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Wednesday, November 19, 2008
NSE Bulk Deals to Watch - Nov 19 2008
Date,Symbol,Security Name,Client Name,Buy/Sell,Quantity Traded,Trade Price / Wght. Avg. Price,Remarks
19-NOV-2008,ALKALI,Alkali Metals Limited,CHOKHANI SECURITIES LTD,BUY,92590,182.15,-
19-NOV-2008,ALKALI,Alkali Metals Limited,JINDAL WORLDWIDE LTD,BUY,70000,187.01,-
19-NOV-2008,ALKALI,Alkali Metals Limited,MANSUKH SECURITIES & FINANCE LTD,BUY,92809,181.44,-
19-NOV-2008,ALKALI,Alkali Metals Limited,MBL & COMPANY LTD.,BUY,88880,183.61,-
19-NOV-2008,LOGIXMICRO,Logix Microsystems Limite,INDIA INVESTMENT PARTNERS LIMITED A/C ICG Q LIMITED,BUY,69352,44.06,-
19-NOV-2008,SICAL,Sical Logistics Limited,MAVI INVESTMENT FUND LTD,BUY,500000,24.00,-
19-NOV-2008,SICAL,Sical Logistics Limited,PENINSULAR SOUTH ASIA INVT CO LTD,BUY,691626,24.00,-
19-NOV-2008,SICAL,Sical Logistics Limited,THE TBS PLC AS TRUSTEE OF JUPITER INDIA FUND,BUY,1580860,24.00,-
19-NOV-2008,ALKALI,Alkali Metals Limited,CHOKHANI SECURITIES LTD,SELL,92590,182.58,-
19-NOV-2008,ALKALI,Alkali Metals Limited,JINDAL WORLDWIDE LTD,SELL,70000,187.15,-
19-NOV-2008,ALKALI,Alkali Metals Limited,MANSUKH SECURITIES & FINANCE LTD,SELL,92809,181.72,-
19-NOV-2008,ALKALI,Alkali Metals Limited,MBL & COMPANY LTD.,SELL,88880,183.70,-
19-NOV-2008,EDUCOMP,Educomp Solutions Limited,TREE LINE ASIA MASTER FUND (SINGAPORE) PTE LIMITED,SELL,99500,2033.57,-
19-NOV-2008,LOGIXMICRO,Logix Microsystems Limite,DSP MERRILL LYNCH TRUSTEE CO. PVT. LTD A/C TAX SAVER FUND,SELL,68009,44.00,-
19-NOV-2008,SICAL,Sical Logistics Limited,CREDIT SUISSE (SINGAPORE) LIMITED A/C CREDIT SUISSE (SINGAPO,SELL,1828000,24.00,-
19-NOV-2008,SICAL,Sical Logistics Limited,DEUTSCHE SECURITIES MAURITIUS LIMITED,SELL,302151,24.00,-
19-NOV-2008,SICAL,Sical Logistics Limited,GOLDMAN SACHS INVESTMENTS MAURITIUS I LTD,SELL,670752,24.03,-
BSE Bulk Deals to Watch - Nov 19 2008
Deal Date Scrip Code Company Client Name Deal Type * Quantity Price **
19/11/2008 533029 ALKALI MBL AND COMPANY LIMITED B 74214 183.62
19/11/2008 533029 ALKALI OPG SECURITIES P LTD B 92297 184.06
19/11/2008 533029 ALKALI MANSUKH STOCK BROKERS LTD B 53409 179.99
19/11/2008 533029 ALKALI MBL AND COMPANY LIMITED S 74214 182.61
19/11/2008 533029 ALKALI OPG SECURITIES P LTD S 92297 184.15
19/11/2008 533029 ALKALI MANSUKH STOCK BROKERS LTD S 53409 179.99
19/11/2008 532609 BHARATI SHIP COPTHALL MAURITIUS INVESTMENT LIMITED B 247460 73.00
19/11/2008 532609 BHARATI SHIP BSMA LIMITED S 247460 73.00
19/11/2008 590059 BIHAR TUBES APL INFRASTRUCTURE PVT LTD B 91041 50.32
19/11/2008 590059 BIHAR TUBES JAGAN TUBES LIMITED S 89503 50.00
19/11/2008 522163 DIAMON CABLE KSK EMERGING INDIA ENERGY PRIVATE LIMITED II B 700000 104.00
19/11/2008 522163 DIAMON CABLE SWISS FINANCE CORPORATION MAURITIUS LIMITED S 700000 104.00
19/11/2008 532022 FILAT FASH KINJAL VASANTLAL SAVLA B 75175 39.90
19/11/2008 526367 GANESH HOU C COPTHALL MAURITIUS INVESTMENT LIMITED B 870000 58.00
19/11/2008 526367 GANESH HOU C BSMA LIMITED S 870000 58.00
19/11/2008 532855 HARYA CAPFIN DHARAM PAL JINDAL AND SONS HUF B 27500 21.89
19/11/2008 513250 JYOTI STRUCT COPTHALL MAURITIUS INVESTMENT LIMITED B 1500000 60.20
19/11/2008 513250 JYOTI STRUCT BSMA LIMITED S 1500000 60.20
19/11/2008 530955 KAILASH FICO MANDVI DYES AND CHEMICALS PVT B 200000 22.56
19/11/2008 532341 LOGIX MICRO COPTHALL MAURITIUS INVESTMENT LIMITED B 200000 43.00
19/11/2008 532341 LOGIX MICRO BSMA LIMITED S 200000 43.00
19/11/2008 507609 OLYMPIC OIL SUNIL VERMA B 10000 4.04
19/11/2008 507609 OLYMPIC OIL PATIL VIJAY BALWANT S 10000 4.04
19/11/2008 532791 PYRAMID SAIM PANCHAPIKESA SUBRAMANIA SAMINATHAN B 400000 49.93
19/11/2008 532710 SADBHAV ENGG COPTHALL MAURITIUS INVESTMENT LIMITED B 406000 335.00
19/11/2008 532710 SADBHAV ENGG BSMA LIMITED S 406000 335.00
19/11/2008 531898 SANGUINE MD KHAITAN WEAVING MILLS LTD S 91028 7.43
19/11/2008 523598 SHIPPING COR COPTHALL MAURITIUS INVESTMENT LIMITED B 4880814 77.80
19/11/2008 523598 SHIPPING COR BSMA LIMITED S 4880814 77.80
19/11/2008 532790 TANLA COPTHALL MAURITIUS INVESTMENT LIMITED B 2100000 69.40
19/11/2008 532790 TANLA BSMA LIMITED S 2100000 69.40
19/11/2008 514470 WINSOME TEXT SANJAY SHAH B 30000 15.79
19/11/2008 514470 WINSOME TEXT PARESH SANAT RACHH S 30000 15.74
Post Session Commentary - Nov 19 2008
The domestic market pared all its earlier gains during the second half of session to close in red terrain due to lower US index futures and weak European markets. Fears of more foreign fund outflow offset expectation of an interest rate cut by Reserve Bank of India and more measures from the government to revive the domestic economy. The market took a rebound from five-day losing streak and belled the day on positive note. The benchmark indices continued to trade higher till afternoon on support of sustained buying on key stocks. Further market was not capable to continue the momentum and started losing ground on account of weak cues worldwide. Finally market concluded the day with negative gap. The BSE Sensex ended below 8,800 level and NSE Nifty closed below 2,700 mark. From the sectoral front, the Capital Goods stocks were worst performers as ended with cut of more than 3%. Apart from that the Bank, Power, Teck, Metal, PSU and IT stocks also followed the same trend as witnessed most of the selling from these baskets. Midcap and Small cap stocks were also under bears'' control. However, FMCG, Auto and Consumer Durables stocks were able achieve favor from the market.
Among the Sensex pack 25 stocks ended in red territory and 5 in green. The market breadth was negative as 1718 stocks closed in red while 778 stocks closed in green and 77 stocks remained unchanged.
The BSE Sensex closed lower by 163.42 points at 8,773.78 and NSE Nifty ended down by 48.15 points at 2,635. The BSE Mid Caps and Small Caps closed with losses of 61.3 points 2,998.39 and by 65.54 points at 3,493.12. The BSE Sensex touched intraday high of 9,236.27 and intraday low of 8,726.80.
Losers from the BSE Sensex pack are JP Associates (6.04%), Hindalco (5.19%), Reliance Communication Ltd (5.15%), Grasim Industries (4.62), L&T Ltd (4.12%), Reliance Infra (3.99%), HDFC (3.74%), ICICI Bank (3.62%), Satyam Computer (3.57%), HDFC Bank (3.28%), Wipro Ltd (3.18%) and BHEL (2.81%).
Gainers from the BSE Sensex pack are ITC Ltd (2.80%), Ranbaxy Lab (1.86%), M&M Ltd (1.03%), Maruti Suzuki (0.73%) and DLF Ltd (0.13%).
The BSE Capital Goods index dropped by (3.47%) or 229.74 points to close at 6,393.76. Losers are Praj Industries (8.17%), Thermax Ltd (7.51%), Aiaengineer (7.11%), Areva (6.13%), Suzlon Energy (5.74%) and Bharat Bijli (5.27%).
The BSE Bank index lost (2.86%) or 135.53 points to close at 4,596.95. Major losers are Allahabad Bank (5.82%), Karnataka Bank (5.39%), IDBI Bank (5.12%), Union Bank (4.36%), Kotak Bank (4.19%) and Indian Overseas Bank (3.94%).
The BSE Power index ended down by (2.68%) or 42.06 points at 1,529.92 as GMR Infra (9.41%), GVK Power (9.20%), Suzlon Energy (5.74%), Lanco Infra (4.36%), Reliance Infra (3.99%) and Siemens Ltd (3.40%) in negative territory.
