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Tuesday, December 01, 2009
Nifty December 2009 futures at premium
Turnover declines
Nifty December 2009 futures were at 5,130.80, at a premium of 8.80 points as compared to the spot closing of 5,122. Turnover in NSE's futures & options (F&O) was Rs 60,656.98 crore, lower than Rs 67,547.79 crore on Monday, 30 November 2009.
Tata Steel December 2009 futures were at discount at 580.85 compared to the spot closing of 582.
Unitech December 2009 futures were near spot price at 89.55 compared to the spot closing of 89.40.
Jindal Saw December 2009 futures were near spot price at 959 compared to the spot closing of 958.30.
In the cash market, the S&P CNX Nifty rose 89.30 points or 1.77% at 5,122.
Prestige Estates Projects files DRHP for an IPO
Plans to raise Rs 1200 crore through a 100% book-building issue
Prestige Estates Projects has filed a draft red herring prospectus (DRHP) with market regulator, the Securities and Exchange Board of India (Sebi). The company plans a public issue of its equity shares having face value of Rs 10 each aggregating Rs 1200 crore through a 100% book-building process. The company is also mulling a pre-IPO placement offer of Rs 200 crore.
The proceeds of the issue would be used to finance the ongoing projects and projects and projects under development. The proceeds will be also deployed in investing in its existing subsidiaries which undertake the projects. Further, the issue proceeds would also be used for acquisition of land and repayment of certain loans of the company.
Prestige Estates Projects is one of the leading real estate development companies in south India. It currently owns or holds development rights for 52.57 million square feet (sq. ft.) of developable area, which includes 24.49 million sq. ft. of saleable area and 9.64 million sq. ft. of leasable area.
MBL Infrastructures IPO subscribed 1.97 times
Receives bids for 95.77 lakh shares as against 48.6 lakh shares on offer.
Construction firm MBL Infrastructures' initial public offering (IPO) was subscribed 1.97 times, NSE data showed. The IPO received bids for 95.77 lakh shares as against 48.6 lakh shares on offer. The price band for the IPO has been fixed at Rs 165 to Rs 180 per share.
The qualified institutional buyers category was subscribed 3.34 times, non-institutional investors category was subscribed 2.64 times, retail individual investors category was subscribed 0.39 times and employee reservation category was subscribed 0.13 times.
Out of the total issue of 57 lakh shares, 8.4 lakh shares have been kept aside for anchor investors. Out of the total 8.4 lakh shares available for anchor investors, 4.2 lakh shares were allotted to Reliance Capital Trustee Company, Reliance Infrastructure Fund and 4.2 lakh shares were allotted to The GMO Emerging Illiquid Mauritius Fund at Rs 182 per share.
Based on the price band of Rs 165-Rs 180 per share, the company will raise between Rs 94 - Rs 103 crore.
The company intends to use the issue proceeds to meet capital expenditure on procurement of construction equipments, funding working capital requirements and meeting general corporate requirements.
Rating agency ICRA has assigned an IPO grade of 2 out of 5 to the MBL Infrastructures IPO.
MBL Infrastructures is engaged in the business of construction and maintenance of roads and highways, industrial infrastructure projects and other civil engineering projects for various government bodies and other clients. It is also engaged in steel trading and waste management at major steel plants.
As per company's consolidated result, the net profit rose 76.2% to Rs 27.4 crore on 74.72% rise in sales to Rs 513.64 crore in the year ended March 2009 over the year ended March 2008.
BSE Bulk Deals to Watch - Dec 1 2009
Deal Date Scrip Code Company Client Name Deal Type * Quantity Price **
1/12/2009 530901 ACIL Cot Inds SHREE BAHUBALI INTERNATIONAL LTD B 100000 30.70
1/12/2009 524075 Albert David PRIMORE SOLUTIONS PVT.LTD B 32416 117.47
1/12/2009 524075 Albert David PRIMORE SOLUTIONS PVT.LTD S 32416 118.31
1/12/2009 523537 APM Inds FARIDABAD PAPERS MILLS LTD B 30000 28.73
1/12/2009 523537 APM Inds POOJA RAJ GARHIA S 30000 28.72
1/12/2009 513729 ARO Granite PEARL MINERAL PVT LTD S 55370 39.82
1/12/2009 522005 Austin Engr ALFA FISCAL SERVICES PVT LTD B 20177 93.92
1/12/2009 522005 Austin Engr ALFA FISCAL SERVICES PVT LTD S 20177 93.75
1/12/2009 519105 AVT Nat Products NEHA UMESH DHRUVA B 50818 88.96
1/12/2009 519105 AVT Nat Products NEHA UMESH DHRUVA S 50818 89.17
1/12/2009 507944 Bajaj Steel Naman Securities & Finance Pvt. Ltd. B 11347 182.55
1/12/2009 531591 Bampsl Sec PRAKASH CHAND GUPTA B 608807 0.86
1/12/2009 531591 Bampsl Sec VIJAY KUMAR GOYAL B 450000 0.86
1/12/2009 531591 Bampsl Sec KAUSHALYA GARG S 500000 0.86
1/12/2009 531591 Bampsl Sec JOLLY GUPTA S 388617 0.87
1/12/2009 531591 Bampsl Sec PRAKASH CHAND GUPTA S 560650 0.83
1/12/2009 508664 Best Eastern Hot HITESH RAMJI JAVERI S 14900 119.75
1/12/2009 532363 Compulearn YETTELLA APARNA S 66217 30.70
1/12/2009 512199 Core Projects BERMACO ENERGY SYSTEMS LIMITED S 505946 166.00
1/12/2009 533103 JINDALCOTEX KHUSHAL INVESTMENTS PRIVATE LIMITED B 221018 113.83
1/12/2009 533103 JINDALCOTEX TRANSGLOBAL SECURITIES LTD. B 364287 113.32
1/12/2009 533103 JINDALCOTEX PRAKASHBHAI NARSINHBHAI PATEL B 140220 113.53
1/12/2009 533103 JINDALCOTEX MATRIX EQUITRADE PVT. LTD. B 194287 114.51
1/12/2009 533103 JINDALCOTEX OPG SECURITIES P LTD B 712566 114.15
1/12/2009 533103 JINDALCOTEX KHUSHAL INVESTMENTS PRIVATE LIMITED S 221018 113.95
1/12/2009 533103 JINDALCOTEX TRANSGLOBAL SECURITIES LTD. S 364287 113.26
1/12/2009 533103 JINDALCOTEX PRAKASHBHAI NARSINHBHAI PATEL S 163220 113.47
1/12/2009 533103 JINDALCOTEX MATRIX EQUITRADE PVT. LTD. S 194287 114.71
1/12/2009 533103 JINDALCOTEX OPG SECURITIES P LTD S 712566 114.29
1/12/2009 530255 KAY Power BAMPSL SECURITIES LTD. S 70518 8.99
1/12/2009 531602 Koffee Break ANJAN KUMANIL ROY B 400000 2.12
1/12/2009 531602 Koffee Break ANKIT RAJENDRA SANCHANIYA S 400000 2.12
1/12/2009 532341 Logix Micro INDIA INVESTMENT PARTNERS LIMITED A/C ICG Q LIMITED S 132651 51.31
1/12/2009 500268 Manali Petro SUNIL ROSHANLAL BEHKI B 896726 10.70
1/12/2009 500268 Manali Petro SUNIL ROSHANLAL BEHKI S 896726 10.80
1/12/2009 531496 Omkar Overseas KAIZEN STOKTRADE PRIVATE LIMITED B 25000 35.85
1/12/2009 531496 Omkar Overseas RAJESH KUMAR SONARAM TRIVEDI B 30000 35.85
1/12/2009 531496 Omkar Overseas KALPANA AMIT PARIKH S 30000 35.85
1/12/2009 531496 Omkar Overseas ANILBHAI RAMBHAI BHARWAD S 40000 35.85
1/12/2009 532882 Omnitech Info OPG SECURITIES P LTD B 89837 150.12
1/12/2009 532882 Omnitech Info OPG SECURITIES P LTD S 89837 150.34
1/12/2009 524372 Orchid Chem AMRIT AND COMPANY B 354759 203.29
1/12/2009 524372 Orchid Chem AMRIT AND COMPANY S 354759 203.56
1/12/2009 532817 Oriental Trimex SETU SECURITIES PVT LTD B 80014 16.56
1/12/2009 532817 Oriental Trimex SETU SECURITIES PVT LTD S 80014 16.54
1/12/2009 511702 Parsharti Inv GAURAV AERI B 25000 37.60
1/12/2009 511702 Parsharti Inv JAYESH KUMAR PRAFULBHAI SONI B 18123 38.20
1/12/2009 531769 PFL Infotech YADURAJ BHAGERIA B 30000 14.72
1/12/2009 531769 PFL Infotech VRINDA BHAGERIA B 30000 14.72
1/12/2009 531769 PFL Infotech SHARDA JHUNJHUNWALA B 30000 14.72
1/12/2009 531769 PFL Infotech KASHI JHUNJHUNWALA HUF B 25000 14.72
1/12/2009 531769 PFL Infotech GUNJAN BHAGERIA B 30000 14.72
1/12/2009 531769 PFL Infotech ANUDEEP JHUNJHUNWALA B 30000 14.72
1/12/2009 531769 PFL Infotech CHIRAG GAJENDRA SHAH B 54000 14.72
1/12/2009 531769 PFL Infotech INDRANI HASMUKH SHAH B 26000 14.72
1/12/2009 531769 PFL Infotech PRANAV GAJENDRA SHAH B 35000 14.72
1/12/2009 531769 PFL Infotech KUNAL ROHIT SHAH B 37000 14.72
1/12/2009 531769 PFL Infotech PRITISH ROHIT SHAH B 32500 14.72
1/12/2009 531769 PFL Infotech STUTI BHAGERIA B 30000 14.72
1/12/2009 531769 PFL Infotech AVTAR RAM BHAGERIA B 30000 14.72
1/12/2009 531769 PFL Infotech PURSHOTTAM BHAGERIA B 30000 14.72
1/12/2009 531769 PFL Infotech MADHAV BHAGERIA B 30000 14.72
1/12/2009 531769 PFL Infotech CELEBRITY CONSULTANTS PRIVATE LIMITED S 74890 14.72
1/12/2009 531769 PFL Infotech KRISHNA PRASAD ASR S 35000 14.72
1/12/2009 531769 PFL Infotech SARIKA SINGHANIA S 201000 14.72
1/12/2009 531769 PFL Infotech PRIME INVEST INFO INVEST LTD. S 360000 14.72
1/12/2009 500356 Rama Newsprint MANDPAM COMMERCIAL LIMITED B 452493 24.59
1/12/2009 500356 Rama Newsprint JMP SECURITIES PVT LTD S 318000 25.05
1/12/2009 590077 Ranklin Sol VENKATA SIVA GANGADHARARAO PARVATHANENI B 37685 52.96
1/12/2009 511585 Regency Trust SHAH SANDEEP ANANTKUMAR HUF B 17000 11.71
1/12/2009 506172 Sampada Chem SUNIL BHAGWATLAL DALAL B 90000 44.90
1/12/2009 506172 Sampada Chem KOPRAN LABORATORIES LTD S 35300 44.90
1/12/2009 524540 Secunderabad Health SAURABH KUMAR RASIKLAL GANDHI B 17828 17.00
1/12/2009 532886 SEL Mfg Company NIKON FINLEASE PVT.LTD B 87930 75.57
1/12/2009 532886 SEL Mfg Company NIKON FINLEASE PVT.LTD S 87930 75.70
1/12/2009 512048 Splash Media BHROSEMAND COMMODITIES PVT. LTD. B 18105 390.55
1/12/2009 512048 Splash Media BINA HIMANSHU MEHTA S 18245 390.84
1/12/2009 526500 Sterling Green ANGEL INFIN PRIVATE LIMITED B 95435 41.10
1/12/2009 526500 Sterling Green ANURAGBHAI DINESHCHANDRA AGARWAL S 191991 40.79
1/12/2009 526500 Sterling Green ANGEL INFIN PRIVATE LIMITED S 37090 40.88
1/12/2009 530419 Sumedha Fisc SAKET MERCANTILES PVT LTD B 75000 16.81
1/12/2009 530419 Sumedha Fisc SAAKET MERCANTILES PVT LTD S 75000 16.81
1/12/2009 533121 THINKSOFT TRANSGLOBAL SECURITIES LTD. B 107431 296.18
1/12/2009 533121 THINKSOFT CHIMANLAL POPATLAL MATALIA B 58369 295.27
1/12/2009 533121 THINKSOFT OPG SECURITIES P LTD B 78136 295.79
1/12/2009 533121 THINKSOFT TRANSGLOBAL SECURITIES LTD. S 107431 296.90
1/12/2009 533121 THINKSOFT CHIMANLAL POPATLAL MATALIA S 58369 295.26
1/12/2009 533121 THINKSOFT OPG SECURITIES P LTD S 78136 295.93
1/12/2009 531874 Venus Ventures KANCHAN VIJAYKUMAR THAKKAR S 37500 12.70
1/12/2009 523796 Viceroy Hotels ICG Q LTD S 240557 36.06
1/12/2009 531249 Well Pack Papers OM PARKASH GUPTA B 24270 310.47
1/12/2009 531249 Well Pack Papers OM PARKASH GUPTA S 27437 309.78
1/12/2009 532788 XL Telecom TRIPTI B 100000 38.40
1/12/2009 532788 XL Telecom SANJAY S MITTRA S 108591 38.40
Sensex well over 17k, Nifty above 5100
Today's major news
Consolidated Construction Consortium bags Rs405-crore order; the stock ends 1.82% higher.
