAN-2008,PPAP,Precision Pipes And Profi,PRASHANT JAYANTILAL PATEL,BUY,211324,148.67,-
14-JAN-2008,SHLAKSHMI,Shri Lakshmi Cotsyn Limit,DEEPAK B DESAI,BUY,97386,154.91,-
14-JAN-2008,SHLAKSHMI,Shri Lakshmi Cotsyn Limit,JRK CONSULTANTS PVT LTD,BUY,200000,174.88,-
14-JAN-2008,ARIES,Aries Agro Limited,CPR CAPITAL SERVICES LTD.,SELL,79777,222.23,-
14-JAN-2008,ARIES,Aries Agro Limited,CREDENTIAL STOCK BROKERS LIMITED,SELL,113900,225.71,-
14-JAN-2008,ARIES,Aries Agro Limited,DINESH MUNJAL,SELL,170759,220.62,-
14-JAN-2008,ARIES,Aries Agro Limited,FIN BRAINS SECURITIES (INDIA) LTD.,SELL,84965,228.31,-
14-JAN-2008,ARIES,Aries Agro Limited,HARBUX SINGH SIDHU,SELL,224294,224.75,-
14-JAN-2008,ARIES,Aries Agro Limited,KARIMJEE PVT.LTD.,SELL,124898,223.45,-
14-JAN-2008,ARIES,Aries Agro Limited,PACE FINCAP PRIVATE LIMITED,SELL,119195,222.96,-
14-JAN-2008,ARIES,Aries Agro Limited,R.M. SHARE TRADING PVT LTD,SELL,159794,227.61,-
14-JAN-2008,ARIES,Aries Agro Limited,YOKE SECURITIES LIMITED,SELL,141895,223.79,-
14-JAN-2008,BURNPUR,Burnpur Cement Limited,ASTUTE COMMODITIES & DERIVATIVES Pvt Ltd,SELL,348996,41.07,-
14-JAN-2008,BURNPUR,Burnpur Cement Limited,NISSAR BROTHERS,SELL,349853,39.24,-
14-JAN-2008,BURNPUR,Burnpur Cement Limited,SANJAY BHANWARLAL JAIN,SELL,255866,39.62,-
14-JAN-2008,BURNPUR,Burnpur Cement Limited,TRANSGLOBAL SECURITIES LTD.,SELL,489374,39.64,-
14-JAN-2008,NICCO,Nicco Corporation Limited,NIRAJ REALTORS & SHARES PVT. LTD.,SELL,800000,38.00,-
14-JAN-2008,OMNITECH,Omnitech Infosolutions Li,MANISH VRAJLAL SARVAIYA,SELL,80108,216.62,-
14-JAN-2008,PPAP,Precision Pipes And Profi,FIN BRAINS SECURITIES (INDIA) LTD.,SELL,103853,147.02,-
14-JAN-2008,PPAP,Precision Pipes And Profi,NEPTUNE FINCOT PVT LTD,SELL,71497,148.06,-
14-JAN-2008,PPAP,Precision Pipes And Profi,PRASHANT JAYANTILAL PATEL,SELL,211324,148.21,-
14-JAN-2008,PPAP,Precision Pipes And Profi,PRIME INDIA INVESTMENT FUND LTD,SELL,145185,150.19,-
14-JAN-2008,PPAP,Precision Pipes And Profi,RAHN AND BODMER,SELL,136066,150.20,-
14-JAN-2008,SHLAKSHMI,Shri Lakshmi Cotsyn Limit,DEEPAK B DESAI,SELL,83263,160.26,-
14-JAN-2008,SHLAKSHMI,Shri Lakshmi Cotsyn Limit,JRK CONSULTANTS PVT LTD,SELL,200000,149.50,-
14-JAN-2008,SHLAKSHMI,Shri Lakshmi Cotsyn Limit,RELIANCE CAPITAL LTD,SELL,102252,167.35,-
14-JAN-2008,SHLAKSHMI,Shri Lakshmi Cotsyn Limit,SONATA INVESTMENTS LIMITED,SELL,107485,171.87,-
BSE Bulk Deals to Watch - Jan 15 2008
15/1/2008 531190 A V COTTEX I PEGASUS STOCKS AND SHARES PVT LTD B 38500 31.68
15/1/2008 532919 ALLIED COMP PARI STOCK TRADING PVT. LTD. B 156558 45.02
15/1/2008 532919 ALLIED COMP AYODHYAPATI INVESTMENT PVT. LTD B 226780 45.13
15/1/2008 532919 ALLIED COMP PARI STOCK TRADINDG PVT. LTD. S 156558 45.19
15/1/2008 532919 ALLIED COMP AYODHYAPATI INVESTMENT PVT. LTD S 226780 45.59
15/1/2008 532919 ALLIED COMP JIGNESH VAGHJIBHAI SHAH S 103334 45.00
15/1/2008 532919 ALLIED COMP ACCORD CAPITAL MARKETS LTD S 100000 45.05
15/1/2008 532935 ARIES AGRO EUREKA STOCK AND SHARE BROKING SERVICES LTD B 88619 236.25
15/1/2008 532935 ARIES AGRO PACE FINCAP PRIVATE LIMITED B 83087 229.84
15/1/2008 532935 ARIES AGRO JMP SECURITIES PVT. LTD. B 71151 232.38
15/1/2008 532935 ARIES AGRO DEEPAK S CHHEDA B 147143 234.76
15/1/2008 532935 ARIES AGRO AMIT M GALA B 137965 236.63
15/1/2008 532935 ARIES AGRO HIMANSHU R NISSAR B 86293 231.00
15/1/2008 532935 ARIES AGRO H.J.SECURITIES PVT.LTD. B 146971 231.67
15/1/2008 532935 ARIES AGRO BHANDARI RAKHI KALPESH B 88512 239.42
15/1/2008 532935 ARIES AGRO EUREKA STOCK AND SHARE BROKING SERVICES LTD S 88619 236.45
15/1/2008 532935 ARIES AGRO PACE FINCAP PRIVATE LIMITED S 80087 230.01
15/1/2008 532935 ARIES AGRO JMP SECURITIES PVT. LTD. S 77001 220.63
15/1/2008 532935 ARIES AGRO DEEPAK S CHHEDA S 147143 235.13
15/1/2008 532935 ARIES AGRO AMIT M GALA S 137965 237.19
15/1/2008 532935 ARIES AGRO HIMANSHU R NISSAR S 86293 231.28
15/1/2008 532935 ARIES AGRO H.J.SECURITIES PVT.LTD. S 146971 232.18
15/1/2008 532935 ARIES AGRO BHANDARI RAKHI KALPESH S 88512 237.95
15/1/2008 522134 ARTSON ENGIN JMP SECURITIES PVT. LTD. B 346821 86.45
15/1/2008 522134 ARTSON ENGIN SUNITA DEVI S 60000 85.73
15/1/2008 522134 ARTSON ENGIN RAMESH KUMAR JAIN S 65000 87.53
15/1/2008 522134 ARTSON ENGIN JMP SECURITIES PVT. LTD. S 330081 86.94
15/1/2008 524804 AUROBINDO PH GOLDMAN SACHS INVESTMENTS MAURITIUS I LTD B 324445 464.65
15/1/2008 500029 AUTOLITE INE AMRABATHI INVESTRA PVT LTD B 48000 164.93
15/1/2008 505506 AXON INFOTEC AGRAWAL BROKERAGE PVT. LTD. B 34500 71.90
15/1/2008 505506 AXON INFOTEC UNIFLEX CARRYING CO. PVT. LTD. B 25000 72.25
15/1/2008 505506 AXON INFOTEC PUSHPAK COMMERCIAL FINANCE PVT. LTD. S 12000 72.25
15/1/2008 505506 AXON INFOTEC BINOD RESOURCES PVT. LTD. S 18000 72.25
15/1/2008 505506 AXON INFOTEC SHETH COMMERCIAL PVT. LTD. S 9000 71.90
15/1/2008 505506 AXON INFOTEC SHETH IMPEX PVT. LTD. S 12000 71.90
15/1/2008 531591 BAMPSL SECUR JMP SECURITIES PVT. LTD. B 652000 2.99
15/1/2008 523229 BHARAT SEATS HAFEEZ S CONTRACTOR S 100000 20.71
15/1/2008 532931 BURNPUR N D NISSAR B 255258 44.42
15/1/2008 532931 BURNPUR N D NISSAR S 255258 44.37
15/1/2008 505923 CEEKAY DIAKI SHILPA KETAN SHAH S 35000 133.74
15/1/2008 526917 CHD DEV LTD JMP SECURITIES PVT. LTD. S 441598 31.17
15/1/2008 503673 CMM BROADCAS MUKESHKUMAR S RANGREJ S 63825 7.98
15/1/2008 522231 CONART ENGIN HAFEEZ S CONTRACTOR S 18000 42.36
