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Wednesday, February 20, 2008
Post Session Commentary - Feb 20 2008
The Sensex opened with a negative gap of 85 points at 17,991 on bearish cues from the Asian markets. Unabated selling saw the index slip deeper into the red as the day progressed.
The index dropped to a low of 17,506 - down 570 points from the previous close - in late noon trades. Some recovery towards the close saw the Sensex end with a loss of 458 points (2.5%) at 17,618.
The NSE Nifty ended 126 points (2.4%) lower at 5,154.
The BSE market breadth was fairly negative - out of 2,796 stocks traded, 1,932 declined and 806 advanced today.
BIG LOSERS...
Tata Steel and Maruti slumped nearly 5% each to Rs 773 and Rs 769, respectively.
BHEL and Tata Motors dropped 4.5% each to Rs 2,124 and Rs 706, respectively.
ICICI Bank tumbled over 4% to Rs 1,167, and HDFC declined 3.8% to Rs 2,752.
Mahindra & Mahindra and Reliance Communications slipped 3.5% each to Rs 635 and Rs 585, respectively.
Reliance declined around 3% to Rs 2,482.
...AND THE GAINERS
TCS moved up 1% to Rs 884. Infosys, Bajaj and Satyam also finished with gains today.
VALUE & VOLUME TOPPERS
Debutant Bang Overseas topped the value chart with a turnover of Rs 326.50 crore followed by another debutant Shriram EPC (Rs 323.50 crore), OnMobile Global (Rs 266 crore), Reliance Natural Resources (Rs 258 crore) and Reliance Capital (Rs 253 crore).
Reliance Natural Resources led the volume chart with trades of around 1.91 crore shares followed by Bang Overseas (1.67 crore), Hexaware (1.53 crore), Shriram EPC (1.04 crore) and Essar Oil (97 lakh).
NSE Bulk Deal Watch - Feb 20 2008
Date,Symbol,Security Name,Client Name,Buy/Sell,Quantity Traded,Trade Price / Wght. Avg. Price,Remarks
20-FEB-2008,BANG,Bang Overseas Limited,ADITI FINLEASE PVT. LTD.,BUY,76696,194.79,-
20-FEB-2008,BANG,Bang Overseas Limited,AMBIT SECURITIES BROKING PVT. LTD.,BUY,150309,197.71,-
20-FEB-2008,BANG,Bang Overseas Limited,ASHOK KUMAR,BUY,130262,196.05,-
20-FEB-2008,BANG,Bang Overseas Limited,ASHWIN STOCKS AND INVESTMENT PRIVATE LIMITED,BUY,156055,200.05,-
20-FEB-2008,BANG,Bang Overseas Limited,ASTUTE COMMODITIES & DERIVATIVES Pvt Ltd,BUY,84700,197.89,-
20-FEB-2008,BANG,Bang Overseas Limited,BEEJAY INVESTMENT FINANCIAL,BUY,285792,195.08,-
20-FEB-2008,BANG,Bang Overseas Limited,CHETAN MISTRY,BUY,143778,192.93,-
20-FEB-2008,BANG,Bang Overseas Limited,CONSOLIDATED SECURITIES LTD,BUY,176782,191.95,-
20-FEB-2008,BANG,Bang Overseas Limited,CPR CAPITAL SERVICES LTD.,BUY,317425,196.73,-
20-FEB-2008,BANG,Bang Overseas Limited,CREDENTIAL STOCK BROKERS LIMITED,BUY,82057,198.99,-
20-FEB-2008,BANG,Bang Overseas Limited,DINDAYAL BIYANI STOCK BROKERS LTD.,BUY,91170,199.41,-
20-FEB-2008,BANG,Bang Overseas Limited,DINESH MUNJAL,BUY,214576,192.86,-
20-FEB-2008,BANG,Bang Overseas Limited,EVERSIGHT TRADECOMM PVT LTD,BUY,99655,195.99,-
20-FEB-2008,BANG,Bang Overseas Limited,G RAMAKRISHNA,BUY,85722,203.52,-
20-FEB-2008,BANG,Bang Overseas Limited,G.S.V. COMMODITIES PRAVITE LIMITED,BUY,88122,189.14,-
20-FEB-2008,BANG,Bang Overseas Limited,HARBUX SINGH SIDHU,BUY,437180,190.27,-
20-FEB-2008,BANG,Bang Overseas Limited,INDRA KUMAR BAGRI,BUY,98069,200.85,-
20-FEB-2008,BANG,Bang Overseas Limited,JAY SURESH CHHEDA,BUY,75309,198.83,-
20-FEB-2008,BANG,Bang Overseas Limited,KAKANI OMPRAKASH,BUY,79347,181.90,-
20-FEB-2008,BANG,Bang Overseas Limited,KAUSHIK SHAH SHARES & SECURITIES PVT LTD,BUY,95411,200.55,-
20-FEB-2008,BANG,Bang Overseas Limited,LATIN MANHARLAL SECURITIES PVT. LTD.,BUY,71739,195.02,-
20-FEB-2008,BANG,Bang Overseas Limited,PACE FINCAP PRIVATE LIMITED,BUY,72906,196.74,-
20-FEB-2008,BANG,Bang Overseas Limited,PRABHUDAS LILLADHER PVT LTD.,BUY,69237,208.90,-
20-FEB-2008,BANG,Bang Overseas Limited,PRASHANT JAYANTILAL PATEL,BUY,230321,200.52,-
20-FEB-2008,BANG,Bang Overseas Limited,R APPALA RAJU,BUY,112000,194.01,-
20-FEB-2008,BANG,Bang Overseas Limited,R.M. SHARE TRADING PVT LTD,BUY,276962,204.05,-
20-FEB-2008,BANG,Bang Overseas Limited,RAJENDRA PRABHUDAS POBARU,BUY,126358,197.08,-
20-FEB-2008,BANG,Bang Overseas Limited,SANJAY BHANWARLAL JAIN,BUY,99210,191.67,-
20-FEB-2008,BANG,Bang Overseas Limited,SHAH HEMANG DINESH,BUY,103830,201.74,-
20-FEB-2008,BANG,Bang Overseas Limited,SHREE BHIKSHU FINANCIAL PVT.LTD.,BUY,88608,193.09,-
20-FEB-2008,BANG,Bang Overseas Limited,SHYAM GUPTA & CO. PROP. SHYAM GUPTA,BUY,69835,199.07,-
20-FEB-2008,BANG,Bang Overseas Limited,SMC GLOBAL SECURITIES LTD.,BUY,108298,189.04,-
20-FEB-2008,BANG,Bang Overseas Limited,SUNIL PANDURANG MANTRI,BUY,156762,197.91,-
20-FEB-2008,BANG,Bang Overseas Limited,TRANSGLOBAL SECURITIES LTD.,BUY,214960,194.96,-
20-FEB-2008,BANG,Bang Overseas Limited,VAIBHAV DOSHI,BUY,95445,184.90,-
20-FEB-2008,BANG,Bang Overseas Limited,VIJAY KUMAR SINGH,BUY,77418,189.76,-
20-FEB-2008,BANG,Bang Overseas Limited,VIMESHDOSHI,BUY,67995,187.67,-
20-FEB-2008,BANG,Bang Overseas Limited,VIPUL A SHETH HUF,BUY,98271,203.38,-
20-FEB-2008,BANG,Bang Overseas Limited,YOGINDER KUMAR,BUY,101084,187.13,-
20-FEB-2008,EICHERMOT,Eicher Motors Ltd,CITIGROUP GLOBAL MARKETS MAURITIUS PVT LTD,BUY,223345,285.32,-
20-FEB-2008,IFBAGRO,IFB Agro Industries Ltd,VINAY KUMAR SRIVASTAVA,BUY,55200,80.78,-
20-FEB-2008,KEYCORPSER,Keynote Corp Serv Ltd,VINAY KUMAR SRIVASTAVA,BUY,49148,132.08,-
20-FEB-2008,KKCL,Kewal Kiran Clothing Limi,MERRILL LYNCH CAPITAL MARKETS ESPANA S.A. SVB,BUY,559903,406.04,-