Reliance Industries topples Oil and Natural Gas Corporation (ONGC) as the largest gas producer in India; the stock rises 3.30%.
Maruti Suzuki India’s sales for November 2009 up by 66.6% yoy; the stock jumps 1.69%.
Sterlite Technologies bags Rs600-crore order; the stock shots up 5.36%.
Mahindra & Mahindra’s total sales jump by 81% yoy in November 2009; the stock surges 4.84%.
Click here for more stories
Post-market summary
Global signals
European stocks that closed lower in the previous sessions, bounced back today with close to 1.6% gains, as fear of Dubai debt default fades.
The major Asian indices opened marginally positive and got stronger as the day passed and closed with decent gains in the range of 0.91-2.43%. SGX Nifty ends 91 points higher.
As global markets rejoiced, the US stock futures opened strong with close to 0.80% gains in early trades. The investors will be waiting for a slew of economic data, including US ISM figures for November and pending home sales numbers.
Indian indices
The Sensex ended the day with heavy gains of over 200 points for the second day on the trot. The index opened gap-up with gains of 21 points and it never saw that level in the day and made a high of 17218. Stronger cues from Asian and western markets helped the Sensex close 272 points higher at 17198. Nifty closed at 5122, 1.84% higher.
Sensex sentiment
The market breadth got stronger as the day progressed and was very positive for the day. Out of 2,830 stocks traded on the BSE, 2,031 stocks advanced, whereas 725 stocks declined. Seventy-four stocks closed unchanged.
Sectoral & stock screening
Just like yesterday, market bulls helped all the 13 sector indices on the BSE to close in green today. BSE Realty topped the sector indices chart surging by 6.17%. Five of the indices--BSE Auto, BSE Bankex, BSE HC, BSE OIL & GAS and BSE PSU--gained 2-3%. The remaining seven indices gained less than 2% for the day.
On stocks’ front, Unitech surged the most by 11.78% followed by Jet Air India that rose by 9.28%. Jaiprakash Hydro Power, Yes Bank and Tata Motors were up by over 6% each. Among losers, Jain Irrigation slid the most by 2.57% followed by Hindustan Unilever that fell by 1.95%.
Viewing volumes
On stock turnover front, over 3.30 crore shares of Unitech changed hands on BSE followed by Suzlon Energy (1.89 crore shares), IFCI (0.57 crore shares), Ispat Industries (0.54 crore shares) and Reliance Natural Resources (0.53 crore shares).
NSE Bulk Deals to Watch - Dec 1 2009
Date,Symbol,Security Name,Client Name,Buy/Sell,Quantity Traded,Trade Price / Wght. Avg. Price,Remarks
01-DEC-2009,GOACARBON,Goa Carbon Ltd,AJAY ASSET MANAGEMENT PRIVATE LIMITED,BUY,34925,111.51,-
01-DEC-2009,JINDCOT,Jindal Cotex Ltd,AANGI SHARES & SERVICES PVT. LTD,BUY,582532,113.59,-
01-DEC-2009,JINDCOT,Jindal Cotex Ltd,AJAY ASSET MANAGEMENT PRIVATE LIMITED,BUY,138150,114.70,-
01-DEC-2009,JINDCOT,Jindal Cotex Ltd,BP FINTRADE PRIVATE LIMITED,BUY,134017,115.64,-
01-DEC-2009,JINDCOT,Jindal Cotex Ltd,NAMAN SECURITIES & FINANCE PVT. LTD,BUY,231241,112.07,-
01-DEC-2009,JINDCOT,Jindal Cotex Ltd,OM INVESTMENTS,BUY,381329,113.75,-
01-DEC-2009,JINDCOT,Jindal Cotex Ltd,OPG SECURITIES PVT. LTD.,BUY,160436,113.52,-
01-DEC-2009,JINDCOT,Jindal Cotex Ltd,RAHUL DOSHI,BUY,102860,113.57,-
01-DEC-2009,JINDCOT,Jindal Cotex Ltd,TRANSGLOBAL SECURITIES LTD.,BUY,410254,112.90,-
01-DEC-2009,NOIDATOLL,Noida Toll Bridge Company,ADROIT FINANCIAL SERVICES PRIVATE LIMITED,BUY,1119147,38.76,-
01-DEC-2009,RAMANEWS,Rama Newsprint and Papers,MANDPAM COMMERCIAL LIMITED,BUY,457093,23.67,-
01-DEC-2009,SELMCL,SEL Manufacturing Company,MBL & COMPANY LTD.,BUY,88424,75.66,-
01-DEC-2009,SELMCL,SEL Manufacturing Company,NIKON FINLEASE PVT. LTD,BUY,121727,76.00,-
01-DEC-2009,THINKSOFT,Thinksoft Global Ser Ltd,CHIMANLAL P. MATALIA,BUY,55279,295.15,-
01-DEC-2009,THINKSOFT,Thinksoft Global Ser Ltd,CPR CAPITAL SERVICES LTD.,BUY,134866,296.23,-
01-DEC-2009,THINKSOFT,Thinksoft Global Ser Ltd,DINESH MUNJAL,BUY,52810,297.47,-
01-DEC-2009,THINKSOFT,Thinksoft Global Ser Ltd,MANSUKH SECURITIES & FINANCE LIMITED,BUY,59047,296.39,-
01-DEC-2009,THINKSOFT,Thinksoft Global Ser Ltd,MBL & COMPANY LTD.,BUY,64882,296.29,-
01-DEC-2009,THINKSOFT,Thinksoft Global Ser Ltd,OM INVESTMENTS,BUY,82201,298.33,-
01-DEC-2009,THINKSOFT,Thinksoft Global Ser Ltd,TRANSGLOBAL SECURITIES LTD.,BUY,109484,297.36,-
01-DEC-2009,AUSTRAL,Austral Coke & Projects L,ANARCON RESOURCES PRIVATE LIMITED,SELL,2340880,7.80,-
01-DEC-2009,GOACARBON,Goa Carbon Ltd,AJAY ASSET MANAGEMENT PRIVATE LIMITED,SELL,55711,110.53,-
01-DEC-2009,JINDCOT,Jindal Cotex Ltd,AANGI SHARES & SERVICES PVT. LTD,SELL,582532,116.12,-
01-DEC-2009,JINDCOT,Jindal Cotex Ltd,AJAY ASSET MANAGEMENT PRIVATE LIMITED,SELL,144330,114.82,-
01-DEC-2009,JINDCOT,Jindal Cotex Ltd,BP FINTRADE PRIVATE LIMITED,SELL,133832,115.74,-
01-DEC-2009,JINDCOT,Jindal Cotex Ltd,NAMAN SECURITIES & FINANCE PVT. LTD,SELL,304289,112.37,-
01-DEC-2009,JINDCOT,Jindal Cotex Ltd,OM INVESTMENTS,SELL,381329,113.84,-
01-DEC-2009,JINDCOT,Jindal Cotex Ltd,OPG SECURITIES PVT. LTD.,SELL,160436,113.59,-
01-DEC-2009,JINDCOT,Jindal Cotex Ltd,RAHUL DOSHI,SELL,167860,113.19,-
01-DEC-2009,JINDCOT,Jindal Cotex Ltd,TRANSGLOBAL SECURITIES LTD.,SELL,410244,113.10,-
01-DEC-2009,NOIDATOLL,Noida Toll Bridge Company,ADROIT FINANCIAL SERVICES PRIVATE LIMITED,SELL,1121647,38.82,-
01-DEC-2009,NORTHGATE,Northgate Technologies Li,CITIGROUP GLOBAL MKTS MAURITIUS PVT LTD- SELL CODE,SELL,329084,33.85,-
01-DEC-2009,SELMCL,SEL Manufacturing Company,MBL & COMPANY LTD.,SELL,88424,75.47,-
01-DEC-2009,SELMCL,SEL Manufacturing Company,NIKON FINLEASE PVT. LTD,SELL,121727,75.99,-
01-DEC-2009,THINKSOFT,Thinksoft Global Ser Ltd,CHIMANLAL P. MATALIA,SELL,55279,295.25,-
01-DEC-2009,THINKSOFT,Thinksoft Global Ser Ltd,CPR CAPITAL SERVICES LTD.,SELL,134866,296.37,-
01-DEC-2009,THINKSOFT,Thinksoft Global Ser Ltd,DINESH MUNJAL,SELL,52810,297.84,-
01-DEC-2009,THINKSOFT,Thinksoft Global Ser Ltd,MANSUKH SECURITIES & FINANCE LIMITED,SELL,59025,296.41,-
01-DEC-2009,THINKSOFT,Thinksoft Global Ser Ltd,MBL & COMPANY LTD.,SELL,64882,296.54,-
01-DEC-2009,THINKSOFT,Thinksoft Global Ser Ltd,OM INVESTMENTS,SELL,82201,298.47,-
01-DEC-2009,THINKSOFT,Thinksoft Global Ser Ltd,TRANSGLOBAL SECURITIES LTD.,SELL,109498,296.98,-
A broad-based rally
Key benchmark indices surged for the second running day as markets across Europe and Asia rallied after worries about Dubai's finance woes receded. The BSE 30-share Sensex jumped 272.05 points or 1.61%, up 250.81 points from the day's low and off 20.19 points from the day's high. Robust November 2009 auto sales numbers added to the positive sentiment triggered by better-than-expected GDP data, helping the barometer index BSE Sensex regain the psychological 17,000 mark
The market cut gains after an initial surge triggered by higher Asian stocks. It cut gains later before bouncing back. The Sensex struck a fresh intraday high in mid-morning trade. The market came off the higher level later. The market hit a fresh intraday high in afternoon trade led by rally in index heavyweight Reliance Industries. The market extended gains to hit fresh intraday high in mid-afternoon trade as European markets rose. Intense buying frenzy in late trade propelled the market to the day's high in late trade
Exports fell 6.6% to $13.19 billion in October 2009 over October 2008, their 13th straight monthly fall, the government said on Tuesday. Imports dropped 15% from a year earlier to $22 billion. The trade deficit shrunk to $8.8 billion in October 2009 from $11.74 billion a year earlier.
Exports for April-October, the first seven months of the 2009-10 fiscal year, were down 26% at $91.05 billion from the same period in the previous year.
C. Rangarajan, chairman of the prime minister's Economic Advisory Council today said the robust growth of the economy in July-September indicated it could expand at around 7% in 2009-10. The latest numbers do indicate that industry and services are growing very strongly, Rangarajan said adding that this could help offset to a very large extent the impact of the decline in agricultural production.
Finance Minister Pranab Mukherjee told parliament today that the current trend in inflation in India is a result of a shortage of food items and not due to a demand-push factor. The food articles index rose an annual 15.6% as at 14 November 2009, up from the previous week's 14.6% rise. Weak monsoon and floods in parts of the country have hurt farm output and pushed up food prices. The government is keeping a close watch on futures trading in commodities, Mukherjee said
The finance minister said buoyancy in government's revenue seen earlier may not be there till 2011/12. He said the government will time stake sale in state-run firms so as to get maximum value. He added that there is no plan for a strategic stake sale in state-run firms. The government, last month, decided to cap its holdings in state-run firms at 90% and said it would sell off shares in the firms where this limit was exceeded.
India's manufacturing activity expanded for the eighth straight month in November 2009 but at its weakest pace since March 2009 due to a slowdown in growth of output, new business and employment, a survey showed. The HSBC Markit Purchasing Managers' Index (PMI), based on a survey of 500 companies, fell to 53 in November 2009 from 54.5 in October 2009. A reading above 50 means activity expanded during the month.
The market breadth was strong with small and mid-cap shares also participating in today's rally. Among the 30-member Sensex pack, 27 advanced while only 3 of them declined. Index heavyweight Reliance Industries surged nearly 3.5%. Metal shares rose on rally in metal prices on the London Metal Exchange on Monday.
Auto shares were also upbeat after auto major Maruti Suzuki India and Mahindra & Mahindra reported robust monthly sales figures for November 2009. Tata Motors struck a 52-week high of Rs 708 in intra-day trade today. FMCG shares underperformed the Sensex as investors shifted to high growth stocks from defensive stocks. IT pivotals, too, underperformed the Sensex on a firm rupee.
European shares rose on the first day of December, as worries about the potential fallout to the global economy from Dubai's debt woes abated and deal speculation also lent a hand. Key benchmark indices in UK, Germany and France were up by between 1.56% to 1.87%
Eurozone annual inflation turned positive for the first time in seven months but is still undershooting the European Central Bank's goal by a wide margin. Annual inflation in the 16-country region was 0.6% in November, according to a preliminary estimate by Eurostat, the European Union's statistical office, released on Monday. That was the first positive reading since April, when the annual inflation rate was also 0.6%. Eurozone inflation fell sharply from the second half of 2008 as energy prices tumbled but also as a result of the collapse in economic activity.
Japanese stocks led rally in Asian stocks today, 1 December 2009 as fears about the ripple effects of Dubai's debt woes eased. Key benchmark indices in Hong Kong, Singapore, South Korea and Taiwan were up by between 0.88% to 1.42%.
