Market Review - Sep 15 2009

Market Review - Sep 15 2009

Market near 4900

On a good start, the market capitalised on strong sentiments to trade higher all the day for an excellent finish. The session was market with glitches and snags only to see buying emerge at lower levels. Buying across the sectors especially realty and metal scrips saw Sensex close 240 points higher at 16454 and Nifty while the Nifty 83 points up at 4892.

Advancing shares outnumbered the declining by almost 2:1. All the 13 sectoral indices on the BSE were up. BSE Realty and BSE Metal topped the chart moving 3.91% and 3.74% respectively up. Rest of the 10 sectoral indices were up in the range of 0.5-3%.

Most of the heavyweights had a good outing. Copper major Sterlite Industries gained 3.34% to quote at Rs743.50, India’s largest aluminium maker Hindalco Industries moved up 3.30% to Rs125.10 and , conglomerate Grasim Industries increased 0.59% to Rs2,612.35. ADAG’s , Reliance Communications was up by 2.80% to Rs300.65, Realty company DLF gained 5.20% to Rs412.40, India’s largest engineering and construction company Larsen & Toubro added 1.35% to trade at Rs1,629.40 and private sector lender ICICI Bank gained 2.03% to Rs842.30. World’s sixth largest steel company, Tata Steel advanced 2.54 to Rs491.25, India’s largest truck maker Tata Motors added 1.33% at Rs569.25, the largest public sector bank State Bank of India gained 2.71% to trade at Rs2,009.25 and FMCG major Hindustan Unilever lost 0.31% to Rs259.30. ITC, ACC, HDFC, Infosys Technologies all showed upward movement. Among select losers, National flagship oil company ONGC declined 0.93% to Rs1,150.70 and telecom major Bharti Airtel lost 0.80% to Rs416.05.

Unitech was the largest traded shares with over 1.26 crore shares hands on the BSE followed by Spicejet (1.23 crore shares), IFCI (1.08 crore shares), Suzlon Energy (1.04 crore shares) and Ispat Industries (0.83 crore shares).

Post Session Commentary - Sep 15 2009

Indian market surged during the session to close sharply higher on significant buying support led by reports of higher advance tax payment by some top Indian firms. Meanwhile, global cues are mixed today and US index futures are skipping up and down. Further, stocks raised also on a survey showing an improvement in business confidence in India. The National Council of Applied Economic Research (NCAER) said on 14 September 2009 that NCAER''s business confidence index jumped to 118.6 points in the June 2009 quarter, which is 37 points up from previous quarter, when it was at its the lowest level since February 1998. The BSE Sensex ended above16,450 level and NSE Nifty closed around 4,900 mark.

The market opened today on pleasant note following positive opening of Asian stocks. Besides, the US markets closed higher on Monday with the S&P 500 closed at the highest level in almost a year backed by final drive in the closing hours of trade. Further, Indian benchmark indices continued their northward journey on huge buying over the counters. On the other hand, a statement by finance minister Pranab Mukherjee on 14 September 2009, that late monsoon rains have eased drought conditions in India, also lifted the sentiments. Markets extended their gains to close near day’s high, despite negative trading in European stocks. On the sectoral front, traders on-loaded positions across the sectors. Besides, huge buying was witnessed in Realty, Metal, Auto, Bank, Consumer Durable, Capital Good and Power stocks. Mid Cap and Small Cap stocks also continued to hold gains during the trading.

Among the Sensex pack 27 stocks ended in green territory and 3 in red territory. The market breadth indicating the overall health of the market remained positive as 1801 stocks closed in green while 994 stocks closed in red and 78 stocks remained unchanged in BSE.

The BSE Sensex closed higher by 240.26 points or (1.48%) at 16,456.45 and NSE Nifty ended up by 83.50 points or (1.74%) at 4,892.10. BSE Mid Caps and Small Caps closed with gains of 108.69 and 95.02 points at 6,039.07 and 7,228.68 respectively. The BSE Sensex touched intraday high of 16,477.23 and intraday low of 16,255.42.

Gainers from the BSE Sensex pack are DLF Ltd (5.20%), Herohonda Motors (3.47%), Sterltie Industries (3.34%), Hindalco (3.30%), JP Associates (2.92%), RCom (2.80%), SBI (2.71%), Reliance Infra ( 2.65%), Tata Steel (2.54%), HDFC (2.12%), ICICI Bank (2.03%), ITC Ltd (1.94%), TCS Ltd (1.92%), Reliance (1.55%), Maruti Suzuki (1.44%) and L&T Ltd (1.35%).

Losers from the BSE Sensex pack are ONGC Ltd (0.93%), Bharti Airtel (0.80%) and HUL (0.31%).

Advance tax collection spurted in the second quarter of the financial year indicating expectations of profit for the second quarter. Public sector lender, State Bank of India (SBI) has paid Rs 1,832 crore during the September quarter of 2009-10 as against Rs 1,068 crore in the corresponding period previous year. Other public sector banks like Bank of India paid Rs 470 crore as against Rs 230 crore, Bank of Baroda paid Rs 412 crore compared to Rs 255 crore and Central Bank of India paid Rs 73 crore respectively. Private sector lender Yes Bank paid Rs 58 crore as against Rs 33 crore in the corresponding period last year.

On the global markets front, the Asian markets that opened before the Indian market, ended mixed. Shanghai Composite, Nikkei 225 and Seoul Composite closed up by 6.99, 15.56 and 18.49 points at 3,033.73, 10,217.62 and 1,653.4 respectively. However, Hang Seng and Singapore''s Straits Times Index lost 65.83 and 1.34 points at 20,866.37 and 2,638.40 respectively.

European markets, which opened after the Indian market, are trading in red. In Paris the CAC 40 is lower by 0.92 points at 3,729.69, in Frankfurt DAX index is trading down by 24.53 points at 5,595.71 and in London FTSE 100 is trading lower 16.70 points at 5,002.15.

The BSE Realty index closed higher by (3.91%) or 164.67 points at 4,378.11. Gainers are Sobha Dev (7.09%), DLF Ltd (5.20%), Unitech Ltd (5.11%), Anant Raj (4.15%) and Parsvnath (3.03%).

The BSE Metal index ended up by (3.74%) or 502.01 points 13,843.40. Gainers are Jindal Steel (7.67%), Sesa Goa Ltd (6.58%), Gujarat NRE C (2.40%), Sterlite Industries (3.34%) and Hindalco (3.30%).

The BSE Bank index advanced by (2.5%) or 223.57 points at 9,178.91. Main gainers are Bank of India (8.88%), IDBI Bank (6.66%), Indian Overseas Bank (5.86%), Allahabad Bank (5.83%) and Canara Bank (5.57%).

The BSE Auto index gained (2.33%) or 142.09 points 6,234.94 on expectation of strong sales in the upcoming festive season. Cummins Indi (8.02%), Bajaj Auto (7.87%), Apollo Tyre (5.13%), Herohonda Motors (3.47%) and Escorts Ltd (3.02%) ended in green.

The BSE Capital Goods index gained (1.49%) or 196.47 points at 13,395.06. Gainers are Areva (9.71%), Lakshmi MA W (6.72%), Praj Industries (5.36%), Siemens Ltd (3.08%) and Suzlon Energy (2.89%).

The BSE Power index increased by (1.43%) or 42.29 points at 2,998.92, as Crompton Greaves (3.33%), Siemens Ltd (3.08%), Lanco Infra (3.02%), Suzlon Energy (2.89%) and Reliance Infra (2.65%) closed in positive terrain.

Cranes Software advanced 3.52%. The company announced the release of the latest version of its leading Finite Element Analysis software, NISA Version 17, today. This significantly improved version offers an enhanced DISPLAY IV, NISA''s powerful interactive graphics Pre and Post-processor.

GAIL India went up by 1.96%. The company and Kerala State Industrial Development Corporation Limited (KSIDC), Government of Kerala signed a Memorandum of Understanding for Natural Gas Infrastructure and City Gas Distribution in Thiruvananthpurarn yesterday.

Patni Computer Systems closed higher by 5.06%. The company announced that it has collaborated with leading UK charity Get Connected to build a new online directory service, ''''Webhelp 24/7'''', that will help young people find solutions to a wide range of issues, from coping with mental illness to learning disabilities.

Jindal Steel & Power Ltd spurted 7.67% on reports Jindal Power, a unit of the company, is planning a Rs. 4,000 crore initial public offering to raise funds for an upcoming 2,400 megawatt superthermal power project in Chattisgarh.

Punj Lloyd Ltd improved 1.98% after a block deal of four lakh shares was executed on BSE at Rs 264.25 per share.

Omaxe Ltd gained 0.29% after its unit Garv Buildtech signed a pact with Lucknow Development Authority to develop a hi-tech township in Lucknow, Uttar Pradesh.

Areva T&D India Ltd zoomed 9.71% after the company won an order worth Rs 76 crore.

Bartronics India Ltd gained 0.76% after an overseas unit of the company secured an order for an undisclosed sum.