20-FEB-2008,NIITLTD,NIIT Limited,INDEA ABSOLUTE RETURN FUND,BUY,2892848,110.00,-
20-FEB-2008,SANDESH,Sandesh Ltd,VINAY KUMAR SRIVASTAVA,BUY,50350,171.02,-
20-FEB-2008,SHIVTEX,Shiva Texyarn Limited Ltd,ASHISH KUMAR DUBEY,BUY,117930,30.51,-
20-FEB-2008,SHIVTEX,Shiva Texyarn Limited Ltd,VINAY KUMAR SRIVASTAVA,BUY,118200,32.34,-
20-FEB-2008,SHRIRAMEPC,Shriram EPC Limited,B K SHAH AND CO,BUY,257574,317.40,-
20-FEB-2008,SHRIRAMEPC,Shriram EPC Limited,HARBUX SINGH SIDHU,BUY,254094,300.63,-
20-FEB-2008,SHRIRAMEPC,Shriram EPC Limited,PRASHANT JAYANTILAL PATEL,BUY,238617,300.55,-
20-FEB-2008,BANG,Bang Overseas Limited,ADITI FINLEASE PVT. LTD.,SELL,76629,194.96,-
20-FEB-2008,BANG,Bang Overseas Limited,AMBIT SECURITIES BROKING PVT. LTD.,SELL,150309,199.26,-
20-FEB-2008,BANG,Bang Overseas Limited,ASHOK KUMAR,SELL,130262,195.86,-
20-FEB-2008,BANG,Bang Overseas Limited,ASHWIN STOCKS AND INVESTMENT PRIVATE LIMITED,SELL,156055,201.68,-
20-FEB-2008,BANG,Bang Overseas Limited,ASTUTE COMMODITIES & DERIVATIVES Pvt Ltd,SELL,84699,200.49,-
20-FEB-2008,BANG,Bang Overseas Limited,BEEJAY INVESTMENT FINANCIAL,SELL,285792,215.60,-
20-FEB-2008,BANG,Bang Overseas Limited,CHETAN MISTRY,SELL,143778,193.87,-
20-FEB-2008,BANG,Bang Overseas Limited,CONSOLIDATED SECURITIES LTD,SELL,176782,193.39,-
20-FEB-2008,BANG,Bang Overseas Limited,CPR CAPITAL SERVICES LTD.,SELL,316925,196.98,-
20-FEB-2008,BANG,Bang Overseas Limited,CREDENTIAL STOCK BROKERS LIMITED,SELL,82057,199.24,-
20-FEB-2008,BANG,Bang Overseas Limited,DINDAYAL BIYANI STOCK BROKERS LTD.,SELL,91170,200.56,-
20-FEB-2008,BANG,Bang Overseas Limited,DINESH MUNJAL,SELL,214576,192.43,-
20-FEB-2008,BANG,Bang Overseas Limited,ELARA INDIA OPP FUND LTD,SELL,175000,204.78,-
20-FEB-2008,BANG,Bang Overseas Limited,EVERSIGHT TRADECOMM PVT LTD,SELL,99655,178.84,-
20-FEB-2008,BANG,Bang Overseas Limited,G RAMAKRISHNA,SELL,85722,205.05,-
20-FEB-2008,BANG,Bang Overseas Limited,G.S.V. COMMODITIES PRAVITE LIMITED,SELL,88122,190.16,-
20-FEB-2008,BANG,Bang Overseas Limited,HARBUX SINGH SIDHU,SELL,437180,190.52,-
20-FEB-2008,BANG,Bang Overseas Limited,INDRA KUMAR BAGRI,SELL,101881,187.23,-
20-FEB-2008,BANG,Bang Overseas Limited,JAY SURESH CHHEDA,SELL,75309,199.27,-
20-FEB-2008,BANG,Bang Overseas Limited,KAKANI OMPRAKASH,SELL,79347,181.38,-
20-FEB-2008,BANG,Bang Overseas Limited,KAUSHIK SHAH SHARES & SECURITIES PVT LTD,SELL,95411,202.64,-
20-FEB-2008,BANG,Bang Overseas Limited,LATIN MANHARLAL SECURITIES PVT. LTD.,SELL,71739,195.19,-
20-FEB-2008,BANG,Bang Overseas Limited,PACE FINCAP PRIVATE LIMITED,SELL,72906,197.65,-
20-FEB-2008,BANG,Bang Overseas Limited,PRABHUDAS LILLADHER PVT LTD.,SELL,69237,210.69,-
20-FEB-2008,BANG,Bang Overseas Limited,PRASHANT JAYANTILAL PATEL,SELL,230321,198.51,-
20-FEB-2008,BANG,Bang Overseas Limited,R APPALA RAJU,SELL,112000,194.21,-
20-FEB-2008,BANG,Bang Overseas Limited,R.M. SHARE TRADING PVT LTD,SELL,276962,207.00,-
20-FEB-2008,BANG,Bang Overseas Limited,RAJENDRA PRABHUDAS POBARU,SELL,126358,199.20,-
20-FEB-2008,BANG,Bang Overseas Limited,SANJAY BHANWARLAL JAIN,SELL,99210,191.85,-
20-FEB-2008,BANG,Bang Overseas Limited,SHAH HEMANG DINESH,SELL,103830,202.06,-
20-FEB-2008,BANG,Bang Overseas Limited,SHREE BHIKSHU FINANCIAL PVT.LTD.,SELL,88608,202.66,-
20-FEB-2008,BANG,Bang Overseas Limited,SHYAM GUPTA & CO. PROP. SHYAM GUPTA,SELL,82866,196.43,-
20-FEB-2008,BANG,Bang Overseas Limited,SMC GLOBAL SECURITIES LTD.,SELL,108298,189.40,-
20-FEB-2008,BANG,Bang Overseas Limited,SUNIL PANDURANG MANTRI,SELL,156762,198.88,-
20-FEB-2008,BANG,Bang Overseas Limited,SURESH KANMAL JAJOO,SELL,191250,196.00,-
20-FEB-2008,BANG,Bang Overseas Limited,TRANSGLOBAL SECURITIES LTD.,SELL,214960,196.87,-
20-FEB-2008,BANG,Bang Overseas Limited,VAIBHAV DOSHI,SELL,95445,187.67,-
20-FEB-2008,BANG,Bang Overseas Limited,VIJAY KUMAR SINGH,SELL,77418,188.34,-
20-FEB-2008,BANG,Bang Overseas Limited,VIMESHDOSHI,SELL,67995,188.62,-
20-FEB-2008,BANG,Bang Overseas Limited,VIPUL A SHETH HUF,SELL,98271,204.46,-
20-FEB-2008,BANG,Bang Overseas Limited,YOGINDER KUMAR,SELL,101084,189.81,-
20-FEB-2008,IFBAGRO,IFB Agro Industries Ltd,VINAY KUMAR SRIVASTAVA,SELL,55200,77.09,-
20-FEB-2008,KEYCORPSER,Keynote Corp Serv Ltd,VINAY KUMAR SRIVASTAVA,SELL,49600,123.79,-
20-FEB-2008,KKCL,Kewal Kiran Clothing Limi,RAJESH DOULATRAM BHATIA,SELL,250000,405.00,-
20-FEB-2008,NIITLTD,NIIT Limited,ABN AMRO BANK N.V. LONDON BRANCH,SELL,2997017,110.00,-
20-FEB-2008,SANDESH,Sandesh Ltd,VINAY KUMAR SRIVASTAVA,SELL,50350,166.72,-
20-FEB-2008,SHIVTEX,Shiva Texyarn Limited Ltd,ASHISH KUMAR DUBEY,SELL,117930,32.34,-
20-FEB-2008,SHIVTEX,Shiva Texyarn Limited Ltd,VINAY KUMAR SRIVASTAVA,SELL,118200,30.50,-
20-FEB-2008,SHRIRAMEPC,Shriram EPC Limited,B K SHAH AND CO,SELL,198080,318.81,-
20-FEB-2008,SHRIRAMEPC,Shriram EPC Limited,HARBUX SINGH SIDHU,SELL,254094,301.19,-
20-FEB-2008,SHRIRAMEPC,Shriram EPC Limited,PRASHANT JAYANTILAL PATEL,SELL,238617,300.15,-
BSE Bulk Deals to Watch - Feb 20 2008
Deal Date Scrip Code Scrip Name Client Name Deal Type * Quantity Price **
20/2/2008 511706 ACTION FIN BRIJ BHUSHAN S 50000 43.00
20/2/2008 531223 ANJANI SYNTH NATRAJ FINANCIAL AND SERVICES LTD B 45652 47.69
20/2/2008 531223 ANJANI SYNTH ANKIT NARENDRA BAHUVA B 41500 47.70
20/2/2008 531223 ANJANI SYNTH NATRAJ FINANCIAL AND SERVICES LTD S 45652 47.70
20/2/2008 532946 BANG MBL AND COMPANY LIMITED B 89222 218.15
20/2/2008 532946 BANG MEENAKSHI JATIA B 150000 208.97
20/2/2008 532946 BANG BEEJAY INVESTMENT FINANCIAL B 120000 197.14