China's Shanghai Composite index rose 1.25%. China's manufacturing grew last month at the fastest pace since April 2004, a survey showed, helping Asia to lead the recovery from the global economic slump. The purchasing managers' index released today by HSBC Holdings Plc rose to a seasonally adjusted 55.7 in November 2009 from 55.4 in October 2009. The government's PMI, also released today, held at an 18-month high. The government's Purchasing Managers' Index was unchanged at a seasonally adjusted 55.2, the Federation of Logistics and Purchasing said in a statement. A reading over 50 indicates an expansion of activity in the manufacturing sector, while one below 50 suggests contraction.
Japan's Nikkei 225 index gained 2.43%. The Bank of Japan decided to take additional easing steps at a special policy meeting called Tuesday, in order to keep the country's fragile economic recovery in light of deflationary pressures and a soaring currency.
The Japanese central bank unanimously voted to keep its overnight call rate target unchanged at 0.1%, but also set up a new 10 trillion yen ($120 billion) lending facility, which will accept as collateral Japanese government bonds, coprorate bonds commercial paper, and deeds on loans. The bank pledged to cooperate with the government to do all it can to pull Japan out of deflation, which the bank has said it expects to last for three fiscal years.
Bank of Japan (BoJ) Governor Masaaki Shirakawa said that the BoJ's decision to pump more liquidity into the financial system to stave off deflation and recession was in part a response to the yen's recent strength, which culminated in a 14-year high against the dollar. He also said the commitment to keeping interest rates low will have an effect on the currency market in the longer run
Meanwhile, the Reserve Bank of Australia today raised its cash rate target by one quarter of a percentage point to 3.75%, further unwinding emergency policy settings no longer appropriate for the country's recovering economy.
Trading in US index futures showed the Dow could rise 66 points at the opening bell on Tuesday, 1 December 2009
US markets pulled off a modest gain in late trade on Monday, 30 November 2009, led by banks as investors took the view that Dubai debt woes will likely be contained. The Dow Jones industrial average gained 34.92 points, or 0.3%, to 10,344.84. The S&P 500 index rose 4.14 points, or 0.4%, to 1,095.63, and the Nasdaq Composite Index rose 6.16 points, or 0.3%, to 2,144.60.
In economic data, the institute for supply management-Chicago reported its gauge of regional business activity rose to 56.1 in November from 54.2 in October. This was the strongest reading since August.
Meanwhile, Dubai World, the holding company at the heart of the Dubai crisis, on Monday announced a restructuring plan involving $26 billion in debt. However, the Dubai government said it was not responsible for Dubai World's debts, dealing a blow to creditors' assumptions that the Arab emirate would guarantee the government-controlled conglomerate's liabilities.
Dubai World, one of the emirate's main state holding companies, last week, asked for a delay on maturities until at least 30 May 2010. The company has total debts of $59 billion, including $3.52 billion of Islamic bonds due 14 December 2009 from its property unit Nakheel.
Close home, data released on Monday showed the gross domestic product (GDP) grew by 7.9% in Q2 September 2009, from 7.1% in the previous year, shattering forecasts as stimulus measures boosted demand and manufacturing activity surged. The economy had registered a 6.1% growth in the first quarter.
The bulk of the recovery was led by a 9.2% growth in manufacturing, while mining and construction activities also expanded by 9.5% and 6.5%, respectively. But agriculture continued to me a major drag with a mere 0.9% growth.
Reacting to the GDP figures Montek Singh Ahluwalia, Deputy Chairman, Planning Commission said economic growth forecast for the year to March 2010 may have to be revised upwards as data released on Monday showed a faster expansion in September quarter. He added that there was no serious concern on inflation as of now and conventional monetary policy was unlikely to be effective in curbing food price rise.
Finance minister Pranab Mukherjee on Monday said he expects the economy to grow around 7% in the fiscal year ending March 2010. During the weekend, the finance minister said that Dubai's debt crisis would not affect India much, but the government is keeping a close watch and will act to prevent any fallout.
India's fiscal deficit during the April to October 2009 period was Rs 2.45 lakh crore ($52.7 billion), or 61% of the full-year target, the government said in a statement on Monday. Tax receipts were Rs 2.14 lakh crore and total expenditure was Rs 5.37 lakh crore for the first seven months of 2009/10 fiscal year
There are concerns that a glut in share sales may suck liquidity from the secondary market. A foreign brokerage firm expects Indian firms to raise roughly $70 billion through share sales over the next three years. The brokerage expects stake sales in state-run firms will account for $10-$15 billion of the total funds to be raised. The upcoming auction of third-generation mobile spectrum will also spur potentially billions of dollars in equity raising, although not necessarily from the public markets.
Indian companies have raised about $18 billion in equity thus far this year to repay high cost debt or to fund expansion plans. Last year, Indian firms raised $7.2 billion in equity.
The BSE 30-share Sensex was up 272.05 points or 1.61% to 17,198.27, the highest level since 25 November 2009. The Sensex opened 21.24 points higher at 16,947.46, also its day's low. It gained 292.24 points at the day's high of 17,218.46 in late trade.
The S&P CNX Nifty was up 89.30 points or 1.77% to 5122, its highest level since 17 October 2009. Nifty December 2009 futures were at 5,130.80, at a premium of 8.80 points as compared to the spot closing.
A deluge of global liquidity has boosted stocks across the globe this year. Governments and central banks around the world have injected trillions of dollars in the past one year to pull the world out of a most severe recession since the 1930s Great Depression. The Sensex is up 7550.96 points or 78.27% in calendar year 2009, as on 1 December 2009. From a 3-year closing low of 8,160.40 on 9 March 2009, the Sensex is up 9037.87 points or 110.75% as on 1 December 2009.
Coming back to today's trade, the BSE Mid-Cap index rose 1.77% and the BSE Small-cap index gained 2.15%. Both these indices outperformed the Sensex.
All sectoral indices on BSE ended higher. The BSE Metal index (up 2.09%), the BSE Healthcare index (up 2.55%), the BSE Auto index (up 2.90%), the BSE Oil & Gas index (up 2.31%), the BSE Bankex (up 2.30%), the BSE Realty index (up 6.17%), outperformed the Sensex.
The BSE FMCG index (up 0.01%), the BSE Power index (up 1.01%), the BSE PSU index (up 1.16%), the BSE Capital Goods index (up 0.89%), the BSE Consumer Durables index (up 0.54%), the BSE Teck index (up 0.96%), the BSE IT index (up 0.53%), underperformed the Sensex.
The market breadth, indicating the overall health of the market was strong. On BSE, 2091 shares advanced as compared with 746 that declined. A total of 82 shares remained unchanged.
The total turnover on BSE amounted to Rs 5026 crore as compared with Rs 4328 crore on Monday, 30 November 2009. Turnover in NSE's futures & options (F&O) was Rs 60,656.98 crore, lower than Rs 67,547.79 crore on Monday, 30 November 2009.
Among the 30-member Sensex pack, 27 advanced while only 3 of them declined.
Auto stocks rallied following robust monthly sales in November 2009. India's top truck maker by sales Tata Motors rose 7.11% to Rs 707.90 and was the top gainer from the Sensex pack. The stock struck a 52-week high of Rs 708 in intra-day trade today. The company is reportedly planning to produce hybrid versions of its low cost car Nano to join in the environment-friendly trend.
On consolidated basis, Tata Motors reported a net profit of Rs 21.78 crore in Q2 September 2009, compared to a loss of Rs 941.8 crore a year earlier. Consolidated total income declined 8.20% to Rs 21506.94 crore in Q2 September 2009 over Q2 September 2008. The results were announced at the fag end of the trading session on Friday, 27 November 2009.
India's largest small car maker by sales Maruti Suzuki India rose 1.49% after total vehicle sales spurted 66.60% to 87,807 units in November 2009 over November 2008. The announcement was made during trading hours today, 1 December 2009. Domestic sales spurted 60.10% to 76,359 units, while exports surged 128.60% to 11,448 untis in November 2009 over November 2008.
India's top tractor marker by sales Mahindra & Mahindra (M&M) gained 4.69% after its domestic auto sales soared 105.1% to 21,387 units in November 2009 over November 2008. M&M sold a total of 22,587 vehicles (domestic plus exports) in November 2009 as against 11,515 vehicles sold in November 2008.
The company signed an agreement with BAE Systems, the global defence systems manufacturer, to create a land systems focused joint venture defence company that will be based in India. The announcement was made at fag end of day's trading session on Monday.
M&M will hold 74% in the venture and BAE Systems will hold the remaining 26%, the maximum foreign direct investment allowed under the existing defence sector norms. The two companies will invest a total of $21.25 million over a three-year period.
India's largest bike maker by sales Hero Honda Motors rose 1.17% after total vehicle sales jumped 32% to 3.81 lakh units in November 2009 over November 2008. The announcement was made during trading hours today, 1 December 2009. India's second largest bike maker by sales Bajaj Auto shot up 4.05%.
India's largest private sector firm by market capitialisation Reliance Industries (RIL) advanced 3.47% to Rs 1099.70. RIL has reportedly become the largest natural gas producer in the country with its over 50 million standard cubic meter per day (mmscmd) output surpassing state-run Oil and Natural Gas Corporation's (ONGC) output.
RIL's gas production from its D6 fields in the Krishna Godavari basin yesterday touched 50.15 mmscmd, according to the regular output report RIL sent to the oil ministry. This for the first time surpasses ONGC's 49.6 mmscmd output.
Shares of oil exploration firms rose after crude oil prices gained on the New York Mercantile Exchange on Monday, 30 November 2009. Cairn India gained 3.84% and Oil India rose 3.86%.
However India's largest oil exploration firm by sales Oil & Natural Gas Corporation (ONGC) fell 0.66% on profit booking. The stock jumped 2.97% on Monday on reports it has found traces of a new oil reserve in Gujarat in western India that could raise its onshore oil production by 20%. The new hydrocarbon structure is likely to produce at least 1 million tonnes per annum (mmtpa) of oil. This could be the largest onshore oil find for ONGC in the last one decade.
Rise in crude oil prices would result in higher realizations from crude sales for oil exploration firms. Light, sweet crude rose $1.23 or 1.62% to $77.28 a barrel on the New York Mercantile Exchange on Monday, 30 November 2009 after the Institute for Supply Management-Chicago Inc. said its business barometer climbed to 56.1, the highest level since August 2008.
Aban Offshore rose 5.51% on reports the company is planning to list its Singapore subsidiary Aban Singapore on the Singapore Exchange, or SGX, sometime early next year.
India's largest pharma firm by market capitaliasation Sun Pharmaceuticals jumped 5.36%. On 26 November 2009, the company received tentative United States Food and Drug Administration's approval for its generic Strattera capsules, which is used for treatment of attention deficit hyperactivity disorder. The drug is a therapeutic equivalent of Strattera capsules from Eli Lily.
Cipla jumped 2.76% on reports the firm is in talks with a host of global drug makers, including Pfizer Inc, to supply generic products.
Other pharma shares also joined the rally on fresh buying. Ranbaxy Laboratories (up 3.41%), Cipla (up 2.76%), Orchid Chemicals (up 4.57%), Torrent Pharma (up 3.57%), Glenmark Pharmaceuticals (up 4.19%), and Cadila Healthcare (up 4.20%), surged.
Jubilant Organosys rose 3.14% after the company extended its 4-year-old drug discovery collaboration with Eli Lilly and Co by five years.
Metal stocks extended Monday's gains on fresh buying. India largest non ferrous metal producer Sterlite Industries jumped 2.96% tracking a 2% gain in its American depository receipt (ADR) on Monday.
India's largest private sector aluminium maker by sales Hindalco Industries surged 2.86%. On Friday, the Reserve Bank of India allowed the company to enhance foreign institutional investors (FII) limit to 40%.
Tata Steel (up 1.10%), Steel Authority of India (up 3.73%), Sesa Goa (up 0.44%), JSW Steel (up 2.67%), National Aluminium Company (up 2.22%), advanced
A gauge of six metals traded on the London Metal Exchange, rose 1.71% on Monday, 30 November 2009.
India's largest bank by net profit and branch network State Bank of India gained 2.41% on reports the bank has invited bids for sale of 1% stake in National Stock Exchange of India (NSE) as well as 5.91% stake in Multi Commodity Exchange (MCX).
Private sector banking pivotals gained tracking firm ADRs. India's largest private sector bank by net profit ICICI Bank gained 2.61% following a 2.17% rise in its ADR on Monday. India's second largest private sector bank by net profit HDFC Bank rose 0.92% echoing a 0.29% rise in its ADR on Monday.
Realty stocks saw an across the board rally as Dubai's debt worries eased. Housing Development & Infrastructure (up 4.48%), DLF (up 5.67%), Unitech (up 12.47%), Indiabulls Real Estate (up 3.74%), Orbit Corporation (up 2.94%), Parsvnath Developers (up 2.69%), Omaxe (up 3.17%), and Anant Raj Industries (up 1.65%), gained
Peninsula Land advanced 4.31% after the company received a sum of Rs 160 crore from Alok Realtors from the sale of 6.41 lakh square feet at Peninsula Business Park in Mumbai. The company made this announcement during trading hours today, 1 December 2009.
Consolidated Construction Consortium gained 1.82% after the company bagged orders aggregating Rs 405 crore. The company announced the fresh orders after market hours on Monday, 30 November 2009.
IRB Infrastructure Developers advanced 4.43% after a promoter of the company hiked his stake in the firm. The company made this announcement after market hours on Monday, 30 November 2009.
India's largest engineering & construction firm by sales Larsen & Toubro (L&T) gained 0.80%. L&T during market hours on Monday announced the formation of a joint venture with the state-run Nuclear Power Corporation of India (NPCIL) for making nuke forgings, a crucial component in the construction of nuclear reactors. NPCIL would hold 26% in the venture and L&T the remainder.
