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Monday, January 07, 2008
Global cues ignored as market rallies on
The Sensex opened with a negative gap of 50 points at 20,637, and dropped to a low of 20,438 points in early trades.
The index bounced strongly on buying in heavyweights like ICICI Bank, Reliance and ITC, and hit a high of 20,862 in noon deals - an intra-day swing of over 400 points.
The Sensex finally closed with a gain of 126 points (0.61%) at 20,813.
The BSE Bankex gained over 2% ( 287 points) at 12,192. The BSE Realty and FMCG indices also moved up today.
The market breadth was marginally bullish - out of 2,926 scrips traded, 1,573 logged gains today.
INDEX GAINERS....
ICICI Bank led the rally today with a gain of over 6% (Rs 78) at Rs 1,364.
ITC gained 5% at Rs 231. HUL was up 2.5% at Rs 237.
Reliance closed with a gain of 1% at Rs 3,016.
RCom added 4% at Rs 790, and REL moved up 3% to Rs 2,584.
DLF gained 2% at Rs 1,136. L&T was up nearly 1% at Rs 4,278.
.... AND LOSERS
Infosys dropped over 3% to Rs 1,638. TCS and Wipro were down over 2% each at Rs 976 and Rs 483, respectively.
ONGC declined 3% to Rs 1,300. HDFC Bank was down over 2% at Rs 1,657. Grasim, Bajaj and BHEL also declined today.
MOST ACTIVE COUNTERS
RNRL was the most active counter with a turnover of Rs 651 crore followed by Reliance Petroleum (Rs 427 crore), Hindustan Motors (Rs 214 crore), Parsvnath (Rs 211 crore) and Centurion Bank of Punjab (Rs 204 crore).
REL, L&T, IFCI January 2008 futures at premium
Turnover in F&O segment rises
Nifty January 2008 futures were at 6290, at premium of 10.90 points as compared to spot closing of 6279.10.
The NSE's futures & options (F&O) segment turnover was Rs 70,004.57 crore, which was higher than Rs 67,181.45 crore on Friday, 4 January 2008.
Reliance Energy (REL) January 2008 futures were at premium, at 2616.55, compared to the spot closing of 2585.65.
Larsen & Toubro (L&T) January 2008 futures were at premium, at 4325.30, compared to the spot closing of 4282.95.
IFCI January 2008 futures were at premium, at 95.65, compared to the spot closing of 95.40.
In the cash market, the S&P CNX Nifty gained 4.80 points or 0.08% at 6279.10.
BSE Bulk Deals to Watch - Jan 7 2008
7/1/2008 532836 GREMAC INFRA MERRILL LYNCH CAPITAL MARKETS ESPANA S.A. S.V. S 200000 475.00
7/1/2008 531497 MADHUCON PRO MORGAN STANLEY INV.MGT.INC. B 301000 623.84
7/1/2008 531497 MADHUCON PRO GOLDMAN SACHS INVESTMENTS MAURITIUS I LTD S 384190 625.00
7/1/2008 501209 MAST MEDI SY MAVI INVESTMENT FUND LTD B 33568 70.52
7/1/2008 523710 SAYAJ HOTELS RUANE CUNNIFF GOLDFARB INC AC ACACIA PARTNERS LP B 135356 95.00
7/1/2008 523710 SAYAJ HOTELS CLEARWATER CAPITAL PARTNERS CYPRUS LTD S 200000 95.00
7/1/2008 513414 SUJANA METAL GOLDMAN SACHS INVESTMENTS MAURITIUS I LTD S 627500 43.79
7/1/2008 513414 SUJANA METAL BLACKSTONE ASIA ADVISORS LL.. S 2500000 44.45
7/1/2008 590057 NORTHGATE TE VINAMRA UNIVERSAL TRADERS PRIVATE LIMITED B 220000 560.00
7/1/2008 590057 NORTHGATE TE BHASKARA REDDY KUNAREDDY S 100000 560.00
7/1/2008 590057 NORTHGATE TE UMA KUNAREDDY S 120000 560.00
7/1/2008 502455 SIRPUR PAP RARE ENTERPRISES (RAKESH JHUNJHUNWALA) B 50000 132.22
/1/2008 532887 SUJANATOWER SUNDARAM BNP PARIBAS MUTUAL FUND B 826587 210.00
7/1/2008 532887 SUJANATOWER UTI BANK LTD B 200000 210.77
7/1/2008 532887 SUJANATOWER BLACKSTONE ASIA ADVISORS LLC ACCT THE INDIA FUND INC S 630000 201.90
Market Close: Outperforms global weakness..