15/1/2008 532271 CYBERMAT INF PRABHUDAS LILLADHER PVT. LTD. B 473538 15.43
15/1/2008 532271 CYBERMAT INF SARFARAZKHAN SARVARKHAN PATHAN B 2017743 15.37
15/1/2008 532271 CYBERMAT INF PRABHUDAS LILLADHER PVT. LTD. S 463538 15.46
15/1/2008 532271 CYBERMAT INF SARFARAZKHAN SARVARKHAN PATHAN S 2035890 15.52
15/1/2008 505526 DOLAT INV LT PANKAJ D SHAH S 1522581 21.09
15/1/2008 504351 EMPOWER INDS GROWTH CAPITAL B 29359 22.95
15/1/2008 504351 EMPOWER INDS NUTAN S SHAH S 29359 22.95
15/1/2008 532768 FIEM INDS ANUBANDH FIN SERVICES P LTD S 73836 100.23
15/1/2008 531439 GOLDSTON TEC B R INTERNATIONAL B 192535 262.19
15/1/2008 524184 GULSHA SUG C LANDMARK CAPITAL MARKETS LTD. B 100000 71.97
15/1/2008 524184 GULSHA SUG C PRISM IMPEX PVT LTD S 75000 72.00
15/1/2008 532544 INDIABULLS SONATA CAPITAL PRIVATE LIMITED S 1500690 880.06
15/1/2008 522285 JAYASWA NECO JMP SECURITIES PVT. LTD. B 586865 82.09
15/1/2008 522285 JAYASWA NECO JMP SECURITIES PVT. LTD. S 759604 82.05
15/1/2008 523592 JENSON & NIC JMP SECURITIES PVT. LTD. B 216001 18.20
15/1/2008 530405 JINDAL CAP. HITESH SHASHIKANT JHAVERI S 25000 84.01
15/1/2008 530405 JINDAL CAP. JMP SECURITIES PVT. LTD. S 72910 82.23
15/1/2008 523550 KRYPTON INDU ROHISH NARAYAN HEGDE B 51552 65.92
15/1/2008 523550 KRYPTON INDU NILESH KUMAR LAHOTI B 42948 66.32
15/1/2008 523550 KRYPTON INDU ROHISH NARAYAN HEGDE S 56657 65.96
15/1/2008 523550 KRYPTON INDU NILESH KUMAR LAHOTI S 42948 65.66
15/1/2008 523550 KRYPTON INDU CHAINROOP SURAJMAL DUGAR S 21625 67.24
15/1/2008 531633 LINCOLN PHAR JMP SECURITIES PVT. LTD. B 245156 14.74
15/1/2008 531633 LINCOLN PHAR JMP SECURITIES PVT. LTD. S 198349 14.97
15/1/2008 505523 MAH IND LEAS AYODHYAPATI INVESTMENT PVT. LTD B 102865 59.93
15/1/2008 505523 MAH IND LEAS JMP SECURITIES PVT. LTD. B 50000 59.99
15/1/2008 505523 MAH IND LEAS AYODHYAPATI INVESTMENT PVT. LTD. S 107005 60.00
15/1/2008 505523 MAH IND LEAS JMP SECURITIES PVT. LTD. S 25000 59.16
15/1/2008 505523 MAH IND LEAS RAJENDRABHI NATVERLAL PATEL S 20000 59.95
15/1/2008 531213 MANAP GEN FI GMO EMERGING ILLIQUID MAURITIUS FUND B 434800 180.00
15/1/2008 531213 MANAP GEN FI VIJAYAKUMAR.K.B S 200000 182.69
15/1/2008 531213 MANAP GEN FI K.M.DHARMARAJAN S 200000 180.00
15/1/2008 531213 MANAP GEN FI BALU .C. P S 100000 180.05
15/1/2008 530543 MARG CONSTRU CLSA MAURITIUS LTD B 138000 508.66
15/1/2008 519287 MODERN DAIRE AMAS INDIA INVESTMENTS MAURITIUS LIMITED B 100000 85.00
15/1/2008 530367 NRB BEARING ICICI PRUDENTIAL LIFE INSURANCE CO LTD B 500000 85.50
15/1/2008 530367 NRB BEARING MORGAN STANLEY MAU CO LTD S 513894 85.53
15/1/2008 532086 OCEAN INFRST H.R.JAVERI B 135415 10.56
15/1/2008 532606 PAREKH ALUM SANGITA PRAKASH DOSHI B 44380 241.70
15/1/2008 532933 PORWAL AUTO PRABHUDAS LILLADHER PVT. LTD. B 187321 72.49
15/1/2008 532933 PORWAL AUTO HIMANSHU R NISSAR B 81760 73.42
15/1/2008 532933 PORWAL AUTO PRABHUDAS LILLADHER PVT. LTD. S 187636 72.72
15/1/2008 532933 PORWAL AUTO HIMANSHU R NISSAR S 81760 74.09
15/1/2008 531646 RFL INTERNAT SONAL TUSHAR SHAH B 107000 2.76
15/1/2008 531646 RFL INTERNAT AMIT AGGARWAL B 75000 2.68
15/1/2008 531646 RFL INTERNAT KETAN PRABHASHANKAR JOSHI B 30000 2.92
15/1/2008 531646 RFL INTERNAT BHARAT SINGH SAGAR S 50000 2.68
15/1/2008 514264 SEASONS TEXT SANTOSH SHARMA B 50000 20.96
15/1/2008 514264 SEASONS TEXT SHALANI DHOOP PRIVATE LTD B 81271 19.45
15/1/2008 502465 SPECIALITY ANIL GURMUKH BHAGWANI NRE S 30000 95.45
15/1/2008 590037 STEEL EXCH DIAMANT INVESTMENT AND FINANCE LIMITED B 97625 154.55
15/1/2008 590037 STEEL EXCH DIAMANT INVESTMENT AND FINANCE LIMITED S 91611 155.26
15/1/2008 530419 SUMEDH FISCA PRATIK H. PAREKH B 38714 23.23
15/1/2008 530419 SUMEDH FISCA DHEERAJ KUMAR B 74191 22.85
15/1/2008 530419 SUMEDH FISCA RICHA N. SHAH S 47093 22.88
15/1/2008 531499 SYBLY INDUSR R S DUA HUF B 69627 10.38
15/1/2008 531703 TRIBHVAN HSG JOHN VAS B 100000 32.15
15/1/2008 532131 TRIUMPH IN F SUNIDHI CON.S.P. L.INVESTMENTS S 64375 11.33
15/1/2008 511431 VAKRAN SOFTW RBA FINANCE AND INVESTMENT CO B 138000 238.89
15/1/2008 531574 VAS ANIMA EN SANJAY JAGDISH PODDAR B 82876 122.25
15/1/2008 511246 WHITE LION A VARSHA SANJAY MAHATPUTRA S 45383 20.72
15/1/2008 532788 XL TEL ENE JM FINANCIAL MF . . B 265000 457.20
15/1/2008 532788 XL TEL ENE JM FINANCIAL MF . . S 265000 457.20
14/1/2008 531190 A V COTTEX I PEGASUS STOCKS AND SHARES PVT LTD B 44000 32.99
14/1/2008 532919 ALLIED COMP UNITED CREDIT SECURITIES LIMITED S 130000 45.21
14/1/2008 504629 ANIL SP STEL CUBE FINTEX PRIVATE LIMITED S 50000 34.42
14/1/2008 590049 APOLLO SINDH SFCLSHARE TRADING AC S 15130 827.88
14/1/2008 532935 ARIES AGRO MATRIX EQUITRADE PVT LTD B 558626 227.24
14/1/2008 532935 ARIES AGRO OPG SECURITIES PVT LTD B 286385 223.82
14/1/2008 532935 ARIES AGRO MATUSHREE INVESTMENTS B 66767 222.47
14/1/2008 532935 ARIES AGRO MATRIX EQUITRADE PVT LTD S 558626 227.50
14/1/2008 532935 ARIES AGRO OPG SECURITIES PVT LTD S 286385 224.35
14/1/2008 532935 ARIES AGRO MATUSHREE INVESTMENTS S 66103 222.33
14/1/2008 532931 BURNPUR MATRIX EQUITRADE PVT LTD B 316071 39.91
14/1/2008 532931 BURNPUR OPG SECURITIES PVT LTD B 464000 39.82
14/1/2008 532931 BURNPUR MATRIX EQUITRADE PVT LTD S 316071 39.74
14/1/2008 532931 BURNPUR OPG SECURITIES PVT LTD S 464000 39.95
14/1/2008 531137 GEMSTONE INV KISHOR BALUBHAI CHAUHAN S 53915 32.52
14/1/2008 507435 KHODAY INDIA PEACOCK SHARES STOCKS LTD B 150000 294.13