Areva T&D India rose 2.26% after parent Areva SA of France said it will hold exclusive talks to sell its transmission and distribution unit to a French consortium.
Aksh Optifibre surged 5% after the company's board approved raising up to $8 million. The company made this announcement after market hours on Monday, 30 November 2009.
Sterlite Technologies jumped 5.60% after the company secured new contracts worth over Rs 600 crore in the month just gone by. The company made this announcement during trading hours today, 1 December 2009.
India's largest power generation firm by capacity NTPC rose 0.41% on reports the company plans to acquire two coal mines in Indonesia to secure fuel supplies for its plants.
IT stocks rose following reports of TCS, Wipro and Infosys are in the fray for Goldman Sachs' $700 million IT outsourcing deal. However they underperformed the Sensex on profit booking and firm rupee.
India's largest software services exporter Tata Consultancy Services (TCS) rose 0.35%. India's second largest software services exporter Infosys Technologies rose 0.50%. India's third largest software services exporter Wipro rose 1.29%. The partially convertible rupee was trading at 46.26/27 per dollar, higher than 46.50/52 on Monday. A firm rupee negatively impacts operating profit margin of IT firms as the sector derives a lion's share of revenue from exports.
As per reports, the contract, to create research & development functions and software database, will span across 5-6 years. HCL Technologies, Cognizant, and IBM are the others bidders reported to be in the fray for the IT contract of Goldman Sachs. Bids are expected to begin by April 2010.
FMCG shares underperformed the Sensex as investors shifted from the so-called defensive sector to high growth sectors. India's largest FMCG company by sales Hindustan Unilever lost 2.09% to Rs 279.30 and was the top loser from the Sensex pack.
ITC (up 0.25%), United Spirits (up 0.32%), Colgate Palmolive India (up 0.15%), though up underperformed the Sensex. Godrej Consumer Products (down 0.05%), Marico (down 1.11%), also slipped
Tea stocks saw an across the board rally for the second day after Tea Board of India chairman Basudeb Banerjee was quoted as saying that tea production in India will be marginally lower this year than in the year before due to erratic weather.
Harrisons Malayalam (up 2.84%), Goodricke Group (up 7.68%), Warren Tea (up 2.79%), McLeod Russel (up 1.53%), Assam Company (up 2.85%), Tata Tea (up 0.08%), surged.
Jet Airways (India) spurted 9.28% after the state-run oil marketing firms on Monday, 30 November 2009, cut jet fuel by 1.10% in step with marginal easing of crude rates. Following this, aviation turbine fuel (ATF) prices in Delhi have come down by Rs 455 to Rs 39,968 per kilolitre (KL). In Mumbai it is down by Rs 474 to Rs 41,237/KL. Jet fuel is the largest component of costs for air carriers.
Other shares from the aviation sector also logged gains. Kingfisher Airlines (up 7.34%), and SpiceJet (up 6.62%), jumped.
Mercator Lines rose 3.62% after the company took delivery of a 1993 built M R Tanker of 42,235 dead weight tonnage. The company announced the acquisition of vessel during trading hours today, 1 December 2009.
Unitech was the top traded counter on BSE with turnover of Rs 282.44 crore followed by Tata Steel (Rs 153.94 crore), Suzlon Energy (Rs 150.83 crore), DLF (Rs 126.24 crore), and HDIL (Rs 125.54 crore).
Unitech was the volume topper on BSE with volume of 3.30 crore shares followed by Cals Refineries (3.20 crore shares), Suzlon Energy (1.89 crore shares), Jindal Cotex (77.37 lakh shares), and Mahindra Satyam (59.57 lakh shares).
Zydus Wellness (up 20%), Kiri Dyes (up 20%), Ocl Iron & Steel (up 19.81%), KPR Mills (up 15.55%), and Manali Petrochem (up 19.98%), surged.
Logix Microsystems (down 7.06%), Arvind Chemicals (down 6.98%), and Anil Product (down 6.23%), declined.
Copper rises again
Prices gain more than 6% in November
Copper prices rose at Comex and LME on Monday, 30 November, 2009. Prices rose as the debt concerns in Dubai eased a bit over the weekend. This led the dollar falter today.
At USA, copper futures for March delivery ended higher by 5.5 cents (1.8%) to 3.1485 a pound. Copper ended November 2009 higher by 6.6%. On a year to date basis, copper has climbed 123%.
On the London Metal Exchange, copper for delivery in three months ended higher by $72 (1.1%) at $6,918 a metric ton. On 3 July, 2008, prices had touched an all time intra day high of $8,940.
In the currency market on Monday, the dollar weakened as concerns eased over Dubai's debt problem, and as upbeat economic data in the Chicago region reduced investors' appetite for the greenback. The dollar index, which measures the strength of dollar against a basket of six other currencies, fell by almost 0.6% today.
Worries over Dubai's debt crisis eased Monday after the central bank of the United Arab Emirates said during the weekend that it will make available a special liquidity facility for banks of the city state. Dubai World, the largest corporate entity in the Persian Gulf emirate, asked creditors last Wednesday for a six-month stay on repayment of $60 billion in debts.
In economic news, as per the Chicago purchasing managers index released on Monday by the Institute for Supply Management of Chicago, more businesses in the Chicago region were expanding in November than at any time in the past 15 months.
The U.S. buys about 13% of the 17 million metric tons of copper sold annually and China buys about 20%.
In FY 2008, copper prices dropped by 54%. Prior to 2008, copper prices ended FY 2007 with a gain of mere 5.5% after a whopping 44% gain in FY 2006. The price of copper gained every year since 2002 as global economic growth boosted demand for the metal used in pipes and wires.
At the MCX, copper for February delivery closed at Rs 320.75/Kg. The closing price was Rs 0.7/Kg (0.21%) lower than previous closing price. Prices rose to a high of Rs 322/ Kg and fell to a low of Rs 313.1/Kg during the day's trading.
Among other metals traded in the LME on Monday, lead added 0.4% to $2,310 a ton and zinc added 0.5% to end at $2,250 a ton. Nickel rose 0.6% to end at $16,185. Aluminium was little changed at $2,015 a ton.
Sensex to remain volatile
Headlines for the day
NTPC to buy 2 coal mines in Indonesia - DNA Money
Mahindra, BAE in land systems JV - DNA Money
RIL topples ONGC as largest gas producer – Business Standard
Consolidated Construction Consortium bags order worth Rs405 crore - Business Line
GDP at 7.9% beats market expectation - Business Standard
Pre-market report
Global signals
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The concern over the Dubai default still seems to be hovering over the European stocks that fell by over 1% each on Monday.
*
The picture in the US was full of contrast to that of the Europe, the major US indices remained volatile for the entire session, however ended positive with 0.3% gains for Dow, as the concern over the size of the Dubai default eases.
*
Leaving Nikkei 225 and Shanghai Composite that fell by 0.95% and 0.13% respectively, all the remaining major Asian indices were trading in the green. At the time of writing this report, SGX Nifty was trading 21 points higher.
Indian markets
*
After a month of gains, the domestic indices might surge further today on the back of marginally positive global cues. The Sensex to follow the Asian cues and may get choppy as the day progresses.
*
Among the local indices, the Nifty could test the 5050-5100 range on the up side, while on the down side it could find support at 5000 and 4950. The Sensex is likely to get support at 16600 and may face resistance at 17100.
Indian ADR's
*
Among the Indian ADRs trading on the US bourses, only Wipro and VSNL closed in the red with losses of 1.38% and 1.08% respectively. While rest all the ADRs ended in the positive with the gains of 0.29%-6.58% each, MTNL rose the most.
Commodity cues
*
In the commodity space, the Crude oil prices slides further, with the Nymex light crude oil for January 2010 series falling by $0.25 to settle at $75.80 a barrel.
*
In the metals space, the Comex Gold for February 2010 series rose by $7.50 to settle at $1183.00 a troy ounce, while Comex Silver for December series surging by $0.21 to settle at $18.54 to a troy ounce.
Daily trend of FII/MF investment in equities
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On November 30, 2009, FIIs were the net sellers of the Indian Stocks in the tune of Rs730.30 crore (with the gross purchase of Rs1420.80 crore and gross sales of Rs2151.10 crore).
*
Even the Domestic mutual funds mutual funds, on November 27, 2009, were the net sellers of the stocks in the tune of Rs361.50 crore (with gross purchase of Rs938.30 crore and gross sales of Rs1299.80 crore).
Bullion metals glitter again
Price metal prices register sharp rise in November
Precious metal prices registered good increase on Monday, 30 November, 2009. With Monday's increase, bullion metals registered good rise for the month of November. The dollar remained relatively weak for the day thereby imparting more glitter to precious metals.
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 and also vice versa.
On Monday, gold for December delivery ended at $1,181.1, higher by $6.9 (0.6%) an ounce on the New York Mercantile Exchange.
Gold ended November, 2009 higher by 13%. Gold just lost in three sessions in the entire month of November. For the third quarter it ended higher by 8.7%. Before this, for the second quarter, gold ended higher by 0.5%. The metal had gained 4.3% in the first quarter of this year. On a year to date basis, gold price is higher by 33%.
On Monday, December Comex silver futures ended higher by 19.3 cents (1.1%) at $18.495 an ounce. For the month of November, 2009, silver rose 14%.
In the currency market on Monday, the dollar weakened as concerns eased over Dubai's debt problem, and as upbeat economic data in the Chicago region reduced investors' appetite for the greenback.
Worries over Dubai's debt crisis eased Monday after the central bank of the United Arab Emirates said during the weekend that it will make available a special liquidity facility for banks of the city state. Dubai World, the largest corporate entity in the Persian Gulf emirate, asked creditors last Wednesday for a six-month stay on repayment of $60 billion in debts.
In economic news, as per the Chicago purchasing managers index released Monday by the Institute for Supply Management of Chicago, more businesses in the Chicago region were expanding in November than at any time in the past 15 months.
In 2008, gold prices ended higher by 5.5%. The dollar index had gained 12% that year.
At the MCX, gold prices for February delivery closed lower by Rs 326 (1.8%) at Rs 17,711 per ten grams. Prices rose to a high of Rs 18,004 per 10 grams and fell to a low of Rs 17,205 per 10 grams during the day's trading.
At the MCX, silver prices for March delivery closed Rs 575 (1.98%) lower at Rs 28,373/Kg. Prices opened at Rs 28,810/kg and fell to a low of Rs 27,800/Kg during the day's trading.
Crude climbs back
Crude ends November in a steady mode
Crude prices rose at Nymex on Monday, 30 November, 2009. Prices rose as the dollar once again fell weak following part ease of the debt crisis in Dubai over the weekend.
On Monday, crude-oil futures for light sweet crude for January delivery closed at $77.28/barrel (higher by $1.23 or 1.6%). Earlier during the day, the contract dropped to a low of $75.13. Last week, crude ended lower by 1.8%. Crude ended month of November, higher by 0.4%.
Oil prices had reached a high of $147 on 11 July, 2008 but have dropped almost 48% since then.
In the currency market on Monday, the dollar weakened as concerns eased over Dubai's debt problem, and as upbeat economic data in the Chicago region reduced investors' appetite for the greenback.
Worries over Dubai's debt crisis eased Monday after the central bank of the United Arab Emirates said during the weekend that it will make available a special liquidity facility for banks of the city state. Dubai World, the largest corporate entity in the Persian Gulf emirate, asked creditors last Wednesday for a six-month stay on repayment of $60 billion in debts.
In economic news, as per the Chicago purchasing managers index released on Monday by the Institute for Supply Management of Chicago, more businesses in the Chicago region were expanding in November than at any time in the past 15 months.
Among other energy products, December reformulated gasoline gained 7.46 cents, or 3.9%, to $2.0008 a gallon and December heating oil added 5.59 cents, or 2.8%, to $2.0181 a gallon. Both contracts expired at the end of trading on Monday.
Also on Monday, natural gas for January delivery dropped 34.4 cents, or 6.6%, to $4.848 per million British thermal units.
Crude prices had ended FY 2008 lower by 54%, the largest yearly loss since trading began at Nymex.
At the MCX, crude oil for December delivery closed lower by Rs 24 (0.7%) at Rs 3,542/barrel. Natural gas for December delivery closed higher by Rs 0.9 (0.4%) at Rs 243.2/mmbtu.