20/2/2008 532946 BANG RAJENDRA PRABHUDA POBARU B 118317 201.83
20/2/2008 532946 BANG PACE FINCAP PRIVATE LIMITED B 102383 196.80
20/2/2008 532946 BANG R M SHARES TRADING PVT LTD B 244566 204.21
20/2/2008 532946 BANG PRABHUDAS LILLADHER PVT. LTD. B 81376 205.80
20/2/2008 532946 BANG N D NISSAR B 122429 191.48
20/2/2008 532946 BANG SAM GLOBAL SECURITIES LTD B 187443 187.04
20/2/2008 532946 BANG SHREE BHIKSHU FIN PVT LTD. B 95390 194.01
20/2/2008 532946 BANG KAUSHIK SHAH SHARES SEC PL B 69016 190.01
20/2/2008 532946 BANG DEEPAK S CHHEDA B 103529 194.23
20/2/2008 532946 BANG H.J.SECURITIES PVT.LTD. B 360073 206.84
20/2/2008 532946 BANG MUKESH H SHAH B 145216 191.45
20/2/2008 532946 BANG KAUSHIK SHAH SHARES SEC PL S 69016 187.42
20/2/2008 532946 BANG ELARA INDIA OPP FUND LTD S 263131 203.84
20/2/2008 532946 BANG DEEPAK S CHHEDA S 103529 194.45
20/2/2008 532946 BANG H.J.SECURITIES PVT.LTD. S 360073 206.88
20/2/2008 532946 BANG MUKESH H SHAH S 145216 191.38
20/2/2008 532946 BANG MBL AND COMPANY LIMITED S 89222 214.25
20/2/2008 532946 BANG RAJENDRA PRABHUDA POBARU S 118317 197.93
20/2/2008 532946 BANG DEUTSCHE SECURITIES MAURITIUS LIMITED S 500000 202.75
20/2/2008 532946 BANG PACE FINCAP PRIVATE LIMITED S 102383 196.35
20/2/2008 532946 BANG R M SHARES TRADING PVT LTD S 244566 200.94
20/2/2008 532946 BANG PRABHUDAS LILLADHER PVT. LTD. S 81376 205.09
20/2/2008 532946 BANG N D NISSAR S 122429 191.38
20/2/2008 532946 BANG SAM GLOBAL SECURITIES LTD S 187443 187.21
20/2/2008 532946 BANG SHRRE BHIKSHU FIN PVT LTD S 78628 210.12
20/2/2008 531682 CAT TECHNOL SARFARAZKHAN SARVARKHAN PATHAN S 415282 9.74
20/2/2008 512624 CHANDRIK TRA MASTER TRUST LTD S 50000 3.45
20/2/2008 512624 CHANDRIK TRA GALA FINANCE AND INVESTMENT LTD S 50000 3.45
20/2/2008 532271 CYBERMAT INF SARFARAZKHAN SARVARKHAN PATHAN B 608172 9.01
20/2/2008 517973 DMC INTER HITECH COMPUTECH PRIVATE LTD B 22000 22.99
20/2/2008 512519 DONEAR INDUS LOTUS GLOBAL INVESTMENTS LIMITED B 260000 86.98
20/2/2008 505200 EICHER MOTORS LTD. CITIGROUP GLOBAL MARKETS MAURITIUS PVT LTD B 226655 285.32
20/2/2008 531750 ENCORE SOFT SHREE MATA FINANCE PVT LTD B 45000 18.90
20/2/2008 531750 ENCORE SOFT SUBH STOCK BROKING PVT LTD S 45000 18.90
20/2/2008 511668 FACT ENTERP MANISH SHANTILAL AJMERA S 48000 217.29
20/2/2008 532129 HEXAWARE LTD F IDE FIMHK FIDELITY FUNDS MAURITIUS LIMITED B 14124000 69.00
20/2/2008 532129 HEXAWARE LTD GOLDMAN SACHS INVESTMENTS MAURITIUS I LTD S 932115 69.00
20/2/2008 532129 HEXAWARE LTD MORGAN STANLEY MAURITUS CO LTD S 3293969 69.00
20/2/2008 532129 HEXAWARE LTD MACQUARIE BANK LIMITED S 3385959 69.00
20/2/2008 532129 HEXAWARE LTD COPTHALL MAURITIUS INTERNATIONAL LTD CMIL S 3338707 69.00
20/2/2008 532129 HEXAWARE LTD UBS SECURITIES ASIA LTD A C SWISS FIN CORP MAURITIUS LTD S 3046000 69.00
20/2/2008 505893 HIND HARDY S MANJU GARG B 10000 80.40
20/2/2008 505893 HIND HARDY S MANJU GARG S 10000 84.87
20/2/2008 523062 J J FINANCE NIPPONZONE SECURITIES PVT LTD B 17500 10.10
20/2/2008 523062 J J FINANCE MANOJ KUMAR AGARWAL S 17500 10.10
20/2/2008 532732 KEWAL KIRAN MERRILL LYNCH CAPITAL MARKETS ESPANA S.A. S.V. B 640097 407.95
20/2/2008 532732 KEWAL KIRAN RAJESH DOULATRAM BHATIA S 252121 408.43
20/2/2008 512413 KHAITAN WVG BHAROSEMAND COMMODITIES PVT LTD. B 10548 61.30
20/2/2008 512413 KHAITAN WVG VINAY SUDERSHAN GUPTA B 10000 61.22
20/2/2008 512413 KHAITAN WVG MARUBHUMI DEALER PVT LTD S 10000 61.15
20/2/2008 531096 MOUNT EVE MI DSP MERRILL LYNCH CAPITAL LIMITED S 155292 141.00
20/2/2008 531598 SHYAM SOFT I BSE A/C PANKAJ SHAH / DEFAULTER S 84025 2.64
20/2/2008 531866 SUBHKAM CAP SUBHKAM CAPITAL INVEST. PVT LTD B 50000 1059.88
20/2/2008 531866 SUBHKAM CAP RAKESH S. KATHOTIA S 61300 1060.00
20/2/2008 523628 WEAROLOGY LT MAVI INVESTMENT FUND LTD B 78137 100.00
20/2/2008 523628 WEAROLOGY LT CITIGROUP GLOBAL MARKETS MAURITIUS P LTD S 78139 99.9
Post Market Commentary - Feb 20 2008
The market closed the trading session with heavy losses on the back of more selling pressures across the sectoral indices. The domestic market opened with heavy gap down by taking the negative cues from the Asian markets as well as due to rising crude oil price above $100 a barrel, which adds to the sentiments. Then after the market keeps on drifting down further till the closing of the session as the selling pressures prevailed. The Securities and Exchange Board of India has recommended that the face value of shares will be made Re1 in two phases. In the first phase, all the forthcoming companies coming out with IPO to be priced at a face value of Re1 and in the second phase all the listed companies having the face value of more than Re1 will be asked to bring it down. This recommendation would be discussed at the next Sebi board meeting. The BSE Sensex closed lower by 458.06 points at 17,617.60 and NSE Nifty fell by 126.35 points at 5,154.45. The BSE Mid Cap and Small Cap closed lower by 95.94 points and 164.28 points at 7,589.39 and 9,631.26 respectively.
BSE CG closed lower by 459.40 points at 15,932.87 as BHEL (4.54%), Praj Inds (3.95%), ABB (2.94%), Thermax (2.93%) and L&T (2.55%) closed lower.
BSE Metal index fell by 376.42 points to close at 15,833.53 as Nalco (5.97%), Tata Steel (4.92%), Ispat Inds (4.22%), Jindal Steel (3.82%), SAIL (2.65%) and Hindalco (1.61%) closed lower.
BSE Bankex index closed lower by 353.95 points at 10,609.81. Losers are Canara bank (6.27%), Kotak bank (5.01%), BOI (4.28%), ICICI bank (4.19%), Allahabad bank (3.91%).