The BSE Teck index ended lower by (1.90%) or 36.70 points to 1,898.09 as Tanla (11.31%), Tech Mahindra (8.54%), Mphasis Ltd (7.99%), Tata Communication Ltd (6.65%), Dish TV (5.93%) and Tel Eighteen (5.45%) ended in negative territory.
The BSE Metal index ended down by (1.77%) or 80.14 points at 4,436.14. Major losers are Hindalco (5.19%), Nalco (5.05%), Gujarat NRE C (4.90%), Steel Authority (3.99%), Welspan Gujarat SR (3.76%) and Ispat Industries (2.17%).
The BSE PSU index plunged (1.72%) or 78.12 points to close at 4,453.96. Losers are MRPL (7.28%), Allahabad Bank (5.82%), IDBI Bank (5.12%), Nalco (5.05%), Union Bank (4.36%) and Indian Overseas Bank (3.94%).
The BSE FMCG index gained (1.52%) or 27.94 points to close at 1,866.02. Gainers are Nestle Ltd (2.95%), United Spr (2.84%), ITC Ltd (2.80%), Marico (2.05%) and Colgate Palm (0.58%).
Losing spree continues
The market saw high volatility during the day, as stocks gyrated between either sides of the zone throughout the session, with the Sensex witnessing an intra-day swing of 510 points. The market opened higher, buoyed by overnight gains in the US markets. But the index pared early gains as investor sentiments turned cautious, as the Sensex neared its intra-day high of 9,236. Thereafter, sustained selling in frontline, capital goods and banking stocks saw the Sensex enter into negative territory. After displaying some range-bound moves, the market plunged deep into the red on heavy selling towards the close to touch the day's low of 8,727. The Sensex finally closed the session at 8,774, down 163 points. Nifty ended the day at 2,635, down 48 points.
Market breadth was negative. Of the 2,573 stocks traded on BSE 1,711 stocks declined, while 786 stocks advanced. Seventy six stocks ended unchanged. Of the 13 sectoral indices, BSE CG index shed 3.47%, BSE Bankex declined 2.86% and BSE Power was down 2.68%. However, BSE FMCG, BSE Auto and BSE CD index closed in the green.
Sustained selling led the index pare its gains. JP Associates lost 1.83% at Rs63.80, Hindalco Industries declined 5.19% at Rs50.20 and Reliance Communications lost 5.15% at Rs198.80. Grasim Industries, Larsen & Toubro, Reliance Infrastructure, HDFC, ICICI Bank, Satyam Computer Services and Bharat Heavy Electricals Ltd closed with a loss of 3-4% each. However, ITC, Ranbaxy Laboratories, Mahindra & Mahindra, Maruti Suzuki India and DLF closed with marginal gains.
Over 1.64 crore shares of Suzlon Energy changed hands on BSE followed by GVK Power & Infrastructure (1.10 crore shares), Reliance Natural Resources Ltd (90.59 lakh shares), SAIL (59.73 lakh shares) and Reliance Capital (58.40 lakh shares).
Nifty November 2008 futures at discount
Turnover declines
Nifty November 2008 futures were at 2619.70, at a discount of 15.30 points as compared to the spot closing of 2635. Turnover in NSE's futures & options (F&O) segment was Rs 41,656.37 crore, which was lower than Rs 43,260.01 crore on Tuesday, 18 November 2008.
Infosys Technologies November 2008 futures were at discount at 1164.45 compared to the spot closing of 1172.70.
ICICI Bank November 2008 futures were at discount at 344.05 compared to the spot closing of 348.25.
NTPC November 2008 futures were near spot price at 135.95 compared to the spot closing of 136.
In the cash market, the S&P CNX Nifty lost 48.15 points or 1.79% at 2635.
Asian Markets ends in negative territory
Tokyo, Sydney extend losses while Shanghai stage a rebound
The stock markets across the Asian region closed lower, after Wall Street closed higher overnight, as lingering economic worries dented investor sentiment. Asian stocks fell, led by commodity producers and financials, as oil, gold and aluminum prices dropped and Mitsubishi UFJ Financial Group posted its lowest quarterly profit in at least four years.
On Wall Street, U.S. stocks closed higher yesterday, pulling off a final-hour rebound, as Hewlett Packard's quarterly results offset negative sentiment generated by Citigroup's fall to a 13-year low on fears about widespread job cuts and weak economic data. The Dow closed up 151.2 points or 1.8% at 8,424.8, the Nasdaq gained 1.2 points or 0.1% to 1,483.3 and the S&P 500 advanced 8.4 points or 1.0% to 859.1.
In the commodity market, crude oil prices are little changed, ahead of the U.S. government's weekly inventory report. Crude oil was quoted at $53.55 a barrel, down $0.84, by 3:07 a.m. ET. On Tuesday, light, sweet crude for December delivery fell $0.56 to settle at $54.39 a barrel on the New York Mercantile Exchange.
In the currency market, the dollar traded in the upper 96-yen levels in late Tokyo deals. The dollar was quoted at 96.65- 96.70 yen, flat with its levels late Tuesday in Tokyo.
The Australian dollar closed marginally lower. The Aussie ended the session at US$0.6447, down from Tuesday's close of US$0.6460.
The New Zealand dollar closed slightly weaker against the U.S. dollar. The kiwi finished the domestic session at US$0.5502, after hitting a low of US$0.5469, compared to US$0.5495 in early trade and US$0.5505 late Tuesday.
The South Korean won gained against the greenback. The won ended the domestic session at 1,446.5 a dollar, up from Tuesday's close of 1,448.0 a dollar.
Coming back in equities, the Japanese stock market closed lower, extending its losses for a second straight trading session. The key Nikkei 225 index fell to a one-week closing low, hit by a stronger yen and fears that a bailout of U.S. automakers might not come through. Stocks got off to a firm start, taking their cue from Wall Street's gains overnight, but soon lost ground and ended in negative territory. The benchmark Nikkei 225 index closed down 55.2 points, or 0.66% at 8,273.2, recovering from the day's low of 8,115.7. The broader Topix Index of all First Section Issues shed 8.0 points or 1.0% to 834.1.
On the economic front, Japan's Ministry of Economy, Trade and Industry said that total industrial activity in Japan eased 0.1% in September compared to the previous month. On a quarterly basis, industrial activity fell 0.8% in the third quarter compared to the preceding second quarter.
The Chinese stock market rallied despite weakness among the stock markets in the Asia-Pacific region. The key index closed above the psychologically important 2,000 mark, reversing most of yesterday's losses. The benchmark Shanghai Composite Index jumped 115.0 points or 6.05% to close at 2,017.47 after fluctuating between 2,023.9 and 1,883.8.
The Australian stock market closed lower for the third straight trading session. The benchmark S&P/ASX 200 index closed down 23.6 points or 0.67% at 3,499.6 and the broader All Ordinaries index shed 29.9 points or 0.85% to 3,483.2.
Meanwhile, the Australian Bureau of Statistics reported that new motor vehicle sales in Australia fell a seasonally adjusted 0.5% to 80,366 units in October following a revised 0.4% monthly decline in September. On an annual basis, new vehicle sales fell 10.6% after a revised 8.6% decline in September. In another data release, the Westpac-Melbourne Institute index of economic activity which indicates the likely pace of growth three to nine months into the future came in at 1.1% for September, down from 3.5% in August. This marked the index's biggest drop since the mid 1980s.
The New Zealand stock market closed lower for the third consecutive day. The benchmark NZX 50 index closed down 8.3 points or 0.31% at 2,706.28 and the broader NZX All Capital index shed 10.6 points or 0.4% to close at 2,750.9. On the economic front, Statistics New Zealand reported that producer prices were higher in the third quarter of 2008. Output prices rose by 2.8% and input prices climbed 3.7% in the quarter, with the fuel-wholesaling sector contributing the most to the advances in both the indices.
The South Korean stock market closed lower for the seventh straight session on Wednesday. The market opened weak and extended its losses as worsened U.S. economic indicators dented investor sentiment. Uncertainty about the future of the shipbuilding and construction sectors also dented investor sentiment. The benchmark Korea Composite Stock Price Index or KOSPI closed down 19.34 points or 1.9% at 1,016.8.
On the economic front, South Korea's corporate bankruptcies hit a three-year high in October as more manufacturers and service firms became insolvent amid tightening financial conditions, the central bank said. The number of business failures was 321 in October compared to 118 in the previous month. This is the highest monthly figure since March 2005 when the number reached 359.
In Taiwan, stock markets continued to hover around its five year low as construction sector stocks such as Huaku went down even after the government announced to boost public spending. Taiex – the weighted index closed down 21.09 points or 0.49% at 4,284.09 - the lowest level since 22 May 2003 when it ended at 4,271.30 points.
Elsewhere, Singapore's Strait times was trading lower by 1.59% or 26.96 points at 1,665.59 while Malaysia's Kula Lumpur Composite index fell by 0.62% or 5.44 points closing the day at 877.65. In Philippines, the benchmark index PSEi went up 1.84% or 34.58 points to 1,908.18 showing a technical rebound.
In India, the BSE 30-share gave up all its gains. At 15.26 IST, the BSE 30-share Sensex was down 191.42 points, or 2.1%, to 8,745.78.
In other regional markets, European stocks traded lower in early trade, with banks getting pounded for the third straight session as investors fretted that government injections and interest-rate cuts weren't enough to put the institutions on better footing. The U.K. FTSE 100 fell 1% to 4,163.93, the German DAX 30 dropped 0.3% to 4,563.91 and the French CAC 40 lost 0.9% to 3,189.22.
Looking ahead the day is scheduled to release the October consumer price index for the US which will be released before market opens. It will be followed by October housing starts data and weekly inventory report from energy department.