Daily News Roundup - Dec 1 2009
RIL is relocating a large part of its staff (around 2000) mainly from its human resources and finance departments to Navi Mumbai. (ET)
RIL topples ONGC as largest gas producer in the country. (BS)
Tata Motors may launch Nano Hybrid cars. (BS)
L&T and NPCIL tie-ups for atomic power components. (BS)
HDFC hikes stake in HDFC Bank through warrant conversion. (BS)
SAIL to cut flat steel prices. (DNA)
JSW Group has decided to revive two projects estimated to over Rs20bn together. (ET)
Mahindra Group will restructure its top management by inducting several fresh faces into its key decision-making body. ET)
Essar Oil has extended its exclusive talks to acquire three European refineries of Royal Dutch Shell beyond end of November. (ET)
Glenmark Pharma is planning to repay its debt of around Rs3bn by end of this fiscal. (ET)
European Patent Office has issued three patents to chemical entities of Suven Life Sciences, which are used in treating nerve disorders. (ET)
ACC to use municipal waste to fire its kilns as a substitute for coal. (BL)
M&M and British defence company BAE Systems on Monday singed an agreement to launch a joint venture company to focus on manufacturing land systems for security forces. (ET)
Wockhardt has reached an out-of-court settlement with DBS Bank, putting an end to its legal battle over repayment of loan taken two years ago. (ET)
PE firm New Silk Route has initiated talks with the Ruias-owned Essar Telecom Infrastructure for merger of tower arms. (ET)
Network 18 seeks nod for investing or providing loans worth Rs8bn to four subsidiaries. (BS)
Cairn India has produced and sold a million barrel of oil from its Mangala oil field in Rajasthan. (BS)
NTPC is eyeing to acquire coal blocks in Indonesia in a bid to meet the increasing shortfall in the domestic supply of dry fuel. (BS)
Consolidated Construction Consortium Ltd has bagged an order worth Rs4bn. (BL)
India’s GDP expanded by 7.9% during the July-September second quarter, its fastest pace in a year and a half. (ET)
State run oil firms have cut jet fuel prices by little over 1%. (BS)
STPI exports up 10% to Rs834bn in the first half of current fiscal. (BS)
The Elephant dances
...when you see an elephant. carrying its great weight effortlessly along on cushioned feet, the only possible response is: ˜Of course. How could it be otherwise?"
The bulls are enjoying the GDP growth music as India does an elephant dance. Sure, the stimulus measures are showing the desired effect. When sentiment turns bad we will revisit the deficit figures. For now the question is when will the RBI step in to suck out surplus liquidity by tightening monetary policy? We reckon it would be in January.
The country's GDP expanded by 7.9% in Q2. The growth for the first six months now stands at an impressive 7%. Upward revision of GDP growth will be the order of the day now. Services grew by over 9%. Agriculture, showed some growth but next quarter is most certain to be negative.
The opening may be just about in the green. Thereafter, the indices are expected to weaken. Profit booking could be seen in counters which ran too fast on Monday. Global cues during the day will be watched closely for direction. For now, the global signals are mixed. Asian markets are weak.
Meanwhile, Bank of Japan is to hold an extraordinary policy meeting later today and some monetary easing steps are expected.
US markets ended positive after a tumultuous session thanks to a recovery in bank stocks. The belief on Wall Street was that the Dubai debt issue will not hurt the US institutions as much as expected earlier. The Dow added 35 points, the S&P 500 gained 4 points and the Nasdaq rose 6 points.
Reports say during the Thanksgiving holiday weekend more came shopping but the total amount spent averaged less than a year ago.
The Obama administration says it will increase efforts on mortgage companies that aren't doing enough to help borrowers who are at risk of foreclosure. The pressure tactics could include imposing fines and sanctions.
US light crude oil for January delivery rose $1.23 to close at $77.28 a barrel on the New York Mercantile Exchange.
In other news reported in the media:
RIL has toppled ONGC as largest gas producer in the country. (BS)
Tata Motors may launch Nano Hybrid cars. (BS)
HDFC hikes stake in HDFC Bank through warrant conversion. (BS)
SAIL to cut flat steel prices. (DNA)
JSW Group has decided to revive two projects estimated to over Rs20bn together. (ET)
Mahindra Group will restructure its top management by inducting several fresh faces into its key decision-making body. ET)
Essar Oil has extended its exclusive talks to acquire three European refineries of Royal Dutch Shell beyond end of November. (ET)
Glenmark Pharma is planning to repay its debt of around Rs3bn by end of this fiscal. (ET)
State run oil firms have cut jet fuel prices by little over 1%. (BS)
Past two trading sessions saw equity markets in India being badly beaten down as debt problems in Dubai took its toll on financial markets world over. The Nifty index fell over 160 points or 3.2% while the Sensex lost over 550 points or 3.2% in the past two trading session.
However, Monday saw the bulls back on Dalal Street recouping from previous weeks on hopes that situation in Dubai is not that bad after all for the time being.
The come back also could be attributed to firm cues from the Asian markets. Better than expected GDP numbers for the July-September quarter further provided a fillip to sentiment on Dalal Street.
The country’s Gross Domestic Products (GDP) grew at the fast pace in over 12 months. GDP grew 7.9% in the July-September quarter in the same period last year. The economy grew at 6.1% as compared to an estimated growth of 6.2% in the first quarter.
The index of mining, manufacturing and electricity, registered growth rates of 9.5%, 9.2% and 7.5%, respectively in Q2 of 2009-10, as compared to the growth rates of 3.8%, 4.9% and 3.2% in these industries in Q2 of 2008-09.
Buying was witnessed in the large caps which were randomly beaten down last week especially, the telecom heavyweights like Bharti and RCom were in demand. Even the Metals, IT and the Consumer Durable stocks were among the major gainers. The Mid-Cap and the Small-Cap stocks attracted buying interest.
The BSE Sensex surged 294 points to end at 16,926 after touching a high of 17,026 and a low of 16,739. The index opened at 16,655 against the previous close of 16,632. The NSE Nifty was up 91 points to shut shop at 5,033.
In Asia, the Nikkei in Japan was up 3%, while Australia's S&P/ASX ended higher by 2.8%. Shanghai SE Composite in China gained 3.2% and Hang Seng index in Hong Kong was up 3.2%.
In Europe, stocks were in the red. The FTSE in the UK was down 0.9%, The DAX in Germany was down 1% and the CAC 40 index in France fell 1.2%.
Coming back to India, among the BSE sectoral indices, the Metal index was the top gainer, adding 3.7%, followed by the Teck index that was up 2.5% and the BSE IT index was up 2.1%.
The BSE Mid-Cap index gained 1.6% and the BSE Small-Cap index was up 2%.
Among the 30-components of Sensex, 26 stocks ended in the green and only Hero Honda, SBI, Maruti and Sun Pharma ended in the negative terrain. Among the major gainers were Bharti Airtel, Tata Steel, JP Associates, Tata Motors and Hindalco.
Outside the frontline indices, the big gainers in the broader market were GMDC, Hindustan Zinc, CESC, Tulip Tele and JP Hydro. On the other hand, losers included Dabur India, Apollo Hosp, Allahabad Bank and Videocon Industries.
Shares of Suzlon surged by 6% to end at Rs78.45 after the company’s subsidiary REpower Systems received an order from Saint-Laurent Énergies, Canada, for supply of 954 MW of wind turbines. The deal size is estimated at about Rs48bn.
REpower signed a framework agreement with EDF Energies Nouvelles and RES Canada, the joint owners of Saint-Laurent Énergies for the turbines to be installed across five projects in Quebec.
Mr Tulsi Tanti, Chairman and Managing Director, Suzlon Energy, said it is one of the largest orders in the North American market.
Shares of ONGC gained by 2.5% to Rs1199 after reports stated that the company found traces of a new oil reserve in Gujarat.
The new hydrocarbon structure located at North Kadi in the Mehsana area is likely to produce at least 1 mmtpa of oil (about 20,000 barrels of oil per day). This is a little less than half the oil production from Mehsana, the company’s largest onshore field with a production of 2.2 mmtpa.
However, later the company denied reports on new oil discovery at Mehsana block in the western state of Gujarat and further said it plans to drill one new well in Mehsana area.
Suven Life Sciences surged over 4% to end at Rs25.85 after the company announced that the European Patent Office (EPO) Issued 3 new Patents: EP1537113, EP1704154 and EP1856132 corresponding to three New Chemical Entities (NCEs) for the treatment of disorders associated with Neurodegenerative diseases and these Patents are valid until 2022,23 and 24 respectively.
Shares of Wockhardt surged by over 2.5% to Rs175 after reports stated that the Pharma major and DBS Bank agreed to an out-of-court settlement of a dispute over loans Wockhardt had taken from the Singapore-based lender.
Both the concerned entities have approached the Bombay High Court with a consent decree, reports added.
In the previous month, DBS had filed a winding-up petition against Wockhardt in the Bombay HC, seeking liquidation of the company in order to pay off dues to its creditors.
Indiabulls Power and Morgan Stanley have extended the stabilisation period for six trading days (that is upto December 07, 2009) days or expiration of the Green Shoe Option quota of 50,900,000 Equity Shares, whichever is earlier.
Shares of Indiabulls Power gained by 1% to end at Rs33. The scrip opened at Rs32.50 it touched an intra-day high of Rs33.85 and a low of Rs31.90 and has recorded volumes of over 4.8mn shares on BSE.
AIA Engineering
Recommend a buy in AIA Engineering from a short-term perspective. It is evident from the charts that the stock has been on an intermediate-term uptrend from its March low of Rs 102. Since then, the stock has been shaping higher peaks and troughs. Conclusive break-out of the stock's significant long-term resistance level at Rs 350 by jumping 7 per cent on November 30 signals bullishness. This upmove was accompanied with high volume. The stock also is on a short-term uptrend from early November and is hovering well above its 21- and 50-day moving averages. Both daily and weekly relative strength indices are featuring in the bullish zone. Moreover, the daily as well as weekly moving average convergence and divergence indicators are attributing optimism. Considering that the stock's intermediate-term uptrend-line is in tact, we are bullish from a short-term perspective. We expect it to continue its rally until it hits our price target of Rs 417. Trader with a short-term horizon can buy the stock while maintaining a stop-loss at Rs 360.
via BL
BSE Bulk Deals to Watch - Nov 30 2009
Deal Date Scrip Code Company Client Name Deal Type * Quantity Price **
30/11/2009 524412 Aarey Drugs HUSMUKHLAL KODARLAL PANCHAL S 29551 46.82
30/11/2009 530901 ACIL Cot Inds HOOGHLY MILLS PROJECTS LTD B 150000 29.32
30/11/2009 530901 ACIL Cot Inds KASTURI TOWERS LIMITED B 73500 29.31
30/11/2009 530901 ACIL Cot Inds MAYANK SECURITIES PRIVATE LIMITED B 65000 29.31
30/11/2009 530901 ACIL Cot Inds BEENA R. SURANA S 90285 29.31
30/11/2009 530901 ACIL Cot Inds RAJENDRA NIHALCHAND SURANA S 100000 29.32
30/11/2009 533138 ASTEC LIFE OPG SECURITIES P LTD B 86031 85.24
30/11/2009 533138 ASTEC LIFE OPG SECURITIES P LTD S 86031 85.37
30/11/2009 532759 Atlanta OPG SECURITIES P LTD B 82124 169.14
30/11/2009 532759 Atlanta OPG SECURITIES P LTD S 82124 169.21
30/11/2009 522005 Austin Engr NAVEEN MODANI B 20084 109.39
30/11/2009 522005 Austin Engr REEMA GUPTA B 20000 107.36
30/11/2009 522005 Austin Engr ALPESH SHESHMAL HUF B 25205 109.29
30/11/2009 522005 Austin Engr S K SINGHAL & SONS HUF B 21097 109.28
30/11/2009 522005 Austin Engr SHILABEN SUNILKUMAR CHOKSHI S 19001 110.05
30/11/2009 522005 Austin Engr NAVEEN MODANI S 20084 109.80
30/11/2009 522005 Austin Engr REEMA GUPTA S 25000 109.52
30/11/2009 522005 Austin Engr ALPESH SHESHMAL HUF S 25205 109.55
30/11/2009 531591 Bampsl Sec PRAKASHCHAND GUPTA B 740250 0.84