BSE Bulk Deals to Watch - Sep 15 2009

Deal Date Scrip Code Company Client Name Deal Type * Quantity Price **
15/9/2009 531728 AMRIT BANAS BHUPENDRA SANGHAVI B 44500 45.00
15/9/2009 531728 AMRIT BANAS LIFE INSURANCE CORPORATION OF INDIA S 50000 45.00
15/9/2009 590076 CAMSON BIO SANJAYKUMAR JAGDISHPRASAD PODDAR B 50000 87.30
15/9/2009 590076 CAMSON BIO SUVARNA KUMARI AGARWAL S 62500 87.30
15/9/2009 590076 CAMSON BIO EMERGING STAR INVEST PVT LTD S 73000 87.30
15/9/2009 531337 CHAN GUIDE I ANIL AGRAWAL HUF S 30000 84.25
15/9/2009 533026 CHEMCEL PANDYA HARDIK M B 143500 7.71
15/9/2009 533026 CHEMCEL PANDYA HARDIK M S 162526 7.98
15/9/2009 532363 COMP-U-LEARN SRECKO INDHAN LIMITED B 68444 14.35
15/9/2009 532363 COMP-U-LEARN SRECKO INDHAN LIMITED S 68342 14.34
15/9/2009 532528 DATAM GLOB LALIT SURAJMAL KANODIA B 349277 34.00
15/9/2009 532528 DATAM GLOB RAHUL L KANODIA HUF S 345530 34.00
15/9/2009 517973 DMC INTER J A FINANCIAL AND MANAGEMENT CONSULTANTS PVT LTD B 18757 15.05
15/9/2009 590022 EASTER SILK DB (INTL) OWN TRADING B 403967 17.49
15/9/2009 590022 EASTER SILK DB (INTL) OWN TRADING S 403967 17.52
15/9/2009 532022 FILAT FASH PRESILCO IMPEX LTD B 80220 50.75
15/9/2009 532022 FILAT FASH OM EDUCATION (IT) PVT LTD B 118700 47.00
15/9/2009 532022 FILAT FASH AMRUT SECURITIES LTD. B 411184 49.50
15/9/2009 532022 FILAT FASH PATHIK NAYANBHAI SHAH S 40281 47.02
15/9/2009 532022 FILAT FASH PRESILCO IMPEX LTD S 52160 47.55
15/9/2009 532022 FILAT FASH TRUPTI L NAIK S 68000 50.80
15/9/2009 532022 FILAT FASH JITENDRA HARIVANSH JOSHI S 132030 50.81
15/9/2009 532022 FILAT FASH CHANDRA SHEKHAR SUNIL BHATT S 120000 47.00
15/9/2009 532022 FILAT FASH HARESH THAKAR PANNA S 92896 50.30
15/9/2009 532022 FILAT FASH BHARTI BAHUVA S 50000 50.20
15/9/2009 532022 FILAT FASH AADESH COMMODITIES PRIVATE LTD S 150000 50.30
15/9/2009 531439 GOLDSTON TEC BHAVESH P PABARI S 99254 30.00
15/9/2009 509597 HARDCAS WAUD SUVA BOTHRA B 5000 383.75
15/9/2009 509597 HARDCAS WAUD JAISHREE SINGHANIA S 5000 383.75
15/9/2009 504336 INDTRADECO L JMP SECURITIES PVT LTD B 854999 0.52
15/9/2009 513509 KALYANI FORG DELHI IRON & STEEL P.LTD. B 18500 123.55
15/9/2009 513509 KALYANI FORG AMRUT STEEL P.LTD. S 18481 123.55
15/9/2009 530255 KAY POW PAP SATISH KUMAR GUPTA B 56000 7.15
15/9/2009 530255 KAY POW PAP GIRRAJ PRASAD GUPTA B 55000 7.00
15/9/2009 530255 KAY POW PAP BAMPSL SECURITIES LTD. S 94749 7.12
15/9/2009 530255 KAY POW PAP SATISH KUMAR GUPTA S 56000 6.88
15/9/2009 530273 LIBERTY PHOS JMP SECURITIES PVT LTD B 78810 28.61
15/9/2009 530273 LIBERTY PHOS JMP SECURITIES PVT LTD S 113420 28.66
15/9/2009 526263 MOLDTEK TECH RAJENDAR REDDY NARRA B 20106 83.25
15/9/2009 590011 MOVING PICTU-PMS AMAL TANNA B 50000 5.46
15/9/2009 590011 MOVING PICTU-PMS KUSHAL KISHOR LADDHAD S 50000 5.46
15/9/2009 513685 MULTI ARC IN VIMLA JAJOO S 77400 7.62
15/9/2009 524816 NATCO PHARMA HITESH SHASHIKANT JHAVERI B 376455 123.57
15/9/2009 524816 NATCO PHARMA SUNIL CAPITAL B 179062 123.58
15/9/2009 524816 NATCO PHARMA JMP SECURITIES PVT LTD B 382844 123.18
15/9/2009 524816 NATCO PHARMA HITESH SHASHIKANT JHAVERI S 327944 123.59
15/9/2009 524816 NATCO PHARMA JMP SECURITIES PVT LTD S 380664 123.45
15/9/2009 532045 NEXXOFT INFO NEETU PARIN SHAH B 30200 16.85
15/9/2009 532045 NEXXOFT INFO VIJAYY NANVARE S 26970 16.85
15/9/2009 532045 NEXXOFT INFO HARSHA HARESH CHHATBAR S 40000 16.85
15/9/2009 511702 PARSHART INV ARCHNA RAJENDRA ACHARYA S 19750 14.60
15/9/2009 513228 PENNAR IND L KANUDIA CAPITAL AND MANAGEMENT SERVICES PVT LTD B 1250000 24.00
15/9/2009 513228 PENNAR IND L DISHA DHARMENDRA MADHANI B 681675 24.18
15/9/2009 513228 PENNAR IND L DKG SECURITIES PVT. LTD. B 1450052 24.00
15/9/2009 513228 PENNAR IND L RAJASTHAN GLOBAL SECURITIES LTD B 700000 24.68
15/9/2009 513228 PENNAR IND L RAJASTHAN GLOBAL SEC LTD B 1344000 24.96
15/9/2009 513228 PENNAR IND L DRB SECURITIES PVT LTD B 650000 24.00
15/9/2009 513228 PENNAR IND L KANUDIA CAPITAL AND MANAGEMENT SERVICES PVT LTD S 1050000 24.78
15/9/2009 513228 PENNAR IND L DKG SECURITIES PVT. LTD. S 1175052 25.03
15/9/2009 513228 PENNAR IND L SPINNAKER GLOBAL STRATEGIC FUND LIMITED S 6529318 24.01
15/9/2009 513519 PITTI LAMINA RAHUL DOSHI B 90225 41.88
15/9/2009 513519 PITTI LAMINA RAHUL DOSHI S 69253 40.69
15/9/2009 511652 RAM KAASHYAP ARUN MANDAVIYA HUF B 25000 15.85
15/9/2009 511652 RAM KAASHYAP SETU SECURITIES PVT LTD S 65100 15.85
15/9/2009 590077 RANKLIN SOLU SAMRIDHI SHARE AND STOCK BROKER LIMITED B 30000 42.35
15/9/2009 506172 SAMPADA CHEM THE PREMIER COMMERCIAL COPVT LTD S 50000 26.82
15/9/2009 524540 SECUN HEALTH SAMEER N SHAH B 38302 31.25
15/9/2009 524540 SECUN HEALTH GAURAV DOSHI B 30009 31.57
15/9/2009 524540 SECUN HEALTH DISHA DHARMENDRA MADHANI S 21900 31.22
15/9/2009 524540 SECUN HEALTH SAURABHKUMAR RASIKLAL GANDHI S 60885 31.34
15/9/2009 524540 SECUN HEALTH SOBHA CHAND BHANSALI S 26000 31.12
15/9/2009 524540 SECUN HEALTH DEEPAK KUMAR BHANSALI S 23611 31.32
15/9/2009 524540 SECUN HEALTH DHARMENDRA J MADHANI S 32186 31.35
15/9/2009 524540 SECUN HEALTH SAMEER N SHAH S 39202 30.94
15/9/2009 524540 SECUN HEALTH GAURAV DOSHI S 24162 31.34
15/9/2009 524552 SHASUN CHEMI PRIVATBANK IHAG ZURICH AG B 1320029 27.85
15/9/2009 524552 SHASUN CHEMI MERRILL LYNCH CAPITAL MARKET ESPANA SA SVB S 1320029 27.85
15/9/2009 500285 SPICEJET LTD JMP SECURITIES PVT LTD B 1599188 28.16
15/9/2009 500285 SPICEJET LTD JMP SECURITIES PVT LTD S 1327963 27.87
15/9/2009 526500 STR GRE WOO KRISHNABEN HASMUKHBHAI PATEL B 23002 42.53
15/9/2009 526500 STR GRE WOO KRISHNABEN HASMUKHBHAI PATEL S 33345 42.77
15/9/2009 590005 TIDEWATERDM-PMS KAMAL KUMAR DUGAR & CO B 4460 5103.75
15/9/2009 590005 TIDEWATERDM-PMS MADANLAL LTD S 6000 5046.68
15/9/2009 590093 TRIMURTHI DR DHIRAJLAL V SANGHVI HUF B 42063 39.70
15/9/2009 590093 TRIMURTHI DR SDK SECURITIES PVT. LTD. B 36000 40.85
15/9/2009 590093 TRIMURTHI DR VISHU ENTERPRISE S 56600 40.81
15/9/2009 590093 TRIMURTHI DR DHIRAJLAL V SANGHVI HUF S 68845 40.66
15/9/2009 530459 VALSON IND UDAY PRAVINCHANDRA SHAH S 20500 64.81
15/9/2009 530459 VALSON IND ROHNIL BORADIA S 29500 67.65
15/9/2009 503657 VEER ENERGY AANGI SHARES & SERVICES PVT. LTD. B 894391 24.93
15/9/2009 503657 VEER ENERGY PARSVANATH FINCON PRIVATE LIMITED B 826995 25.23
15/9/2009 503657 VEER ENERGY NIYATI INDUSTRIES LTD S 425000 25.04
15/9/2009 503657 VEER ENERGY AANGI SHARES & SERVICES PVT. LTD. S 961915 24.04
15/9/2009 503657 VEER ENERGY PARSVANATH FINCON PRIVATE LIMITED S 833270 24.74
15/9/2009 514470 WINSOME TEXT IFCI LIMITED S 31990 58.28
15/9/2009 506720 ZANDU PHAR W OPG SECURITIES P LTD B 7902 11877.70
15/9/2009 506720 ZANDU PHAR W OPG SECURITIES P LTD S 7902 11897.40