14/1/2008 531261 KUSHAGRA SO DEVESH PANDEY B 70000 12.19
14/1/2008 507759 LIME CHEM HUSSEIN ISMAILDAWOODANI B 29000 16.90
14/1/2008 507759 LIME CHEM PRATIMA LEASING AND INVESTMENT PVT LTD S 29000 16.90
14/1/2008 532933 PORWAL AUTO SHAILESH M NISSAR B 157288 85.81
14/1/2008 532933 PORWAL AUTO CHIMANLAL MANEKLAL SEC.PVT.LTD B 171775 89.07
14/1/2008 532933 PORWAL AUTO A A DOSHI SHARES AND BROK B 267623 83.86
14/1/2008 532933 PORWAL AUTO SHAILESH M NISSAR S 157288 86.23
14/1/2008 532933 PORWAL AUTO CHIMANLAL MANEKLAL SEC.PVT.LTD S 171775 88.89
14/1/2008 532933 PORWAL AUTO A A DOSHI SHARES AND BROK S 264744 83.88
14/1/2008 532934 PRECISION MATRIX EQUITRADE PVT LTD B 119467 151.35
14/1/2008 532934 PRECISION OPG SECURITIES PVT LTD B 232581 149.39
14/1/2008 532934 PRECISION MATRIX EQUITRADE PVT LTD S 119467 150.77
14/1/2008 532934 PRECISION OPG SECURITIES PVT LTD S 232581 149.61
14/1/2008 531646 RFL INTERNAT BHARAT SINGH SAGAR B 50000 2.79
14/1/2008 531646 RFL INTERNAT VEENU GUPTA S 71700 2.57
14/1/2008 531646 RFL INTERNAT NITIN GUPTA HUF S 100000 2.79
14/1/2008 531646 RFL INTERNAT CHINTAN GUPTA HUF S 30000 2.79
14/1/2008 532031 SARANG CHEMI APPLE BROKING S 30000 6.74
14/1/2008 531703 TRIBHVAN HSG SIGRUN REALTIES LTD B 35000 33.65
14/1/2008 530769 VENUS UNIVER S R OSWAL CO B 305000 1.35
11/1/2008 532363 COMP-U-LEARN BIPIN DOSHI B 90000 20.30
11/1/2008 532363 COMP-U-LEARN MATUSHREE INVESTMENTS S 90000 21.31
11/1/2008 517973 DMC INTER CENTENARY SOFTWARE PRIVATE LIMITED B 43618 34.19
11/1/2008 511682 IFL PRMOTER CENTENARY SOFTWARE PRIVATE LIMITED B 24845 32.91
11/1/2008 511682 IFL PRMOTER CENTENARY SOFTWARE PRIVATE LIMITED S 28945 32.74
11/1/2008 517471 KOA TOOL IN DINESH RAMLAL AGARWAL B 250000 2.25
11/1/2008 517471 KOA TOOL IN ATUL DINESH AGARWAL B 250000 2.25
10/1/2008 511682 IFL PRMOTER CENTENARY SOFTWARE PRIVATE LIMITED S 31205 33.55
10/1/2008 531025 INCA FINLEAS MANIBEN RAMNIKLAL CHHADVA S 30000 150.75
10/1/2008 520073 RAUNAQ AUT C CENTENARY SOFTWARE PRIVATE LIMITED B 86150 33.08
Market drops heavily
The Sensex opened with a positive gap of 108 points at 20,836 and touched a high of 20,873 in early deals. The index slipped into negative zone soon, and exhibited a weak trend for the rest of the trading day.
Heavy selling towards the close saw the index plunge to a low of 20,204 - down 669 points from the day's high. The Sensex finally ended with a significant loss of 477 points (2.3%) at 20,251.
The BSE Power and Teck indices plunged 2.5% each to 4632 and 3624, respectively. The Bankex and FMCG index shed 2.3% each at 12,258 and 2354, respectively.
The NSE Nifty declined over 2% (133 points) to 6074.
The breadth was fairly negative on the BSE - out of 2,888 stocks traded, 1,868 declined, 989 advanced and 31 were unchanged today.
INDEX SHAKERS...
Bharti Airtel slumped 5.5% to Rs 857. Reliance Energy tumbled 4.5% to Rs 2,365.
ICICI Bank, NTPC and ITC plunged around 4% each to Rs 1,351, Rs 274 and Rs 216, respectively.
Reliance Communications shed 3.5% at Rs 777. Hindalco, Satyam and Mahindra & Mahindra slipped around 3% each to Rs 196, Rs 388 and Rs 734, respectively.
Larsen & Toubro, HDFC and DLF dropped around 2.5% each to Rs 4,062, Rs 2,904 and Rs 1,176, respectively.
Ranbaxy, BHEL and TCS declined 2.3% each to Rs 390, Rs 2,416 and Rs 938, respectively.
SBI and Infosys were down almost 2% each at Rs 2,414 and Rs 1,502, respectively.
Reliance and Hindustan Unilever dropped over 1.5% each to Rs 3,162 and Rs 216, respectively.
...AND THE MOVERS
Tata Steel and Maruti advanced around 1.5% each to Rs 852 and Rs 867, respectively.
MOST ACTIVE COUNTERS
Reliance Natural Resources topped the value chart with a turnover of Rs 545 crore followed by Indiabulls (Rs 406.80 crore), Reliance (Rs 286.50 crore), Aries Agro (Rs 284.80 crore) and Reliance Energy (Rs 241.60 crore).
Reliance Natural Resources led the volume chart with trades of around 2.45 crore shares followed by Centurion Bank of Punjab (1.63 crore), Aries Agro (1.21 crore), Ispat Industries (1.12 crore) and G V Films (1.08 crore).
Market Close: Tumbles from the Top..
A blood bath for Indian indices; weakness across the globe brought in pressure on the Indian indices too. Hang Seng closed down by 630 points where as Sensex ended down by 477 points. Indian indices opened on flat note and their after indices fell gradually into negative teritorry. The selling pressure eventually pushed indices to down side to end in deep red. Sensex lost almost 500 points from days high, heavy weights like REL, Bharti, NTPC and ICICI were the major hit. Selling was seen in all the sectors where as IT, Power, FMCG and Banking stocks are worst hit. Even the small and midcaps faced the selling pressure and ended in red. European indices are trading in red. But it?s the Reliance Power IPO which has drained major of the flow. The Rs 11,700 cr IPO got over whelming response and was subscribed more than 9 times on the first day itself.
Sensex closed down by 477 points at 20251.09. Weighing on the Sensex were losses in Bharti Tele (857.3,-6 percent), Rel Energy (2364.55,-4 percent), ICICI Bk (1351.4,-4 percent), NTPC (274,-4 percent) and ITC (216.2,-4 percent). Losses were restricted by gains in TISCO (851.85,+2 percent), Maruti (867.25,+1 percent), Dr Reddys (673.15,+1 percent), Tata Motors (769.25,+1 percent) and Hero Honda (705.7,+0 percent).