30/11/2009 531591 Bampsl Sec KAUSHALYA GARG S 1050000 0.84
30/11/2009 531591 Bampsl Sec PRAKASHCHAND GUPTA S 576663 0.84
30/11/2009 517973 DMC Intl ATUL MITTAL B 65905 18.99
30/11/2009 517973 DMC Intl SFS INFINITE LIMITED S 43020 19.00
30/11/2009 524830 Elder Health AJAY HAMLAI S 31000 60.61
30/11/2009 533103 JINDALCOTEX OPG SECURITIES P LTD B 140273 100.55
30/11/2009 533103 JINDALCOTEX OPG SECURITIES P LTD S 140273 100.72
30/11/2009 532518 JK Agri Genetics SHOBHA PRAKASHCHAND SANDH B 20000 171.47
30/11/2009 530255 KAY Power BAMPSL SECURITIES LTD. B 71856 9.06
30/11/2009 530255 KAY Power B.S.KHANDELWAL S 101114 9.08
30/11/2009 505299 Kulkarni Power M/S RUKHMANI TRADERS B 18005 57.60
30/11/2009 505299 Kulkarni Power M/S RUKHMANI TRADERS S 18005 57.60
30/11/2009 531731 Kuvam Intl DOUBLE A PORTFOLIO SERVICES P LTD S 16300 54.40
30/11/2009 531496 Omkar Overseas S J INFRATECH PVT LTD B 50000 37.70
30/11/2009 531496 Omkar Overseas RAJNIKANT OMKARMAL AGARWAL S 71256 37.70
30/11/2009 532340 Omni Axs GOPAL KUMAR JAGNANI B 63928 0.94
30/11/2009 532340 Omni Axs MAHADEV SATYAPPA YALLATTI S 59404 0.92
30/11/2009 590077 Ranklin Sol T KUMAR S 36500 51.30
30/11/2009 532999 Silverline Anim RAHUL DOSHI B 66705 14.24
30/11/2009 532999 Silverline Anim ANITA RAKESHKUMAR RANKA S 71476 14.06
30/11/2009 526500 Sterling Green ANURAGBHAI DINESHCHANDRA AGARWAL S 229000 39.83
30/11/2009 531373 Suave Hotels ALKEN MANAGEMENT & FINANCIAL S S 75400 40.00
30/11/2009 526133 Supertex Inds KUMKUM STOCK BROKER PRIVATE LTD B 561759 3.41
30/11/2009 526133 Supertex Inds KUMKUM STOCK BROKER PRIVATE LTD S 561562 3.42
30/11/2009 526133 Supertex Inds SUPER INFINCON PVT LTD S 700000 3.41
30/11/2009 533121 THINKSOFT MERCURY FUND MANAGEMENT CO.LTD. B 62217 320.37
30/11/2009 533121 THINKSOFT TRANSGLOBAL SECURITIES LTD. B 144400 317.38
30/11/2009 533121 THINKSOFT MBL & Co. LTD. B 76977 312.41
30/11/2009 533121 THINKSOFT CHIMANLAL POPATLAL MATALIA B 76945 316.18
30/11/2009 533121 THINKSOFT OPG SECURITIES P LTD B 305668 313.19
30/11/2009 533121 THINKSOFT MANSUKH SECURITIES & FINANCE LTD B 74469 312.72
30/11/2009 533121 THINKSOFT HEMANSHU SHAH B 77546 308.90
30/11/2009 533121 THINKSOFT RAKHI KALPESHB HANDARI B 78128 309.78
30/11/2009 533121 THINKSOFT MERCURY FUND MANAGEMENT CO.LTD. S 62217 320.08
30/11/2009 533121 THINKSOFT TRANSGLOBAL SECURITIES LTD. S 144400 317.40
30/11/2009 533121 THINKSOFT MBL & Co. LTD. S 76977 311.84
30/11/2009 533121 THINKSOFT CHIMANLAL POPATLAL MATALIA S 76858 316.03
30/11/2009 533121 THINKSOFT OPG SECURITIES P LTD S 305668 313.25
30/11/2009 533121 THINKSOFT MANSUKH SECURITIES & FINANCE LTD S 74469 312.93
30/11/2009 533121 THINKSOFT HEMANSHU SHAH S 77546 319.20
30/11/2009 533121 THINKSOFT RAKHI KALPESH BHANDARI S 78128 311.37
30/11/2009 531917 Twinstar Soft MANISHKUMAR RAMESHBHAI PATEL B 103300 2.87
30/11/2009 531917 Twinstar Soft NAMITA STOCKTRADE PRIVATE LIMITED S 100000 2.88
30/11/2009 531249 Well Pack Papers HARDIK MAHESHBHAI PANDYA B 25800 317.81
30/11/2009 531249 Well Pack Papers HARDIK MAHESHBHAI PANDYA S 25800 312.25
NSE Bulk Deals to Watch - Nov 30 2009
Date,Symbol,Security Name,Client Name,Buy/Sell,Quantity Traded,Trade Price / Wght. Avg. Price,Remarks
30-NOV-2009,ATLANTA,Atlanta Limited,NIKON FINLEASE PVT. LTD,BUY,84876,168.38,-
30-NOV-2009,JINDALPOLY,Jindal Poly Films Limited,JINDALPOLY FILMS LIMITED,BUY,150404,316.50,-
30-NOV-2009,JINDCOT,Jindal Cotex Ltd,NAMAN SECURITIES & FINANCE PVT. LTD,BUY,143189,100.83,-
30-NOV-2009,THINKSOFT,Thinksoft Global Ser Ltd,AANGI SHARES & SERVICES PVT. LTD,BUY,40207,308.83,-
30-NOV-2009,THINKSOFT,Thinksoft Global Ser Ltd,CHIMANLAL P. MATALIA,BUY,80428,315.09,-
30-NOV-2009,THINKSOFT,Thinksoft Global Ser Ltd,CPR CAPITAL SERVICES LTD.,BUY,73702,307.61,-
30-NOV-2009,THINKSOFT,Thinksoft Global Ser Ltd,DINESH MUNJAL,BUY,125481,310.29,-
30-NOV-2009,THINKSOFT,Thinksoft Global Ser Ltd,INDIA ADVANTAGE SECURITIES LTD.,BUY,56629,306.89,-
30-NOV-2009,THINKSOFT,Thinksoft Global Ser Ltd,KALASH SHARES & SECURITIES PRIVATE LIMITED,BUY,69055,313.98,-
30-NOV-2009,THINKSOFT,Thinksoft Global Ser Ltd,MANSUKH SECURITIES & FINANCE LIMITED,BUY,137605,313.03,-
30-NOV-2009,THINKSOFT,Thinksoft Global Ser Ltd,MBL & COMPANY LTD.,BUY,95699,314.18,-
30-NOV-2009,THINKSOFT,Thinksoft Global Ser Ltd,OM INVESTMENTS,BUY,160079,314.85,-
30-NOV-2009,THINKSOFT,Thinksoft Global Ser Ltd,RAJENDRAKUMAR RATANCHAND OSWAL,BUY,222100,308.91,-
30-NOV-2009,THINKSOFT,Thinksoft Global Ser Ltd,TRANSGLOBAL SECURITIES LTD.,BUY,142395,317.32,-
30-NOV-2009,3IINFOTECH,3i Infotech Limited,SWISS FINANCE CORPORATION (MAURITIUS) LIMITED,SELL,1209528,78.43,-
30-NOV-2009,ATLANTA,Atlanta Limited,NIKON FINLEASE PVT. LTD,SELL,84876,168.23,-
30-NOV-2009,AUSTRAL,Austral Coke & Projects L,ANARCON RESOURCES PRIVATE LIMITED,SELL,3000000,8.22,-
30-NOV-2009,JINDALPOLY,Jindal Poly Films Limited,SAIF II MAURITIUS COMPANY LTD,SELL,150000,316.50,-
30-NOV-2009,JINDCOT,Jindal Cotex Ltd,NAMAN SECURITIES & FINANCE PVT. LTD,SELL,70140,101.55,-
30-NOV-2009,THINKSOFT,Thinksoft Global Ser Ltd,AANGI SHARES & SERVICES PVT. LTD,SELL,126221,315.94,-
30-NOV-2009,THINKSOFT,Thinksoft Global Ser Ltd,CHIMANLAL P. MATALIA,SELL,80514,315.59,-
30-NOV-2009,THINKSOFT,Thinksoft Global Ser Ltd,CPR CAPITAL SERVICES LTD.,SELL,73702,307.92,-
30-NOV-2009,THINKSOFT,Thinksoft Global Ser Ltd,DINESH MUNJAL,SELL,125481,310.87,-
30-NOV-2009,THINKSOFT,Thinksoft Global Ser Ltd,INDIA ADVANTAGE SECURITIES LTD.,SELL,56629,307.13,-
30-NOV-2009,THINKSOFT,Thinksoft Global Ser Ltd,KALASH SHARES & SECURITIES PRIVATE LIMITED,SELL,69055,313.90,-
30-NOV-2009,THINKSOFT,Thinksoft Global Ser Ltd,MANSUKH SECURITIES & FINANCE LIMITED,SELL,137605,313.58,-
30-NOV-2009,THINKSOFT,Thinksoft Global Ser Ltd,MBL & COMPANY LTD.,SELL,95699,314.95,-
30-NOV-2009,THINKSOFT,Thinksoft Global Ser Ltd,OM INVESTMENTS,SELL,160079,314.97,-
30-NOV-2009,THINKSOFT,Thinksoft Global Ser Ltd,RAJENDRAKUMAR RATANCHAND OSWAL,SELL,222100,322.73,-
30-NOV-2009,THINKSOFT,Thinksoft Global Ser Ltd,TRANSGLOBAL SECURITIES LTD.,SELL,142895,317.61,-
30-NOV-2009,THOMASCOOK,Thomas Cook (India) Ltd,LKP MERCHANT FINANCING LTD,SELL,2000000,64.11,-
Turnover declines
RIL December 2009 futures at premium
Nifty December 2009 futures were at 5023, at a discount of 9.70 points as compared to the spot closing of 5,032.70. Turnover in NSE's futures & options (F&O) was Rs 67,547.79 crore, sharply lower than Rs 96,075.18 crore on Friday, 27 November 2009.
Reliance Industries (RIL) December 2009 futures were at a slight premium at 1060 compared to the spot closing of 1058.
Tata Motors December 2009 futures were at discount at 658.10 compared to the spot closing of 664.
State Bank of India December 2009 futures were at a slight discount at 2232.10 compared to the spot closing of 2,235.10.
In the cash market, the S&P CNX Nifty rose 95.95 points or 1.84% at 5032.70.
Asian Markets Ends Nervous November On A Positive Note
Shanghi, Seoul, Sensex, Sydney lead gainers while Strait times bucks regional trend
Stock market in Asian region sidelined the worries pertaining to Dubai debt debacle as it decided to gushed ahead on Monday, 30 November 2009, as UAE central bank pronounced that it will stands behind" the debts owed to foreign banks by Dubai World while Abu Dhabi central bank also said a special liquidity scheme would be available to overseas banks, easing concern of about a possible default by state-owned Dubai World, helping investors to recoup their sentiments.
However, on Wall Street, concerns about a financial crisis in Dubai, weighted the stock markets on Friday. Stocks moved sharply lower at the open as traders reacted to news that Dubai World, the main investment arm of Dubai, has requested to postpone payment on nearly $60 billion in debt. The news raised concerns about the potential impact of a default by the company.
The Dow closed down 154.48 points or 1.5% at 10,309.92, the Nasdaq fell 37.61 points or 1.7% to 2,138.44 and the S&P 500 closed down 19.14 points or 1.7% at 1,091.49. For the holiday-shortened week, the Dow and the Nasdaq posted modest losses, while the S&P 500 was nearly unchanged. The Dow fell 0.1% for the week, while the Nasdaq lost 0.4%.
In the commodity market, crude oil rose above $76 a barrel in New York after the United Arab Emirates central bank said it would back the country’s lenders against a possible default by Dubai World.
Crude oil for January delivery climbed as much as 80 cents to $76.85 a barrel on the New York Mercantile Exchange. Prices were up 60 cents to $76.65 a barrel at 9:32 a.m. in London.
Brent crude oil for January settlement on the London-based ICE Futures Europe exchange traded at $77.77 a barrel, up 59 cents, at 9:25 a.m. in London. The contract earlier rose as much as 77 cents, or 1%, to $77.95 a barrel.
Gold declined for a third day on speculation that some investors locked-in gains from a rally to a record last week, as news of Dubai World’ plan to delay loan payments rattled global markets. Gold for immediate delivery weakened 0.4% to $1,172.62 at 8:39 a.m. in Singapore. The metal reached an all- time high $1,195.13 last week. February gold shed 0.1% to $1,173.80 an ounce on the New York Mercantile Exchange’s Comex division.
In the currency market, US Dollar retreated against majors that recovered from some of the last two day's losses.
The Japanese Yen gained versus the U.S. dollar and other major currencies after concerns with regard Dubai's debts, which caused a panic in markets last week, spurred demand for the yen as a refuge. The Japanese yen was trading at 8.3490 against the greenback.
The Hong Kong dollar was trading at HK$ 7.7501 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$7.85 to the U.S. dollar.
In Sydney trade, the Australian dollar rebounded from multi-week lows after investor fears that Dubai may not repay its multi-billion dollar debt abated slightly. The Australian dollar rose to 91.53 US cents at the local close, up over two cents from a 2-1/2-week low hit Friday.
In Wellington trade, the New Zealand dollar rose as the bout of risk aversion triggered by Dubai's financial woes subsided. The NZ dollar was at US72.11c at 5pm from US71.39c at 8am and US71.05c at 5pm on Friday.
The South Korean won closed at 1,162.8 won to the U.S dollar, up 12.7 won from Friday's close as eased jitters on the Dubai debt crisis whetted appetites for emerging assets and inflows of foreign stock funds boosted demand for the won.
The Taiwan dollar strengthened against the greenback. The Taiwan dollar was trading higher against the US dollar at NT$ 32.3450, 0.0990 up from Friday’s close of NT$32.2440.
In the equities, Asian share markets closed mostly higher on Monday, led by a rebound in most financial stocks after Friday's sharp sell off, as investors were reassured by indications over the weekend that any contagion from Dubai World's debt crisis will be limited.
In Japan, shares market rose as investors bought back export related stocks such as Honda Motor and financials stocks after the yen retreated from a 14-year high against the dollar marked last week and eased fear over the debt problem in Dubai, which triggered heavy sell off previous week. At the closing bell, the Nikkei 225 Stock Average index was at 9,345.55, grew 264.03 points or 2.91% from its previous close, while the broader Topix of all First Section issues on the Tokyo Stock Exchange gained 28.93 points, or 3.57%, to 839.94.
On the economic front, the Bank of Japan Governor Shirakawa said that they bank is paying due attention to the effects of the recent rapid appreciation of the yen on business sentiment. Also, he reemphasized that Bank of Japan will act promptly and decisively if judged necessary to ensure the stability of financial markets.
Over the weekend, Prime Minister Hatoyama ordered cabinet ministers to include in a supplementary budget for fiscal 2009 measures aimed at coping with the surging yen and declining Japanese stocks. There will also be a meeting between Shirakawa and Hatoyama as early as Wednesday for a discussion on risks to the fragile recovery in the Japan economy. But after all, yen pays little attention to the rhetoric and remains steady in range.
In Mainland China, share market bounced back recouping Friday losses as all ten sectors posted strong rally on broad based bargain hunting after government stimulus pledge and as concerns that Dubai World will default receded. Investors were buying back shares amid expectation the impact of the Dubai’s shock won’t spread.