NSE Bulk Deals to Watch - Sep 15 2009

Date,Symbol,Security Name,Client Name,Buy/Sell,Quantity Traded,Trade Price / Wght. Avg. Price,Remarks
15-SEP-2009,ARCHIES,Archies Limited,MANISH VRAJLAL SARVAIYA,BUY,35332,117.43,-
15-SEP-2009,DTIL,Dhunseri Tea & Industries,UNIVERSAL INDUSTRIAL FUNDS LTD,BUY,120214,166.50,-
15-SEP-2009,EDSERV,Edserv Softsystems Limite,BP FINTRADE PRIVATE LIMITED,BUY,96089,127.24,-
15-SEP-2009,EDSERV,Edserv Softsystems Limite,SETU SECURITIES LTD,BUY,76662,127.35,-
15-SEP-2009,EDSERV,Edserv Softsystems Limite,SVS SECURITIES PVT. LTD.,BUY,75478,127.29,-
15-SEP-2009,EDSERV,Edserv Softsystems Limite,VIJIT SHARES AND COMMODITIES PVT.LTD.,BUY,81213,127.25,-
15-SEP-2009,GLORY,Glory Polyfilms Limited,ARIHANT SEC & INVESTMENT,BUY,89414,24.62,-
15-SEP-2009,ISPATIND,Ispat Industries Limited,JAYPEE CAPITAL SERVICES LTD.,BUY,8465373,23.29,-
15-SEP-2009,MAYTASINFR,Maytas Infra Limited,AJAY BAXI,BUY,300019,142.00,-
15-SEP-2009,MAYTASINFR,Maytas Infra Limited,SETU SECURITIES LTD,BUY,365395,141.86,-
15-SEP-2009,NATCOPHARM,Natco Pharma Limited,BP FINTRADE PRIVATE LIMITED,BUY,246633,123.01,-
15-SEP-2009,NATCOPHARM,Natco Pharma Limited,JMP SECURITIES PVT LTD,BUY,480901,123.66,-
15-SEP-2009,PITTILAM,Pitti Laminations Limited,RAHUL DOSHI,BUY,102407,41.11,-
15-SEP-2009,PNC,Pritish Nandy Comm. Ltd.,CHARUSHEELA HANMANTRAO SABALE,BUY,530000,37.00,-
15-SEP-2009,RAJOIL,Raj Oil Mills Limited,CHANDRAKANT BHOGILAL SHAH,BUY,200000,84.18,-
15-SEP-2009,SUNFLAG,Sunflag Iron And Steel Co,SUHRIT R BHARDWAJ,BUY,1983601,24.09,-
15-SEP-2009,TIDEWATER,Tide Water Oil Co. (India,AUM SECURITIES PRIVATE LTD.,BUY,5375,5090.78,-
15-SEP-2009,TIDEWATER,Tide Water Oil Co. (India,KAMAL KUMAR DUGAR & CO PROP(KAMAL KUMAR DUGAR),BUY,5459,5142.15,-
15-SEP-2009,ZANDUPHARM,Zandu Pharma works Ltd,MARWADI SHARES AND FINANCE LIMITED,BUY,5654,11850.48,-
15-SEP-2009,ARCHIES,Archies Limited,MANISH VRAJLAL SARVAIYA,SELL,35332,118.87,-
15-SEP-2009,EDSERV,Edserv Softsystems Limite,BP FINTRADE PRIVATE LIMITED,SELL,78590,127.02,-
15-SEP-2009,EDSERV,Edserv Softsystems Limite,SETU SECURITIES LTD,SELL,66621,127.08,-
15-SEP-2009,EDSERV,Edserv Softsystems Limite,SVS SECURITIES PVT. LTD.,SELL,59461,126.97,-
15-SEP-2009,EDSERV,Edserv Softsystems Limite,VIJIT SHARES AND COMMODITIES PVT.LTD.,SELL,51075,127.40,-
15-SEP-2009,GLORY,Glory Polyfilms Limited,ARIHANT SEC & INVESTMENT,SELL,84914,24.76,-
15-SEP-2009,ISPATIND,Ispat Industries Limited,JAYPEE CAPITAL SERVICES LTD.,SELL,8652153,23.29,-
15-SEP-2009,KFA,Kingfisher Airlines Ltd.,KANNANTHANAM JOSEPH SAMUEL,SELL,2000000,46.63,-
15-SEP-2009,MAYTASINFR,Maytas Infra Limited,AJAY BAXI,SELL,300019,142.00,-
15-SEP-2009,MAYTASINFR,Maytas Infra Limited,SETU SECURITIES LTD,SELL,319324,141.65,-
15-SEP-2009,NATCOPHARM,Natco Pharma Limited,BP FINTRADE PRIVATE LIMITED,SELL,214140,122.58,-
15-SEP-2009,NATCOPHARM,Natco Pharma Limited,JMP SECURITIES PVT LTD,SELL,395500,123.79,-
15-SEP-2009,PITTILAM,Pitti Laminations Limited,RAHUL DOSHI,SELL,80135,40.68,-
15-SEP-2009,PNC,Pritish Nandy Comm. Ltd.,SADASHIV JAYPRAKASH SARMALKER,SELL,531000,37.00,-
15-SEP-2009,SUNFLAG,Sunflag Iron And Steel Co,CHARANJIV DHAWAN,SELL,1726201,24.00,-
15-SEP-2009,TIDEWATER,Tide Water Oil Co. (India,AUM SECURITIES PRIVATE LTD.,SELL,2462,5139.88,-
15-SEP-2009,TIDEWATER,Tide Water Oil Co. (India,KAMAL KUMAR DUGAR & CO PROP(KAMAL KUMAR DUGAR),SELL,5459,5171.75,-
15-SEP-2009,TIDEWATER,Tide Water Oil Co. (India,MADANLAL LIMITED,SELL,8000,5061.38,-
15-SEP-2009,ZANDUPHARM,Zandu Pharma works Ltd,MARWADI SHARES AND FINANCE LIMITED,SELL,5632,11860.54,-

Technical Analysis - Sep 16 2009

Technical Analysis - Sep 16 2009

Pipavav Shipyard - IPO Review

Pipavav Shipyard - IPO Review

NTPC

NTPC

India Strategy - Sep 15 2009

India Strategy - Sep 15 2009

RIL September 2009 futures at discount

Turnover surges

Nifty September 2009 futures were at 4897.20 at a premium of 5.10 points as compared to the spot closing of 4892.10. Turnover in NSE's futures & options (F&O) segment surged to Rs 68,394.42 crore from Rs 58,031.55 crore on Monday, 14 September 2009.

Reliance Industries (RIL) September 2009 futures were at discount at 2176.90 compared to the spot closing of 2179.40.

Jindal Steel & Power September 2009 futures were at discount at 613.45 compared to the spot closing of 614.55.

DLF September 2009 futures were at discount at 413.25 compared to the spot closing of 414.20.

In the cash market, the S&P CNX Nifty surged 83.50 points or 1.74% at 4892.10.

Asian markets took turnaround on Tuesday

Sensex, Shanghai, Seoul, Sydney swing to gains while Hang Seng, NZX 50 finish lower

Stock markets in Asian region surged near one-year high on Tuesday, 15 September 2009, as investors looked past a trade spat between the United States and China, with exporter shares in Japan getting a lift as the yen's surge relented However, with investors choosing to take some profits at higher levels, most of the markets in the region have pared a substantial portion of their gains subsequently.

With a slew of economic reports due for release during the course of the next few days, investors appear a bit wary of holding positions at higher levels. Asian stock markets also got off to a firm start with the overnight positive close on Wall Street aiding sentiment in early trades.

On Wall Street, stocks advanced slightly Monday following President Obama’s Wall Street address, as observers acknowledged the need for regulation. The Dow Jones Industrial Average gained 21.39 points, or 0.2%, at 9617, while the S&P 500 advanced 6.54 points, or 0.6%, to 1049.27. The Nasdaq Composite edged up 10.88 points, or 0.5%, to 2091.78.

President Obama spoke at Federal Hall in New York, across the street from the New York Stock Exchange. The president discussed what he called the most ambitious overhaul of the financial regulatory system since the great Depression.

The president tried to recoup some confidence in the investors by saying that the storms of the last two years are beginning to break and the need for continuing need for government involvement to stabilize the financial system is waning.

In the commodity market, crude oil traded below $69 a barrel on speculation U.S. refiners may cut operating rates after fuel stockpiles reached a 26-year high.

Crude oil for October delivery was at $68.75 a barrel, down 11 cents, at 2:30 p.m. Singapore time in electronic trading on the New York Mercantile Exchange. Yesterday, the contract fell to $68.86, the lowest settlement since 4 September 2009.

Brent crude oil for October settlement on the London-based ICE Futures Europe exchange traded at $67.15 a barrel, down 29 cents, at 2:36 p.m. in Singapore. Yesterday, it fell 0.4% to settle at $67.44, the lowest in a week.

Gold, little changed in Asian trading, may climb as a weakness in the U.S. dollar causes investors to preserve their wealth. Gold for immediate delivery rose as much as 0.2% to $1,002.06 an ounce and traded at $999.38 at 2:02 p.m. in Singapore. The metal touched $1,011.95 on 11 September 2009, the highest level since March 2008.

In the currency market, US dollar remains soft ahead of a busy day but after all, there is no decisive momentum to resume recent down trend in the greenback yet. Tit came under heavy pressure this month as growing optimism about a global economic recovery encouraged investors to move out of safe havens into riskier investments. Aussie, on the other hand, trades with a mild undertone on less hawkish than expected RBA minutes.

The Japanese yen softened against major currencies. The Japanese yen was quoted at 90.87 against the US dollar and 133.24 against euro.

The Hong Kong dollar was trading at HK$ 7.7502 against the dollar. Actually The Hong Kong dollar is pegged at HK$ 7.8 to the U.S. dollar but can trade between HK$ 7.75 and HK$7.85 to the U.S. dollar.

In Sydney trade, the Australian dollar drifted sideways on Tuesday after minutes from the Reserve Bank's last board meeting failed to shed more light on when it will start raising interest rates. The minutes highlighted the RBA is almost ready to start raising the cash rate from its emergency lows, but needed more evidence that the nascent recovery, both at home and abroad, will be sustained in coming months. At the local close, the dollar was trading at $US0.8609, off a session high of $US0.8641 but up from Monday's close of $US0.8571.

In Wellington trade, The New Zealand dollar was firm today around the US70c figure. Manufacturing sales volumes rose in the June quarter, but the value of sales fell as a result of lower prices, particularly for dairy products. The report from Statistics New Zealand was seen as neutral for the currency market. By 5pm today the NZ dollar was buying US70.14c, from US69.78c at 5pm yesterday.

Solid foreign stock buying boosted demand for the won, and global downturn of the dollar also bolstered the currency as the South Korean won ended at 1,218.5 won to the U.S. dollar, up 6.6 won from Monday's close.

The Taiwan dollar strengthened against the greenback. The Taiwan dollar was trading higher against the US dollar at NT$ 32.6220, 0.0460 up from Monday’s close of NT$32.6680.

In the Asia, regional markets ended mostly higher, with Japanese shares rebounding from the previous session’s tumble as overnight gains on Wall Street and a weaker yen spurred risk appetite. Key benchmark indices in South Korea, Singapore and Taiwan rose by 0.15% to 1.23%. Hong Kong's Hang Seng was down 0.31% after a late opening due to a typhoon warning.