Market slips for the sixth day in a row on selling by FIIs
Subdued-to-weak trend in global equities caused by fears of a deep global recession pulled the domestic bourses lower for the sixth day in a row. The BSE 30-share Sensex lost 163.42 points, or 1.83%, shedding 462.49 points from an intraday high struck in early afternoon trade. Weak global markets raised fears of more foreign fund sales offsetting hopes more measures from the government and the Reserve Bank of India (RBI) may revive the domestic economy.
The market was volatile, with the Sensex swinging 509.47 points in the day. The barometer index which had regained the psychological 9,000 mark earlier in the day fell below that level later.
Foreign funds are dumping stocks in Indian and other emerging markets to shore up resources to beat the global liquidity crunch. As per the provisional data released by the stock exchanges after trading hours, foreign institutional investors (FIIs) today, 19 November 2008, sold shares worth a net Rs 264.98 crore. FII outflow reached Rs 52,612.70 crore in calendar 2008, so far, till 18 November 2008, as against an inflow of a huge Rs 71,466.90 crore in the corresponding period last year.
European shares fell, led by banks and miners, as market players were spooked after US automakers gave a dire warning to lawmakers about their outlook while pleading for $25 billion of bailout funds from Congress. Key benchmark indices in France, Germany and UK were down by between 1.74% to 1.98%. Trading in US futures suggested Dow could fall 94 points at the opening bell.
Asian stocks dropped as fears of a global recession persisted. Key benchmark indices in Japan, Hong Kong, South Korea, Singapore and Taiwan were down by between 0.18% to 1.87%. But Chinese stocks bucked the weak trend, with he Shanghai Composite index surging 6.05%.
The US housing market collapse at the heart of the crisis showed signs of deteriorating further, with the National Association of Home Builders index plunging to a record low of 9 in November 2008, date released on Tuesday, 18 November 2008, showed. Japan's recession could last even longer than feared, the country's economy minister warned today, 18 November 2008. Japan slid into its first recession in seven years in the third quarter as the financial crisis curbed demand for Japanese exports, data on Monday, 17 November 2008 showed.
Citigroup Inc, the No. 2 US bank, on Monday, 17 November 2008, said it would cut 15% of its global workforce or 52,000 jobs, far more than had been expected.
The BSE 30-share Sensex was down 163.42 points, or 1.83%, to 8,773.78. The Sensex lost 210.40 points at the day's low of 8,726.80 in late trade. At the day's high of 9,236.27 hit in early-afternoon trade, the Sensex rose 299.07 points.
The S&P CNX Nifty fell 48.15 points, or 1.79%, to 2,635.
Fears of a global recession, slowdown in the domestic economy and selling by foreign funds have pulled the Sensex down 1,762.78 points or 16.72% in the last six trading sessions from 10,536.16 on 10 November 2008. The barometer index is down 11,513.21 points or 56.75% in the calendar year 2008 so far from its close of 20,286.99 on 31 December 2007. It is 12,432.99 points or 58.62% below its all-time high of 21,206.77 struck on 10 January 2008.
The BSE clocked a turnover of Rs 3538 crore today as compared to a turnover of Rs 3,031.86 crore on Tuesday, 18 November 2008.
Nifty November 2008 futures were at 2619.70, at a discount of 15.30 points as compared to the spot closing of 2635. Turnover in NSE's futures & options (F&O) segment was Rs 41,656.37 crore, which was lower than Rs 43,260.01 crore on Tuesday, 18 November 2008.
The market breadth, indicating the overall health of the market, turned weak from earlier positive breadth. On BSE, 786 shares rose as compared with 1,711 that declined. A total of 76 shares remained unchanged.
The BSE Mid-Cap index down 2.02% to 2,998.39 and the BSE Small-Cap index was down 1.84% at 3,493.12. Both the indices underperformed the Sensex.
The BSE FMCG index (up 1.52% to 1,866.02), the BSE Auto index (p 0.59% to 2,350.24), the BSE Consumer Durables index (up 0.44% to 1,855.87), the BSE Realty index (down 0.43% to 1,830.94), the BSE HealthCare index (down 0.95% to 2,804.81), the BSE Oil & Gas index (down 1.16% to 5,507.48), the BSE IT index (down 1.52% to 2,410.64), the BSE PSU index (down 1.72% to 4,453.96), the BSE Metal index (down 1.77% to 4,436.14) outperformed the Sensex.
The BSE Capital Goods index (down 3.47% to 6,396.76), the BSE Bankex (down 2.86% to 4,596.95), the BSE Power index (down 4.67% to 1,571.98), the BSE Teck index (down 2.68% to 1,898.09), underperformed the Sensex.
India's largest private sector company by market capitalization and oil refiner Reliance Industries (RIL) fell 0.66% to Rs 1,133.15, reversing strong intraday gains, on concerns a global slowdown would hit demand for petrochemicals. Meanwhile, as per reports, the company may raise Rs 5,000 crore from the Life Insurance Corporation via 11.5% non-convertible debentures.
Jaiprakash Assocaites (down 6.04% to Rs 63.80), Reliance Communications (down 5.15% to Rs 198.80), Grasim Industries (down 4.62% to Rs 930.65) were the major losers from the Sensex pack.
Capital goods stocks slumped on worries global economic slowdown would crimp orders. Larsen & Toubro, Bharat Heavy Electricals and Suzlon Energy fell by between 2.81% to 5.74%.
Metal stocks declined as worries that global economic slowdown will hit demand offset imposition of 5% import duty on steel by the government to protect the domestic industry. Hindalco Industries, Sterlite Industries, Tata Steel, Steel Authority of India, National aluminum Company fell by between 0.05% to 5.19%.
After trading hours on Tuesday, 18 November 2008, the government imposed a 5% duty on imports of steel and iron products to protect domestic makers from cheaper imports.
Ess Dee Aluminium spurted 8.9% on reports the company will announce acquisition of a majority stake in India Foils later today, 19 November 2008.
Banking stocks fell as fears of rising defaults in a weakening economy offset hopes of increase in lending growth triggered by speculation of further rate cuts. India's largest private sector bank by net profit ICICI Bank fell 3.62%. Its ADR lost 3.26% on Tuesday, 18 November 2008. India's second largest private sector bank by net profit HDFC Bank slipped 3.28% as ADR slumped 2.33% on Tuesday. India's largest commercial bank State Bank of India (SBI) fell 2.6%.
As per reports, the Reserve Bank of India (RBI) is expected to announce another round of rate cuts in a week or so in an effort to shield the domestic economy from the global economic slowdown. The RBI on, 1 November 2008, had cut its repo rate or main short-term lending rate by 50 basis points (bsp) to 7.5% and banks' cash reserve ratio (CRR) by 100 basis points to 5.5%. The repo rate is the rate at which the RBI lends cash to banks. The CRR is the percentage of deposits which the banks must keep with the central bank.
IT stocks fell on mounting worries about the US economy highlighted by data overnight showing confidence at US home builders plunging to a record low. India's third largest IT exporter by sales Satyam Computer Services fell 3.57% as ADR fell 4.37% overnight. India's second largest IT exporter by sales Infosys lost 0.76%, as ADR fell 1.23% on Tuesday. India's fourth largest IT exporter by sales Wipro fell 3.18% as ADR slipped 2.91% on Tuesday. India's largest IT exporter by sales Tata Consultancy Services slipped 0.36%.
Indian IT firms derive a lion's share of revenue from exports to US. Weak US economic data offset a weaker rupee. The Indian rupee fell to 50 per dollar in late trade on Wednesday, hit by losses in the domestic equity market and heavy dollar demand from banks looking to arbitrage between onshore spot and offshore forward rates. The partially convertible rupee was at 49.9800/9875 per dollar, off a low of 50.01, its weakest since 27 October 2008 when it had hit a record low of 50.29. A weaker rupee augurs well for the sector as IT firms earn most of their revenues from exports.
Realty stocks fell on slowdown in the sector due to lower demand and a liquidity crunch. Unitech, Indiabulls Real Estate, Housing Development & Infrastructure, and Omaxe were down by 1.14% to 8.67%. India's largest real estate player by market capitalization DLF rose 0.13%.
The Reserve Bank of India (RBI) had on Saturday (15 November 2008) announced fresh steps to free up liquidity for the troubled realty sector.
Auto stocks rose on hopes a further cut in interest rates will spur demand which is mainly driven by finance. Maruti Suzuki India, the country's top car maker by sales, rose 0.73% after Chairman R.C. Bhargava today said the company does not expect production and sales in the 2008/09 fiscal year to fall below the previous year's level. He was speaking at the launch of Maruti's new A-Star hatchback model.
Hero Honda Motors and Mahindra & Mahindra rose by between 1.03% to 3.69%. However, India's largest commercial vehicle maker by sales Tata Motors fell 2.52%.
Suzlon Energy clocked the highest volume of 1.64 crore shares on BSE. GVK Power & Infrastructure (1.11 crore shares), Reliance Natural Resources (90.60 lakh shares), Cals Refineries (66.76 lakh shares) and Steel Authority of India (59.73 lakh shares) were the other volume toppers in that order.
Reliance Industries clocked the highest turnover of Rs 467.41 crore on BSE. Reliance Capital (Rs 288.47 crore), Bharti Airtel (Rs 140.42 crore), State Bank of India (Rs 131.98 crore) and ICICI Bank (Rs 129.40 crore) were the other turnover toppers in that order.
Great Eastern Shipping Company rose 1.47%, after a block deal of 6.24 lakh shares was executed on BSE at Rs 163.25 a share.
Kalindee Rail Nirman (Engineers) spurted 5.3% on BSE after a unit of Larsen & Toubro bought additional stake in the company.
Reports that the government will inject Rs 50000 crore on infrastructure projects to pump-prime the economy failed to soothe investors nerves. The RBI is also likely to create a special repo window to allow banks to borrow up to 100 basis points of the statutory liquidity ratio (SLR) - the percentage of deposits invested in government securities - to make available Rs 40,000 crore for infrastructure like national highway projects.