The Shanghai Composite Index, measuring A shares and B shares on the Shanghai Stock Exchange, surged 99.04 points, or 3.2%, to 3,195.30, meanwhile the Shenzhen Component Index on the smaller Shenzhen Stock Exchange advanced 4.74% or 610.63 points, to 13,486.77. The CSI 300 Index, measuring exchanges in Shanghai and Shenzhen, spurted 3.82%, to 3,511.67.
In Hong Kong, the stock market bounced back on the back of strong gains in banks, properties, and commodity stocks, meanwhile other sector managed to trade above the line as concerns that Dubai World default receded. Gains were also strengthening after Beijing pledge to maintain stimulus package next year and as the Shanghai Securities News said China might extend preferential tax policies for car sales.
At the closing bell, the Hang Seng Index spurted 687 points, or 3.25%, to 21,821.5, meanwhile the Hang Seng China Enterprise, which tracks the overall performance of 43 mainland Chinese state-owned enterprises on the Hong Kong Stock Exchange, escalated 508.2 points, or 4.07%, to 12,980.33.
On the economic front, Centaline Property Agency said on Monday that Hong Kong’s weekend home sales fell 16% at major developments as concerns about Dubai World’s debt prompted buyers to slow purchases. Residential transactions at Hong Kong’s 10 biggest developments dropped to 32 between Nov. 28 and Nov. 29 from 38 the prior weekend.
In Australia, the stocks made a stellar recovery as investors bought back banks and financials and real estate stocks amid eased fears over the debt problems in Dubai, which triggered heavy selling on Friday after a move by the United Arab Emirates' central bank to offer banks support reassured investors. The United Arab Emirates’ pledge of support for banks eased concerns that losses from Dubai World’s possible default will escalate.
At the closing bell, the benchmark S&P/ASX200 index spurted 129.2 points, or 2.83%, to 4,701.3, meanwhile the broader All Ordinaries surged 118.3 points, or 2.57%, to 4,715.5.
On the economic front, the TD Securities-Melbourne Institute Monthly Inflation Gauge rose by 0.3% in November, following the 0.3% fall in October. The Housing Industry Association said new home sales in Australia dropped 6% month on month in October, after the 4.5% plunge in September. In October, the number of sales of detached houses fell by 6.9% on month, following the 4.3% decrease in the preceding month, while the number of apartment sales increased 2.4%.
In New Zealand, equities moved forward ending the first-trading day of the week in the positive terrain, with the benchmark index up almost 1%. The NZ share market however commenced the day weak on the back of global jitters from the Dubai debacle. It managed to gain momentum towards the end of the trading session in line with most of the Asian markets after reassuring news over the weekend that suggested contagion from Dubai World's debt crisis would be limited. The NZX50 advanced 1% or 31.09 points to 3125.52. The NZX 15 gained 1.22% or 69.27 points to close at 5685.73.
On the economic front, the number of new dwellings authorized in October was at its highest level in 15 months, when volatile apartment numbers are excluded. The figures published today by Statistics New Zealand (SNZ) suggest the construction sector is continuing to claw its way out from the depths of the building downturn.
In South Korea, stocks finished higher as foreign and individual investors went bargain hunting on eased jitters over Dubai debt problems. The benchmark Korea Composite Stock Price Index (KOSPI) advanced 31.10 points to end at 1,555.6, snapping a two-session losing streak.
On the economic front, South Korea's industrial output grew for a fourth straight month in October as factories produced more semiconductors and visual and audio equipment, amid signs of a faster-than-expected economic recovery. According to the report by the Statistics Korea, production in the mining and manufacturing sectors expanded 0.2% last month from a year earlier. This marked an advance for four straight months since July when production started to grow after a protracted slump.
In Singapore, stocks market bucked regional uptrend on concerns that Dubai World's troubles might hurt the global economy. Banks and properties witnessed heavy sell off, with DBS Group, which has some exposure to the Middle East, led the decliners, meanwhile City Developments, which has a joint venture with Dubai World in Singapore, weighed down other properties stocks. At the closing, the blue chip Straits Times Index was at 2,732.12, dropped 30.1 points or 1.09%.
In Taiwan, stock market bounced back, tracking stronger Asian cues amid receding fears over the impact of the Dubai debt crisis. The worries about the Dubai debt crisis subsided after the United Arab Emirates’ central bank eased credit for lenders and said it stands behind the country’s local and foreign banks as they face losses from Dubai World’s possible default. Further boosting sentiment was Taiwan's index of leading indicators, which rose 0.5% in October for the ninth straight month. The benchmark Taiex share index snapped its two days losing streak, by finishing higher by 91.30 points or 1.22% in a day, closing at 7582.21.
In India, key benchmark indices surged as the latest data showed the Indian economy expanding at a stronger-than-expected 7.9% pace in the second quarter. The barometer index BSE Sensex fell below the psychological 17,000 mark soon after a sharp surge took it above that level in afternoon trade. The BSE 30-share Sensex closed up 294.21 points or 1.77% to 16,926.22. The S&P CNX Nifty added 90.95 points or 1.84% to 5,032.70.
Elsewhere, Malaysia's Kula Lumpur Composite index finished lower at 1259.11 while stock markets in Indonesia’s Jakarta Composite index gained 22.32 points ending the day higher at 2415.84.
In other regional market, European shares dropped on Monday, with every sector under pressure, as markets remained jittery after last week's news of Dubai debt woes. On a regional level, the German DAX index declined 1% to 5,628.56; the French CAC-40 index lost 1.1% to 3,680.54 and the U.K. FTSE 100 index fell 0.8% to 5,203.30.
Market snaps two-day slide on robust Q2 GDP data
Key benchmark indices surged, ending a two-day losing streak, as the latest data showed the economy expanded at a stronger-than-expected 7.9% pace in the second quarter. However, intraday volatility was high. The barometer index BSE Sensex fell below the psychological 17,000 mark soon after a sharp surge took it above that level in afternoon trade. Today's rally was on the back of lower turnover.
Asian stocks surged after United Arab Emirates central bank on Sunday, 29 November 2009, offered additional liquidity to local and international banks in the UAE and reassured investors it "stands behind" the lenders. Also boosting the sentiments, global banks outside the Gulf said they were not heavily exposed to Dubai debt. The BSE 30-share Sensex was up 294.21 points or 1.77%, off 100.69 points from the day's high and up 270.47 points from the day's low.
Government data released today showed the gross domestic product (GDP) grew by 7.9% in Q2 September 2009, from 7.1% in the previous year, shattering forecasts as stimulus measures boosted demand and manufacturing activity surged. The economy had registered a 6.1% growth in the first quarter.
The bulk of the recovery was led by a 9.2% growth in manufacturing, while mining and construction activities also expanded by 9.5% and 6.5%, respectively. But agriculture continued to me a major drag with a mere 0.9% growth.
Reacting to the GDP figures Montek Singh Ahluwalia, Deputy Chairman, Planning Commission said economic growth forecast for the year to March 2010 may have to be revised upwards as data released today showed a faster expansion in September quarter. He added that there was no serious concern on inflation as of now and conventional monetary policy was unlikely to be effective in curbing food price rise.
Subir Gokarn, a central bank deputy governor said today that the recovery of the economy was gaining strength but December quarter numbers could be lower than the 7.9% annual growth recorded in the September quarter. Gokarn also said food price inflation was a matter of concern and authorities would keep a watch on capital inflows.
Finance minister Pranab Mukherjee today said he expects the economy to grow around 7% in the fiscal year ending March 2010. During the weekend, the finance minister said that Dubai's debt crisis would not affect India much, but the government is keeping a close watch and will act to prevent any fallout.
India's fiscal deficit during the April to October 2009 period was Rs 2.45 lakh crore ($52.7 billion), or 61% of the full-year target, the government said in a statement on Monday. Tax receipts were Rs 2.14 lakh crore and total expenditure was Rs 5.37 lakh crore for the first seven months of 2009/10 fiscal year.
Coming back to stocks, the market breadth was strong today. A total of 26 shares from the 30-member Sensex pack advanced. Metal stocks were at the forefront of the rally on fresh buying after the recent steep fall. Telecom pivotals extended Friday's gains on fresh buying. Cement and IT shares also gained on fresh buying. Index heavyweight Reliance Industries retraced from the day's high. Banking shares also retraced from day's high on profit booking.
Intraday volatility on the bourses was high. The market pared gains in morning trade after an initial rally triggered by firm Asian stocks. The market surged later on robust Q2 GDP growth data. The market struck fresh intraday high in afternoon trade as buying demand for index pivotals intensified. The market pared gains later as European stocks dropped. The market strengthened again in mid-afternoon trade. Profit booking in late trade capped gains in the market. The market once again pared gained again in late trade.
European markets were mostly lower today, 30 November 2009, weighed by financial and oil stock. Key benchmark indices in Germany, and France were down 0.70% and 0.90% respectively. However, UK's FTSE 100 index rose 0.35%. Trading in US index futures showed the Dow could fall 24 points at the opening bell today, 30 November 2009.
Earlier in the global day Asian stocks rose after the United Arab Emirates offered emergency assistance to banks in Dubai, soothing the market fears about a looming debt default. Key benchmark indices in China, Hong Kong, Japan, South Korea and Taiwan were up by between 1.22% to 3.25%. However, Singapore's Straits Times index fell 1.09%
Chinese shares surged after Beijing late Friday said it will maintain an active fiscal policy and moderately loose monetary policy next year, allaying investor concerns over a tightening policy bias.
Japanese manufacturing activity fell to a four-month low in November 2009, a survey showed today, suggesting growth in production is moderating as the effect of global stimulus measures fades. The Nomura/JMMA Japan Manufacturing Purchasing Managers Index (PMI) fell to a seasonally adjusted 52.3 in November 2009 from 54.3 in October 2009. The index remained above the 50 threshold that separates contraction from expansion for the fifth month in a row but declined for the second consecutive month from a three-year high set in September.
Japan's industrial production rose less than economists estimated in October 2009. Factory output increased 0.5% last month from September 2009, the slowest pace in eight months, the Trade Ministry said today, 30 November 2009, in Tokyo.
Dubai's Nakheel, developer of man made islands in the shape of palms, said on Monday it has asked for three of its listed Islamic bonds, or sukuk, on Nasdaq Dubai to be suspended until it is in a position to inform the market more fully. Nakheel is one of two flag ship companies, along with Dubai World, which announced last week that they would seek a debt standstill agreement from creditors, until May 2010.
United Arab Emirates' (UAE) central bank said on Sunday, 29 November 2009, it would back the country's lenders from a possible default by Dubai World. Abu Dhabi-based UAE central bank said financial institutions will be able to borrow using a special facility tied to their current accounts.
Meanwhile, the International Monetary Fund (IMF) said it welcomes the announcement by the central bank of the UAE to make available a special additional liquidity facility to back local and international banks operating there. The IMF said it will continue to monitor the situation following the unexpected announcement by the government of Dubai regarding a standstill on the debt of Dubai World and its Nakheel subsidiary, which has had an adverse impact on financial markets.
The UAE is a "strong resource-based economy," the fund also said. "We look forward to further clarification by the authorities towards a cooperative mechanism to address the issues between these debtors and their creditors," the IMF said
Markets from Asia to the US fell last week after Dubai World announced on 25 November 2009 that it was seeking to delay loan repayments. Dubai World, a state-owned holding company struggling with $59 billion of debt and other liabilities, said it would seek a standstill agreement with creditors and an extension of loan maturities until at least 30 May 2010. That raised the prospects of rising loan losses for UAE and foreign banks.
Trading in US index futures indicated a flat opening of US stocks on Monday, 30 November 2009. US index futures pared initial strong gains
In US on Friday, 27 November 2009, the Dow Jones Industrial Average fell 154.48 points, or 1.48%, to 10,309.92. The Standard & Poor`s 500 Index slid 1.72% to 1,091.49 and the Nasdaq Composite index declined 37.61 points, or 1.73%, to end at 2,138.44.
Back home, many companies were quick to play down their exposure to Dubai on Friday, 27 November 2009. Engineering conglomerate Larsen & Toubro said it had exposure to Dubai of $20 million to $25 million. India's largest listed realty firm, DLF, and second ranked Unitech said they had no exposure to Dubai, and leading private bank ICICI Bank said it had no material exposure. While Indian banks are heavily focused on the domestic market, they are active in handling remittances from overseas workers. State-run Bank of Baroda (BoB) has exposure of 7-8% of its loan book in the United Arab Emirates. BoB said the assets are good performing assets
Meanwhile, India and Canada have reached a landmark agreement on civil nuclear cooperation after months of hectic negotiations, paving the way for supply of Canadian atomic technology, equipment and uranium to India after a gap of 34 years. The negotiations on the deal were concluded at a meeting between Prime Minister Manmohan Singh and his Canadian counterpart Stephen Harper during the weekend.
Canada, the world's largest producer of uranium, is the eighth country to have reached a civil nuclear agreement with India since the Nuclear Suppliers Group lifted the 34-year-old ban on India to join the global nuclear trade in September last year.
Meanwhile, the government has reportedly decided to crackdown on corporates and individuals that have defaulted on payment of their self-assessment in the year in a bid to boost direct tax collections that are well below the target for the year.
The Central Board of Direct Taxes (CBDT), the apex direct tax body that administers corporate tax, personal income tax and wealth tax, has asked its field officials to crack down on companies that have not paid self-assessed tax for the year. In a letter sent last week, the CBDT has asked its field forces to investigate about Rs 90,000 crore of tax exemption claimed by various corporate taxpayers on account of various tax holidays in their returns.