BSE Realty index dropped by 361.50 points to close at 9,709.24. Major losers are Indbul Real (5.97%), Penland (4.74%), Ansal Infra (4.32%) and Purvankara (4%).
BSE Oil & Gas index fell by 246.88 points to close at 10,884. Losers are RNRL (5.28%), HPCL (4.86%), BPCL (4.64%), IOCL (3.93%), Reliance Inds (2.77%) and Cairn (2.53%).
Close: Market tumbles... Caution across the board
It was a disappointing session for the market that witnessed selling pressure through the day. Markets opened weak on behalf of weaker cues for the global front. Higher crude prices which touched $100 per barrel, was one of the reason for weakness. Airlines stocks were majorly affected by this and markets turned negative. Major selling pressure was seen in Banking, Capital goods, Realty, Metal, Oil and Power space. A gap down opening in European markets worsened the situation as selling increased from the institutions. Europe opened sharply lower on news that Alliance & Leicester Plc, the second worst performing UK bank reported profit declined 67 % in the second half as funding costs rose and it lost money on leveraged loans. IT sector was the only gainer as Dollar gained strength against the Rupee and crossed the 40 mark. Midcap and small cap stocks also closed in deep red. All other sectors witnessed selling pressure to end the Sensex down 458 points in red. European indices are trading in negative terrain.
Sensex ended down by 448 points at 17628.01.Weighing on the Sensex were losses in Maruti (764.9,-5 percent), TISCO (772.6,-5 percent), BHEL (2124.2,-5 percent), Tata Motors (705.7,-4 percent) and ICICI Bk (1166.8,-4 percent). Losses were restricted by gains in TCS (884,+1 percent), Infosys (1568.25,+1 percent), Bajaj Auto (2339.5,+1 percent), Satyam (422.5,+0 percent) and Guj Ambuja (116,+0 percent).
Karuturi Networks was locked on its upper circuit limit. Karuturi is the largest rose player in the world. It has 2 segments of business, Horticulture and ISP. More than 90% of the revenue comes from the flower business. Karuturi has a total capacity of 650 mn stems. It has 10 hectares in India with 10 mn stems capability inhouse and another 25 mn stems which are managed through contract farming. 100 hectares are operational in Ethiopia with a capacity of over 100 mn stems. Karuturi Networks has been allotted additional 450 hectares of land by the Government of Ethiopia for its expansion and diversification projects. The Kenyan acquisition of Sher brought in about 525 mn stems. Globally 40,000 hectares of land is under rose cultivation. However, the field sizes globally are fragmented and are not over 200 acres. Karuturi is one of the big players here now. Feb is the peak season and March results excel for Karuturi and we are positive on this business. Do read our research note to know more .
Blackstone world's biggest buyout fund, managed to acquire 10.38% stake in Allcargo Global at premium prices of Rs 934 per share for the stake in the company. B?stone has further plans to hike the stake that can be picked up anytime from the secondary markets and increase their stake to 14.94%. All cargo will utilise this fund in developing container freight station and ICDs in different parts of India and other expansion plans. Allcargo Global Logistics (AGL) is a Mumbai based logistics service provider mainly involved in multimodal transport operations (MTO), Container Freight Station (CFS) located at Nhava Sheva container port and handling of Turnkey projects for cargos. Major part of the revenue is derived from MTO segment.AGL?s CFS business shares 12% in the market where as in MTO segment there is no neck to neck competitor in India. It has acquired 100% stake in Belgium based NVOCC major ECU-Line a multinational and a leader in cargo consolidation operations, which caters to about 5,000 destinations around the world. Valuations are expensive but we are positive on the logistic business. We have a detailed note that can provide you a clear picture on the company. Do have a look on this. Stock ended up 8% on the news.
Technically Speaking: Markets traded weak with negative breadth and on the global front there was nothing to support to close down 448 points in red. Sensex made an intra day high of 17991 and low of 17506. The breadth was in favor of Declines as there were 825 Advances against 1917 Declines. Market turnover was low at Rs 4791 Cr. With the volatility in the market Sensex support is seen at 17250 and resistance at 17800 levels.
Market hammered amid oil woes
Market witnessed heavy selling as the sentiment remained bearish on the back of sudden spurt in crude oil prices, which closed over $100 in US markets. After resuming 85 points lower at 17,991, extensive correction in heavyweight, realty, banking and capital goods stocks assured that the Sensex remains in negative territory. Fall in the Asian markets followed by weak opening in European markets also dragged the Sensex to day's low of 17,506, down 570 points from the yesterday's close. Major Asian indices like the Hang Seng, the Kospi index and the Straits Times index shed 2-3% each, thereby adding pressure on the domestic indices. The Sensex finally ended the session at 17,618, down 458 points, while the Nifty shed 126 points and closed at 5,154.
Except IT index, all the sectoral indices were hammered on the back of relentless selling pressure on Bombay Stock Exchange (BSE). The BSE Realty index dropped 3.43% at 9,726, the BSE Bankex index lost 3.25% at 10,607, the BSE CG index shed 2.79% at 15,936 and the BSE PSU index fell 2.70% at 8,306.
The broader market was weak. Of the 2,796 stocks traded on the BSE, 1,932 stocks declined, 806 stocks advanced and 58 stocks ended unchanged. Most of the stocks in the Sensex basket ended in the red. Among the major losers Tata Steel tanked 4.92% at Rs773, Maruti Suzuki tumbled by 4.76% at Rs769, BHEL declined by 4.54% at Rs2,124, Tata Motors slumped 4.36% at Rs706, ICICI Bank fell 4.19% at Rs1,167, HDFC plunged 3.77% at Rs2,752, M&M dropped 3.50% at Rs635, Reliance Communications slipped by 3.40% at Rs585 and NTPC was down 3.30% at Rs198. However, TCS gained 1.05% at Rs884, while Infosys, Bajaj Auto, Satyam Computers and Ambuja Cement closed with modest gains.
RNRL witnessed volumes of over 1.91 crore shares on the BSE followed by BANG (1.66 crore shares), Hexaware (1.53 crore shares), Shriram EPC (1.04 crore shares) and Essar Oil (97.07 lakh shares).
Valuewise, BANG registered a turnover of Rs326 crore on the BSE followed by Shriram EPC (Rs323 crore), On Mobile (Rs265 crore), RNRL (Rs258 crore) and Reliance Capital (Rs252 crore).
Sensex sheds 458 points as Asian stocks tumble
The domestic bourses tumbled today on negative cues from the global markets. Asian markets, which opened before Indian markets, suffered setback as oil prices hit a record high above $100 a barrel on Tuesday, 19 February 2008. European markets, which opened after Indian markets, declined. The market breadth was weak. 26 stocks from the 30-share Sensex pack declined. Shares from auto, banking and real estate were the hit the most in today's market fall.
Crude oil slipped on Wednesday, 20 February 2008 after surging nearly 5% to a record above $100.10 a barrel a day ago amid an influx of fresh investor capital into the commodities sector and concerns that Organization of Petroleum Exporting Countries (OPEC) will not hike output next month. US crude slipped 61 cents to $99.40 a barrel. London Brent crude fell 68 cents to $97.88 a barrel.
The 30-share BSE Sensex was down 458.06 points or 2.53% at 17,617.60. Sensex plunged to a low of 17,505.56 in late trade. At the day’s low of 17,505.56, the Sensex lost 570.10 points.
The broader based S&P CNX Nifty was down 126.35 points or 2.39% at 5,154.45. Nifty February 2008 futures were at 5130, a discount of 24.45 points as compared to closing
The market breadth was weak: On BSE 1,917 shares declined as compared to 825 that advanced. 54 shares remained unchanged.
The BSE Mid-Cap index was down 1.25% to 7,589.39 and BSE Small-Cap index slipped 1.68% to 9,631.26. Both these indices outperformed the Sensex
The total turnover on BSE amounted to Rs 4791 crore as compared to Rs 6,176.69 crore on Tuesday, 19 February 2008
NSE’s futures & options turnover amounted to Rs 43987.02 crore as compared to Rs 36397.03 crore on Tuesday, 19 February 2008
The IPO of Rural Electrification Corporation (REC) was subscribed 2.72 times by 16:00 IST on the second day of the issue today, 20 February 2008. The price band for the IPO is Rs 90 to Rs 105. The issue closes on 22 February 2008.