Texmaco reported impressive results for Q3 FY08. The top line grew by 85% to Rs 161 cr. The bottom line grew by 104% to Rs 15 cr on yoy basis. The Ebidta profit grew by 83% to Rs 23 cr and the Ebidta margins have been maintained at 14% on yoy basis. The heavy engineering grew by 91% and the steel foundry grew by 41%, the margins are improved in heavy eng compared to steel foundry. The increase in raw material cost which put pressure on steel foundry margins. The margin in heavy eng is at 10% enhanced by 200 bps and in steel foundry is at 16.5%. Valuation seems to be expensive at the current market price of Rs 1782 the stock trades at 34 times of FY08 and 19 times FY09 earnings. One can buy at dips for long term investment prospects.
Eveready, part of the BM Khaitan Group, is the market leader in the dry cell battery industry. Eveready is a focussed and well established FMCG player. Its portfolio comprises of dry cell batteries, rechargeable batteries, flashlights, packet tea and recently introduced mosquito coils. The company gets large chunk for its revenue from Battery Segment. It accounts for 75% of revenues. Industry growth was negative last year and that was the same for Eveready. The only problem it was facing was the high price of Zinc. As Zinc is trading at its low, Eveready is enjoying this play. As we had mentioned the good part is yet to come, its proving now. Do read our research note to know more.
Technically Speaking : Sensex slipped heavily in red. It made intraday high of 20,873 and days low of 20,204. Volume was a bit dull at Rs 8095crs. The breath was in favor of Declines, where Advances stood at 978 and Declines at 1880. Sensex has breached its major short term support. The trend is likely to turn weak. We have a major support near 19980, if this level is breached, sensex may go as low as 18500. resistance at 20500 and 20870.
Post Market Commentary - Jan 15 2008
After having a good start for the day, the market suffered heavy profit booking and cash withdrawal by the investors at a greater volume. One of the main reasons behind the heavy cash outflow from the market is the country''s biggest IPO Reliance Power Ltd, which opened for subscription today. The IPO got a very good response as it subscribed nearly 10 times on the first day of its opening itself. Finally after struggling through out the day, the market ended in deep red as the benchmark indices Sensex closed with heavy loss of 476.96 points at 20,251.09 and Nifty ended lower by 132.55 points to close at 6,074.25. Banking, IT, FMCG, Power and Capital good stocks were among the top losers. Further BSE Smallcap and BSE Midcap also closed with a loss of 1107.10 points and 105.01 points at 12,755.29 and 9,431.89 respectively.
BSE Capital Goods stood as the top looser with a loss 374.44 points to close at 19,146.91. Scrips those lost ground are Suzlon Energy, down by (3.95%), Thermax Ltd (2.75%), L&T (2.51%), Areva (2.42%), BHEL (2.36%), and Siemens (2.14%).
BSE Bankex also dropped heavily by 300.38 points to close at 12,258.42 as Axis bank (4.53%), ICICI Bank (4.05%), Karnataka Bank (2.57%), Canara Bank (2.41%), Andhra Bank (2.06%), SBI (1.95%) closed lower.
BSE Oil & Gas closed lower by 270.35 points at 13,856.48. Scrips those declined are BPCL (5.63%), HPCL (3.62%), Essar Oil (3.54%), Gail India (2.79%), RPL (2.46%) and Aban Offshore (2.29%).
BSE Metal index ended in red with a loss of 245.37 points at 18,610.63. Scrips those plunged are Sh. Precoated (4.99%), Sterlite Inds (3.23%), NALCO (3.05%), Gujarat NRE (3.05%) and Jindal Steel (2.66%).
BSE Realty also lost ground by 225.66 points to close at 13,421.49. Scrips those dropped are Parsvanath (8.24%), Omaxe Ltd (5.32%), Ansal Infra (4.49%), Penland India (3.84%) and DLF Ltd (2.45%).
Market dumped
Market witnessed across-the-board selling as the sentiment remained bearish on the back of liquidity squeeze in the domestic market and a sharp fall in Asian indices. Sustained selling in power, technology and banking stocks too added pressure on the domestic indices. The major Asian indices like the Hang Seng, the Kospi, the Straits Times and the Nikkei shed over 1-2% each. After resuming 108 points above its previous close at 20,836, the market remained under the grip of sustained selling pressure. Extensive correction in heavyweights and index pivotal stocks towards the close dragged the index to the day's low of 20,204. The Sensex finally ended the session at 20,251, down 477 points, while the Nifty shed 133 points and closed at 6,074.
All the sectoral indices were hammered on the back of relentless selling pressure. The BSE Teck index dropped 2.59% at 3,624, the BSE Power index lost 2.45% at 4,632, the BSE Bankex index shed 2.39% at 12,258 and the BSE FMCG index fell 2.34% at 2,354. The broader market was weak. Of the 2,888 stocks traded on the BSE, 1,869 stocks declined, 988 stocks advanced and 31 stocks ended unchanged.
Except Tata Steel, Maruti and Tata Motors all the stocks in the Sensex basket ended in the red. Among the major losers, Bharti Airtel tanked 5.51% at Rs857, Reliance Energy tumbled by 4.42% at Rs2,365, ICICI Bank declined by 4.05% at Rs1,351, NTPC slumped 3.84% at Rs274, ITC fell 3.70% at Rs216, Reliance Communication plunged 3.45% at Rs777, Satyam Computer dropped 2.87% at Rs388, M&M slipped by 2.86% at Rs734 and L&T was down 2.51% at Rs4,062. Other front-line stocks were down 1-2% each.
RNRL witnessed volumes of over 2.44 crore shares on the BSE followed by Centurion Bank of Punjab (1.63 crore shares), Aries Agro (1.21 crore shares), Ispat Industries (1.11 crore shares) and GV Films (1.07 crore shares).
Valuewise, RNRL registered a turnover of Rs550 crore on the BSE followed by India Bulls (Rs406 crore), Reliance Industries (Rs286 crore), Aries Agro (Rs284 crore) and Reliance Energy (Rs241 crore).
Market declines sharply in late trade; breadth weak
The market fell sharply as heavyweights faced selling pressure. Bharti Airtel, Reliance Energy and ICICI Bank slumped. All the sectoral indices on BSE were in red. Banking, FMCG and power stocks were worst hit in today's fall. 23 out of 30 stocks from the Sensex pack were in red. Asian markets, which opened before Indian markets, were mostly in the red. European markets, which opened after Indian markets, too, were in the red.
The slide on the bourses today is attributed to the liquidity drain from the secondary market as the large IPO of Reliance Power opened for subscription today, 15 January 2008. The IPO will close on 18 January 2008.
The IPO of Reliance Power was fully subscribed within minutes of the opening of the book-building offer today. As per latest data, the IPO was subscribed 9.39 times. The IPO received bids for 214.01 crore shares compared to issue size of 22.80 crore shares.
The 30-share BSE Sensex was down 514.20 points or 2.48% to 20213.85, as per provisional closing. Sensex hit a low of 20,203.63 at the fag end of the trade. At the day's low, Sensex declined 524.42 points. Sensex hit a high of 20,872.93 at the onset of the trading session. At the day's high, Sensex rose 144.88 points.
The broader CNX S&P Nifty was down 144.35 points or 2.33% to 6062.45, as per provisional closing.
The BSE Mid-Cap index fell 1.24% to 9,418.82. The BSE Small-Cap index fell 1.03% to 12,729.66.
The market breadth was weak. On BSE, 982 shares advanced as compared to 1875 that declined. 31 remained unchanged.
BSE clocked a turnover of Rs 8095 crore compared to Monday (14 January 2008)'s Rs 7246 crore.
India’s largest private sector firm by market capitalization and oil refiner Reliance Industries fell 1.69% to Rs 3126. The company on Monday, 14 January 2008, announced yet another gas discovery in block KG OSN-2001/1 in the Krishna Godavari (KG) basin on the east coast of India.
India’s largest private sector bank by assets ICICI Bank fell 4.14% to Rs 1350.13.
India’s largest engineering & construction firm by revenue Larsen & Toubro fell 2.44% to Rs 4065.
Reliance Energy slumped 5.78% to Rs 2331, Bharti Airtel slipped 5.62% to Rs 856.30, NTPC fell 4.54% to Rs 272, Reliance Communications declined 3.87% to Rs 774 and ITC gave away 3.36% to Rs 216.95.
Maruti Suzuki rose 1.53% to Rs 868, Tata Steel moved up 1.32% to Rs 850, Tata Motors 0.39% to Rs 768 and HDFC Bank climbed 0.11% to Rs 1789.90.
In Europe, key indices in UK, France and Germany were down 0.30% to 1.08%.