The board's letter to the field comes in the backdrop of a dismal 3.92% growth in direct tax collections in first seven months from April to October 2009. Corporate tax collections grew by 4.59% in same period, meaning that the rate of growth has to be over 18% for the rest of the year for CBDT to achieve this target for the year 2009-10.
There are concerns that a glut in share sales may suck liquidity from the secondary market. A foreign brokerage firm expects Indian firms to raise roughly $70 billion through share sales over the next three years. The brokerage expects stake sales in state-run firms will account for $10-$15 billion of the total funds to be raised. The upcoming auction of third-generation mobile spectrum will also spur potentially billions of dollars in equity raising, although not necessarily from the public markets.
Indian companies have raised about $18 billion in equity thus far this year to repay high cost debt or to fund expansion plans. Last year, Indian firms raised $7.2 billion in equity.
The Reserve Bank of India (RBI) governor Duvvri Subbarao on Friday 27 November 2009 said an assessment of the impact of Dubai's debt problems was needed before deciding on a response. India's financial integration with the global economy is deeper than its trade integration, the central bank governor said.
Subbarao said that there was no benign policy option and that inflationary pressures were building up. The government on Thursday said it was concerned about rising prices, especially of food articles, and would take appropriate fiscal and monetary measures to contain them. "We are deeply concerned when prices go high," Finance Minister Pranab Mukherjee said on Thursday. "It will have to be done by us: control of monetary policy, control of credit policy, control of fiscal policy."
The six core industries grew 3.5% in October 2009 from a year earlier, slower than upwardly revised annual growth of 4.1% in September 2009, government data showed on Friday. During April-October, the first half of the 2009/10 fiscal year, output rose 4.7% from 3.3% in the same period in 2008/09. The infrastructure sector accounts for 26.7% of India's industrial output.
The BSE 30-share Sensex was up 294.21 points or 1.77% to 16,926.22. The Sensex opened 23.74 points higher at 16,655.75, also its day's low. It gained 394.90 points at the day's high of 17,026.91 in afternoon trade.
The S&P CNX Nifty was up 90.95 points or 1.84% to 5,032.70. Nifty December 2009 futures were at 5023, at a discount of 9.70 points as compared to the spot closing. Turnover in NSE's futures & options (F&O) was Rs 67,547.79 crore, sharply lower than Rs 96,075.18 crore on Friday, 27 November 2009.
The BSE Sensex had lost 566.94 points or 3.41% in the past two trading sessions on worries about Dubai's debt problems. Debt worries in Dubai sparked fears that the global financial markets have not healed properly since last year's crisis and that the Dubai problem could expose these weaknesses.
The Sensex gained 1,029.94 points or 6.47% in November 2009. A deluge of global liquidity has boosted stocks across the globe this year. Governments and central banks around the world have injected trillions of dollars in the past one year to pull the world out of a most severe recession since the 1930s Great Depression. The Sensex is up 7278.91 points or 75.45% in calendar year 2009, as on 30 November 2009. From a 3-year closing low of 8,160.40 on 9 March 2009, the Sensex is up 8765.82 points or 107.41% as on 30 November 2009.
Coming back to today's trade, the BSE Mid-Cap index rose 1.63%, underperforming the Sensex. The BSE Small-cap index gained 2.08%, outperforming the Sensex.
All sectoral indices on BSE ended higher. The BSE Metal index (up 3.66%), the BSE Teck index (up 2.55%), the BSE IT index (up 2.10%), outperformed the Sensex.
The BSE FMCG index (up 0.73%), the BSE Healthcare index (up 0.87%), the BSE Auto index (up 1.04%), the BSE Power index (up 1.05%), the BSE Bankex (up 1.23%), the BSE Realty index (up 1.28%), the BSE PSU index (up 1.51%), the BSE Capital Goods index (up 1.55%), the BSE Oil & Gas index (up 1.60%), the BSE Consumer Durables index (up 1.72%), underperformed the Sensex.
The market breadth, indicating the overall health of the market was strong. On BSE, 2062 shares advanced as compared with 761 that declined. A total of 72 shares remained unchanged.
Today's rally came on the back of lower turnover. The total turnover on BSE amounted to Rs 4311 crore as compared with Rs 5,353.31 crore on Friday, 27 November 2009.
Among the 30-member Sensex pack, 26 gained while only 4 of them declined. NTPC (up 0.92%), HDFC (up 2.25%), and Tata Power (up 1.76%), edged higher from the Sensex pack.
Telecom pivotals extended Friday's gains on fresh buying. India's largest cellular services provider by sales Bharti Airtel surged 5.69% to Rs 299.80 and was the top gainer from the Sensex pack. The company's chairman Sunil Mittal in a television interview on Friday said the company has no plans to cut SMS charges as of now and also ruled out any global acquisitions at present.
India's second largest cellular services provider by sales Reliance Communication (RCom) rose 3.06%. On Friday, the company had slashed SMS charges, further heating up an ongoing price war in the telecom market.
RCom said it would charge customers just 1 paisa per SMS in a new bill plan. The company also launched another plan where customers can send unlimited text messages by paying Re 1 per day. Currently mobile operators charge Re 1 for local SMSes.
Metal stocks extended early gains on fresh buying. India's largest private sector aluminium maker by sales Hindalco Industries surged 3.81%. On Friday, the Reserve Bank of India allowed the company to enhance foreign institutional investors (FII) limit to 40%.
Sterlite Industries (up 3.23%), Tata Steel (up 5.54%), Hindustan Zinc (up 8.01%), Sesa Goa (up 1.57%), Steel Authority of India (up 2.96%), JSW Steel (up 5.21%), advanced
Jindal Saw gained 6.44% after the company fixed 11 December 2009 as the record date for a 5-for-1 stock split. The company announced the record date after market hours on Friday, 27 November 2009.
Kalyani Steels spurted 5% after one of the promoter group companies hiked its stake in the firm. The company made this announcement during trading hours today, 30 November 2009.
Gujarat Mineral Development Corporation (GMDC) spurted 10.38%. As per recent reports, Gujarat State Petroleum Corporation (GSPC) is raising around Rs 900 crore by placing 5% equity stake with a clutch of financial institutions and Gujarat government-owned public sector enterprises (PSEs) including IDFC, LIC, State Bank of India and PSEs like Gujarat Mineral Development Corporation (GMDC), Gujarat State Investment (GSIL), Gujarat Industrial Development Board (GIDB) and others.
India's largest oil exploration firm by sales Oil & Natural Gas Corporation (ONGC) rose 2.73% on reports it has found traces of a new oil reserve in Gujarat in western India that could raise its onshore oil production by 20%. The new hydrocarbon structure is likely to produce at least 1 million tonnes per annum (mmtpa) of oil. This could be the largest onshore oil find for ONGC in the last one decade.
India's largest private sector firm by market capitialisation Reliance Industries (RIL) advanced 1% to Rs 1059.40. But the stock retraced from the day's high of Rs 1078. RIL has reportedly offered between US$10 billion and US$12 billion for acquiring LyondellBasell Industries.
Oil exploration stocks gained following rise in crude oil aided by a weaker US dollar. Cairn India (up 2.98%), and Oil India (up 2.92%), rose after US crude for January 2010 delivery rose 50 cents to $76.55 a barrel today, 30 November 2009, retracing some of Friday's $1.91 losses. Rise in crude oil prices will boost realizations from crude sales for oil exploration firms
Banking shares slipped from day's high on profit booking. Bank stocks had surged earlier in the day following buoyant economic data.
India's largest private sector bank by net profit ICICI Bank gained 0.88% to Rs 858.70 after striking day's high of Rs 884. India's second largest private sector bank by net profit HDFC Bank rose 0.49% to Rs 1756.25, retracing from day's high of Rs 1786. India's largest bank by branch network State Bank of India fell 0.42% to Rs 2233, after striking a day's high of Rs 2290
IT stocks rose on fresh buying on reports IT firms are on a hiring spree following revival in demand. India's largest software services exporter Tata Consultancy Services (TCS) gained 2.29%. TCS reportedly plans of employing about 25,000 new people for the year 2010-11.
India's second largest software services exporter Infosys Technologies rose 2.22%. As per reports, the company Infosys last month raised its hiring target to 20,000 for the fiscal year that ends in March 2010, up from its earlier forecast of 18,000.
India's third largest software services exporter Wipro rose 0.74%. The partially convertible rupee was trading at 46.49/50 per dollar, higher than 46.64/65 on Friday. A firm rupee negatively impacts operating profit margin of IT firms as the sector derives a lion's share of revenue from exports.
Geometric rose 4.16% after one of the promoter group companies hiked its stake in the firm. The company made this announcement during trading hours today, 30 November 2009.
India's top truck maker by sales Tata Motors surged 5.16%. The company is reportedly planning to produce hybrid versions of its low cost car Nano to join in the environment-friendly trend.
The company reported a better-than-expected performance on a consolidated basis, thanks to a pick-up in sales volumes on a sequential basis for the Land Rover brand, coupled with reduced raw material costs. On consolidated basis, Tata Motors reported a net profit of Rs 21.78 crore in Q2 September 2009, compared to a loss of Rs 941.8 crore a year earlier.
Consolidated total income declined 8.20% to Rs 21506.94 crore in Q2 September 2009 over Q2 September 2008. The results were announced at the fag end of the trading session on Friday, 27 November 2009.
Other auto stocks saw mixed trend. India's largest small car maker by sales Maruti Suzuki India fell 0.58% whereas India's top tractor maker by sales Mahindra & Mahindra gained 1.64% on reports car makers plan to raise prices in two phase from next year following rise in input costs.
India's largest bike maker by sales Hero Honda Motors lost 1.71% to Rs 1715.90 and was the top loser from the Sensex pack
Cement shares rose following recent reports of hike in prices by Rs 8-10 per 5 kg bag in Maharashtra and Gujarat. Sanjay Ladiwala, the president of Cement Stockists and Dealers Association of Mumbai was quoted as saying that the price rise was due unavailability of railway wagons.
ACC (up 0.38%), Ambuja Cements (up 3.31%), UltraTech Cement (up 3.39%), Madras Cement (up 1.47%), and India Cement (up 1%), advanced
Select real estate shares extended Friday's recovery. Housing Development & Infrastructure (up 4.24%), Indiabulls Real Estate (up 1.84%), Orbit Corporation (up 1.22%), parsvnath Developers (up 0.53%), and Anant Raj Industries (up 0.97%), gained
However India's largest real estate firm by sales DLF fell 0.29%. The company said on Friday it had no exposure to Dubai. Unitech's slipped 0.50% despite saying it had no exposure to Dubai on Friday.
India's largest engineering & construction firm by sales Larsen & Toubro (L&T) gained 1.36%. L&T during market hours today announced the formation of a joint venture with the state-run Nuclear Power Corporation of India (NPCIL) for making nuke forgings, a crucial component in the construction of nuclear reactors. NPCIL would hold 26% in the venture and L&T the remainder.
Nitco fell 1.15% after the company reported net loss of Rs 8.27 crore in Q2 September 2009 as compared to net profit of Rs 9.74 crore in Q2 September 2008. The company announced the results during trading hours today.
Shriram EPC rose 3.29% after the company announced signing of a memorandum of understanding with China based NorthWest Electric Power Design Institute for executing thermal power projects. The company made the announcement during market hours today, 30 November 2009.
Construction stocks saw an across the board rally on fresh buying. India's biggest builder of dams Jaiprakash Associates surged 5.17% after its price target was raised to Rs 288 from Rs 211 earlier by a foreign brokerage firm.
Hindustan Construction Company (up 1.99%), Gammon India (up 0.56%), Unity Infraprojects (up 5.45%), IVRCL Infrastructures (up 3.88%) and IRB Infrastructures (up 4.33%), gained.
Valecha Engineering jumped 3.14% after the company's board approved raising funds upto $20 million. The company made this announcement after trading hours on Friday, 27 November 2009.
The construction sector grew 6.5% in the September quarter versus 9.6% in the year-ago quarter, government data showed today.
Tea stocks saw an across the board rally after Tea Board of India chairman Basudeb Banerjee was quoted as saying that tea production in India will be marginally lower this year than in the year before due to erratic weather.
Dhunseri Tea (up 9.34%), Goodricke Group (up 9.92%), Warren Tea (up 6.17%), McLeod Russel (up 7.12%), Assam Company (up 1.74%), and Tata Tea (up 1.60%), surged.
Jay Shree Tea and Industries rose 2.94% on reports the company is close to announcing its first overseas acquisition in Uganda.
Adani Enterprises rose 0.11% after the company fixed 11 December 2009 as the record date for a liberal 1:1 bonus issue. The company announced the record date after market hours on Friday, 27 November 2009.
Span Diagnostics jumped 10% after the company bagged an order worth Rs 22.96 crore. The company announced the new order win after market hours on Friday, on 27 November 2009.
Tata Steel was the top traded counter on the BSE with a turnover of Rs 230.14 crore followed by Suzlon Energy (Rs 176.14 crore), State Bank of India (Rs 170.35 crore), HDIL (Rs 163.56 crore), and Thinksoft Global Solutions (Rs 114.51 crore).
Cals Refineries led the volumes charts on BSE clocking volume of 3.81 crore shares followed by Suzlon Energy (2.27 crore shares), IFCI (1.62 crore), Unitech (1.14 crore shares) and Gujarat Mineral Development Corporation (58.21 lakh shares).
Suven Life Sciences was locked at 5% upper limit after the company secured three European patents on new chemical entities. The company made this announcement during trading hours today, 30 November 2009.
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