It was a good day for the markets as it scaled yet another peak. Indices started the day on subdue note backed by weak global cues. But the India was totally in different run as retail investor's optimisum continues. Result season arrival probabaly may be the reason for comeback. Smart recovery was seen from the days low. Pull back support from sectors like Banking, Realty and oil & gas stocks also helped. Indices managed to scale-up to new life time high. Mid cap sugar stocks were the top leading gainers for the day. Small caps ended in green. FMCG and Banks ended with robust gains but Technology counter had a bad day with Infosys and TCS. down over 3.44% followed by TCS. The Asian markets ended in the negative following the poor US economic data. Europe is also down big way.
Sensex ended up by 126 points at 20812.65. It was helped up by gains in ICICI Bk (1363.9,+6 percent), ITC (231.1,+5 percent), RCVL (790.05,+4 percent), Rel Energy (2584.1499,+3 percent) and HLL (237.25,+3 percent). Restricting the gains were Infosys (1638.1,-3 percent), ONGC (1299.95,-3 percent), TCS (976.15,-3 percent), Wipro (483.35,-3 percent) and HDFC Bk (1657,-2 percent).
With the power cable business witnessing robust growth companies like Paramount, KEI Ind and Torrent cables is garnering interest in the investors mind. Today was the day for KEI Industries which was locked in upper circuits of 20%. It is one of the established player in the power cables segment and the second largest power cable company in India after paramount communication. It manufacture of high and low tension cables, house wires and stainless steel wires. KEI is one of the few companies in the country to manufacture specialty cables including braided cables, fire survival and zero halogen cables. KEI has a strong brand name in the institutional segment. It sells 70% of its products to institutions. KEI recently inaugurated a new plant for manufacturing of HT and LT Power cable at Chopanki near Bhiwadi, It is well geared to meet the growing demand for Power Transmission & Distribution in India. Valuations are fair at current levels. One can have position in this stock with long tern perspective. We have detailed research note on this which can provide you clear picture and our view on this stock as well as industry. Do have a look...
Gremach Infrastructure Equipments and Projects was the stock under lime light after the news that company plans to buy around 40 onshore rigs which will be deployed primarily within India as well as outside India. The rigs will be deep drilling oil rigs. With overall capex requirement over the next 18 to 20 months will be around USD 300-400 million. Gremach has just competed USD 50 million FCCV and this would be basically and primarily being deployed for oil rig business. Government of India is identifying this sector as the major thrust area which is having 60% of any oil expenditure growth for oil services. The stock ended up by 10% on the back of this news.
Technically Speaking: Markets traded well with a positive breadth across the day. Indices made a intraday high of 20862 and low of 20438. Advances were leading as they were 1564 Vs Decliners of 1344. Overall volume for the day was fine at Rs 10661 Cr turnover. Sensex ended up very close to our resistance zone of 20850--20950. If failed to cross above this zone, we could fall upto 19650. Immediate support seen at 20230.
Sensex, Nifty at record closing highs
The market extended gains today on the back of upmove in index heavyweights Reliance Industries and ICICI Bank. The 30-share BSE hit a record high. The market recovered in the mid-morning trade from an initial slump. IT, healthcare and metal stocks declined. Realty, banking and FMCG stocks rose. The market breadth was strong.
European markets which opened after Indian market were trading firm. Asian markets which opened before Indian market were trading weak. US stocks tumbled on Friday, 4 January 2008, as a sharp rise in US unemployment rate in December 2007, heightened fears the US economy is heading into a recession.
The 30-share BSE Sensex rose 125.76 points or 0.61% to 20,812.65, a record closing high. Sensex hit all-time high of 20,861.83 in mid-afternoon trade. At day's high, Sensex gained 174.94 points. Sensex had hit a low of 20,438.19 at the onset of the trading session. At day's low, Sensex had declined 248 points.
The broader CNX S&P Nifty inched up 4.8 points or 0.08% to 6,279.10, a record closing high. Nifty hit a high of 6,289.80.
