Close: Post Budget chaos continues

here was no clear direction in the initial trading sessions as to where the market was headed after a volatile start and was followed by choppy sessions. Buying / Short covering was seen in final trading session after buying activity picked up at lower levels before ending the day in green. Steel stocks traded strong as Hot Rolled coil prices were hiked. Support from the Global front was lacking as volatility in Chinese markets continued to send jitters to investors Global investor. Asian Indices ended in Red while the European indices were in positive.

Sensex closed higher by 221 points. The Gainers for the day were Satyam (436, +6%), TCS (1,253, +5.43%), HDFC Bank (980, +5.08%), Wipro (586, 4.48%). While restricting the Gains were Bajaj Auto (2517, -3.82%), ACC (875, -2.78%), Gujarat Ambuja (113, -2.54%), Hindalco (137, -2.26%).

The monthly sales numbers of the Auto companies were released by the respective companies. Sales of Hero Honda stood at 2.8 lakh units up 12% yot. The numbers were good in a competitive two wheeler segment. Market share touched 40% in November. No price hike is planned by the company. In fact the papers today talked of a price cut. The stock slid by a percent down for the day. Bajaj Auto also slipped down on negative numbers.

TVS Motors reported a 6% jump in motorcycle sales during February at 70,155 units compared to 66,391 units in the same month last year. The company reported a 10% increase in its total two-wheeler sales at 1,20,110 units during the month against 1,08,923 units during February 2006. TVS expects to launch a new model this month month and expects stronger growth in the segment during the year. TVS sold 19,937 units of gearless scooters 'TVS Scooty' in February compared to 16,052 units in the same month a year ago, an increase of 24%. The company's exports grew by 33% in February at 8,017 units. The numbers have been above the expectations and the decent growth is seen in the exports. TVS too slipped lower for the day.

Bajaj Auto the arch rival of Hero Honda in the Two Wheeler segment also reported a negative growth of 2% on Yearly basis. Sales of motorcycles fell to 1,71,780 units from 175,256 units. While the over all sales of all two-wheelers fell 3% to 1,74,220 units from 1,79,880 units. Company continued to grow in the three-wheeler segment. Sales in this segment increased by 8% and stood at 27,992 units against 25,896 units in the same month previous year. However, Stock was smashed down by 4% for the day.

Cement companies were hammered on increase in excise duty by 50%. Unlikely that cement will sell below 190 per bag. The price hike will be passed on screamed the papers.. but clearly the manufacturers are on the backfoot given the FMs unhappiness on the price increase.

Technically Speaking: Declines out numbered the Advances and there were 1435 declines against 1140 advances. The volume for the day stood at Rs. 4097 cr. The resistance for the day was between 14,227-14,401 levels while support lied at 12,945-12737 levels. Sensex is moving towards 13,300 levels which could be a pull back. As of now Bulls have clearly showed strength at 12,800 levels.

Close: 14k breached?whats next !

Market started firm with a positive gap of 120 points. Sensex not only touched 14K mark but it is also the first time that the market was able to achieve 5 milestones in a year. Though market traded in the positive zone through out the day but some alternative bouts of profit booking was witnessed which shows the nervousness in the minds of the investors. Steel stocks traded firm while the news from the Buying was witnessed in index heavyweights across different sectors mostly in steel, software and petrochemicals while stocks from cement, FMCG and Telecom witnessed selling pressure. European markets are trading positive while asian markets ended mixed.

Crude was at US $ 62 down by $1.This happened despite the news that the oil supply is going to be further reduce the oil production by 5,00,000 to 10,00,000 bpd. Rupee was trading at Rs 44.57 a Dollar and it is further expected to go down.

Sensex ended 63 points up at 13937. It is helped up by gains in TISCO (492.9,+5 percent), RCVL (458.05,+3 percent), L & T (1462.25,+3 percent), RIL (1280,+2 percent) and Infosys (2239.05,+2 percent). Restricting the gains are Guj Ambuja (141.65,-2 percent), HDFC Bk (1083.65,-2 percent), HDFC (1604.1,-1 percent), Maruti (949.3,-1 percent) and Grasim (2753.3999,-1 percent).