RBI may cut rates - market may move up
Selling by foreign funds and weakness in Asian stocks caused by prospects of a deep global recession may pull the market further lower. However, speculation that the Reserve Bank of India (RBI) may announce steep rate cuts in a week or so to shield the domestic economy from the global economic slowdown, may trigger bargain hunting.
Fears of a global recession, slowdown in the domestic economy and selling by foreign funds pulled the Sensex down 1,598.96 points or 15.17% in the last five trading sessions to 8,937.20 on Tuesday, 18 November 2008 from 10,536.16 on 10 November 2008.
Foreign funds are dumping stocks in Indian and other emerging markets to shore up resources to beat the global liquidity crunch. As per the provisional data released by the stock exchanges, foreign institutional investors (FIIs) sold shares worth a net Rs 441.59 crore on Tuesday. FII outflow reached Rs 52,243.40 crore in calendar 2008, so far, till 17 November 2008, as against an inflow of a huge Rs 71,545.90 crore in the corresponding period last year.
Asian stocks dropped as fears of a global recession persisted. Key benchmark indices in Hong Kong, Japan, South Korea, Singapore and Taiwan were down by between 0.35% to 3.26%. But China bucked the trend with the Shanghai Composite index surging 2.4%. Market players were also spooked after US automakers gave a dire warning to lawmakers about their outlook while pleading for $25 billion of bailout funds from Congress.
The US housing market collapse at the heart of the crisis showed signs of deteriorating further, with the National Association of Home Builders index plunging to a record low of 9 in November 2008. Japan's recession could last even longer than feared, the country's economy minister warned today, 18 November 2008. Japan slid into its first recession in seven years in the third quarter as the financial crisis curbed demand for Japanese exports, data on Monday, 17 November 2008 showed.
Citigroup Inc, the No. 2 US bank, on Monday, 17 November 2008, said it would cut 15% of its global workforce or 52,000 jobs, far more than had been expected.
The slide in Asian stocks was despite overnight gains in US stocks. US stocks staged a late fight back on Tuesday, 18 November 2008, after a choppy session in which stronger-than-expected results and outlook from computer maker Hewlett-Packard offset fears that more losses at Citigroup and other banks are yet to come. The Dow Jones industrial average rose 151.17 points, or 1.83%, to 8,424.75. The Standard & Poor's 500 Index .SPX gained 8.37 points, or 0.98%, to 859.12. The Nasdaq Composite Index added just 1.22 points, or 0.08%, to 1,483.27.
Closer home, the Reserve Bank of India (RBI) is expected to announce another round of rate cuts in a week or so in an effort to ease liquidity and reduce borrowing costs to counter slowing economic growth. The RBI is also likely to create a special repo window to allow banks to borrow up to 100 basis points of the statutory liquidity ratio (SLR) — the percentage of deposits invested in government securities — to make available Rs 40,000 crore for infrastructure like national highway projects.
Oil was steady at $54.34, near a 22-month low, on mounting worries about a deep global economic recession, highlighted by data overnight showing confidence at US home builders plunging to a record low.
The rupee opened lower, as weaker Asian equities raised concerns of foreign fund withdrawals from the local stock market. At 9:05 IST, the partially convertible rupee was at 49.72/74 per dollar, after opening at 49.73. It had ended at 49.66/67 on Tuesday. The rupee had hit a record low of 50.29 late last month.
Pre Session Commentary - Nov 19 2008
Today markets are likely to open positive as they have shed enough in the previous trading days. A little recovery is what we anticipate in today’s trading session. There are some positive efforts from the government to consolidate the domestic economic growth trend. Gov’t has imposed a 5% import duty on steel and iron & steel products; 20% import duty on edible and soya oil in a protectionist measure for domestic players. Govt has also urged various sectors like Airlines, Automobiles and hotel to reduce the prices to boost the demand. Gov’t may also reduce the sales tax on Airlines from 22% to 4% on a uniform basis. Realty sector on the other hand has urged for reduction in the loan interest rates to 7% so as to counter act the falling demand and the high cost of borrowings.
On Tuesday, domestic markets fell drastically and closed in red. The sentiments were weak as many other Asian and other European markets were also trading in red. The economic slowdown across the world has caused negative impact on the sentiments of investors. The FIIs are continuously pulling back their money. The Economic summit could not cheer the markets’ sentiments. Sensex and Nifty fell by 3.81% and 4.16% respectively. Teck, IT, Power and Bankex were the worst hit as they fell by 4.96%, 4.70%, 4.67% and 4.51% respectively. During the trading session we expect the market to be trading volatile.
The BSE Sensex closed lower by 353.81 points at 8,937.20 and NSE Nifty ended lower by 116.40 points at 2,683.15. The BSE Mid Caps and Small Caps closed with losses of 73.04 points at 3,060.32 and by 102.73 points at 3,558.66. The BSE Sensex touched intraday high of 9,169.05 and intraday low of 9,169.05.
On Tuesday, US markets closed in green. Hewlett-Packard announced that its preliminary fourth quarter earnings topped estimates and issued fiscal year 2009 earnings guidance was above expectations. The treasury also bought $ 33.6 billion in preferred stock from 21 banks. Ben Bernake stated that there are some signs of improvement in the Credit Markets. Crude oil futures for the December delivery rose by $56 cents to $54.39 a barrel on New York Mercantile Exchange. The crude oil prices fell on anticipations that the global economic meltdown would further curb the energy demand.
The Dow Jones Industrial Average (DJIA) closed higher by 151.17 points at 8424.75 NASDAQ index gained 1.22 points at 1,483.27 and the S&P 500 (SPX) also closed higher by 8.37 points to close at 859.12 points.
Indian ADRs ended negative. In technology sector, Infosys fell by (1.23%) and Wipro ended low by (2.91%) followed by Satyam that ended low by (4.37%) and Patni Computers closing low by (0.55%). In banking sector ICICI Bank was low by (3.26%), while HDFC Bank fell (2.33%). In telecommunication sector, Tata Communication declined by (0.53%), while MTNL declined by (4.15%). Sterlite Industries was low by (2.42%).
Today the major stock markets in Asia opened negative. The Shanghai Composite is trading high by 15.19 at 1,917.62. Hang Seng is low by 148.35 points at 12,767.54. Further Japan''s Nikkei is low by 148.28 points at 8,180.13. Straits Times is also trading low by 16.82 points at 1,675.73 and South Korea’s Seoul Composite is low by 39.51 points at 996.65.
The FIIs on Tuesday stood as net sellers in equity and net buyers in debt. The Gross equity purchased stood at Rs 1,586.50 Crore and gross debt purchased stood at Rs 714.70 Crore, while the gross equity sold stood at Rs 2,218.40 Crore and gross debt sold stood at Rs 176.90 Crore. Therefore, the net investment of equity and debt reported were (Rs 631.90) Crore and Rs 537.80 Crore respectively.
On Tuesday, the partially convertible rupee ended at 49.66/67 per dollar, weaker by 0.6% on Monday’s closing at 49.34/36. The fall in the share market and expectations of foreign money going out has led to depreciation in rupee. This year foreign funds have withdrawn $13.1 billion.
On BSE, total number of shares traded was 22.78 Crore and total turnover stood at Rs 3,031.86 Crore. On NSE, total volume of shares traded was 50.44 Crore and total turnover was Rs 8,330.23 Crore.
Top traded volumes on NSE Nifty – SAIL with total volume traded 26207709, followed by Unitech with 23471833, Suzlon Energy with 22470297, Reliance Petro with 10975453 and ICICI Bank with 10634806 shares.
On NSE Future and Options, total number of contracts traded in index futures was 1183511 with a total turnover for the same was Rs 14970.66 crores. Along with this total number of contracts traded in stock futures were 802230 with a total turnover of Rs 8509.13 Crore. Total numbers of contracts for index options were 1349464 and total turnover was Rs 19352.91 Crore and total numbers of contracts for stock options were 36312 and notional turnover was Rs 427.31 Crore.
Today, Nifty would have a support at 2,640 and resistance at 2,857 and BSE Sensex has support at 8,695 and resistance at 9,220.
Market may remain uncertain
Market may remain uncertain owing to lack of clarity and may witness sideways movement on the back of sharp intra-day volatility. Mixed fund inflows and global trend will be monitored for further direction. Among the local indices, the Nifty could test the 2730-2780 range on the upside while on the down side it could find support at 2650 and 2600. The Sensex is likey to get support at 8800 and may face resistance at 9050.
US indices ended positive on Tuesday with the Dow Jones advanced by 151 points to close at 8425, the Nasdaq also ended a point up at 1483.
Except Dr Reddy all the Indian ADRs posted losses on the US bourses. Rediff lost over 6.79%, while Satyam, MTNL, Dr Reddy, ICICI Bank and Tata Motors fell over 3-4% each. Infosys, Wipro, HDFC Bank, VSNL and Patni Computers ended with the marginal loss.
Crude oil prices moved down further, with the Nymex light crude oil for December series declining by 56 cents at $54.39 a barrel. In the commodity space, the Comex gold slipped by $9.30 to settle at $732.70 a troy ounce.