In Japan, shares market finished the session in diverse note, as gains by exporters following yen eased against greenback and firmer defensive shares offset steep losses in major banks and shipping companies. Banks and financials dropped as investors banked profit amid concern recent rally was overdone, while steel makers and other metal producers suffered from the fall in commodity prices. Weaker copper and oil prices weighed on the miners and energy companies. At the closing bell, the Nikkei 225 Stock Average index added 15.56 points, or 0.15%, to 10,217.62, meanwhile the broader Topix was down 1.53 points, or 0.16%, to 932.52.

In Mainland China, stocks rallied, helped by data showing an increase in foreign direct investment in August for the first time in 11 months. Materials stocks outperformed as copper prices gained in Shanghai Energy sector surged with gains from major refiners and power producers. Tyre makers recouped most of yesterday losses after China said the impact of US tariff on imported tires would be limited. Airlines and Biopharmaceutical companies were among the winners

The Shanghai Composite Index, measuring A shares and B shares on the Shanghai Stock Exchange, surged 6.99 points, or 0.23% to 3,033.73, while the CSI 300 Index, measuring exchanges in Shanghai and Shenzhen, advanced 0.28%, to 3,302.64.

On the economic front, the government said that foreign direct investment in China climbed for the first time in 11 months in August. Investment rose 7% from a year earlier to $7.5 billion, compared with a 35.7% drop in July. Foreign investment in the first eight months fell 17.5%.

In Hong Kong, markets were closed for the morning session due to a typhoon warning, and opened only for a 90-minute trading session in the afternoon. The market participants indulging in some heavy profit taking in the shortened trading session, following lack of cues from Shanghai bourses and pullback in metal and oil prices. Investors sentiment also hurt by China trade dispute with the US. The Hang Seng Index dropped 65.83 points, or 0.31%, to 20,866.37, while the Hang Seng China Enterprise shed 1.02 points, or 0.01%, to 12,156.07.

In Australia, the shares market settled above the line, despite opening 1% higher on the back of a positive lead from Wall Street. Materials and resources spurted as mining stocks shrug off weaker metals prices. Major gold stocks were mixed as spot gold prices fell below $1,000 an ounce in Asian trade. Energy stocks were mixed after the price of crude finished edged lower overnight.

At the closing bell, the benchmark S&P/ASX200 index surged 9.20 points, or 0.2%, to 4,540.30, meanwhile the broader All Ordinaries added 11.1 points, or 0.24%, to 4,547.2.

On the economic front, the release of the minutes of the Reserve Bank of Australia’s September board meeting on today suggested the central bank was not in a hurry to lift interest rates anytime soon. At the board meeting, the RBA kept the cash rate at 3% for the fifth consecutive month.

The Australian Bureau of Statistics said Australian dwelling commencements in the June quarter fell by 3.7% to 30,411 units, seasonally adjusted, from an upwardly revised 31,566 units in the March quarter.

In New Zealand, the stock market extended its losing spree following not very high gains on Wall Street overnight. The benchmark index fell for the second day in a row. The New Zealand share market was lower in early trade, following on from yesterday's small decline to start the week. The NZX50 lost 0.93% or 29.05 points to 3099.63. The NZX 15 decreased 1% or 57.41 points to close at 5682.71.

On the economic front, New Zealand’s manufacturing activity after adjusting for seasonal effects rose in the June 2009 quarter, Statistics New Zealand said on Tuesday. However, as a result of lower prices, the value of sales fell. The volume of manufacturing sales rose 1.8% in the June 2009 quarter. This follows a flat March 2009 quarter and falls totaling 9.3% during 2008. The main contributor to the latest rise was the meat and dairy product manufacturing industry, which rose 7.4% in sales volume. The trend for the volume of manufacturing sales is flat for the June 2009 quarter, after five quarters of decline. The trend for the sales value shows a decline for the latest two quarters.

In South Korea, stock market rallied to a yearly high, boosted by gains in steel makers and financial shares. The benchmark Korea Composite Stock Price Index (KOSPI) advanced 18.49 points to a new yearly high at 1,653.4.

In Singapore, stock market finished the choppy session edged lower, as investors banked morning gains owing to weak triggers from the European market and pullback in commodities and oil prices. Properties stocks drag the most after private home sales fell 39% in August. Manufacturing and multi industries were under pressure after retail sales declined by a seasonally adjusted 1.6% in July. The blue chip Straits Times Index ended at 2,638.40, down 1.34 points, or 0.05%.

On the economic front, the Statistics Department of Singapore said that the retail sales index dropped 9.8% from a year earlier after sliding a revised 8.4% in June as purchases of motor vehicles slumped and automobile owners spent less at gas stations. Retail sales declined by a seasonally adjusted 1.6% in July from June

The Urban Redevelopment Authority’s of Singapore said in a statement that country private home sales fell 39% in August from the previous month after developers offered fewer new units. Sales declined to 1,699 in August from the 2,767 units in July.

In Taiwan, stock market regained its fourteen-month high status as Personal Computer makers rose on hopes that the launch of Microsoft's Windows 7 operating system would boost computers demand. The benchmark Taiex share index continued to swing between gains and losses as it regained its fourteen month high by finishing the session higher by 89.31 points or 1.23% in a day, closing the day at 7346.26, reclaiming its fourteen month high status by showing the closing not seen from 24 July 2008 when market closed at 7368.08.

On the economic front, Taiwan’s exports posted a sharp annual drop of 32.8% in the first seven months of this year, the largest fall among the Four Little Dragons in Asia.

According to the Cabinet-level Directorate General of Budget, Accounting & Statistics (DGBAS), in the same period, Singapore saw its exports shrank by 31% and Hong Kong down by 17.2%; while South Korea and China each saw the corresponding percentage stand at -22%. The United States, although severely impacted by the financial tsunami, recorded a drop of 24% in exports during the period, but Japan, Germany and U.K. all presented approximately the same percentage as Taiwan’s.

In India, the key benchmark indices extended gains to hit a fresh intraday high in late trade. Banks were leading stocks higher a day after a Reserve Bank of India official said the central bank will consider increasing the limit of banks' bond purchases in a category that need not be marked-to-market prices. The two key indices - the Sensex and the S&P CNX Nifty today hit their highest level in more than 15 months.

The BSE 30-share Sensex ended up 240.26 points or 1.48% to 16,454.45. The Sensex rose 262.94 points the day's high of 16,477.23 in late trade, it’s highest since 2 June 2008. The barometer index rose 41.23 points at the day's low of 16,255.42 in early trade. The S&P CNX Nifty closed up 83.50 points or 1.74% to 4892.10. It hit a high of 4899.45 in late trade; it’s highest since 2 June 2008.

Elsewhere, Malaysia's Kula Lumpur Composite index went up 0.34% or 4.11 points to 1207.47 while stock markets in Indonesia’s Jakarta Composite index ended the day higher at 2420.11.

In other regional market, European shares edged lower after a disappointing sentiment reading from Germany, with autos and financials under notable pressure. On a regional level, the U.K. FTSE 100 index slipped 0.3% to 5,003.80, the German DAX index declined 0.4% to 5,596.92 while the French CAC-40 index traded flat at 3,730.78.

Sensex scales 15-1/2 month high on surge in Q2 advance tax payment

The key benchmark indices resumed its upward march after taking a breather on Monday, 14 September 2009, on reports of higher advance tax payment by some top Indian firms. The BSE 30-share Sensex rose 240.26 points or 1.48%. A survey showing an improvement in business confidence in India also boosted sentiments. Realty, metal and banking stocks gained. A likely boost to consumer spending from release of the pay arrears to government employees has supported equities in the past few days

The two key indices - the Sensex and the S&P CNX Nifty today, 15 September 2009, hit their highest closing level in 15-1/2 months. Index heavyweight Reliance Industries rose. The market breadth was strong.

The market opened on a firm note tracking higher Asian stocks. The rally gathered further strength in mid-morning trade with the Sensex hitting a fresh intraday high. The market continued uptrend in early afternoon trade with the Sensex and Nifty hitting multi-month highs. The market pared gains in early afternoon trade. It regained strength in mid-afternoon trade, hovering near the day's high. The Sensex hit fresh intraday high in late trade.

Higher advance tax payment by some of the top firms in the second installment of 15 September 2009 means their profits may rise in Q2 September 2009 over Q2 September 2008. As per reports, State Bank of India, India's biggest commercial bank by branch network, has paid 71.5% higher advance tax at Rs 1,832 crore in the second quarter of 2009-10 over the corresponding period last year.

Software major TCS has reportedly paid 315% higher advance tax at Rs 220 crore in the second installment. Tractor major Mahindra & Mahindra has reportedly paid 540% higher advance tax at Rs 112 crore in the second installment.

Tata Motors paid advance tax of Rs 100 crore in the second installment, much higher than Rs 19 crore last year. But Larsen & Toubro paid Nil advance tax agains Rs 150 crore paid in the corresponding period last year.

Among public sector banks like Bank of India paid Rs 470 crore as against Rs 230 crore and Bank of Baroda paid Rs 412 crore compared to Rs 255 crore. Private sector lender Yes Bank paid Rs 58 crore as against Rs 33 crore in the corresponding period last year.

During the second quarter BPCL and Lupin paid Rs 312 crore and Rs 49.7 crore respectively as against Rs 40 crore, and 11.4 crore in the same period a year ago.Ambuja Cements paid an advance tax of Rs 150 crore for the July-September quarter vs Rs 70 crore in the previous quarter.

Also boosting the sentiment was a surge in the National Council of Applied Economic Research (NCAER) business confidence index to 118.6 points in the June 2009 quarter, up 37 points from previous quarter, when it was at its the lowest level since February 1998. The business sentiments have improved reflecting signs of economic recovery, NCAER said.

The think-tank said economic conditions are further expected to improve in the coming months as the impact of the Union budget 2009-2010 (FY 2010) begins to be realised. The increased government spending may provide some impetus to the domestic investment and consumption.

Comments by the Reserve Bank of India (RBI) governor D Subbarao after trading hours that the central bank will not unwind its accommodative monetary policy before ensuring recovery may further boost bourses tomorrow, 16 September 2009. Subbarao also said the RBI has to take a call on supporting recovery and stemming inflationary pressures.

A trigger for the stock market's rally in the past few days has been expectations that the government will release pay arrears to government employees in the second and final installment ahead of big festivals in October 2009. The payout would boost demand for consumer goods, appliances, cars and motorcycles. Consumer demand is a key driver of the Indian economy.

Remaining 60% of the arrears have to be paid as the government implemented the new pay scales with effect from 1 January 2006 after the 6th Pay Commission report was approved by the Cabinet with modifications. The government in August last year had decided to pay the arrears in two instalments of 40% and 60%. According to government calculations, the total arrears are estimated to cost Rs 29,373 crore.