Reliance industries is going to acquire Adani Retail, a retail major in Gujarat which has a top line of 200 Crores. Adani Retail has 54 stores across the state of all formats like neighborhood stores, supermarkets, Hypermarkets. The company is planning to expand and have another 65 stores by the year end. The valuations and the price is not disclosed. This will help reliance retail a lot as it will have access to ready made infrastructure and real estate to begin its operations in Gujarat. The stock ended the day up by 1.6%.

TATA's are planning to enter the refining Business. The group is close to buying around 25% of 1500 Crore equity base for Rs 400 Crores. The deal will be helpful for Nagarjuna Oil Corporation which is a subsidiary of Nagarjuna Fertilizers and Chemicals (NFCL) which holds 51% in the venture. The project was expected to start in 2002 but was not started due to the problems in the raising of funds. The group is also in talks with the Russian and Middle East companies for the funding of the remaining part of the Project.

Technically Speaking: Sensex touched intraday high of 14028 and low of13905. Market churned a good turnover of Rs 4748 cr. Overall breadth favored Advances. The Resistance level was at 14005-14078 while Support at 13882-13832 levels.

Close: Lacklustre day with no clear direction

Lackluster session with selective heavyweights supporting today?s session. With nothing exciting stuff from the global indices. Selective midcaps and small caps too showed some strength with good volume like Tricom, Karuturi, Austin Eng and many more. Stocks across the board traded mixed but Auto and Sugar stocks rallied for the day.

Crude trading high over $63 a barrel which is bit negative for oil refining and marketing companies. As the Govt has also has reduced the fuels prices thinking crude is slipping but OPEC hand and winter hitting the US market has fuelled Crude prices. The Dollar is trading weak against its peers and against Rupee its at Rs 44.61 which would hit the tech sectors and there is an expectation that the earnings in the 2nd half to slow down.

Sensex ended up by 30 points at 13874.33. It is helped up by gains in Tata Motors (879.25,+4 percent), ACC (1172.6,+4 percent), L & T (1422,+3 percent), Rel Energy (556.35,+3 percent) and BHEL (2586.5,+3 percent). Restricting the gains are Satyam (458.25,-2 percent), HDFC Bk (1100.55,-2 percent), Wipro (590.35,-2 percent), HDFC (1624,-1 percent) and ONGC (857.3,-1 percent.

Pharma stocks ended mixed. Ranbaxy has acquired the South African B-Tabs Pharmaceuticals for a total consideration for US$ 70 m. With revenues pegged at US$ 30 m, Be-Tabs is the fifth largest generic company in South Africa. The acquisition will be funded through Ranbaxy's FCCB proceeds. Be-Tabs has a strong presence in the OTC (over the counter) segment and is also the largest manufacturer of 'penicillin' formulations in South Africa, which is expected to complement Ranbaxy's OTC and anti-infectives product portfolio going forward. Besides this, South Africa is the largest pharmaceutical market in the African continent valued at US$ 2 bn. Revenues from South Africa, at present, accounts for around 2% of Ranbaxy's revenues and this acquisition will ramp up the company's operations in the country going forward. Ranbaxy ended marginally in green while Nicholas Piramal (4%) and Dabur Pharma (2%) managed to clse with good gains and Sun Pharma went for profit booking.

The hospitality and travel industry is booming in India. In one such case, tourism and travel major, Thomas Cook India, has acquired 100% stake in Travel Corporation India (TCI) for a total consideration of Rs 180 Cr. This acquisition comes close on heels of Thomas Cook's acquisition of LKP Forex, which was concluded in July this year. Now, with the acquisition of TCI, Thomas Cook has become the largest tour operator in the country in terms of distribution capability (200 service outlets). Considering this India's inbound tourist numbers are expected to shot up in the future considering the country's increasing importance on the global economic and business map.

Technically Speaking: Ranged and yoyo session as sensex witnessed mixed reactions from the Investors. Sensex touched intraday high of 13912 and low of 13828. Market churned a good turnover of Rs 4808 cr. Overall breadth favored Advances. The Resistance level was at 13955 -13914 while Support at 13831 -13788 levels.

Apollo Sindhoori - Closing Notes

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Apollo Sindhoori - Closing Notes

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