Trading Calls - Nov 19 2008
Nifty (2683) Sup 2600 Res 2765
Sell Wipro (230) SL 235
Target 220, 218
Sell Bharti (623) SL 629
Target 612, 608
Sell Reliance Capital (524) SL 531 Target 510, 506
Buy Suzlon (51) SL 48
Target 56, 58
Buy Rolta (188) 184
Target 196, 198
Daily News Roundup - Nov 19 2008
Farsi block of OVL, ONGC’s 100% subsidiary, has secured the feasibility nod from the Iranian government. (ET)
OVL wins two oil and gas blocks in Colombia. (ET)
Reliance Industries is looking to raise Rs50bn from LIC. (DNA)
ICICI Bank halves its target for loan growth to 15%. (DNA)
BHEL bags an order worth Rs13.25bn from Andhra Pradesh Power Generation Corporation. (ET)
DLF defers projects, reduces manpower as demand slumps. (ET)
Sobha Developers pledges 5.9% stake to Switzerland based Bank Sarasin. (ET)
Jindal Steel & Power not to cut production and to go ahead with capex plans. (ET)
Infosys and Wipro are evaluating SAP service providers, such as BearingPoint and IDS Scheer AG, for a potential acquisition. (ET)
TCS opens fourth global delivery centre in China. (ET)
L&T bags Rs7bn order for hydrogen generation units. (BL)
NMDC may cut local iron ore contract prices. (DNA)
NMDC seeks foreign partner for Bengal coal project. (BS)
Essar Oil has failed to complete financial closure of its refinery expansion project. (DNA)
United Spirits plans to introduce two more variants of whisky from the collection of Whyte and Mackey brands in the country. (ET)
Parsvnath forms JV with Spanish company to bid for infrastructure development projects. (ET)
Ess Dee Aluminium buys 90% stake in India Foils for Rs1.2bn. (ET)
Godrej group is scouting for acquisitions in emerging markets. (ET)
Panatloon Retail pulls out of Alpha Future Airport Retail JV. (BS)
SEBI settles insider trading case of Apollo Tyres on payment of consent fee of Rs10mn. (BS)
RPG Enterprises to invest Rs15bn in next 15 months in expanding its retail business across India. (FE)
Adani group signs pact to develop auto hub at Mundra port. (BL)
Educomp is looking to buy more pre-school chains next fiscal. (DNA)
Allcargo will renew its Rs3bn capital expenditure plan. (DNA)
Gati to increase tariffs by 5-10% by January. (DNA)
New rules for stock lending and borrowing will be in place within a month, says Sebi. (DNA)
Government has imposed an import duty of 5% on some iron and steel products and 20% on crude soyabean oil. (ET)
DGH not in favor of dual price policy for oil and gas producers in the country. (DNA)
FM asks India Inc to cut prices to spur demand. (ET)
Government is examining the possibility of notifying jet fuel as a ‘declared good’. (ET)
Allahabad HC refuses to pass any interim order staying the sugarcane SAP. (BS)
Government may cut fuel prices by December end. (BS)
Government to inject Rs500bn in infrastructure projects. (BS)
Doing nothing may help!
In the end, we decide if we're remembered for what happened to us or for what we did with it.
Usually in life there is so much to do and so little time. But for those in the markets there is hardly anything to do and of course there is all the time in the world. In fact Indian investors have to be more glued or clued on the global market openings and closings. After five consecutive days of seeing red, the bulls may finally get to see some green on trading screens today thanks to a late spurt in US shares, particularly the blue chips, though technology stocks ended nearly unchanged.
The key Indian stock indices have been battered in the past five sessions. So, some sort of a bounce is not ruled out. The cut in import duty on iron, steel and soya oil, coupled with the Government's promise to do more may also perk up the mood. However, one must bear in mind that such measures announced in the recent past have failed to bring much cheer. Even the improvement in inflation and IIP numbers last week didn't stop the bloodbath, nor have the latest RBI steps. What could also check any meaningful rise today is that Asian markets are trading in the red, barring China (which had plunged yesterday). What we need is a substantial improvement in sentiment across global equity markets. And, for that to happen, the flow of bad news from around the globe has to stop.
We expect the Indian market to open on a cautious to flat note today. They could see accelerated gains later if Asian stocks turn around, and Europe opens higher. Use any bounce to lock in some gains, i.e. if one has made any. In any case, it will take some time for investor confidence to return. Markets need to consolidate for a while before they can move up in any significant manner on a sustained basis. Investors are holding back on fear that October lows could be breached. Excessive fear can drag markets down further. Earnings will be a key factor in bringing investors back into the market. Though valuations are attractive, one should not rush in. Wait, we repeat wait and watch before committing fresh money.
Maruti may attract some attention as it is to launch its latest compact car, the A-Star. Sugar stocks may also hog the limelight, as the Allahabad High Court continues its hearing in the UP sugar mill case. The court yesterday refused to pass any interim order, staying the sugarcane SAP set by the UP government. Also watch out for Ess Dee Aluminium, which has received BIFR clearance to acquire India Foils from Vedanta group. Airlines might gain on reports that the Government is likely to classify ATF as 'declared goods'. This will bring down sales tax on jet fuel, from over 20% at present to 4% across India.
FIIs were net sellers at Rs4.41bn (provisional) in the cash segment on Tuesday while the local institutions pumped in Rs4.58bn. Foreign funds were net sellers of Rs6.32bn, taking it's total outflows in the year 2008 to US$12.95bn.
Foreign funds have sold a net US$13bn worth of Indian stocks in 2008 after buying a record US$17.4bn in 2007.
US stocks rose on Tuesday, spurred by a late buying binge in blue chip stocks, after PC maker Hewlett-Packard and home improvement retailer Home Depot came out with encouraging results.
The main Wall Street indices had slid to within few points of 2003 lows earlier on a report that showed that the confidence among homebuilders dropped to the lowest level on record.
US stocks seesawed throughout the day, spiking after officials said the US$700bn bailout is working, then slumping again after the housing market report. The swings are also reflective of the volatility that has increased recently.
After shifting between positive and negative territories, US stocks staged another last-minute push, with the Dow Jones Industrial Average rising 151.17 points, or 1.8%, to 8,424.75. The S&P 500 index added 1% to 859.12, the first advance in three days. The Nasdaq Composite Index finished almost flat at 1,483.27.
Market breadth was negative. About six stocks retreated for every five that advanced on the New York Stock Exchange.
Energy and consumer staples fronted sector gains among the S&P's 10 industry groups, while financials and consumer discretionary shares led the declines.
HP shares jumped 14% as earnings topped analysts' estimates, while Exxon Mobil climbed more than 4%. Shares of Home Depot gained 3.6% after it reported a shallower-than-forecast 31% profit fall for the third quarter.
The advance in equities accelerated near the close as investors tracking the S&P 500 Index bought shares to replace Anheuser-Busch Cos., which was removed from the index following its takeover by InBev.
The S&P 500 erased a drop of as much as 2.8% in the final hour of the trading session, as fund managers prepared for the replacement of Anheuser-Busch by Stericycle.
The S&P 500 earlier slid below its lowest closing level since 2003 after the National Association of Home Builders/Wells Fargo index of builder confidence decreased to a worse-than- forecast reading of 9, the lowest level since record-keeping began in 1985.
The benchmark index for US equities is down more than 41% in 2008, poised for its worst year since 1931.
GM shares fell 2.8% as its chief executive, along with those of Ford and Chrysler pressed their case for government assistance in a Senate hearing. Citigroup weighed most heavily on the Dow, sliding 6%.
Treasury Secretary Henry Paulson and Federal Deposit Insurance Corp. chairwoman Sheila Blair clashed over whether to use some of the US$700bn package to aid Americans facing foreclosure on their homes.
A separate report showed that inflationary pressures remain moderate.. The Labor Department reported that US producer prices declined a record 2.8% in October, the most since 1947, as gasoline prices plummeted. But prices excluding food and energy, the so-called "core" reading, rose more than expected.
Wednesday's economic news includes reports on consumer prices, building permits and housing starts and the minutes from the last Federal Reserve policy meeting.
Yahoo shares climbed 8.7% after the company said CEO Jerry Yang would step aside, six months after merger talks broke down between Microsoft and the Internet tech giant.
Corning withdrew its previous forecast for the fourth quarter and 2009, saying it now expects fourth-quarter sales to be below management's prior range. Corning's shares fell 6.9%.
Pepsi Bottling Group announced job cuts and warned on profits, with shares of the beverage maker and distributor slipping 3.6%.
In currency markets, the dollar gained versus the euro and the yen.
In commodities, COMEX gold for December delivery fell US$9.30 to settle at US$732.70 an ounce.
US light crude oil for December delivery fell 56 cents to settle at US$54.39 a barrel on the New York Mercantile Exchange, the lowest close since January 2007.
Gasoline prices dipped another 1.9 cents to a national average of US$2.068 a gallon. The decline marks the 62nd consecutive day that prices have decreased. During that time, prices dropped by US$1.78 a gallon, or 46.3%.
Treasury prices gained, lowering the yield on the benchmark 10-year note to 3.52% from 3.65% late on Monday.
The yield on the 3-month Treasury bill, seen as the safest place to put money in the short term, rose to 0.11% from 0.08% on Monday, with investors preferring to take a piddling return on their money than risk the stock market. In September, the 3-month yield reached a 68-year low around 0% as investor panic peaked.
Borrowing rates were little changed from the previous day, with the credit market continuing to stall after a month long improvement. The 3-month Libor rate fell to 2.22% from 2.4% on Monday, while overnight Libor was unchanged at 0.4%. Libor is a key bank lending rate.
European shares ended higher on Tuesday, led by oil producers. After briefly hitting three-week lows, the pan-European Dow Jones Stoxx 600 index rose 0.8% to 201.91. Germany's DAX 30 index rose 0.5% to 4,579.47, while the French CAC-40 index gained 1.1% to 3,217.40 and the UK's FTSE 100 index jumped 1.9% to 4,208.55.
Indian stocks continued their downward journey on Tuesday, tracking a relentless rout in world equities, as Citigroup's announcement of massive job cuts and grim economic data heightened concerns over the health of the global economy.
The market continued to be highly volatile, as the key stock indices turned weaker again after twice failing to rebound - once in the morning and second time in the afternoon. European markets sank after a quiet opening and Asian indices slumped.