Asian markets opened higher backed by the strong close in US markets overnight, but most of the indices declined as the day proceeded weighed down by export oriented shares as the dollar depreciated against local currencies. Key benchmark indices in Hong Kong, Japan, South Korea, and China were down 0.98% to 2.38%. However, Taiwan's Taiwan Weighted index was up 3.13%.
US stocks rallied smartly on Monday, 14 January 2008 following better-than-expected results from IBM. The Dow Jones Industrial Average surged 171.85 points, or 1.36%, to 12,778.15. The Standard & Poor's 500 index shot up 15.23 points, or 1.09%, to 1,416.25 and the Nasdaq Composite index advanced 38.36 points, or 1.57%, to 2,478.30.
Rupee moves up a bit
At 39.265/275
Rupee inched up on Tuesday on strong inflows for an IPO worth up to $3 billion, but suspected RBI intervention kept a lid on gains.
Rupee was at 39.265/275 per dollar, moving up slightly from the previous close of 39.28/29 per dollar, and not far from a decade-high of 39.16 hit in NovemberPoll Results - Applying in Reliance Power IPO
Applying in Reliance Power IPO ?
Yes ! Anil bhai's dream! 871 (65.7%)
No! Scam !! 454 (34.3%)
Total VOTES : 1325
These are the final results !
Overwhelming (nearly 2/3 rds of the people participated will APPLY for the issue)
Now, What remains to be seen is whether the people who are applying will SELL on listing - Participate in our latest POLL
Pre Market Watch - Jan 15 2008
The Indian market is likely to have positive opening due to favoring cues from the global markets. On Monday, the Indian market closed the session mixed as the Nifty closed up with marginal gains while BSE Sensex closed on a negative note. The market opened on a firm note on the back of heavy buying across the counters but was unable to sustain its gains. However, the Small Caps and Mid Caps stocks that faced the downturn for the last so many trading session remained in the limelight today as most buying was seen from these baskets. The BSE Sensex closed lower by 99.40 points at 20,728.05 and NSE Nifty grew by 6.7 points to close at 6,206.80. We expect that the market may gain some grounds during the trading session.
On Monday, the US market closed in green. The Dow Jones Industrial Average (DJIA) closed higher by 171.85 points at 12,778.15. S&P 500 index grew by 15.23 points to close at 1,416.25 and NASDAQ advanced by 38.36 points to close at 2,478.30
Indian ADRS closed in positive. In technology sector, Wipro grew by (1.58%) along with Satyam by (1.06%) and Infosys by (0.52%). In banking sector, HDFC bank advanced by (4.31%). MTNL and VSNL increased by (5.69%) and (2.96%) respectively. Sterlite industries inched by 1.63%.
The major stock markets in Asia are trading firm. Hang Seng is trading up by 80.90 points at 26,549.03 along with Japan''s Nikkei is trading higher by 67.80 points at 14,178.59 and Taiwan Weighted is trading at 8,484.68 up by 311.27 points.
On Monday, the FIIs stood as net buyer both in equity and debt. The gross equity purchased was Rs3,906.30 Crore and the gross debt purchased was Rs318.70 Crore while the gross equity sold stood at Rs3,792.60 Crore and gross debt sold stood at Rs85 Crore. Therefore, the net investment of equity reported was Rs113.70 Crore and net debt was Rs233.70 Crore.
Today, Nifty has support at 6,141 and resistance at 6,310 and BSE Sensex has support at 20,519 and resistance at 21,076.
Grey Market - EMAAR MGF, Reliance Power
Future Capital Holdings 700 to 765 560 to 580
Reliance Power 405 to 450 380 to 390
SVPCL 42 DISCOUNT
J. Kumar Infraprojects 110 to 120 30 to 32
Cords Cable Ind. 125 to 135 38 to 40
Manjushree Extrusion 45 --
Emaar MGF 725 to 850 400 to 425
Market likely to open positive
The market is likely to display positive trend as fund inflows continues into the domestic equities and players are maintaining their bets on large caps, banking and energy counters. However, the market is likely to witness cautious trend as the major Asian indices are trading flat in the ongoing trades and intra-day volatility remains the major factor. Among the local indices, the Nifty could test the 6400-6600 range on the upside while on the down side it could find support at 5,980 and 5,675. The Sensex is likely to get support at 19,500 and may face resistance at 21,000. On the earnings front Apollo Tyre, Morpen Laboratories and Orient Paper are expected to announce their quarterly numbers.
Major US indices registered significant gains on Monday, as the Dow finished with the gains of 172 points, helped by strong earnings from IBM boosting technology stocks followed by anticipation of another Fed interest rate cut. While the Dow Jones closed at 12,778, the Nasdaq moved up by 38 points to close at 2,478.
Except Dr Reddy's and ICICI Bank all the Indian ADRs traded firm on the US bourses. MTNL led the pack with gains of 5.69% while Infosys, Satyam, Wipro, Tata Motors, VSNL and HDFC Bank jumped over 1-4% each.
Crude oil prices advanced further, with the Nymex light crude oil for February delivery gaining by $1.51 to close at $92.69 a barrel. In the commodity space, the Comex gold for February delivery gained $5.70 to settle at $903.40 an ounce.
Short Term Trading Calls - Jan 15 2008
Buy Agro Tech Foods only on declines with a stop loss of Rs 202 for a short-term target of Rs 270
Buy BPCL with a stop loss of Rs 425 for target of Rs 550
Buy Educomp Solutions with a stop loss of Rs 4600 for target of Rs 6600
IBM comes to the rescue
Indices get a good boost as the tech bellwether reports stronger than expected Q4 earnings
With the help of IBM, US stock market made a modest comeback today, Monday, 14 January, 2008. Despite ongoing concerns about the financial sector and the overall economy, Dow registered a triple digit gain. Eight out of ten economic sectors posted gains.
Before the opening bell, IBM announced revenues of $28.9 billion and earnings of $2.80 per share versus analysts' expectations that called for revenue of $27.8 billion and earnings of $2.60 per share for the fourth quarter of FY 2007. IBM attributed its performance to strong international growth and a weaker dollar. This news gave the futures market a noticeable lift.
IBM also said that the results were driven by "strong operational performance in Asia, Europe and emerging countries." The company will provide full results on Thursday, 17 January.
The Dow Jones industrial Average ended the day with a good gain of 171.85 points at 12,778.15. The Nasdaq Composite Index, finished higher by 38.36 points at 2,478.3. S&P 500 finished higher by 15.23 points at 1,416.25.
Twenty-six out of thirty Dow stocks ended in the green today. IBM, H-P and Citigroup headed the team of Dow winners. Merck was a notable Dow laggard today.
H-P and Apple help lift Nasdaq after a long time
Citigroup shares were notably up 1.8% amid reports the bank would announce a write-down of as much as $24 billion and job cuts of between 17,000 and 24,000. The company’s earnings are expected tomorrow.
IBM stock gave a good boost to overall technology sector also. H-P and Apple shares soared helping Nasdaq register good gains after a long time.
Indian ADRs ended mixed today. HDFC Bank was the main winner gaining 4.3% while MTNL was the main loser shedding more than 5%.
Crude prices rose for the first time after slipping for four previous consecutive sessions. Prices rose today as tensions between US and Iran increased, fresh violence was reported at Nigeria and the dollar continued to weaken against its rivals. Crude-oil futures for light sweet crude for February delivery today closed at $94.2/barrel (higher by $1.6/barrel or 1.5%) on the New York Mercantile Exchange.
Volume on the New York Stock Exchange topped 1.4 billion, and advancing stocks led decliners more than 2 to 1. On the Nasdaq, nearly 2.2 billion shares changed hands, and advancers shot past decliners 9 to 5.
Investors will have lots of economic data and key earnings reports tomorrow to focus upon. In terms of economic data, the Producer Price Index will hit the wires at 8:30 ET, followed by December retail sales results, New York Empire State Index. On the earnings front, Citigroup is one of the major ones to report before market opens while Intel will report after close.
Market may advance
The market is likely to advance tracking strong US markets. The US stocks rallied smartly on Monday, 14 January 2008 following better-than-expected results from IBM. The Dow Jones Industrial Average surged 171.85 points, or 1.36%, to 12,778.15. The Standard & Poor's 500 index shot up 15.23 points, or 1.09%, to 1,416.25 and the Nasdaq Composite index advanced 38.36 points, or 1.57%, to 2,478.30.