All sectoral indices on BSE declined except BSE IT index which rose 0.21% to 3,857.83. The BSE Consumer Durables index (down 1.73% to 4,759.08), the BSE Auto (down 2.22% at 4,758.64), the BSE FMCG index (down 2.01% at 2,223.62), the BSE Health Care index (down 1.25% at 3,680.69), the BSE TecK index (down 1.01% to 3,305.88), the BSE Metal index (down 2.32% to 15,833.53), the BSE Oil & Gas index (down 2.22% to 10,884.00), the BSE Power (down 2.32% to 3,624.39), outperformed the Sensex.
The BSE Capital Goods index (down 2.80% at 15,932.87), the BSE Bankex (down 3.23% at 10,609.81), the BSE PSU index (down 2.77% to 8,299.70), the BSE Realty index (down 3.59% at 9,709.24), underperformed the Sensex.
Auto stocks declined on selling pressure. India’s top small car maker in terms of sales, Maruti Suzuki India lost 5.22% to Rs 765 on 3.53 lakh shares. It was the top loser from Sensex pack.
Other auto stocks Tata Motors (down 4.19% to Rs 707) and Mahindra & Mahindra (down 3.91% to Rs 632), also slipped.
However Bajaj Auto, the country’s second largest bike manufacturer gained 0.96% to Rs 2345. The stock moved in a range of Rs 2280 and Rs 2380.10 today. It was the top gainer from Sensex pack. The stock garnered 14.16% in the past four days from Rs 2022.20 on 13 February 2008 to Rs 2322.60 on 19 February 2008. The company yesterday, 19 February 2008 said the Bombay High Court has sanctioned a scheme of arrangement between the company, Bajaj Holdings & Investment and Bajaj Finserv and their respective shareholders and creditors.
India’s largest private sector firm by market capitalization and oil refiner Reliance Industries (RIL) slipped 2.78% to Rs 2482 on 5.48 lakh shares. The stock had dipped to low of Rs 2083 today. As per recent reports, the company is in advanced talks with the New York-based Vornado Realty Trust, one of the world’s top five real estate asset managers, to float a $1-billion plus fund.
Banking shares saw some recovery from early lows. HDFC Bank (down 1.81% to Rs 1540, off day’s low of Rs 1510), State Bank of India (down 2.90% to Rs 2198, off day’s low of Rs 2182), and ICICI Bank (down 4.13% to Rs 1167.50, off day’s low of Rs 1160.10), recovered though were in the red. Bank stocks fell earlier in the day on reports the Reserve Bank of India has rejected proposals of few banks to increase their capital market exposure beyond the regulatory cap of 40% of net worth on grounds of excessive market volatility.
Bharat Heavy Electricals (down 4.73% to Rs 2119.90), Tata Steel (down 4.77% to Rs 773.85) and DLF (down 3.47% to Rs 813.20) were the other losers from Sensex pack.
IT pivotals eased from day’s high on profit booking after advancing as the rupee slipped to 5-month low against the dollar. Tata Consultancy Services (TCS) (up 0.82% to Rs 882, off day’s high of Rs 892), Infosys Technologies (up 0.59% to Rs 1566, off day’s high of Rs 1588.70), rose.
Tata Consultancy Services during trading hours today, 20 February 2008, said it has signed a multi year contract with Chrysler LLC to provide a comprehensive portfolio of information technology services.
However, Satyam Computers (down 0.08% to Rs 421.25, off day’s high of Rs 434.25), and Wipro (down 0.44% to Rs 411, off day’s high of Rs 423.50) slipped. Indian IT firms derive a lion's share of revenue from exports and they had been hit hard in the last one year by rupee’s surge.
Among the mid-cap IT stocks, Polaris Software Labs (up 2.31% to Rs 93), Rolta India (up 2.95% to Rs 305), HTMT Global Solutions (up 4.18% to Rs 315.40), and NIIT Technologies (up 1.84% to Rs 130), advanced.
Oil marketing companies declined as crude oil prices rallied. Hindustan Petroleum Corporation (down 4.93% to Rs 296.20), Bharat Petroleum Corporation (down 4.94% to Rs 429), and Indian Oil Corporation (down 4.02% to Rs 534), declined on worries of higher under recoveries from sale of petrol and diesel.
Real estate shares were the worst hit today. Unitech (down 4.08% to Rs 381.05), DLF (down 3.47% to Rs 813.20), and Parsvnath Developers (down 2.57% to Rs 275.10), slipped.
Reliance Power was down 0.80% to Rs 410 on volumes of 34.76 lakh shares. The company said on Sunday, 17 February 2008, its board will meet on Sunday, 24 February 2008, to consider issue of bonus shares. The bonus shares will be issued to non-promoter shareholders to compensate the losses suffered by them when the company was listed last week. The stock has been consistently trading at a discount to IPO price of Rs 450, since its listing on 11 February 2008.
Debutante Bang Overseas was the top traded counter on BSE clocking turnover of Rs 326.50 crore followed by Shriram EPC (Rs 323.50 crore), OnMobile Global (Rs 266 crore), Reliance Natural Resources (Rs 258 crore) and Reliance Capital (Rs 253 crore), in that order.
Reliance Natural Resources led the volume chart with 1.91 crore shares followed by Bang Overseas (1.67 crore shares), Hexaware Technologies (1.53 crore shares), Shriram EPC (1.04 crore shares) and Essar Oil (97 lakh shares), in that order.
Wind turbine manufacturer and engineering firm Shriram EPC settled at Rs 293.60 on BSE, a discount of 2.1% over IPO price of Rs 300. The stock debuted at Rs 290, a discount of 3.3% over the IPO price. The stock hit a low of Rs 281.05 and high of Rs 374.70. On BSE, 1.04 crore shares changed hands in the counter.
Bang Overseas settled at Rs 171.80 on BSE, a discount of 17% over the IPO price of Rs 207. The stock debuted at Rs 207, which was the same as the IPO price of Rs 207. The stock touched a high of Rs 260 and a low of Rs 166.50. On BSE, 1.66 crore shares were traded in the scrip.
Construction stocks declined on reports of the central intelligence unit of Indian Customs launching a series of cases alleging import duty evasion by nine infrastructure firms. Gayatri Projects (down 5% to Rs 501.40), Jaiprakash Associates (down 6.83% to Rs 246.20), Punj Lloyd (down 1.47% to Rs 371.50), Hindustan Construction Company (down 2.16% to Rs 163), Nagarjuna Construction Company (down 1.65% to Rs 274.05), and IVRCL Infrastructure Projects (down 0.97% to Rs 453) edged lower.
Under the Customs Act 1962, equipment imported into India for completion of infrastructure projects financed by the UN or an international organization and approved by the government is exempt from customs duty. The firms had imported machinery, such as piling rigs for construction of roads, and had availed the exemption.
Among the side counters, OCL India (up 20% to Rs 271.85), Gujarat NRE Coke (up 14.80% to Rs 156) and Global Broadcast Network (up 14.20% to Rs 1119.60) surged.
However, Force Motors (down 8.60% to Rs 201.10), Lanco Infrastructures (down 8.50% to Rs 429.65), and Panasonic Carbon India Company (down 10.80% to Rs 124.70), declined.
Allcargo Global Logistics jumped 8.31% at Rs 774 after its board approved raising Rs 240 crore from private equity firm Blackstone through issue of shares, debentures and warrants. The company made this announcement after market hours on 19 February 2008.
Orchid Chemicals & Pharmaceuticals declined 2.89% to Rs 248.25 despite receiving approval from the US Food and Drug Administration for its abbreviated new drug application for cefuroxime axetil tablets. The company made this announcement during market hours today, 20 February 2008.
Royal Orchid Hotels gained 0.78% to Rs 115.65 after the company said it has formed a joint venture with Parsvnath Hotels, a wholly-owned subsidiary of Delhi based real estate developer Parsvnath Developers.
Pyramid Saimira Theatre slipped 3.28% to Rs 339. The company plans to invest up to Rs 300 crore in its group firms. The company made this announcement before market hours today, 20 February 2008.
Bhushan Steel declined 2.23% to Rs 990 despite signing a memorandum of understanding with Madhya Pradesh Trade and Investment Facilities Corporation for setting of manufacturing facilities in the state for Rs 3000 crore.
Wockhardt dropped 1.15% to Rs 340 even as it reported 22.8% growth in consolidated net profit to Rs 106.90 crore on 43.30% rise in consolidated total income to Rs 765.70 crore in Q4 December 2007 over Q4 December 2006. The results were announced during trading hours today, 20 February 2008.