Earlier, the BSE Sensex had fallen below 9,000 and the NSE Nifty slipped under 2,700, as global investors continued to shun risky assets like equity in favour of safe havens like bonds amid growing concerns over corporate profits in a worsening global economic climate.
The BSE Sensex closed at 8,937.20, down 353 points or 3.8% over the previous close. It had earlier hit a low of 8,871 and a low of 9,169. The BSE Small-Cap and Mid-Cap indices were down 2.8% and 2.3%, respectively. The Sensex is down 15% in the last five sessions and has lost over 50% in 2008.
On the other hand, the NSE Nifty was down almost 4.2% to 2,683 after being as low as 2,664 and as high as 2,802.
IT (4.7%), Power (4.7%), Banking (4.5%), Metals (4.4%), Real Estate (3.6%), Capital Goods (3.5%) and Auto (2.9%) were the top losers among BSE sectoral indices. FMCG, Consumer Durable, Pharma and Oil & Gas fell 1-2%.
Within the Sensex, the top losers were Wipro (8.8%), NTPC (7.9%), ACC (7.2%), TCS (7%), ICICI Bank (6.8%), Maruti (6.7%), Bharti Airtel (6.3%), Jaiprakash Associates (6.2%), M&M (5.8%), Tata Power (5.75%), HDFC (5.3%) and SBI (5.1%).
ONGC, RCOM, Grasim, Infosys, Sterlite, Satyam Computer, L&T and Hindalco were down 3-5%. Ranbaxy managed to buck the trend, as it closed just in the green.
Outside the main indices, the prominent losers included NALCO, Max India, Sintex, Sun TV, Kotak Bank, Jai Corp, Jindal Saw, Moser Baer, Karnataka Bank, Great Offshore, Idea, LIC Housing, Amtek Auto, Unitech, Indian Overseas Bank, NIIT and HCL Tech.
EIH (18%), Rolta, IVRCL Infra, Nestle India, India Cement, Balarampur Chini, Mphasis, GSK Pharma, HPCL, Lanco Infra, TV 18 and Apollo Hospitals were among the notable gainers in the market today.
The market breadth was negative on the BSE, as 1,831 shares declined and 661 shares advanced. Total turnover in the BSE cash segment was Rs30.32bn versus Monday's Rs32.3bn. Total turnover in the NSE cash segment was Rs83.3bn as against yesterday's Rs89.02bn.
Traded volume on BSE stood at 227.8mn shares while on NSE the same was 504.39mn shares.
Finance Minister P. Chidambaram's reassured that the Indian economy will bounce back next year after this year's drop. He, however, added that the global recession will be longer and painful for all. He is scheduled to address the media later this evening.
India's economy will bounce back next year as the Government takes steps to stimulate domestic demand, Chidambaram said today.
"There will be a slowdown in India and steps taken and those that will be taken, to a large extent, will compensate the factors causing the slowdown," he said at the India Economic Summit in New Delhi. "We are confident we'll end this year with satisfactory growth rate."
Chidambaram said that the Government would take steps to stimulate the economy and the rupee would strengthen again once capital starts flowing in. "We will take steps to stimulate the domestic economy to compensate for the downside caused by the downturn in the world economy," he said.
He added that India could miss its annual export target of US$200bn for this fiscal year as the slowdown in developed nations trims overseas demand.
JP Morgan on Monday cut its Indian growth forecast for 2008-09 to 6.7% from 7% and for 2009-10 to 6.2% from 6.8%, and saw aggressive rate cuts by the Reserve Bank of India (RBI) to support growth momentum.
Citigroup too has lowered India's economic growth rate projection to 6.8% from 7.2% for this fiscal year due to slowdown in consumption and investment.
Sentiment continued to get hit by almost relentless sell-off in global markets. US stocks fell overnight after Citigroup announced that it will cut more than 50,000 jobs to cut costs. Asian stocks too extended their fall amid mounting worries over the global economic gloom.
HSBC said yesterday that it was laying off an additional 500 staff in Asia after announcing 1,100 job cuts in September. Separately, London's Daily Telegraph reported over the weekend that JP Morgan Chase is planning thousands of job cuts worldwide, citing people close to the matter.
Asia-Pacific stocks outside of Japan fell 1.85%, bringing year-to-date losses to around 58%, according to an MSCI index. Asia's losses have outpaced the all-country world index, which is down 47.5% in 2008.
Meanwhile, the rupee weakened further today, as expectations of further selling by FIIs hurt sentiment. At around 4:30 p.m., the partially convertible rupee was at 49.65/66 per dollar as against Monday's close of 49.34/35. It had touched a lifetime low of 50.29 on Oct. 27.
Foreign funds have sold a net US$13bn worth of Indian stocks in 2008 after buying a record US$17.4bn in 2007.
BSE Bulk Deals to Watch - Nov 18 2008
Deal Date Scrip Code Company Client Name Deal Type * Quantity Price **
18/11/2008 533029 ALKALI OPG SECURITIES P LTD B 214716 176.92
18/11/2008 533029 ALKALI MANSUKH STOCK BROKERS LTD B 90068 172.19
18/11/2008 533029 ALKALI OPG SECURITIES P LTD S 214716 177.01
18/11/2008 533029 ALKALI MANSUKH STOCK BROKERS LTD S 90068 172.13
18/11/2008 532910 ANIL PRODUCT ANJALI CHAWLA B 100000 56.50
18/11/2008 532910 ANIL PRODUCT KABUL CHAWLA S 100000 56.50
18/11/2008 532855 HARYA CAPFIN SAVITA JINDAL B 35000 22.26
18/11/2008 530955 KAILASH FICO MANDVI DYES AND CHEMICALS PVT B 200000 22.13
18/11/2008 522259 KALIN RAIL N L AND T CAPITAL COMPANY LIMITED B 401111 129.99
18/11/2008 522259 KALIN RAIL N SUNDARAM MUTUAL FUND S 162998 130.00
18/11/2008 522259 KALIN RAIL N DSP MERILL LYNCH TR CO P LTD S 200000 130.00
18/11/2008 531602 KOFF BR PICT LAXMICAP BROKING PVT LTD B 27600 26.31
18/11/2008 531602 KOFF BR PICT MONEYER INVESTMENTS VASANT MEGHJI CHHEDA HUF S 25000 26.00
18/11/2008 511728 KZLEASING ANJALI YOGESH PANDYA B 18600 20.90
18/11/2008 511728 KZLEASING ANJALI YOGESH PANDYA S 18260 20.90
18/11/2008 500368 RUCHI SOYA SWISS FINANCE CORPORATION MAURITIUS LIMITED B 3952130 26.75
18/11/2008 531898 SANGUINE MD KHAITAN WEAVING MILLS LTD S 167760 7.84
NSE Bulk Deals to Watch - Nov 18 2008
Date,Symbol,Security Name,Client Name,Buy/Sell,Quantity Traded,Trade Price / Wght. Avg. Price,Remarks
18-NOV-2008,ALKALI,Alkali Metals Limited,MANSUKH SECURITIES & FINANCE LTD,BUY,108496,173.87,-
18-NOV-2008,ALKALI,Alkali Metals Limited,MBL & COMPANY LTD.,BUY,85562,174.44,-
18-NOV-2008,CEATLTD,CEAT Limited,RPG CELLULAR INVESTMENTS & HOL.P.LTD,BUY,1330000,36.00,-
18-NOV-2008,KALINDEE,Kalindee Rail Nirman (Eng,L&T CAPITAL COMPANY LIMITED,BUY,534397,116.04,-
18-NOV-2008,VINCARDS,Vintage Cards & Creations,SMK SHARES AND STOCK BROKING PVT. LTD.,BUY,3206,17.37,-
18-NOV-2008,ALKALI,Alkali Metals Limited,MANSUKH SECURITIES & FINANCE LTD,SELL,108496,174.23,-
18-NOV-2008,ALKALI,Alkali Metals Limited,MBL & COMPANY LTD.,SELL,85562,175.22,-
18-NOV-2008,CEATLTD,CEAT Limited,MERRILL LYNCH CAPITAL MARKETS ESPANA S.A. SVB,SELL,378640,36.00,-
18-NOV-2008,KALINDEE,Kalindee Rail Nirman (Eng,AMIF I LTD FCCB,SELL,497352,115.00,-
18-NOV-2008,VINCARDS,Vintage Cards & Creations,SMK SHARES AND STOCK BROKING PVT. LTD.,SELL,1,17.10,-
18-NOV-2008,VINCARDS,Vintage Cards & Creations,SUDHIR JINDAL,SELL,3440,17.36,-
Post Market Commentary - Nov 18 2008
The domestic market continued its losing trend for the fifth consecutive session on the back of weakening economic concerns as well as fall in global equity markets. The domestic market opened with a deep cut and kept on hovering in the negative territory throughout the trading session. The investors took cautious approach before booking further positions. Though encouraging statement from the finance minister failed to give a boost to the market. The finance Minister said that the government will take steps to stimulate the domestic economy to compensate for the downside caused by the downturn in the world economy. From the sectoral front, the IT, Power, Bankex, PSU and Metal index were in the firing line as most selling was witnessed from these baskets. The market breadth was weak as 1831 stocks closed in red while 661 stocks closed in green.
The Finance Minister said the government may consider cutting excise duty on some items as a part of efforts to boost factory output. He said the government may consider cutting excise duty on some items as a part of efforts to boost factory output. He, however, added that the country could miss its annual export target of $200 billion for this fiscal year as the slowdown in developed nations trims overseas demand.
The Reserve Bank Of India governor Duvvuri Subbarao said, "We are constantly monitoring the situation. We will take appropriate action at the appropriate time”.
Among the Sensex pack 23 stocks ended in red territory while 7 stock ended in green territory. The market breadth was negative as 1594 stocks closed in green while 924 stocks closed in red and 74 stocks remained unchanged.