Asian markets were trading mixed today, 15 January 2008. Hong Kong's Hang Seng (up 0.31% at 26,549.03), Japan's Nikkei (up 0.48% at 14,178.59), Taiwan's Taiwan Weighted (up 3.81% at 8,484.68) edged higher. However, South Korea's Seoul Composite (down 1.65% to 1,736.67) and Shanghai Composite (down 0.81% to 5,453.42) slipped.
However there might be some liquidity drain from the secondary market as action might shift to primary market as the mega initial public offer (IPO ) of Reliance Power opens for subscription today, 15 January 2008. The IPO ends on 18 January 2008. Meanwhile as per reports, state-owned telcom services provider Bharat Sanchar Nigam (BSNL) on Monday, 14 January 2008 said it plans to launch India’s biggest initial public offer to raise about Rs 40,000 crore (over $10 billion).
The 30-share BSE Sensex lost 99.40 points or 0.48% to 20728.05, on Monday, 14 January 2008. The broader CNX S&P Nifty rose 6.70 points or 0.11% at 6206.80 on that day.
As per provisional data, foreign institutional investors (FIIs) sold shares worth a net Rs 257.66 crore on Monday, 14 January 2008. FIIs were net sellers to the tune of Rs 1,103.20 crore in the futures & options segment on that day. They were net sellers of index futures to the tune of Rs 366.54 crore and bought index options worth Rs 53.67 crore. They were net sellers of stock futures to the tune of Rs 811.84 crore and bought stock options worth Rs 21.51 crore.
Domestic institutional investors (DIIs) were net sellers of shares worth Rs 193.55 crore on Monday, 14 January 2008.
Morning Call - Jan 15 2008
Market Grape Wine :
Out House :
Markets at a support of 20612 & 20502 levels with resistance at 20898 & 21102 levels .
Buy : RIL & REL
Buy : RelCap
Buy : NTPC & JPHydro
Buy : Balrampur & BajajHind
Buy : Primesecurity
Buy : IBUllsreal & IBullsFin
Buy : ITC & Suzlon
Buy : SBIN & IciciBank
Buy : JSW & Centextile
Dark Horse : Aban , PrimeSec , IciciBank , REL , JpAsso , RIL & SBIN
Power Finance Corporation
We recommend a buy in Power Finance Corporation at current market price. From the weekly chart of Power Finance Corporation it is evident that it has been on a firm long-term uptrend from its April 2007 low of Rs 101. However, after marking a life-high at Rs 297 in mid of November 2007, the stock began to consolidate sideways in the range of Rs 240 and 280, which is above the long-term up trend-line. Recently, the stock found support from the long-term up trendline at arou nd Rs 240 and bounced up. The stock’s recent upmove has breached both the 21-day as well as 50-day moving average line. The weekly momentum indicator is featuring in the bullish region and the daily momentum indicator is rising upwards too. The immediate support for the stock is at Rs 240 and the next support is at Rs 220. Moreover, the long-term uptrend is still in place. The short-term investors can buy the stock while keeping the stop-loss at Rs 252 level. We expect the stock to rally to the immediate resistance level of Rs 300 level in the short-term.
Via BL
Future Capital Holdings Current Subscription Details
| r.No. | Category | No.of shares offered/reserved | No. of shares bid for | No. of times of total meant for the category |
| 1 | Qualified Institutional Buyers (QIBs) | 3853680 | 39777272 | 10.3219 |
| 1(a) | Foreign Institutional Investors (FIIs) | 25415784 | ||
| 1(b) | Domestic Financial Institutions(Banks/ Financial Institutions(FIs)/ Insurance Companies) | 14198128 | ||
| 1(c) | Mutual Funds | 0 | ||
| 1(d) | Others | 163360 | ||
| 2 | Non Institutional Investors | 642280 | 100504 | 0.1565 |
| 2(a) | Corporates | 13080 | ||
| 2(b) | Individuals (Other than RIIs) | 76920 | ||
| 2(c) | Others | 10504 | ||
| 3 | Retail Individual Investors (RIIs) | 1926840 | 15924128 | 8.2644 |
| 3(a) | Cut Off | 15152800 | ||
| 3(b) | Price Bids | 771328 |
Daily Trading Calls - Jan 15 2008
Nifty (6207) Sup 6114 Res 6305
Buy Patel Eng (963) SL 955 Target 988, 993
Buy Bajaj Auto (2459) SL 2430 Target 2520, 2530
Buy SCI (322) SL 317
Target 332, 335
Sell Sun TV (406) SL 411
Target 398, 395
Sell Wockhardt (416) SL 421 Target 408, 406
What lies ahead?
To know the road ahead, ask those coming back.
The road ahead is filled with enough opportunities and threats. There now appears to be an intense slugfest underway between the bulls and the bears, with the key indices witnessing yo-yo movement over the past few sessions.
Strength in select large caps has lifted the Sensex and the Nifty to new lifetime peaks, but (as always) it remains to be seen whether the bulls can extend the winning run. The rally in small-caps and mid-caps seems to have dissipated a little bit of late, and we continue to advocate caution in this space.
Today, we see a positive opening after yesterday's marginal fall and overnight gains in the US and other global markets. Volatility is a given these days and so is the stock centric action.
Reliance Power IPO opens today. RIL has announced a new gas find (didn’t we hint about such announcements a few days ago). So, expect the Reliance counters to remain in the limelight.
The biggest threat at this point in time is the looming recession fears in the US and now also in Japan. At the same time, EU is worried about inflation and is reluctant to cut rates. Then there is the overheated Chinese economy that may pose some challenges. Commodity prices like oil, gold and select metals have gone through the roof. Global food prices are also pretty high. So, we have a unique situation where global growth may slow down, and at the same time inflation will remain high.
As far as India is concerned, the Government and the RBI have managed to keep inflation in check through various means, and there is no major danger from it as of now. In fact, there is a growing feeling that local interest rates may cool off slightly in the next few months. That will be good for the economy and markets. As a result, we expect our market to remain firm in the face of potential adversity emerging from the global markets. Having said that, much will then depend on the liquidity factor, especially the flows from the overseas investors. Budget will also have a bearing on the sentiment as will the policy meetings of the Federal Reserve and the RBI.
Results Today: ANG Auto, Apollo Tyres, DCW, Eskay Knit, Gremac Infra, JK Lakshmi Cement, Jubilant Organosys, Morepen Labs, Orient Paper, PSL, Sutlej Textiles, TRF and Vakrangee Software.
Among yesterday's results, IDFC, KLG Systel, Omnitech, Exide, Texmaco and Asian Star have posted good growth in topline as well as bottomline.
TTK Healthcare says that it has has disposed off its Printing Division's property consisting of land (admeasuring about 5,400 sq. mts.) and a building situated at No.328, GST Road, Chromepet, Chennai.
US stocks rebounded from Friday's sell-off, sending the Dow Jones Industrial Average and Nasdaq Composite Index to their biggest gains this year, after IBM's earnings beat forecasts. IBM rose the most in five years and triggered the steepest advance in technology shares since November.
Newmont Mining, the world's second-largest gold miner, and Halliburton, the second-biggest oilfield services company, gained as gold and oil advanced, helping the market rebound from three straight weeks of losses.
The S&P 500 Index, off to its worst start for a year since 1991, added 15 points, or 1.1%, to 1,416.25. The Dow rose 172 points, or 1.4%, to 12,778.15. The Nasdaq advanced 38 points, or 1.6%, to 2,478.3.
Market breadth was positive. Two stocks advanced for every one that fell on the NYSE.
Gold for February delivery reached an all time high of $915.90 before settling at $903.80 an ounce in New York as the dollar sank against the euro and yen.
Treasury prices rose, with the yield on the 10-year note falling to 3.78%, from 3.8% late on Friday. US, light crude oil for February delivery rose $1.55 to $94.24 a barrel in New York.
Credit Suisse issued a note, upgrading the US equity market to "overweight" in anticipation of aggressive rate cuts by the Federal Reserve. At the same time, the report downgraded European stocks based on the ECB's reluctance to cut rates.
European shares snapped a three-session losing streak after IBM announced better-than-expected earnings and strong outlook. European software major SAP also posted higher-than-expected software revenue growth.