Bombay Dyeing and Manufacturing Company rose 3.46% to Rs 720 on reports that it plans to invest Rs 60 crore over the next 2-3 years to open 100 company managed stores. The company is also planning to extend its network to neighbouring countries beginning with United Arabian Emirates in the near future.
Meanwhile in an attempt to boost liquidity, a Securities and Exchange Board of India (Sebi) panel has reportedly recommended that the face value of shares be made a uniform of rupee one in two phases. In the first phase it has recommended that all forthcoming IPOs to be priced based on a mandatory Re 1 face value per share. In the second phase, listed entities having shares with more than Re 1 face value be asked to bring it down to the uniform value. The panel's recommendation would be discussed at the next Sebi board meeting.
European markets extended early fall today, 20 February 2008. Key benchmark indices in United Kingdom (down 1.33% to 5,887.80), Germany (down 1.23% to 6,915.86) and France (down 1.08% to 4,833.40) edged lower.
Asian markets were lower today, 20 February 2008. Japan's Nikkei (down 3.25% at 13,310.37), Hong Kong's Hang Seng (down 2.21% at 23,590.58), Taiwan's Taiwan Weighted index (down 1.62% at 7,894.25), Singapore's Straits Times index (down 1.80% at 3,043.16), South Korea's Seoul Composite index (down 1.90% at 1,687.91) and China’s Shanghai Composite index (down 2.09% to 4,567.06) edged lower
US markets slipped on Tuesday, 19 February 2008 as crude oil surged above $100 a barrel, erasing earlier gains on concerns that higher energy costs could fan inflation and cut consumer spending and profits. The Dow Jones industrial average declined 10.99 points, or 0.09%, to 12,337.22. The Standard & Poor's 500 index slipped 1.21 points, or 0.09%, to 1,348.78 and the Nasdaq composite fell 15.60 points, or 0.67%, to 2,306.20.
Grey Market - Rural Electrification, V-Guard
Rural Electrification 90 to 105 18 to 20
GSS America InfoTech 400 to 440 Discount
Bang Overseas 207 10 to 13
Shriram EPC 300 Discount (Listing Today!)
IRB Infra 185 12 to 15
Manjushree Extrusion 45 5 to 7
Tulsi Extrusions 85 10 to 12
V. Guard Ind. 80 to 85 10 to 12
Market may decline on weak global cues
The market may slide following weak global cues. However some rebound may come at lower levels in second half.
Meanwhile in an attempt to boost liquidity, the Securities and Exchange Board of India (Sebi) panel has recommended that the face value of shares be made a uniform Re 1 in two phases. In the first phase, said the primary market advisory committee of SEBI, all forthcoming IPOs be priced based on a mandatory Re 1 face value per share. In the second phase, listed entities having shares with more than Re 1 face value be asked to bring it down to the uniform value. The panel recommendation would be discussed at the next SEBI board meeting.
Asian markets were lower today, 20 February 2008. Japan's Nikkei (down 0.77% at 13,651.64), Hong Kong's Hang Seng (down 0.39% at 24,027.91), Taiwan's Taiwan Weighted index (down 0.29% at 8,000.74), Singapore's Straits Times index (down 0.71% at 3,076.16), South Korea's Seoul Composite index (down 0.56% at 1,710.92) and China’s Shanghai Composite index (down 0.98% to 4,618.51) edged lower
US markets slipped on Tuesday, 19 February 2008 as crude oil surged above $100 a barrel, erasing earlier gains on concerns that higher energy costs could fan inflation and cut consumer spending and profits. The Dow Jones industrial average declined 10.99 points, or 0.09%, to 12,337.22. The Standard & Poor's 500 index slipped 1.21 points, or 0.09%, to 1,348.78; and the Nasdaq composite fell 15.60 points, or 0.67%, to 2,306.20.
Back home, the 30-share BSE Sensex rose 27.61 points or 0.15% at 18,075.66 on Tuesday, 19 February 2008. The broader based S&P CNX Nifty gained 3.90 points or 0.07% at 5,280.80 on that day.
At current 18,075.66, Sensex trades at a PE multiple of 17.21 to 18.07, based on projected FY 2009 EPS of Rs 1000-to-Rs 1050 for 30 Sensex companies.
As per provisional data, foreign institutional investors (FIIs) purchased shares worth Rs 329.25 crore on Tuesday, 19 February 2008. Domestic institutional investors (DIIs) were net sellers of shares worth Rs 48.29 crore on that day
FIIs were net buyers to the tune of Rs 424.68 crore in the futures & options segment on Tuesday, 19 February 2008. They were net buyers of index futures to the tune of Rs 94.69 crore and bought index options worth Rs 218.01 crore. They were net buyers of stock futures to the tune of Rs 101.01 crore and bought stock options worth Rs 10.97 crore.
Crude oil slipped on Wednesday, 20 February 2008 after surging nearly 5% to a record above $100.10 a barrel a day ago amid an influx of fresh investor capital into the commodities sector and concerns that Organization of Petroleum Exporting Countries (OPEC) will not hike output next month. U.S crude slipped 61 cents to $99.40 a barrel. London Brent crude fell 68 cents to $97.88 a barrel.
Pre Market Watch - Feb 20 2008
The Indian Market is likely to have a negative opening due to unfavoring cues from the global markets. On Tuesday, the market closed with marginal gains after a strong start to the session. Taking the strong cues from the Asian markets, the domestic market opened with a bang and created a rally across the sectoral indices scrips. The market tumbled after the mid session to pare all its initial gains as the profit booking across the sectoral indices prevailed and finally managed to close with little gains. The Small Cap and Mid Cap scrips seemed to attract the investor''s confidence as most buying was seen from these baskets. The BSE Sensex closed higher by 27.61 points at 18,075.66 and NSE Nifty closed up by 3.9 points at 5,280.80. We expect that the market may remain range bound during the trading session.
On Tuesday, the US market was closed in negative. The Dow Jones Industrial Average (DJIA) closed lower by 10.99 points at 12,337.22. S&P 500 index fell by 1.21 points to close at 1,348.78 and NASDAQ dropped by 15.60 points to close at 2,306.20.
Indian ADRs closed mixed. In technology sector, Satyam grew by (0.42%) while Wipro fell by (0.35%) along with Infosys by (0.29%). In banking sector, HDFC bank and ICICI bank fell by (1.31%) and (1.04%) respectively.
Today, the major stock markets in Asia are trading weak. Japan''s Nikkei is trading lower by 106.27 points at 13,651.64 along with Hang Seng trading down by 95.26 points at 24,027.91 and Taiwan Weighted trading at 8,000.74 down by 23.67 points.
The FIIs on Tuesday stood as net seller in equity while buyer in debt. The gross equity purchased was Rs1,766.90 Crore and the gross debt purchased was Rs106.90 Crore while the gross equity sold stood at Rs21,882.80 Crore and gross debt sold stood at Rs0.00 Crore. Therefore, the net investment of equity reported was (Rs115.90 Crore) and net debt was Rs106.90 Crore.
Today, Nifty has support at 5,198 and resistance at 5,336 and BSE Sensex has support at 17,753 and resistance at 18,369.
Morning Call - Feb 20 2008
Market Grape Wine :
In House :
Nifty to be range bound between 5100 to 5500 for the time being .
Buy : ACC above 797 target 820 s/l 785
Sell : Gail target 400 s/l 421
Out House :
Markets at a support of 17717 & 17871 levels with resistance at 18208 & 18303 levels .
Buy : RIL & RelCap
Buy : Sail
Buy : SBIN
Buy : JpHydro & Neyvelli
Buy : MRPL & EssarOIL
Buy : Adhunik & PrimeSec
Buy : IndiaGlycol
Dark Horse : SKumar , RELCAP , MRPL , EssarOIL , Jphydro , RIL , Sbin , & Aban
Trading Calls - Feb 20 2008
Nifty (5281) Supp 5200 Res 5380
Buy Rel Cap (2553) SL 2530 target 2995, 3010
Buy Gitanjali Gems (304) SL 299 target 312, 315
Buy Cairn (214) SL 210 target 221, 224
Sell Idea (107) SL 111 target 100, 99
Sell BILT (144) SL 148 target 136, 13
Oil's not well in the markets!