The BSE Sensex closed lower by 353.81 points at 8,937.20 and NSE Nifty ended down by 116.4 points at 2,683.15. The BSE Mid Caps closed with losses of 73.04 points at 3,060.32 and Small Cap ended down by 102.73 points at 3,558.66. The BSE Sensex touched intraday high of 9,169.05 and intraday low of 8,871.71.
Losers from the BSE Sensex pack are Wipro down by (8.77%) along with NTPC 7.88%, ACC Ltd 7.17%, TCS 6.96%, ICICI bank 6.79%, Maruti Suzuki 6.74% and Bharti Airtel 6.32%.
The BSE IT index dropped by (4.70%) or 120.73 points to close at 2,447.76. Losers are Wipro 8.77%, Mosear Baer 8.58%, NIIT Ltd 7.56%, HCL Tech 7.45%, Finance Tech 7.09%, TCS 6.96%.
The Power index ended down by (4.67%) or 77.07 points at 1,571.98 as NTPC 7.88%, Suzlon Energy 7.08%, Crompton Greaves 6.61%, ABB 5.77%, Tata Power 5.75%, Reliance Power 5.28% and Power Grid 5.09% closed in negative territory.
The BSE Bankex index ended lower by (4.51%) or 223.56 points at 4,732.48. Major losers are Kotak bank 9.95%, Karnataka bank 8.23%, Indus Ind Bank 7.83%, IOB 7.61%, ICICI Bank 6.79%, SBI 5.12% and Yes bank 5.06%.
The BSE Consumer Durables index lost (3.12%) or 62.51 points to close at 1,940.40. Major losers are Gitanjali GE (8.53%), Videocon Ind (3.59%), Videocon Ind (3.42%), Reliance (7.37%) and Blue Star L (0.54%).
The BSE Metal index lost (4.38%) or 206.82 points to close at 4,516.28. Losers are Nalco 13.41%, Jai Corp 9.78%, Jindal Saw 9.27%, Jindal Steel 6.61%, NMDC 6.51% and Hind Zinc 5.25%.
The BSE Realty index ended lower by (3.60%) or 68.64 points at 1,838.87 as Unitech 7.72%, Ansal Infra 7.17%, Parsvnath 4.88%, Omaxe 4.77%, Orbitco 4.57% and HDIL 3.70%.
Crude continues to drop
Prices touch a new two year low during intra day trading
Global economic worries and anticipation about lower energy demand in coming months took crude prices lower on Tuesday, 18 November, 2008. Crude prices also fell as traders speculated that tomorrow's weekly inventory report by the energy department will show build up in crude inventories for another straight week taking it to the third week in a row.
On Tuesday, crude-oil futures for light sweet crude for December delivery closed at $54.39/barrel (lower by $0.56 or 1%) on the New York Mercantile Exchange. It touched a low of $54.2 during intra day trading. Prices reached a high of $147 on 11 July but have dropped almost 63% since then. Last week, prices fell by 6.6%. On a yearly basis, crude price is lower by 45.7%. For this year in 2008, crude prices have dropped 49.2%.
Brent crude oil for January settlement declined 47 cents (0.9%) to $51.84 a barrel on London's ICE Futures Europe exchange
For the month of October, 2008, crude prices ended lower by 32.6%, the biggest monthly drop since 1983.
Among economic reports for the day, the Labor Department reported today that US. producer prices fell a record 2.8% in October, the most since 1947, as gasoline prices plummeted a record 24.9%. Overall finished energy goods prices fell 12.8%, the most since 1986, while food prices declined 0.2%. Excluding food and energy, core producer prices rose 0.4% in October.
In its latest monthly report yesterday, OPEC, reduced its forecast for average oil consumption next year by 530,000 barrels a day, or 0.6% to 86.68 million barrels a day. It revised lower its 2008 view by 260,000 barrels a day to show minor growth of 280,000 barrels a day. In 2009, it expects world oil demand to rise by more than 500,000 barrels a day, which is a downward revision of around 200,000 barrels.
OPEC officials decided last month at its meeting at Vienna that OPEC will pare production by 1.5 million barrels a day w.e.f 1 November, 2008. The official production quota is currently 28.8 million barrels, and it decided to cut by 1.5 million in November. After that, Organization of the Petroleum Exporting Countries has pledged to cut production even deeper if prices are not in the $70-$90 range in its 1st December meeting.
For the third quarter of the year crude prices ended lower by 28%. This was the biggest quarterly drop since 1991. Before that, crude prices had gained 38% in the second quarter of this year. It was the biggest quarterly increase in nine years. For the month of September, prices registered drop of 13%.
Against this background, December reformulated gasoline closed down 3.8 cents at $1.1386 a gallon and December heating oil fell by 3.3 cents to end at $1.7579 a gallon.
December natural-gas futures edged lower by 1.7 cents to finish at $6.516 per million British thermal units.
At the MCX, crude oil for November delivery closed at Rs 2,800/barrel, lower by Rs 78 (2.7%) against previous day's close. Natural gas for November delivery closed at Rs 326.4/mmbtu, higher by Rs 6.7/mmbtu (2.09%).
The energy department is scheduled to release its weekly report on crude and crude product inventories tomorrow, 19 November at 11 a.m. in Washington.
Bullion metals end mixed
Gold ends lower for second consecutive day on economic worries
Bullion metals ended lower for second straight day Tuesday, 18 November, 2008. Prices fell as the dollar remained steady and overall global economic worries reduced the appeal of the precious metal as an alternative investment. But silver prices gained.
On Tuesday, Comex Gold for December delivery fell $9.3 (1.3%) to close at $732.7 an ounce on the New York Mercantile Exchange. Prices earlier fell to a low of $729.6 yesterday. On 17 March, 2008 prices had skyrocketed to a high of $1,034/ounce. But prices have dropped significantly (29.3%) since then. Last week, gold prices ended higher by 1.1%. For the month of October, gold had ended lower by 18%. It was the biggest percentage loss for gold since February, 1983.
This year, gold prices have lost 12.3% till date. Futures have averaged $882 in 2008. The dollar index has gained 15% this year. For the third quarter ended September, 2008, gold prices ended lower by 5.1%. It was the first quarterly loss for the yellow metal since the second quarter in FY 2007. Prior to that, the yellow metal ended second quarter with a marginal gain of 0.7%. For first quarter prices gained 10.7%.
On Tuesday, Comex silver futures for December delivery rose 22 cents (2.4%) to $9.55 an ounce. Last week, silver lost 4.7%. For the month of October, silver had slipped by 20%. Till date, silver has lost 36% this year. Silver had ended month and quarter of September 2008 with a loss of 10%. For the second quarter, it had gained a paltry 1.4%. Silver had gained 16% in Q1. The metal also had gained for seven straight years.
Among economic reports for the day, the Labor Department reported today that US. producer prices fell a record 2.8% in October, the most since 1947, as gasoline prices plummeted a record 24.9%. Overall finished energy goods prices fell 12.8%, the most since 1986, while food prices declined 0.2%. Excluding food and energy, core producer prices rose 0.4% in October.
Generally, a stronger dollar pressures demand for dollar-denominated commodities, such as crude oil and gold, which become more expensive for holders of other currencies. Losses in equity markets had also forced traders to sell gold. Since past couple of weeks, precious metals, mainly gold, had dropped as traders tried to gain back some of the money that had lost in other markets.
At the currency market on Tuesday, the dollar remained relatively steady.
Earlier this year, the weakening dollar and higher global demand for raw materials had led to records this year for commodities including gold. Gold reached a record in March as a U.S. housing slump and credit crisis spurred the Federal Reserve to slash borrowing costs. In the latest move, the Federal Reserve has cuts its target bank lending rate to 1% from 5.25% in September, 2007. The Fed did it in eight steps.
Gold had witnessed the greatest annual gain in twenty eight years by gaining $200/ounce (31%) in FY 2007 as lower interest rates had sent the dollar tumbling, and crude-oil prices rose to a record. Silver had climbed 16% in FY 2007. In 2006, silver had jumped 46% while gold gained 23%.
At the MCX, gold prices for December delivery closed lower by Rs 33 (0.3%) at Rs 11,838 per 10 grams. Prices rose to a high of Rs 11,910 per 10 grams and fell to a low of Rs 11,807 per 10 grams during the day's trading.
At the MCX, silver prices for December delivery closed Rs 58 (0.35%) higher at Rs 16,540/Kg. Prices opened at Rs 16,280/kg and rose to a high of Rs 16,540/Kg during the day's trading.
Sensex tanks 15% in five trading sessions on domestic, global economic worries
Bears ruled the roost on the boures as worries about a weakening domestic and world economy, political uncertainty due to ongoing state elections, a setback in Asian stocks, fall in US index futures and weak European shares, pulled the domestic bourses lower for the fifth day in a row. The BSE 30-share Sensex lost 353.81 points, or 3.81%. The barometer index fell below the psychological 9,000 mark. World stocks fell on prospects of a deep global recession.
Volatility was at the high, with the Sensex swinging 324.34 points, between the day's high and low. Finance Minister P Chidambaram's statement that the government will take steps to stimulate the economy provided only a temporary respite as a recovery from lower level in early trade from an initial slump following his comments, was short-lived with the Sensex tumbling 419.30 points in early afternoon trade.
Chidambaram today said the government will take steps to stimulate the domestic economy to compensate for the downside caused by the downturn in the world economy. He said the government may consider cutting excise duty on some items as a part of efforts to boost factory output. He, however, added that the country could miss its annual export target of $200 billion for this fiscal year as the slowdown in developed nations trims overseas demand.
The Reserve Bank of India is monitoring the economic situation and will take action at the right time, its governor, D Subbarao, said today after meeting Chidambaram and senior finance ministry officials.