The pan-European Dow Jones Stoxx 600 index rose 0.3% to 344.78. UK's FTSE 100 closed up 0.2% at 6,215.70, while the German DAX 30 advanced 0.2% to 7,732.02 and the French CAC-40 gained 0.6% at 5,403.51.
In the emerging markets, the Bovespa in Brazil was up 0.45 at 62,187 while the IPC index in Mexico fell 0.4% at 28,607. The RTS index in Russia gained 1.1% at 2339 and the ISE National-30 index in Turkey dropped 0.8% to 65,586.
Asian markets were trading mixed this morning. The Nikkei in Tokyo was up 67 points at 14,178 while the Hang Seng in Hong Kong added 42 points at 26,510. The Kospi in Seoul was flat at 1766 while the Straits Times in Singapore rose 15 points to 3233. The Shanghai Composite in China was down 21 points while the Taiex in Taiwan spurted by 334 points to 8507.
Markets to remain choppy
Markets ended a choppy session on flat note. However, the second rung of stocks were in the limelight also the Power and the Realty stocks witnessed buying interest. However, the pivotals and select Auto stocks were under pressure. Cues from the Asian and the European markets also were not that encouraging.
The Asian markets ended with a negative bias and the European markets also posted a lackluster opening. Among the index heavyweights Reliance Industries and RCOM were the major gainers. However, telecom major Bharti Airtel and leading lender ICICI Bank were among the major laggards. Finally, 30-share Sensex closed at 20,728 losing 99 points and Nifty ended flat at 6,206.
Porwal Auto engaged in the manufacturing and marketing of S.G. (Ductile) Iron and Grey Cast Iron Castings and components starting trading at Rs85 on BSE against the issue price of Rs75. The scrip ended at Rs79 translating into a premium of 6%.
The company had come out with an initial public offer of 50 lakh shares of Rs10 each and its issue subscribed just 1.03 times. The price band of the Rs10 face value share was Rs68-75 per share. The company raised Rs34crore - Rs37.50crore.
The present manufacturing capacity for casting components is 9000 MT per annum and plans are under implementation to expand further to a capacity 27600 MT per annum by June 2008. The scrip touched an intra-day high of Rs120 and a low of Rs76 and recorded volumes of over 1,00,00,000 shares on NSE.
JP Associates has surged by over 5% to Rs469 after reports stated that the company secured the Rs300bn Ganga expressway project, to be built from Greater Noida to Balia. The total length of the expressway will be 1,000 km and will be completed in four years. The government has allocated around 63,110 hectare land for the project UP CM Mayawati is believed to lay the foundation stone for the project.
JP Associates also on January 12, 2008 announced its Q3 results. The company’s fiscal third-quarter profit rose 53%. Net income rose to Rs1.56bn in the three months ended Dec. 31 from Rs1.02bn in the year-earlier period. The scrip touched an intra-day high of Rs490 and a low of Rs460 and recorded volumes of over 1,00,00,000 shares on NSE.
ICICI Bank slipped 2% to Rs1410. According to reports the company may cut interest rates on home loans for new and existing customers in the first quarter of the next financial year starting April on expectations interest rates will fall. The scrip touched an intra-day high of Rs1455 and a low of Rs1380 and recorded volumes of over 51,00,000 shares on NSE.
Energy Development advanced by over 5.5% to Rs293 as the company has entered in an accord with government of Arunachal to develop 5 hydro electric projects. The scrip touched an intra-day high of Rs299 and a low of Rs277 and recorded volumes of over 52,000 shares on NSE.
IQMS Software is locked at 5% lower circuit to Rs5.32. The company announced that it bagged a contract for the outsourcing of 35 seater Equity Research on 24*7 basis. The contract value is directly linked to the output of the research work churned by the Company. The equity research outsourcing (ERO) set up by the Company is going to cater to the requirements of FII's / FI's / Institutions and Mutual Funds. The scrip touched an intra-day high of Rs5.32 and a low of Rs5.32 and recorded volumes of over 3,00,000 shares on NSE.
Glenmark Pharma gained over 6% to Rs577 after the company announced that that its lead candidate for Type II Diabetes GRC 8200 has received the International Non-proprietary Name (INN) "Melogliptin", from the World Health Organization (WHO). The scrip touched an intra-day high of Rs582 and a low of Rs545 and recorded volumes of over 2,00,000 shares on NSE.
Tanu Healthcare was locked at 5% upper circuit to Rs10.84 after the board of directors of the company approved Rs100mn preferential issue. The scrip touched an intra-day high of Rs10.84 and a low of Rs9.82 and recorded volumes of over 1,00,000 shares on NSE.
BHEL was up 1.7% to Rs2474 after the company announced that it spend Rs32bn to boost capacity. The scrip touched an intra-day high of Rs2484 and a low of Rs2438 and recorded volumes of over 4,00,000 shares on NSE.
SBI gained 1.2% to Rs2463. The company announced that it planned to raise Rs167.36bn in rights offer at Rs1,590 per share and would offer 1 share for every 5 held as rights. The scrip touched an intra-day high of Rs2536 and a low of Rs2441 and recorded volumes of over 13,00,000 shares on NSE.
Lok Housing surged by over 3.5% to Rs321 after the company announced that they would sell warrants to founders at Rs354 per share. The scrip touched an intra-day high of Rs329 and a low of Rs306 and recorded volumes of over 4,00,000 shares on NSE.
Renuka Sugar rallied by over 12% to Rs1240 after the company announced that they would consider stocks split on January 23, 2008. The scrip touched an intra-day high of Rs1266 and a low of Rs1075 and recorded volumes of over 6,00,000 shares on NSE.
What the FIIs are doing
FIIs were net sellers of Rs2.58bn (provisional) in the cash segment on Monday while the local institutions were net sellers of just Rs1.94bn.
On Friday, FIIs were net buyers of Rs1.14bn in the cash segment. Mutual Funds were net sellers of Rs2.74bn on the same day.
News Snippets:
Reliance Industries has announced a new gas discovery in the Krishna Basin. (ET)
ONGC has struck gas in the Mahanadi basin for the third time. (BL)
Reliance Energy and Anil Ambani have purchased 32mn shares of Reliance Power at Rs450 per share. (BL)
Essar group has bought Peninsula Land’s Kurla commercial project for Rs12bn. (ET)
Delhi High Court has declined to stay the Government’s decision to allocate GSM spectrum to RCOM. (BL)
Power Ministry has blamed BHEL for time over run and slippages in various projects. (FE)
HPCL is planning to raise Rs4.8bn via oil bonds sale. (FE)
HCC has emerged as the lowest bidder (Rs375mn) for building India’s first strategic crude reserve facility in Visakhapatnam. (BS)
Ashok Leyland is putting off its expansion plan by two years, which would have increased its production capacity by at least 50%. (Mint)
ITC Foods will add frozen foods products to its exports line and introduce flaxseed biscuits in India in a few months. (Mint)
Jet Airways may soon be allowed to fly to US, Canada via China. (BS)
Eicher Motors has agreed to transfer its trucks division to the proposed JV with Sweden’s Volvo for Rs4bn in cash. (DNA)
Koutons Retail is acquiring a 51% stake in Delhi based Upper Class, which has a strong foothold in ladies apparel business. (ET)
Suzuki has tied up with Mundra Port for setting up country’s first dedicated car export terminal. (ET)
Cummins Group will invest US$300mn through its ten subsidiaries in India to expand its capacities. (ET)
A mix of domestic and foreign funds have picked up 13% stake in Simplex Infrastructure for Rs4bn. (ET)
Maytas Infrastructure is planning an investment of US$3bn in BOT projects. (ET)
Godawari Power and Ispat has raised Rs1bn via a QIP issue. (ET)
Lok Housing will issue 5mn convertible warrants to promoters at a price of Rs354. (ET)
Ansal Housing has received approval from shareholders to raise Rs720mn via preferential issue to promoters. (BL)
ONGC is open for strategic tie-ups for its Rs265bn Kakinada refinery project. (BL)
MIC Electronics will acquire Power Electronics and an entertainment company engaged in lighting solutions for digital theme parks. (BL)
PNB is planning to raise Rs3bn via issue of tier-I perpetual bonds on private placement basis. (BL)
IDBI may launch its insurance business with two products by February 2008. (BL)
Jet Airways has signed agreements to lease five more Boeing 737 planes. (BL)
Aksh Optifibre is in the fray for the rollout of VoIP services by BSNL nationally. (DNA)
Dhanalakshmi Bank plans to raise ~Rs2bn through a rights issue. (BS)
Allahabad Bank plans to add 115 branches over the next 8-10 months and 65 in FY08. (DNA)
Delphi-TVS, the joint venture between Delphi and TVS group may get Bajaj-Renault-Nissan car orders. (DNA)
Vodafone-Essar has slashed local call rates of both post and pre paid tariffs to Re1 per minute across all its circles. (BS)
Telecom Minister says priority for allotment of spectrum to new entrants will be determined by who deposits the licence fee first. (ET)
Decision on fuel price hike will be made by the group of ministers on January 17: Deora (ET)
Government might consider reducing excise duties on two-wheelers and three-wheelers. (ET)
Government is set to issue new FII registration norms, under which non-International Organization of Securities Commission compliant jurisdiction may not be able to register as FIIs here. (ET)
Department of Fertilizer has sought Rs500bn from finance ministry as subsidies for FY09. (BL)
Government is open to allowing exporters to invoice their orders in Indian Rupees. (FE)
Government is planning to make it easier for foreign companies to remit money from India as royalties, license fees and other payments. (FE)
GoM plans to review kerosene and LPG prices. (BS)
Rubber imports likely to rise by 12% yoy to 95,000 tons during FY08. (BS)
Bajaj Auto,Bharat Forge, Cairn, Financial Tech, JP Associates, Maruti Suzuki, MTNL, Reliance Capital, Reliance Industries, Unitech, VSNL
FIIs resume buying
Inflow of Rs 113.70 crore on 11 January 2008
Foreign institutional investors (FIIs) bought shares worth net Rs 113.70 crore on Friday, 11 January 2008, compared to their sales of Rs 630.80 crore on Thursday, 10 January 2008.