Finance Minister Pranab Mukherjee said on Monday, 14 September 2009, said late monsoon rains have eased drought conditions in India. The South West monsoon delivered the season's heaviest rain in the week to 9 September 2009, boosting reservoirs and prospects of winter crops. But the monsoon is still a fifth below normal this year.

India's drought has spread to nearly half its more than 600 districts, particularly in sugar-producing areas, but the government said its grain stocks were bigger than last year and sugarcane output would not fall. Mukherjee had recently said the country had enough grains to face the drought but there was a shortfall in lentils and edible oils.

Meanwhile, a Securities & Exchange Board of India (Sebi) panel has recommended rotation of audit partners, selection of the chief financial officer by a company's audit committee and standardisation of earnings disclosure, in an attempt to prevent another accounting scandal such as Satyam Computer.

The committee has also proposed that companies publish their balance sheets, which show the assets and liabilities, half yearly, against the present annual system. This would help investors know the company's solvency position, instead of just the profitability which comes out in quarterly results. The committee has invited comments and suggestions from the public on these proposals before a final recommendation.

Global stocks were mixed on the first anniversary of the collapse of Lehman Brothers, a 158-year-old US investment bank, which filed for bankruptcy on 15 September 2008, setting off a scramble by authorities across the world to avert global financial meltdown.

European shares were trading flat after moving between positive and negative zone. A gauge of sentiment among German finance professionals rose at a smaller-than-expected pace in September 2009. Key benchmark indices in Germany, CAC 40 and UK rose by between 0.07% to 0.36%.

Asian stocks surged near one-year high on Tuesday as investors looked past a trade spat between the United States and China, with exporter shares in Japan getting a lift as the yen's surge relented. Key benchmark indices in Japan, South Korea, Singapore and Taiwan rose by between 0.15% to 1.23%. Hong Kong's Hang Seng was down 0.31% after a late opening due to a typhoon warning.

The Shanghai Composite rose 0.23% in volatile trade. A US decision to impose added duty on Chinese-made tires is an abuse of World Trade Organization safeguard measures, the Chinese commerce ministry said on Tuesday. The Ministry of Commerce said on Sunday it would launch its own investigation into chicken parts and automotive imports from the United States.

Trading in US index futures indicated Dow could fall 5 points at the opening bell today, 15 September 2009. US index futures moved between positive and negative zone.

US markets rose on Monday 14 September 2009 with the S&P 500 closing at the highest level in almost a year. Gains in industrial and financial shares helped the market overcome an early slump.

The Dow added 21.39 points, or 0.2%, to 9,626.80. The S&P 500 index rose 6.61 points, or 0.6%, to 1,049.34. The Nasdaq Composite Index rose 10.88 points, or 0.5%, to 2,091.78.

The BSE 30-share Sensex rose 240.26 points or 1.48% to 16,454.45, its highest closing since 28 May 2008. The Sensex rose 262.94 points the day's high of 16,477.23 in late trade. The barometer index rose 41.23 points at the day's low of 16,255.42 in early trade.

The S&P CNX Nifty was up 83.90 points or 1.74% to 4892.10, its highest closing since 28 May 2008. It hit a high of 4899.45 in late trade. Nifty September 2009 futures were at 4897.20 at a premium of 5.10 points as compared to the spot closing of 4892.10. Turnover in NSE's futures & options (F&O) segment surged to Rs 68,394.42 crore from Rs 58,031.55 crore on Monday, 14 September 2009.

The market breadth indicating the overall health of the market, was strong. On BSE, 1796 shares rose as compared with 993 that declined. A total of 79 shares remained unchanged.

Among the 30-member Sensex pack, 27 rose while the rest declined.

BSE clocked a turnover of Rs 5453 crore, higher than Rs 5125.14 crore on Monday, 14 September 2009.

Stocks have risen sharply this year on increased global risk appetite triggered by hopes of a recovery in the global economy after a setback from a financial sector crisis. The Sensex is up 6807.14 points or 70.55% in calendar year 2009 as on 15 September 2009. From a 3-year closing low of 8,160.40 on 9 March 2009, the Sensex is up 8294.05 points or 101.63% as on 15 September 2009. FII inflow in calendar year 2009 totaled Rs 42,962.70 crore (till 14 September 2009).

Coming back to today's trade, the BSE Mid-Cap index rose 1.83% and outperformed Sensex. The BSE Small-Cap index rose 1.33% and underperformed Sensex.

All the sectoral indices on BSE were in green. The BSE Realty index (up 3.91%), the BSE Metal index (up 3.74%), The BSE Bankex (up 2.5%), the BSE Auto index (up 2.33%), the BSE Capital Goods index (up 1.49%), outperformed the Sensex.

The BSE PSU index (up 0.73%), the BSE Teck index (up 0.84%), the BSE Healthcare index (up 0.95%), the BSE IT index (up 1.03%), the BSE Oil & Gas index (up 1.05%), the BSE FMCG index (up 1.21%), the BSE Consumer Durables index (up 1.41%), the BSE Power index (up 1.43%), underperformed the Sensex.

India's largest private sector firm by market capitalisation and oil refiner Reliance Industries (RIL) rose 1.55% to Rs 2180.15. The company said on Monday 14 September 2009 that the Bombay high court has sanctioned a scheme of amalgamation of Reliance Petroleum (RPL) with Reliance Industries and consequently RPL stands dissolved without winding-up.

RIL executive director P.M.S. Prasad on Monday said the company's new 5,80,000 barrel-per-day (bpd) refinery in Gujarat is operating at close to full capacity.

RNRL last week told the Supreme Court that the government has no role to play either in the utilisation or the fixation of gas price as per its contract with Mukesh-led RIL. The two sides - RIL and RNRL had approached Supreme Court challenging a decision by the Bombay High Court on 15 June 2009, which said RIL should provide 28 million cubic metres of gas per day to RNRL at $ 2.34 per mmBtu and both the parties should sign a necessary agreement for the same within a month.

RIL, however, is pleading that it was only a contractor for the gas from the Krishna-Godavari basin's D6 block and did not have the power to fix the price, while the government has also moved a special leave petition in the case asserting its right on pricing and distribution of natural gas. The apex court has decided to commence hearing on this matter on 20 October 2009.

Oil exploration stocks were mixed. India's biggest state-run oil exploration firm by revenue Oil & Natural Gas Corporation (ONGC) fell 0.93%. As per reports, ONGC's Russian unit has substantially cut oil production due to increase in cost. Cairn India rose 0.15%.

Crude oil fell for a second day on Monday as refineries on speculation that US fuel stockpiles will climb as consumption declines. Crude oil for October delivery fell 43 US cents, or 0.6%, to $US68.86 a barrel on the New York Mercantile Exchange. Fall in crude oil prices would result in lower realizations from crude sales for oil exploration firms.

PSU OMCs rose as the fall in crude oil prices will result in lower under-recoveries for the PSU OMCs on domestic sale of petrol, diesel, kerosene and LPG at controlled prices. BPCL and HPCL rose by between 0.45% to 2.33%.

Indian Oil Corporation rose 1.43% after company's board approved a liberal 1:1 bonus issue on Monday.

Realty stocks rose as demand for residential projects in major cities is picking up on lower home loan rates, property price cuts by developers and a recovery in the job market. Realty market had slumped last year amid a global credit crunch and buyers fearing job losses.

DLF, Ackruti City, Indiabulls Real Estate and Unitech rose by between 1.16% to 5.2%.

Housing Development & Infrastructure (HDIL) rose 2.7% on bargain hunting after Monday's 3.57% fall. The company on Monday said that the Income tax Department had conducted a raid on the company's office premises and promoters' residences on 10 and 11 September 2009. During the course of raid, HDIL has agreed to offer close to Rs 350 crore as income to be booked in remaining quarters of financial year ending March 2010.

Further, the company also clarified that, there is no undisclosed income, tax evasion, levy of penalty for any previous years or current year as reported in various newspaper and media. There will not be any substantial change to tax liability or revision in income booked of earlier accounting years, the company said.

Metal stocks rose on strong domestic demand. India's largest copper maker by sales Sterlite Industries rose 3.34%. The company on Friday said it had raised its open offer price for bankrupt US copper miner Asarco by a fifth to $2.565 billion. Sterlite, a unit of India-focused mining company Vedanta Resources, has been facing off with Mexican miner Grupo Mexico for the assets of Asarco, which has been under bankruptcy protection since 2005.

Among other metal stocks, Hindalco Industries, National Aluminum Company, Hindustan Zinc, Steel Authority of India, rose by between 0.99% to 3.3%.

India's largest steel maker by sales Tata Steel rose 2.4% extending recent gains after Steel Minister Virbhadra Singh on 10 September 2009 said domestic consumption of steel could rise 6% this quarter.

Domestic steel makers raised prices of flat steel products such as plates and sheets, mainly used in manufacturing automobiles, refrigerators and washing machines, by about 3-5% from Tuesday, 1 September 2009, in line with international prices.

Tata's steel sales from Indian operations rose 25% to 4,92,000 tonnes in August 2009 over August 2008. The local operations contribute about a quarter of the group's total annual global capacity of 30 million tonnes, which includes Corus, Europe's second-largest steelmaker.

Bank shares rose for the second day in a row after a central bank official said on Monday that a decision had to be taken on a proposal to ease mark-to-market rules for some of banks' debt holdings. Higher advance tax payment by banks in the second quarter also aided the rally in bank stocks.

India's largest bank by net profit and branch network State Bank of India rose 2.71% after jump in Q2 advance tax numbers. Chairman O.P. Bhatt on 8 September 2009 said the bank's earnings are likely to grow 30-35% in Q2 September 2009 over Q2 September 2008. SBI's retail loan growth is likely to be twice of what it was in the year-ago quarter, he said.

Among other PSU banks, Bank of India, Punjab National Bank, Bank of Baroda, rose by between 2.8% to 8.88%.

India's second largest private sector bank by net profit HDFC Bank rose 1.27% as its ADR rose 0.8% on Monday. India's largest private sector bank by net profit ICICI Bank rose 0.98% even as its ADR fell 0.23% on Monday. The bank's managing director Chanda Kochhar said on 8 September 2009 credit growth in India is likely to pick up in the second half of this year.