India's economy is slowing down after growing at an annual rate of 9% or more in the past three years. The economic growth slumped to 7.9% in the April-June 2008 quarter from 9.2% in the same period last year. The Reserve Bank of India has downgraded its growth forecast to 7.5% to 8% for the current financial year. Some private sector economists expect an even lower rate of growth.
Political uncertainty is weighing on the bourses as assembly elections in five states have just begun. These polls are widely seen as a test of the popularity of the country's main political parties viz. the Congress and the BJP, ahead of national elections in the first half of calendar year 2009. The results of these five states are expected on 8 December 2008.
Japan's recession could last even longer than feared, the country's economy minister warned today, 18 November 2008. Japan slid into its first recession in seven years in the third quarter as the financial crisis curbed demand for Japanese exports, data on Monday, 17 November 2008 showed.
Citigroup Inc, the No. 2 US bank, on Monday said it would cut 15% of its global workforce or 52,000 jobs, far more than had been expected.
Trading in the US futures suggested Dow could slide 146 points at the opening bell. European shares extended losses on Tuesday, 18 November 2008, after concerns over the extent of a recession in major economies weighed on banks and commodity stocks. Key benchmark indices in France, Germany and UK were down by between 1.48% to 2.37%.
A sharp setback was witnessed in shares in China and Hong Kong. The Shanghai Composite index was down 6.31%, dragged down by the property sector. Hang Seng was down 4.54%, with shares of commodity-related companies suffering double-digit losses. Key benchmark indices in South Korea, Japan, Singapore, Taiwan were down by between 2.28% to 3.91%.
The BSE 30-share Sensex was down 353.81 points, or 3.81%, to 8,937.20. The Sensex fell 419.30 points at the day's low of 8,871.71 in early afternoon trade. At the day's high of 9,169.05 hit in mid-morning trade, the Sensex fell 94.96 points.
The S&P CNX Nifty fell 116.40 points, or 4.16%, to 2,683.15.
The BSE clocked a turnover of Rs 3,022 crore today as compared to a turnover of Rs 3,230.17 crore on 17 November 2008.
Fears of a global recession, slowdown in the domestic economy and selling by foreign funds have pulled the Sensex down 1,598.96 points or 15.17% in the last five trading sessions from 10,536.16 on 10 November 2008. The barometer index is down 11,349.79 points or 55.94% in the calendar year 2008 so far from its close of 20,286.99 on 31 December 2007. It is 12,269.57 points or 57.85% below its all-time high of 21,206.77 struck on 10 January 2008.
Nifty November 2008 futures were near spot price at 2684, compared to the spot closing of 2683.15. Turnover in NSE's futures & options (F&O) segment surged to Rs 43,260.01 crore from Rs 41,086.89 crore on Monday, 17 November 2008.
The market breadth, indicating the overall health of the market, was weak. On BSE, 661 shares rose as compared with 1,831 that declined. 75 shares remained unchanged.
The BSE Mid-Cap index slipped 2.33% to 3,060.32 and the BSE Small-Cap index dipped 2.81% to 3,558.66. Nevertheless, both the indices outperformed the Sensex.
The BSE Teck index (down 4.96% to 1,934.79), the BSE IT index (down 4.7% to 2,447.76), the BSE Power index (down 4.67% to 1,571.98), the BSE Bankex (down 4.51% to 4,732.48), the BSE PSU index (down 4.42% to 4,532.08), the BSE Metal index (down 4.38% to 4,516.28) underperformed the Sensex.
The BSE Oil & Gas index (down 1.53% to 5,572.02), the BSE HealthCare index (down 1.55% to 2,831.60), the BSE Consumer Durables index (down 1.56% to 1,847.79), the BSE FMCG index (down 1.73% to 1,838.08), the BSE Auto index (down 2.28% to 2,336.50), the BSE Capital Goods index (down 3.52% to 6,626.50), the BSE Realty index (down 3.6% to 1,838.87), outperformed the Sensex.
Reliance Industries (RIL), India's largest private sector company by market capitalization and oil refiner, recovered from the day's low of Rs 1,092.50, falling 0.17% to Rs 1,140.70, on bargain hunting after a recent steep-slide. It was the lone gainer from the Sensex pack. From a recent high of Rs 1,303.05 on 10 November 2008, the stock fell 12.3% to Rs 1,142.65 on 17 November 2008.
Jaiprakash Associates (down 6.22% to Rs 67.90), Bharti Airtel (down 6.32% to Rs 623) and Tata Power Company (down 5.75% to Rs 682.70) were the major losers from the Sensex pack.
NTPC, India's biggest power generation firm by revenue, led 4.67% fall in BSE Power index. The stock lost 7.88%. Tata Power Company, Reliance Infrastructure, Reliance Power and Power Grid Corporation of India slipped by between 1.97% to 7.08%.
Metal stocks declined on worries global economic slowdown would hit demand. Hindalco Industries, Sterlite Industries, Tata Steel, Steel Authority of India, National aluminum Company fell by between 0.93% to 13.41%.
Tata Metaliks declined 4.87% after the company said it will shut one of its furnaces for repair work that will last three weeks.
IT stocks were down as fall in ADRs offset a weaker rupee. India's fourth largest IT exporter by sales Wipro lost 8.77% as ADR slipped 2.69%. India's second largest IT exporter by sales Infosys slipped 4.21%, as ADR fell 1.17%. India's third largest IT exporter by sales Satyam Computer Services fell 3.85% as ADR fell 0.91% on Monday, 17 November 2008. India's largest IT exporter by sales Tata Consultancy Services was fell 6.96%.
The Indian rupee was lower in afternoon trade on Tuesday as a further slide in the local share market continued to fuel expectations of further capital outflows. The partially convertible rupee was at 49.72/75 per dollar, off the day's low of 49.80 but still well below Monday's close of 49.34/36. Weak rupee augurs well for the sector as IT firms earn most of their revenues from US in dollar terms.
Realty stocks fell on reports India's top listed realty firm, DLF, has deferred some residential, commercial and hotel projects due to lower demand and a liquidity crunch. DLF, Unitech, Indiabulls Real Estate, Housing Development & Infrastructure, and Omaxe were down by 2.72% to 7.72%.
The Reserve Bank of India (RBI) had on Saturday (15 November 2008) announced fresh steps to free up liquidity for the troubled realty sector.
Auto stocks declined on worsening global economic outlook and declining domestic demand due to high interest rates and fuel prices. Maruti Suzuki India, Mahindra & Mahindra fell by between 1.25% to 6.74%. and Tata Motors rose by between 0.85% to 1.57%. But, India's largest motorbike maker by sales, Hero Honda Motors rose 0.06%.
Automotive Axles tumbled 10.36% on its decision to shut down manufacturing operations for at least a week in November-December 2008.
Banking stocks extended Monday's losses on reports ICICI Bank, India's India's largest private sector bank by net profit, has halved its target for growth in lending to 15% in a slowing economy. ICICI Bank fell 6.79%. India's second largest private sector bank by net profit HDFC Bank fell 1.77%. Its American depository receipt (ADR) slumped 1.62% on Monday. India's largest commercial bank State Bank of India (SBI) lost 5.12%.
Cement stocks slipped as slowdown in economy would result in fall in demand. ACC, Grasim Industries, Ultratech Cement, Birla Corporation, Ambuja Cements fell between 0.26% to 7.17%.
Swiss cement giant Holcim, which has stakes in Indian cement makers ACC and Ambuja Cements, may reportedly review the current capacity expansion projects in India amid a global slowdown and poor pricing situation.
Capital goods stocks declined on worries a slowing economy will crimp orders. Larsen & Toubro & Suzlon Energy slipped by between 3.41% to 7.08%. India's largest electric equipment maker by sales Bharat Heavy Electricals lost 2.06%, even as company today said it has received a contract worth Rs 1,325 crore ($265 million) for the supply of the plant package for a power project in Andhra Pradesh.
Sugar stocks slipped on reports the government and industry are at loggerheads over estimates of sugar production in the new season that began in October 2008, trend in prices and growth in exports. Bajaj Hindustan, Dhampur Sugar and Shree Renuka Sugars fell by between 0.32% to 2.46%.
Meanwhile, sugarcane farmers are up in arms against mills for the refusal to pay the state administered prices to them.
Indian largest oil exploration firm by revenues Oil & Natural Gas Corp slipped 4.64% as falling crude oil prices offset news of its wholly owned unit ONGC Videsh bagging two exploration blocks in Colombia.
US crude for December 2008 lost $2.09 at $54.95 on Monday, 17 November 2008, the lowest settlement since late January 2007 as worries about the economic outlook in the United States and Japan stoked concerns about global fuel demand.
Binani Industries tumbled 18.87% after the company cancelled a proposed share swap with two group companies.
Kalindee Rail Nirman Engineers galloped 20% after a block deal of 4.97 lakh shares, or 4.43% of the equity, was struck at Rs 115 on NSE.
Hardcastle & Waud Manufacturing Company was locked at 5% lower limit at Rs 210.65 at 13:02 IST on BSE, on closing down synthetic resins operations due to lack of orders.
Everest Kanto Cylinder rose 2.5%, after the company said it has deferred a buyback plan.
Pantaloon Retail India declined 2.99% on divesting its stake in an equal joint venture with British airport retailer Alpha Group Plc.
GVK Power & Infrastructure clocked the highest volume of 1.61 crore shares on BSE. Suzlon Energy (1.03 crore shares), Unitech (72.12 lakh shares), Steel Authority of India (66.22 lakh shares) and Reliance Natural Resources (63.49 lakh shares) were the other volume toppers in that order.
Reliance Industries clocked the highest turnover of Rs 345.98 crore on BSE. Reliance Capital (Rs 137.56 crore), State Bank of India (Rs 133.18 crore), ICICI Bank (Rs 120.23 crore) and Reliance Infrastructure (Rs 117.68 crore) were the other turnover toppers in that order.
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