Formula for success: Rise early, work hard, strike oil
If only we knew how to strike oil, life and markets would be a different ball game. Oil appears to be the latest spoilsport for the markets. US light crude oil for March delivery skyrocketed $4.51 to settle at $100.01 a barrel on the New York Mercantile Exchange. In fact, prices even briefly hit $100.10 a barrel.
US markets, which were positive at open came sliding down. High oil prices, increased worries about inflation, weakness in telecom stocks and financial sector woes pulled down the main US indices.
Asian markets too are weak. Worries about the impact of the rising oil prices took its toll on automakers and electricity producers.
Given the global weakness, we expect the markets to remain in the red at start. However, there is always a likelihood that some buying emerges to take the market into positive zone later in the day. The bulls and bears are a tired lot and that is evident from the low volumes on the bourses.
Remain light and in case you buy, do so only for the long term. Nothing prevents you from booking gains in the short term. But for doing that wait till you make some gains.
The primary market is showing some glimmer of hope. OnMobile made a decent debut yesterday. Today. Shriram EPC gets listed on the bourses.
Orchid Chemicals & Pharmaceuticals could gain as it has won approval to sell its version of GlaxoSmithKline Plc's antibiotic Ceftin in the U.S. The company was permitted by the Food and Drug Administration to sell tablets of cefuroxime axetil, or generic Ceftin.
FIIs turned net buyers of Rs940mn in Index Future and turned net buyers of Rs1.01bnin Single Stock Futures. In the Cash segment FIIs were net buyers by Rs3.29bn and DIIs were net sellers of Rs482.9mn.
Most of Asia's benchmarks open for trading were weak except in China. Japan's Nikkei 225 Stock Average was down 0.5 percent at 13,690.59.
Among the major bulk deals on Tuesday, Goldman Sachs sold over 1.6 lac shares of BL Kashyap at an average price of Rs1630 and Reliance Capital offloaded around 1.5 lac shares of Sundaram Finance at an average price of Rs660.
Lehman Brothers fell 2.5% after the Wall Street Journal reported the brokerage could face a considerable writeoff due to its exposure to bad mortgage bets.
Credit Suisse Group was down 5.2% after it said it would have to cut its profit by $1 billion.
Barclays, gained as it reported profit that topped expectations. However, it has lifted its 2007 writedowns related to assets tied to US subprime mortgages.
In media reports today:
National Hydroelectric Power Corporation (NHPC) is likely to come out with its initial public offering (IPO) only by early next fiscal as the company is still awaiting the appointment of the requisite number of independent directors on its board by the Government.
After restructuring its pharmaceuticals and investment businesses into two different entities, RPG Life Sciences hopes to get its pharmaceuticals business listed around March or April.
Reliance Industries Ltd (RIL) and Essar Oil Ltd have raised the retail selling prices of auto fuels – petrol and diesel – sold by them. The private sector retailers have increased the price of petrol by Rs 2 a litre and diesel by Re 1 per litre.
International Hospital Ltd a wholly owned subsidiary of Fortis Healthcare Ltd, along with Oscar Investments Ltd (OIL) has acquired 62.17 per cent equity of the Chennai-based Malar Hospitals Ltd (MHL) for Rs 34.68 crore.
Exide is planning to enter the US market in 2008-09, Gautam Chatterjee, Director -Industrial, was quoted as saying. The company is in dialogue with a few distributors there.
Bombay Dyeing plans to turn around its textile business in FY09.
NIIT Tech ties-up with Chinese province for setting-up IT training centers and training programs.
Plethico Pharma plans a manufacturing facility in Dubai to counter capacity crunch.
Mphasis sheds around 200 people at its Chennai centre.Market may continue to drift
Firm cues from the Asian markets coupled with buying momentum in scrip’s across the sectors lifted the markets to post a strong start. Key indices managed to hold on to their gains for major part of the session until, profit booking emerged in the last hour of trading session. Selling pressure was seen in the Realty, Power stocks and even the Mid-Cap and the Small-Cap stocks came under pressure. Sensex dropped 250 points and NSE Nifty slipped over 100 points from their respective days high. Finally, the 30-share Sensex closed at 18,075 adding 27 points. The NSE Nifty closed at 5,280 adding 4 points.
Overall about 1,507 stocks advanced, 1.238 stocks declined while 63 stocks remained unchanged. Among the BSE 30 index 19 stocks advanced while 11 stocks declined.
Among the BSE Sectoral indices, BSE Consumer Durable index (up 2.8%), BSE Auto index (up 1.6%), BSE Pharma index (up 1.3%). Among the losers were BSE Realty index (down 1.3%) and BSE Power index (down 1.1%)
OnMobile Global a provider of telecommunications value added software products and services got listed at Rs435 against issue price of Rs440. The scrip finally closed at Rs518 translating into a premium of 17.5% hitting an intra-day high of Rs579 and a low of Rs411 recording volumes of over 2,00,00,000 shares on NSE.
The company had entered the capital market with a public issue of 1.09crore equity shares at a price band of Rs425-450 and got subscribed 10.95 times. The IPO was subscribed 11 times. The QIB portion was subscribed 17 times, HNI 2.6 times and retail 1.3 times.
Shopper's Stop rallied by over 15% to Rs451 on report that Reliance Industries and Aditya Birla Group were interested in buying the retail chain. However, the company came out and clarified that the company was not on sale. The scrip touched an intra-day high of Rs467 and a low of Rs409 and recorded volumes of over 1,00,000 shares on NSE.
Ranbaxy spurted by over 4.5% to Rs415 after the Board of directors of the company approved demerger of research unit. The company declared that it would give 1 research unit share for every 4 held. The scrip touched an intra-day high of Rs419 and a low of Rs400 and recorded volumes of over 16,00,000 shares on NSE.
ABB slipped 2.7% to Rs1316. The company announced its Q4 results with net profit at Rs1.8bn (up 38.4%) and revenue at Rs18.6bn (up 29.1%). The scrip touched an intra-day high of Rs1374 and a low of Rs1291 and recorded volumes of over 2,00,000 shares on NSE.
3i Infotech surged by over 6% to Rs125 after the company announced that it entered into Joint Venture with for China’s Yucheng. 3i Infotech would hold 51% whereas, Yucheng would hold 49% in Joint Venture. The scrip touched an intra-day high of Rs127 and a low of Rs119 recording volumes of over 1,00,000 shares on NSE.
Canara Bank ended flat at Rs306. Media reports stated that the company would buy Indonesian bank with around 100 branches. The scrip touched an intra-day high of Rs312 and a low of Rs303 and recorded volumes of over 10,00,000 shares on NSE.
Educomp Solutions surged by over 6% to Rs4355 after reports stated that the company has entered into an agreement with Ansal Properties and Infrastructure to set up schools in 16 integrated townships with an investment of about Rs2.5bn over the next three years. The scrip touched an intra-day high of Rs4400 and a low of Rs4150 and recorded volumes of over 1,00,000 shares on NSE.
BEML surged by over 3.5% to Rs1222 as the company announced that they expect orders to rise to Rs40bn by March 31, 2008. The scrip touched an intra-day high of Rs1266 and a low of Rs1192 and recorded volumes of over 67,000 shares on NSE.
Castrol India gained 1% to Rs282 as the company posted a net profit after tax of Rs567.6mn for the quarter ended December 31, 2007 as compared to Rs380.8mn for the quarter ended December 31, 2006. Total income increased from Rs4.85bn for the quarter ended December 31, 2006 to Rs4.86bn for the quarter ended December 31, 2007. The scrip touched an intra-day high of Rs290 and a low of Rs281 and recorded volumes of over 57,000 shares on NSE.
News Snippets:
- Ranbaxy board approves de-merger of its R&D unit. The swap ratio has been fixed at 4:1.