As per reports, commercial banks are likely to make a strong case before the central bank to increase the portion of government securities that can be parked by them in the held to maturity (HTM) category. The reason why banks are seeking such a change is because they do not have to make any mark-to-market provisions on securities held in this basket in case prices of securities fall. Provisions have to be made out of profits and therefore impact a bank's bottomline. Government bond prices has risen sharply this year on concerns about a huge borrowing programme of the government.

Telecom stocks were mixed. India's largest telecom player by sales Bharti Airtel fell 0.8% after South Africa's communications regulator said on Tuesday it was unsure if mobile phone group MTN's proposed tie-up with Bharti Airtel would get approval before the end of the year. The deal, which would create the world's third-largest mobile group by subscribers, is subject to an end-September deadline.

India's second largest telecom player by sales Reliance Communications rose 2.8%.

The government plans to hold a much-awaited auction on 7 December 2009 to sell airwave spectrum bands to the country's mobile operators for use in third-generation wireless services, the Department of Telecommunications said on Monday.

The auction for 3G spectrum will allow operators a chance to offer mobile-phone access to high-speed Internet, video downloads and other 3G services in the world's second-largest wireless market by subscribers. The move is also expected to earn the government billions of dollars in revenue in a year when it is expected to borrow a record amount to bridge its fiscal deficit.

The government said it will issue a notice inviting applications from interested bidders on 26 October 2009, with the final date for receiving the applications set for 13 November 2009.

Cement stocks rose on bargain hunting after recent losses triggered by reports cement makers have cut prices by Rs 3 per 50 kilogram bag in Mumbai. ACC, Grasim Industries, Ultratech Cement, Ambuja Cements rose by between 0.14% to 2.01%.

India's largest engineering & construction firm by sales Larsen & Toubro rose 1.35% even as it paid no advance tax in the second installment.

Among other capital goods stocks, Praj Industries, Siemens, Thermax, ABB rose by between 1.42% to 5.36%.

India's largest electric equipment maker by sales Bharat Heavy Electricals rose 0.52%. As per recent reports the company has won an order worth Rs 1300 crore for an upcoming Vallur Thermal Power project at Ennore in Tamil Nadu. The power project is being set up by a joint venture between NTPC and the Tamil Nadu Electricity Board (TNEB).

IT stocks rose on hopes of faster recovery in US economy. US is the biggest market for Indian IT companies. India's largest software services exporter by sales Tata Consultancy Services rose 1.92% on jump in advance tax in second installment. TCS's Chief Executive S. Ramadorai on 7 September 2009 said TCS is seeing stability on the ground and the company's demand pipeline is good.

India's third largest software services exporter by sales Wipro rose 0.23% after the company won a three-year outsourcing contract from All Nippon Airways, Japan's No.2 carrier. Its ADR fell 0.24% on Monday.

India's second largest software services exporter by sales Infosys rose 0.87% even as its ADR fell 0.71% on Monday. Infosys still finds the business situation quite challenging and decision making by clients continues to be slow, Chief Operating officer S.D. Shibulal said today. He also said last month' s outsourcing contract from oil and gas major British Petroleum Plc was worth $116 million over five years.

FMCG pivotals rose on revival in India's annual monsoon. FMCG firms derive substantial revenue from the rural sector. Marico, Dabur India, Tata Tea, ITC, Hindustan Unilever rose by between 0.2% to 1.94%.

Auto stocks rose on hopes of strong sales in the upcoming festive season. India's largest tractor maker by sales Mahindra & Mahindra rose 1.32%. Mahindra & Mahindra reportedly plans to invest Rs 700-800 crore to develop a new sports utility vehicle (SUV) expected to be launched before the end of the next fiscal year.

Two-wheeler makers gained. India's largest bike maker by sales Hero Honda Motors rose 3.47%. Bajaj Auto rose 7.87% on reports it has paid advance tax of Rs 170 crore in the second installment this year, much higher than Rs 50 crore in the corresponding period last year.

India's largest truck maker by sales Tata Motors rose 1.33%. The company raised Rs 236.5 crore on Monday by selling nearly half of its current investment in group firm Tata Steel. In a block deal on the Bombay Stock Exchange, the company sold 50 lakh shares of Tata Steel to group holding firm Tata Sons for Rs 473 a share.

The company has a huge debt largely related to the purchase of Ford Motor's marquee brands Jaguar Land Rover last year, for which it took a loan of $3.2 billion and other debt to keep the loss-making unit running.

India's top small car maker by sales Maruti Suzuki rose 1.44% on hopes of robust sales in the upcoming festival season.

Tyre stocks rose on surge in auto sales in August 2009. MRF, CEAT, Apollo Tyres rose by between 0.45% to 5.43%.

Car sales rose 26% to 120,669 units in August 2009 over August 2008 boosted by new launches and availability of cheaper loans, data released by the industry body Society of Indian Automobile Manufacturers on 8 September 2009, showed. Sales of trucks and buses rose 18.5% to 40,624 units and motorcycle sales rose 26% to 611,173 units.

Auto component makers rose on expectations of a double digit growth owing to huge orders from Europe and other nations and strong domestic demand. Gabriel India, Amtek Auto, Exide Industries rose by between 0.21% to 1.63%.

Cals Refineries clocked a highest volume of 6.37 crore on BSE. Unitech (1.26 crore shares), SpiceJet (1.23 crore shares), Pennar Industries (1.14 crore shares) and IFCI (1..08 crore shares) were other volume toppers in that order.

Jindal Steel & Power clocked the highest turnover of Rs 190 crore on BSE. Bank of India (Rs 156.92 crore), Unitech (Rs 140.24 crore), DLF (Rs 136.25 crore) and Tata Steel (Rs 125.72 crore) were other turnover toppers in that order.

Thinksoft Global sets Rs 120-130 per share price band for IPO

Public offer to remain open between 22 and 24 September 2009

Software firm Thinksoft Global Services said on 15 September 2009 it has priced its initial public offer (IPO) in a band of Rs 120 – 130 per share. The IPO would open for bidding on 22 September 2009 and close on 24 September 2009, a newspaper advertisement showed.

Thinksoft will issue 13.5 lakh new shares, while two existing investors - Euro Indo Investments and Vinod Ganjoor - will sell another about 23 lakh shares. The issue constitutes 36.27% of the company's stake post the offer. The company intends to utilise the proceeds of the fresh issue to establish new testing centres.

Thinksoft is a specialist in financial software testing with global clients in USA, UK, Europe, India and Asia-Pacific.

Euro Multivision sets price band of Rs 70-75 per share

For its proposed initial public offering of 88 lakh shares

Euro Multivision has set a price band of Rs 70-75 per share for its proposed initial public offering (IPO) of 88 lakh shares, a newspaper advertisement showed today, 15 September 2009. The equity shares would comprise 36.97% of post issue paid up capital.

The issue will open on 22 September 2009 and close on 24 September 2009.

The IPO has been rated '3' by Credit Analysis and Research (CARE), indicating average fundamentals.

The equity shares would be trading on both the NSE or the National Stock Exchange as well as the BSE or the Bombay Stock Exchange.

Euro Multi Vision is mainly into manufacturing of Compact Disc Recordables (CDRs) as well as Digital Versatile Disc Recordables or DVDRs.

Morning Reports - Sep 15 2009

Morning Reports - Sep 15 2009

Grey Market Premium - Pipavav Shipyard, Oil India

Company Name	Offer Price (Rs.)	Premium (Rs.)
Jindal Cotex	75	4 to 4.50
Globus Spirits Ltd.	100	4 to 5
Oil India	1050	32 to 35
Pipavav Shipyard	55 to 60	3 to 4
Thinksoft Global	120 to 130	--
Euro Multi Vision	70 to 75	--

Pre Session Commentary - Sep 15 2009

Today domestic markets are likely to open positive as majority of Asian markets have also opened positive on the back of US markets closing higher. US markets have shown some firmness during yesterday’s trade and therefore positive sentiments in the domestic arena would get a lot of support. Liquidity in the markets across the world plays an important role now rather than any macro economic news and therefore one could expect markets trading firm at this level. Today the domestic markets are likely to trade range bound.

On Monday, breaking the past few days of rally session, the domestic market took a sharp turn to close in red terrain on intense profit booking. However, market cut off losses towards closing on some buying in key stocks. Intense selling dragged the domestic bourses lower on the first trading day of the week. Weak cues from the markets all over the world weighed on the sentiments as European stocks are trading with huge losses and Asian markets closed in red. Depressing US index futures also took huge beating on the domestic bourses. Benchmark indices were in narrow range today on continuous bouts of buying and selling. Buying in PSU stocks along with Bank and Oil & Gas and Auto stocks restricted the losses to some extent. The BSE Sensex ended below 16,250 level and NSE Nifty closed around 4,800 mark.

The BSE Sensex closed lower by 50.11 points at 16,214.19 and NSE Nifty ended down by 20.95 points at 4,808.60. BSE Mid Caps and Small Caps closed with gains of 8.77 and 32.39 points at 5,930.38 and 7,133.36 respectively. The BSE Sensex touched intraday high of 16,252.18 and intraday low of 16,119.95.

On Monday, US markets closed higher. Weakness overseas and concerns regarding trade with China weighed on sentiment in the early going however as the markets progressed stocks managed to close with marginal gains. Sprint Nextel, provided the most leadership to the broader market this session. The stock benefited from news that Deutsche Telekom may be interested in making a bid for the company, though Deutsche Telekom later stated that it doesn''t plan to make a major U.S. purchase before year end. Amongst sectors, Utilities were the top most gainers with gains of 1.6%, followed by materials stocks with gains of 1.6% and financials with gains of 1.6% respectively. Crude oil futures for the month of October delivery fell by 0.6% at $68.85 barrel on New York Mercantile Exchange.
The Dow Jones Industrial Average (DJIA) closed higher by 21.39 points at 9,626.80. NASDAQ index gained by 10.88 points at 2,091.78 and the S&P 500 (SPX) also inclined by 6.61 points to close at 1,049.34 points.
Indian ADRs ended mixed on Monday. In the IT space, Satyam Computers was up 0.31% and Patni Computers was up 0.55%. While Infosys was down 0.71% and Wipro was down 0.24%. In the banking space, HDFC Bank was up 0.8% while ICICI Bank was down 0.23%. In the telecom space, MTNL was down 0.53% and Tata Communication was down 2.97%. In other sectors, Dr Reddy''s Labs was up 1.33%, while Sterlite Industries was down 1.71% and Tata Motors was down 0.08%

The FIIs on Monday stood as net buyers in equity and debt. Gross equity purchased stood at Rs 2,660.80 Crore and gross debt purchased stood at Rs 541.60 Crore, while the gross equity sold stood at Rs 2,330.20 Crore and gross debt sold stood at Rs 304.60 Crore. Therefore, the net investment of equity and debt reported were Rs 330.60 Crore and Rs 237.10 Crore respectively.