FII inflow of Rs 113.70 crore on 11 January 2008 was a result of gross purchases of Rs 3,906.30 crore and gross sales Rs 3,792.60 crore. The 30-share BSE Sensex rose 245.37 points or 1.19% to 20,827.45 on that day.
FII inflow in January 2008 totaled Rs 2,659.60 crore (till 11 January 2008).
There are a total of 1,248 FIIs registered with the Securities & Exchange Board of India (Sebi).
Gold closes above $900 mark
Bullion market rallies as weaker dollar makes precious metals attractive as inflationary hedge
Gold prices closed above the $900/ounce mark for the first time ever at Comex today, Monday, 15 January, 2008. Prices had crossed $900/ounce yesterday also but had ultimately closed lower for the day. Rally in gold continued to be spurred by dollar weakness and rising crude oil price. Silver prices too gained on Monday.
Gold generally moves in the opposite direction of the U.S. currency. Gold, as a dollar-denominated commodity, suffers from dollar strength.
Comex Gold for February delivery today rose $5.7 (0.6%) to close at $903.4 an ounce on the New York Mercantile Exchange. During intraday trading prices rose as high as $915.9/ounce. This year, prices have gained 7.6% till date.
Today’s closing price was the highest price after a record $873 that gold hit on 21 January, 1980.
Comex Silver futures for March delivery rose 5.5cents (0.3%) to $16.425 an ounce. This is an all time closing high for silver price. Silver has gained 9.7% in 2008. The metal had climbed 15.5% in FY 2007. The metal also has gained for seven straight years.
Gold witnessed the greatest annual gain in twenty eight years by gaining $200/ounce (31%) in FY 2007. In 2006, silver had jumped 46% while gold gained 23%.
Last week, Federal Reserve Chairman, Ben Bernanke said that U.S. central bank is struggling with a deteriorating economy brought on by a struggling housing market, high energy prices and a weaker stock market. To help situation from worsening further, he hinted that more interest rate cuts are on the way.
In the currency market today, the dollar index, which tracks the value of the greenback against a basket of other major currencies, fell to as low as 75.36, the weakest in six weeks.
In the energy market today crude oil rose $1.51 (1.6%) to close at $94.20 a barrel.
Gold has traditionally been used as a safe-haven asset against rising inflation. Investor sentiments are boosted by the fact that gold and silver are alternate sources of good investment in the face of declining dollar and rising energy prices. Rising crude increases inflationary pressures and vice versa. On the other hand strong dollar reduces the appeal of the metal as alternate source of investment.
Gold had climbed 31% in FY 2007 as lower interest rates had sent the dollar tumbling, and crude-oil prices rose to a record.
The Fed reduced federal funds rate three times in FY 2007. The current interest rate stands at 4.5%. The Fed also lowered its discount rate twice, the interest it charges on direct loans it makes to banks, and currently it stands at 4.75%. With these interest rate cuts, dollar has been tumbling down.
At the MCX, gold prices for February delivery closed higher by Rs 96 (0.85%) at Rs 11,408 per 10 grams. Prices rose to a high of Rs 11,492 per 10 grams and fell to a low of Rs 11,282 per 10 grams during the day’s trading.
At the MCX, silver prices for March delivery closed Rs 111 (0.53%) higher at Rs 21,036/Kg. Prices opened at Rs 20,863/kg and rose to a high of Rs 21,360/Kg during the day’s trading.
Gold is expected to rally at all-time highs in the first quarter in FY 2008 as higher oil prices and a weaker dollar will continue to boost demand. Market expects another phase of interest rate cut in the end of the month. But gold is slated to average around $800/ounce in FY 2008 as against $696/ounce in FY 2007.
Crude firms up
Crude prices rise after four consecutive sessions of fall
Crude prices rose for the first time after slipping for four previous consecutive sessions. Prices rose today, Monday, 14 January, 2008 as tensions between US and Iran increased, fresh violence was reported at Nigeria and the dollar continued to weaken against its rivals.
Crude had ended FY 2007 substantially higher by $35 or 57%. It was crude’s biggest yearly gain in five years.
Crude-oil futures for light sweet crude for February delivery today closed at $94.2/barrel (higher by $1.6/barrel or 1.5%) on the New York Mercantile Exchange. Last week, crude prices gained $5.3 (5.4%).
In the currency market today, the dollar index, which tracks the value of the greenback against a basket of other major currencies, fell to as low as 75.36, the weakest in six weeks. The dollar dropped on speculation that the Federal Reserve will lower interest rates this month.
Fresh tension started between Iran and US after President George W. Bush yesterday warned Arab allies of the dangers posed by neighboring Iran, OPEC's second-biggest oil producer and exporter. Also, in Nigeria, it was reported that dozens of people were feared dead after a fuel tanker exploded on a busy road near the southern Nigerian oil city of Port Harcourt.
Brent crude oil for February settlement today fell $2.15 (2.3%) to $92.22 on the London-based ICE Futures Europe exchange. The London benchmark rose 54% in FY 2007, the most since 1999 when prices more than doubled.
Natural gas, gasoline and heating oil – all rise
February natural gas today rose 14.3 cents to close at $8.353 per million British thermal units today. Last week, EIA announced that consumption of natural gas surged 6% in 2007 as against a decline of 1.6% in the previous year. In FY 2008 and FY 2009, consumption is forecast to rise 0.6% and 1% respectively.
Against this backdrop, February reformulated gasoline gained 5.25 cents to $2.3728 a gallon, and February heating oil rose 5.33 cents to $2.5892 a gallon.
Last week, Federal Reserve Chairman, Ben Bernanke said that U.S. central bank is struggling with a deteriorating economy brought on by a struggling housing market, high energy prices and a weaker stock market. To help situation from worsening further, he hinted that more interest rate cuts are on the way.
EIA expects crude oil prices to average $94 per barrel in January. The Western Texas Intermediate crude oil, the underlying crude for Nymex crude-oil futures, is expected to average about $87 per barrel in 2008 and $82 in 2009. WTI prices averaged $72 per barrel in 2007.
Members of the OPEC left production targets unchanged at the 5 December meeting in Abu Dhabi. The group, which produces 40% of the world's oil, will review output at a 1 February, 2008 meeting in Vienna.
At the MCX, crude oil for January delivery closed at Rs 3,687/barrel, higher by Rs 42 (1.15%) against previous day’s close. Natural gas for December delivery closed at Rs 325.8/mmtbu, higher by Rs 6.2/mmtbu (1.9%).
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