- Reliance Capital gets RBI approval for ARC business. (ET)
- British Gas (BG) picks up stake in ONGC’s two deep water exploration blocks. (BS)
- M&M is targeting revenues worth US$3bn over the next ten years from deals in the defense space involving supply of land equipment systems to the armed forces. (ET)
- NTPC selects three foreign companies for a 40% stake in its renewable energy JV with ADB. (DNA)
- Reliance Communications likely to place an order for 5mn set top boxes for its proposed DTH broadcasting venture. (DNA)
- Bajaj Auto gets High Court approval for the proposed de-merger. (DNA)
- Bhel and Alstom bids for 740MW gas power project by ONGC Tripura Power Corporation. (FE)
- BEML order book to increase by 25% this fiscal. (DNA)
- Satyam Computers sets up a 350-seater delivery centre in Hyderabad. (BL)
- JSW Steel top increase its galvalume steel capacity to 0.6mtpa by October 2008. (BL)
- Tata Group invests an undisclosed sum in Singapore-based private jet operator, BJETS. (FE)
- UB Group to expand its product basket by launching about 80 wine brands including imported brands this year. (FE)
- BEML signs agreements with different companies to manufacture defence equipment in India. (BS)
- Bharat Electronics signs MoU with Israel’s defence equipment maker for making missile electronics and missile guiding systems for Indian military. (BS)
- Stand-alone tower companies such as Essar Telecom Tower, GTL Infra, Quipo, Xcel Telecom and TowerVision are planning to consolidate their businesses to compete with existing big three tower companies. (ET)
- Parsvnath Hotels, a subsidiary of Parsvnath Developers, has formed a JV with Royal Orchid Hotels which will develop ten hotels at an investment of Rs5bn. (ET)
- Biocon acquires majority 70% stake in Germany-based AxiCorp Pharmaceuticals for Euro 30mn. (ET)
- Patel Engineering in a JV with KNR Constructions has bagged a Rs2.1bn NHAI contract. (ET)
- Bhushan Steel sings an agreement with MP Government for setting-up coke and cement plants with an investment of Rs30bn. (BL)
- Coal India and IL&FS to form a JV to undertake project development for mine, power and other coal-based projects. (BL)
- 3i Infotech plans a JV with Chinese company for servicing its domestic clients. (BL)
- Sun TV to launch FM Radio stations in Kerala and Karnataka on February 20th and 21st respectively. (FE)
- Government may cut excise and custom duties on petroleum products. (ET)
- Rupee hits a 5-month low of Rs39.95 against the US Dollar. (ET)
- Large power projects including UMPPs may soon get a total duty waiver for purchasing equipments without going through international competitive biding. (ET)
- Railway freight earnings up 12.3% to Rs383bn in April’07-January’08. (ET)
- Finance Ministry extends the service tax refund scheme for exporters to include three more services - couriers, goods transport agencies and container transportation by rail. (BL)
Sail, NTPC, RCom February 2008 futures at discount
Turnover in F&O segment increases
Nifty February 2008 futures were at 5250.25, at a discount of 30.55 points as compared to spot closing of 5280.80.
The NSE's futures & options (F&O) segment turnover was Rs 36,397.03 crore, which was higher than Rs 32,416.67 crore on Monday, 18 February 2008.
Steel Authority of India (Sail) February 2008 futures were at discount, at 227.80, compared to the spot closing of 230.50.
NTPC February 2008 futures were at discount, at 203.05, compared to the spot closing of 204.80.
Reliance Communications (RCom) February 2008 futures were at discount, at 598, compared to the spot closing of 606.35.
In the cash market, the S&P CNX Nifty gained 3.9 points or 0.07% at 5280.80.
A new high for crude price
OPEC comments pushes crude above $100 mark
Crude prices ended substantially higher today, Tuesday, 19 February, 2008. Prices rose today after comments from Organization of Petroleum Exporting Countries (OPEC) officials hinted a production cut in the near term. Oil also rose after the U.S. dollar fell against the euro, enhancing the appeal of commodities as an inflation hedge.
Crude-oil futures for light sweet crude for March delivery today closed at $100.01/barrel (higher by $4.51/barrel or 4.7%) on the New York Mercantile Exchange. The price earlier rose to an intraday high of $100.1. Crude touched $100 a barrel in the first session of January and topped the historic mark in the second session.
Last week, two ministers of Organization of Petroleum Exporting Countries (OPEC) hinted that the cartel might go for a production cut in its next meeting at March, 2008. This spurted up crude prices and the same ended almost 4% higher on that day. At its 1 February meeting at Vienna, OPEC members decided to keep current output levels unchanged.
Again over this weekend, it was reported that Iranian oil minister said that reducing production is very normal for OPEC in March. Iran is OPEC’s second largest oil producer.
Brent crude oil for April settlement today rose $3.65 (3.9%) to $98.56 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.
Crude had ended FY 2007 substantially higher by $35 or 57%. It was crude’s biggest yearly gain in five years.
Natural gas gains 20% this year
Natural gas price rose substantially today. Natural gas advanced to the highest in 15 months on forecasts that colder weather in the eastern half of the U.S. will spur demand and as crude oil touched a record. Natural gas for March delivery rose 31.7 cents (3.7%) to settle at $8.977 per million British thermal units. Gas has advanced 20% so far this year.
Against this backdrop, March reformulated gasoline advanced 10.93 cents (4.4%) to close at $2.6031 a gallon, after earlier touching $2.6169. March heating oil surged 11.54 cents, or 4.4%, to $2.7614 a gallon. Gasoline surged after an explosion yesterday shut Alon USA Energy’s Big Spring, Texas, refinery.
In a monthly report released last week, EIA said the world oil market is poised to ease over the next two years with production increases offsetting moderate growth in oil demand.
At the MCX, crude oil for February delivery closed at Rs 3,901/barrel, higher by Rs 110 (2.9%) against previous day’s close. Natural gas for February delivery closed at Rs 357.3/mmtbu, higher by Rs 7/mmtbu (2%).
Gold and silver soar
Gold and silver prices soar on higher demand as inflation hedge
Bullion metals were back in their rally and the same soared today, Tuesday, 19 February, 2008. Prices soared as other commodity prices also increased with slipping dollar. Silver prices ended higher for the day. On the other hand, crude prices closed above $100 mark for the first time ever today.
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 April delivery rose $23.7 (2.6%) to close at $929.8 an ounce on the New York Mercantile Exchange. On 30 January, 2008 prices had hit a high of $941 in the after hours trading. This year, prices have gained 11.6% till date. In January, prices gained 11%, the highest monthly gain since April 2006. Last week, gold prices suffered a loss of $16.2/ounce (1.8%).
Comex Silver futures for March rose by 39 cents (2.3%) to $17.508 an ounce. Silver has gained 15.8% in 2008. The metal had climbed 16% in FY 2007. The metal also has gained for seven straight years. In January this year itself, prices climbed 14%.
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 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%.
In the energy market today, crude-oil futures surged nearly 5% to close above the $100 a barrel mark for the first time ever, as concerns that the Organization of Petroleum Exporting Countries may cut production boosted prices. Prices closed above the $100 mark at $100.1/barrel for the first time ever.
The dollar began day under pressure. The dollar index, which tracks the performance of the greenback against a basket of other major currencies, dropped 0.4% to 75.945.
Gold dropped last week after the Group of Seven officials meeting in Tokyo over the last weekend said they supported the International Monetary Fund's effort sell its gold reserves in order to invest in higher-yielding assets. The IMF is the third largest holder of gold in reserves after the U.S. Federal Reserve and the German central bank.
As per the London-based World Gold Council, the global gold demand dropped to 843 metric tons from 1,013.4 tons in the last three months of 2007. Buyers from India, the world's biggest user, reduced purchases by 64% in the last quarter to 83.9 tons. About 68% of gold demand last year came from jewelers and jewelry use dropped 17% in that time.
At the MCX, gold prices for April delivery closed higher by Rs 258 (2.2%) at Rs 11,836 per 10 grams. Prices rose to a high of Rs 11,872 per 10 grams and fell to a low of Rs 11,587 per 10 grams during the day’s trading.
At the MCX, silver prices for March delivery closed Rs 434 (1.9%) higher at Rs 22,348/Kg. Prices opened at Rs 21,940/kg and went to a high of Rs 22,440/Kg during the day’s trading.
Today's Pick - ACC
We recommend a buy in ACC from a short-term perspective. It is clearly evident from the charts of ACC that the stock has been on a downtrend from its life-high of Rs 1,315 touched in mid October 2007. The stock found support at the key long-term support of Rs 700 in mid January and has been moving sideways since then. More recently, the stock breached the 21-day moving average and then began to move up. This up move was backed by positive divergence of the daily momentum i ndicator. This indicator has entered the neutral region from the bearish territory. We also see that there is an increase in volume in the last trading session. We notice a crossover in the daily moving average convergence divergence and it is steadily rising towards the positive levels. Our short-term outlook for the stock is bullish. We expect the stock’s current up move to prolong further to our target price of Rs 900 in the short-term. Investors with a short-term perspective can buy the stock while keeping the stop loss at Rs 725.
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