On Monday, Indian Rupee closed at 48.73./74 per dollar, 0.52% stronger than its previous close at 48.48/49. The local stock markets traded on a weak note and therefore investors were apprehensive about inflow of green back.

On BSE, total number of shares traded were 41.07 Crore and total turnover stood at Rs 5,125.14 Crore. On NSE, total number of shares traded were 76.77 Crore and total turnover was Rs 13,939.40 Crore.

Top traded volumes on NSE Nifty – Unitech with total volume traded 34275003 shares, followed by Suzlon Energy with 27587272, DLF with 13042168 shares, Hindalco with 11761901 shares and Tata Steel with 9189386 shares.

On NSE Future and Options, total number of contracts traded in index futures was 527196 with a total turnover of Rs 12,113.36 Crore. Along with this total number of contracts traded in stock futures were 520588 with a total turnover of Rs 17,011.43 crore. Total numbers of contracts for index options were 1122391 with a total turnover of Rs 27,059.86 Crore and total numbers of contracts for stock options were 53781 and notional turnover was Rs 1,846.90 Crore.

Today, Nifty would have a support at 4,754 and resistance at 4,856 and BSE Sensex has support at 16,052 and resistance at 16,315

Market may open in green on positive Asia

The key benchmark indices may open higher tracking positive Asia but resistance seen after recent surge in prices. Investors will closely watch advance tax numbers of India Inc which falls due today.

Companies' advance tax numbers and the second quarter September 2009 results next month would be key triggers for the market in the near term. Indian firms have to pay 30% of the estimated tax liability for the year by the second installment of advance tax which falls due today, 15 September. Higher advance tax payment will mean their profits may be higher in Q2 September 2009 over Q2 September 2008 and vice versa.

Meanwhile, Securities & Exchange Board of India (Sebi) panel has reportedly recommended rotation of audit partners, selection of the chief financial officer by a company's audit committee and standardisation of earnings disclosure, in an attempt to prevent another accounting scandal such as Satyam Computer.

The committee has also proposed that companies publish their balance sheets, which show the assets and liabilities, halfyearly , against the present annual system. This would help investors know the company's solvency position, instead of just the profitability which comes out in quarterly results. The SEBI committee has invited comments and suggestions on these proposals before a final recommendation.

Stocks in Asia edged higher in a volatile trade today. The key benchmark indices in Japan, South Korea, Singapore and Taiwan rose by between 0.11% to 0.8%.

But, China's Shanghai Composite fell 0.1%.A U.S. decision to impose added duty on Chinese-made tires is an abuse of World Trade Organization safeguard measures, the Chinese commerce ministry said on Tuesday. The Ministry of Commerce said on Sunday it would launch its own investigation into chicken parts and automotive imports from the United States.

The US markets ended higher on Monday 14 September 2009 with the S&P 500 closing at the highest level in almost a year. Gains in industrial and financial shares helped the market overcome an early slump.

The Dow added 21.39 points, or 0.2%, to 9,626.80. The S&P 500 index rose 6.61 points, or 0.6%, to 1,049.34. The Nasdaq Composite Index rose 10.88 points, or 0.5%, to 2,091.78.

The key benchmark indices snapped last six days' gains on Monday 14 September 2009 as world stocks fell on the eve of the first anniversary of the collapse of US investment back Lehman Brothers. The BSE 30-share Sensex fell 50.11 points or 0.31% to 16,214.19 on that day.

The market slipped on Monday after a sharp rally in the past six days. The Sensex had jumped 865.97 points or 5.62% in six trading days to 16,264.30 on 11 September 2009 from a recent low of 15,398.33 on 3 September 2009 as a revival of monsoon rains, strong response to the initial public offer of Oil India and firm global stocks boosted sentiments.

As per the provisional figures on NSE, foreign funds sold shares worth Rs 44.4 crore and domestic funds sold shares worth Rs 6.11 crore on Monday, 14 September 2009.

The weather office said on Thursday, 10 September 2009 rainfall was 21% above average in the week to 9 September 2009 continuing the upturn since mid-August but total seasonal rainfall was a fifth short of normal since the season began with the driest June in eight decades. More than two-thirds of the people live in villages and 60% of the farm land depends on the annual rains. Higher rainfall in the past week has helped India's 81 biggest reservoirs fill up much faster than normal for this time of year. Reservoirs are important for hydropower, which accounts for a quarter of India's generation capacity. They also provide water to irrigate winter crops.

However, India's drought has spread to nearly half its more than 600 districts, particularly in sugar-producing areas, but the government said its grain stocks were bigger than last year and sugarcane output would not fall. Finance Minister Pranab Mukherjee said the country had enough grains to face the drought but there was a shortfall in lentils and edible oils.

India's industrial output rose a decent 6.8% in July 2009 though the growth was lower than a 6.9% rise in the same month last year data showed on Friday 11 September 2009. The industrial output for the month of June 2009 was revised upwards to a solid 8.2%.

But analysts are concerned that a sharp surge in food prices in the past few days due to scanty rains may stoke inflationary pressures in the economy. Interest rates could rise on higher inflation which in turn may impact a nascent economic recovery and corporate profits.

The wholesale price index (WPI) fell 0.12% in the year through 29 August 2009, lower than an annual decline of 0.21% in the previous week, data released by the government showed on Thursday, 10 September 2009. The food article index surged 14.8%.

Morning Notes - Sep 15 2009

Morning Notes - Sep 15 2009

Daily News Roundup - Sep 15 2009

South Africa seeks dual listing for MTN before the expiry of the merger talks deadline between Bharti Airtel and MTN. (ET)

RIL has received approvals from high courts of Bombay and Gujarat for the RPL merger. (ET)

NTPC has set two riders for KG gas deal - that the agreement will not have any ‘prejudice’ to pending cases and the marketing margin being charged on the gas price by Reliance Industries is reviewed by the Government. (ET)

IOC is implementing projects worth Rs600bn, including over Rs200bn in petrochemical and refinery capacity expansion. (BS)

RNRL has moved the Supreme Court seeking to become party to the NTPC case against RIL. (FE)

Sun Pharmaceuticals has won a temporary injunction from the Israeli court to prevent shareholders’ meeting of Taro Pharmaceuticals Industries. (ET)

Jindal Power Ltd, part of JSPL, plans to raise ~Rs40bn from the primary market to partly fund its 2,400MW superthermal power project in Chhattisgarh. (BS)

The Sri Lankan government wants to rope in RIL for exploration of oil in the island nation. (BS)

Corus, Tata Steel’s European unit, to restart its mothballed Port Talbot plant in South Wales, a month after reopening its Llanwern strip mill at Newport on renewed demand. (BS)

IOC’s board has approved the bonus issue in the ratio of 1:1. (FE)

Tata Motors has raised ~Rs2.4bn by selling 0.7% stake in Tata Steel. (ET)

Coal India is set to commission 19 washeries over the next five years with an investment of Rs30bn. (FE)

IOC to buy 1mn ton of crude oil from RIL’s KG basin. (FE)

RIL is keen on buying Cairn India’s Rajasthan crude oil, but said it cannot take the oil unless the pipeline from fields to Gujarat coast is built. (ET)

IOC expects oil bonds worth Rs62bn from the Centre. (FE)

OIL India’s issue price fixed at Rs1,050 per share. (ET)

Union Bank of India’s IPO is expected to hit market in the first week of January 2010. (ET)

Whyte & Mackay, the scotch whisky arm of United Spirits, is sewing up new bulk scotch supply contacts at 40-50% higher rates, possibly replacing a large existing deal with Diageo. (ET)

Areva T&D has bagged an order worth Rs760mn from Haryana Vidyut Prasaran Nigam Ltd. (FE)

Ingersoll Rand to invest US$100mn in India over 3 years. (BL)

Yes Bank to raise US$250mn in FY10 through private placement of shares and bonds issue. (FE)

Container Corporation of India is setting up an inland container depot at Baddi, which is expected to start operations by March 2010. (FE)

BASF India has received approval from its board for the merger of Ciba India and two affiliate firms with itself. (FE)

HDIL has agreed to pay tax on additional income of Rs3.5bn following raids by the revenue department. (ET)

Fortis Healthcare plans to float its Rs10bn rights issue by October. (FE)

Tata Chemicals to expand its edible salt production capacity at a capex of Rs1.5-1.7bn. (BS)

Sobha Developers plans to sell two of its land parcels with a total area of close to 44 acres in Bangalore. (BS)

Future Logistics Solutions, an arm of Future Group, has forayed into third-party logistics (3 PL) operations with Hitachi and Nestle. (BS)

Suven Life Sciences has received two patents in the US for its two chemical entities used in treatment of neurodegenerative diseases like Parkinson and Schizophrenia. (FE)

Mafatlal Industries has put an 85,000 sq ft property in Lower Parel on the block, hoping to generate between Rs1-1.5bn. (ET)

The Hinduja Group will invest up to Rs3.5bn in increasing capacity of its hospital in Mumbai. (FE)

The fertilizer ministry has laid claim to another 43.37mmscmd of RIL’s D6 gas to enable conversion of all existing non-gas based fertiliser unit to gas, revival of closed units and expansion of existing projects. (BS)

The Fertiliser Ministry has asked for a uniform price for natural gas delivered to urea plants across the country. (BL)

The Finance ministry has dropped its plans to amend or replace the Fiscal Responsibility & Budgetary Management (FRBM) Act of 2004. (FE)

Casual after casualties!

…And when we fall back into our safety zone, we become complacent.

Complacency can be fatal, especially for the bulls who seem to be in some kind of safety zone for a while. One year since the implosion of Lehman Brothers, things appear to be getting better. But, any casualness or haste could renew fears of a double-dip recession. Great Depression was prolonged due to premature monetary tightening. Hopefully, governments and central banks would have learnt well from history.

The G20 Summit later this month aims to take stock of the situation. There is a clamour for stringent financial regulations to avoid a repeat of the meltdown. Whether that materialises or not remains to be seen. Some are also calling for ending the bonus binge for top bankers to curb their gambling impulses.

We expect a cautious opening due to lack of clear trend in the global markets. The market may not make decisive move upwards over the next few days. The bulls have not been tested really, which leaves them vulnerable to some pull-back. A big crash is not an immediate fear; so don’t panic. Stock specific activity will continue to hog the limelight.

FIIs were net sellers of Rs444mn in the cash segment on Monday on a provisional basis while the local funds pulled out Rs61.1mn, according to figures published on the NSE's web site. In the F&O segment, the foreign funds were net sellers at Rs4.05bn. On Friday, FIIs were net buyers of Rs3.3bn in the cash segment. With this, their net investments in Indian stocks this year have crossed $8.8bn. Mutual Funds were net sellers of Rs4.3bn on Friday.

US stocks ended modestly up on Monday as investors ignored the renewed trade spat with China, sending the Standard & Poor’s 500 Index to its highest level in almost a year. Gains in utility, financial and industrial shares helped the market overcome an early slump.

The Dow Jones Industrial Average gained 21 points, or 0.2%, to 9,626.80. The S&P 500 index rose 6 points, or 0.6%, to 1,049.34. The Nasdaq Composite index advanced 11 points, or 0.5%, to 2,091.78.

US stocks took a breather on Friday after a five-session winning streak that left the major indexes at the highest levels in nearly a year. Higher commodity prices have supported the recent advance, boosting the underlying stocks. Gains in technology and financial shares added those gains. But oil services, technology and financial shares struggled on Monday.

The US and China, its largest trading partner, are facing a growing rift. Late on Friday, President Barack Obama, responding to complaints from labor unions, said that the US would impose tariffs of up to 35% on tires from China. On Sunday, China said that it would begin the process of imposing tariffs on US cars and chicken meat. On Monday, China asked the World Trade Organization (WTO) to get involved. The conflict precedes the Group of 20 meeting of leaders of the largest and fastest-growing economies in the US next week.

The trade spat and slide in global markets gave a boost to the US dollar, which has been sliding versus other major currencies lately.

President Obama visited Wall Street and talked about financial services reforms on the eve of the one-year anniversary of the collapse of Lehman Brothers. Obama said that the US economy is returning to normal, but that it will take time. He also said that Wall Street must take steps to rebuild its relationship with the public and make sure that it doesn't engage again in the kind of behavior that led to the crisis.

Tuesday is the anniversary of the collapse of Lehman Brothers and buyout of Merrill Lynch by Bank of America. Those events led to the seizure of the global financial markets and the worst economic recession since the Great Depression. On that day, the Dow plunged 504 points.

Eli Lilly said its cutting around 5,500 jobs as part of a bigger plan to save $1 billion by 2011. Shares ended modestly higher.

Sprint shares rallied 11% on published reports that Deutsche Telekom, the owner of T-Mobile USA, is interesting in acquiring the US based phone carrier.

The stronger dollar dragged on dollar-traded commodities Monday, with oil and gold prices retreating.

US light crude oil for October delivery fell 43 cents to settle at $68.86 a barrel on the New York Mercantile Exchange.

COMEX gold for December delivery fell $5.30 to settle at $1,001.10 an ounce, remaining above the key $1,000 level.

Treasury prices fell, raising the yield on the benchmark 10-year note to 3.38% from 3.35% late on Friday.

Tuesday brings the August retail sales report from the Commerce Department and, the Producer Price index (PPI), a measure of wholesale inflation, and the Empire State manufacturing index.

European shares fell on Monday for the first time in eight sessions, with miners under some pressure. After gaining for seven sessions and rising 3.4% to close at an 11-month high last week, the pan-European Dow Jones Stoxx 600 index declined 0.3% to 240.93. It finished well off earlier lows, however.

The French CAC-40 index lost 0.1% to 3,730.61, while Germany's DAX index shed 0.1% to 5,620.24 while the UK's FTSE 100 index reversed earlier losses to close up 0.2% to 5,018.85.

The Indian equity markets ended in the red for the first time in six trading sessions on Monday. After, 850 points or 5% rally the BSE Sensex was unable to carry on the momentum further as alternate bouts of buying and selling kept the benchmark indices in a narrow range.

Although, stock specific action was witnessed, stocks like Spice Tele and Bharat Forge were among the top gainers while Apollo Hospital and GVK Power heavily offloaded.

The BSE Sensex slipped 50 points or 0.3% at 16,214 after touching a high of 16,252 and a low of 16,119. The index opened at 16,185 against the previous close of 16,264. The NSE Nifty fell 21 points to shut shop at 4,808.

Cues from the international markets also dampened the sentiment on Dalal Street. In Asia, the Nikkei in Japan slipped by 2.3% at 10,202 while Australia's S&P/ASX ended lower by 1.4% at 4,531. The Hang Seng index in Hong Kong declined 1% at 20,932. However, Shanghai SE Composite in China gained by 1.2% at 3,026.

In Europe, stocks were in the red. The FTSE in the UK was down 0.8%, The DAX in Germany was down 1% and the CAC 40 index in France was down 1%.

Coming back to India, among the BSE sectoral indices, the Consumer Durables index was the top loser, shedding 1%, followed by the Realty index that was down 0.8%. The BSE Teck index down 0.6% and the BSE Capital Goods index was down 0.5%.

However, BSE Auto index was up 1%, BSE PSU index was up 1% and BSE Bankex index up 0.5%. The BSE Mid-Cap index was flat and the BSE Small-Cap index gained by 0.5%.

Among the 30-components of Sensex, 16 stocks ended in the red and 14 ended in the positive terrain. Among the major losers were Sterlite, Hindalco, Grasim, RCom, ONGC and DLF.

On the other hand, Tata Steel, Tata Motors, SBI, HUL and M&M were among the major gainers.

Outside the frontline indices, the big loses in the broader market were Apollo Hospital, GVK Power, GE Ship, Jubilant Org and GMDC. On the other hand, gainers included Spice Tele, Bharat Forge, Bhushan Steel, MMTC and IOB.

Shares of HDIL lost 3.5% to Rs302 after the company announced that the Income tax Department had conducted a raid on the company office premises and promoters residences on 10th & 11th September 2009. During the course of raid, HDIL has agreed to offer ~Rs3.5bn as income to be booked in remaining quarters of financial year 2009-10.

Income of Rs3.5bn as calculated by Income Tax Department are based on initial entries in books of accounts mostly relating to current financial year i.e. 2009-10, which Company would have irrespectively booked during the current financial year on completion of transaction and taxes paid as per provisions of Income tax Act.

Further, the Company would also clarified that, according to the Company there is no undisclosed income, tax evasion, levy of penalty etc for any previous years or current year as reported in various newspaper and media. There will not be any substantial change to tax liability or revision in income booked of earlier accounting years.

Shares of Jet Airways gained by 2.5% to Rs263 after the company announced that it has resumed flights and full normalcy is expected. The airliner has also decided to cut economy ticket prices by a flat 50% on its flagship airline for travel up to September 18, stated reports.

Reports also stated that the company plans to raise capital through the sale of shares to institutions within the next 2-3 months.

Reliance Industries announced that the Hon'ble High Court of Judicature at Bombay has sanctioned the Scheme of Amalgamation of Reliance Petroleum Ltd with Reliance Industries Ltd.

The Hon'ble High Court of Gujarat at Ahmedabad has also sanctioned the Scheme.

The High Court Orders have been filed with the respective offices of the Registrar of Companies and the Scheme has become effective on September 11, 2009 with appointed date being April 01, 2008 and consequently RPL stands dissolved without winding-up.

Shares of Reliance Industries edged higher by 0.3% to end at Rs2146. The stock opened at Rs2125 and made an intra-day high of Rs2159 and a low of Rs2113. Total traded volumes stood at 0.7mn shares.

While, RPL ended with marginal gains, the stock was up 0.8% to Rs132. The stock opened at Rs130 and made an intra-day high of Rs133 and a low of Rs129. Total traded volumes stood at 1.1mn shares.

Shares of Ciba India shot up by over 6% to Rs263 after the board of directors approved the Scheme of Amalgamation of the Company, its wholly owned subsidiary namely Diamond Dye-Chem Ltd and Ciba affiliate Company namely Ciba Research (India) Pvt. Ltd., being the Transferor Companies with BASF India Ltd, the transferee Company.

The appointed date for this purpose has been fixed as February 01, 2010. The share exchange ratio has been determined by independent valuers viz., Ernst & Young Pvt. Ltd. and Deloitte Touche Tohmatsu India Pvt. Ltd.

The exchange ratio has been determined at 90 equity shares of Rs10/- each fully paid-up of BASF India Ltd, for every 100 equity shares of Rs10/- each fully paid-up of Ciba India Ltd, AND 18 equity shares of Rs10/- each fully paid-up of BASF India Ltd, for every 100 (One Hundred) equity shares of Rs10/- each fully paid-up of Ciba Research (India) Pvt. Ltd.

Meanwhile, shares of BASF Index also advanced over 6% to end at Rs310. The stock opened at Rs287 and made an intra-day high of Rs337 and a low of Rs287. Total traded volumes stood at 0.13mn shares.

Shares of Suven Life Science were locked at 5% upper circuit at Rs31.55 after the company announced that it secured two US patents on NCEs. The patents are valid until 2022, 2024. The stock opened at Rs28.85 and made an intra-day high of Rs31.55 and a low of Rs28.85. Total traded volumes stood at 0.12mn shares on BSE.

Shares of Yes Bank gained by 1.5% to Rs177 after the company announced that it raised US$20mn in subordinated debt from France’s Proparco. The bank also plans to raise Rs5bn selling debt by March 2010. The stock opened at Rs176 and made an intra-day high of Rs178 and a low of Rs173. Total traded volumes stood at 0.88mn shares.

NMDC announced that its sales fell 22% in the five months ended August 31, 2009 after Maoist rebels sabotaged pipelines used to transport iron-ore slurry to customers, Chairman Rana Som said.

Sales declined to 9.27 million metric tons from 11.84 million tons in the year-earlier period, Som said. Production declined 9% to 9.54 million tons, he said.

Shares of NMDC ended flat at Rs358. The stock opened at Rs364 and made an intra-day high of Rs367 and a low of Rs354. Total traded volumes stood at 75,000 shares.

Compton Greaves, a unit of Avantha Power & Infrastructure, is reportedly interested in bidding for Areva SA’s transmission and distribution unit and has sought information on the sale.

Shares of Crompton Greaves advanced by 0.5% to Rs306. The stock opened at Rs305 and made an intra-day high of Rs307 and a low of Rs297. Total traded volumes stood at 93,000 shares.