The BSE Mid-Cap index was down 0.11% to 10,102.23 and it underperformed Sensex. It hit a high of 10,189.68. The BSE Small-Cap index was up 0.66% to 13,975.19 and it outperformed Sensex. It hit a high of 14,133.16, also a all time high for the index.
BSE Bankex (up 2.41% to 12,191.99), BSE Realty index (up 2.48% to 13,614.17) and BSE FMCG index (up 3.3% to 2,504.45) outperformed Sensex.
BSE Oil & Gas index (up 0.41% to 13,974.30), BSE Power index (up 0.41% to 4,863.11), BSE Consumer Durables index (up 0.01% to 6,768.16), BSE Auto index (down 0.39% to 5,665.72), BSE Metal index (down 0.77% to 20,141.96), BSE Healthcare index (down 0.94% to 4,352.88) and BSE IT index (down 2.86% to 4,195.43) underperformed Sensex.
BSE clocked a turnover of Rs 10,661 crore compared to Friday (4 January 2008)'s Rs 11,039.61 crore.
Nifty January 2008 futures were at 6290, at a premium of 10.90 points as compared to spot closing of 6279.10.
The NSE's futures & options (F&O) segment turnover was Rs 70,004.57 crore, which was higher than Rs 67,181.45 crore on Friday, 4 January 2008.
The market breadth was strong on BSE with 1564 shares advancing as compared to 1346 that declined. 24 remained unchanged. 18 out of 30 shares from the Sensex pack were in the red.
India’s largest private sector firm by market capitalization and oil refiner Reliance Industries rose 1% to Rs 3,015.60.
Reliance Energy rose 2.94% to Rs 2,584.15 on reports Reliance Power, in which it holds 50% stake, is reportedly planning to tap the inorganic route and explore possibilities of taking over existing government power projects, including Ratnagiri Gas and Power plant at Dabhol, to scale up its generation capacity.
IT stock slipped as weaker-than-expected job growth in United States in December 2007 sparked worries that the US economy may head towards recession. Infosys (down 3.35% to Rs 1,638.10), Wipro (down 2.72% to Rs 483.35), Tata Consultancy Services (down 2.88% to Rs 976.15), Indian IT companies derive more than half of their revenues from the US market.
India’s fourth largest software service provider by sales Satyam Computer Services declined 2.08% to Rs 413.45. Satyam today said it had entered into a tie-up with Greenplum, a leading provider of database software for business intelligence, to combine Satyam's reach and expertise in delivering business intelligence (BI) solutions with Greenplum's innovative database software.
Healthcare stocks declined. Ranbaxy Laboratories (down 1.08% to Rs 420.90), Cipla (down 0.38% to Rs 211.90) and Dr. Reddy’s Laboratories (down 2.25% to Rs 712.20) edged lower.
Metal stocks also drifted lower. Tata Steel (down 0.47% to Rs 925.70), Steel Authority of India (down 1.13% to Rs 271.05), Hindalco Industries (down 1.27% to Rs 217.15) edged lower. National Aluminium Company rose 1.27% to Rs 525.40 and Sterlite Industries rose 0.63% to Rs 1,066.15.
Realty stocks gained. Indiabulls Real Estate (up 6.45% to Rs 815.65), DLF (up 2.09% to Rs 1,135.75), Unitech (up 2.54% to Rs 534.10) edged higher.
Parsvnath Developers surged 8.52% to Rs 574.20 after the company said during the market hours it had bagged a Rs 90 crore contract to build Sai Ashram at Shirdi.
Banking stocks rose. ICICI Bank (up 6.11% to Rs 1,363.90) and State Bank of India (up 0.51% to Rs 2,402.95) edged higher. India’s second largest private sector bank in terms of net profit HDFC Bank declined 2.38% to Rs 1,657.
As per reports, the mandatory licensing requirement for Indian banks to open branches may be done away with. The department of financial services is taking up the matter with the Reserve Bank of India (RBI) as banks are no more shying away from opening branches in semi-urban and rural areas.
FMCG stocks rose. ITC (up 5.26% to Rs 231.10), Nestle India (up 3.14% to Rs 1,506), REI Agro (up 5% to Rs 940.35), Hindustan Unilever (up 2.55% to Rs 237.25) edged higher.
India's second biggest listed telecommunication services provider by sales Reliance Communications rose 3.95% to Rs 790.05.
India’s largest oil exploration firm by revenue ONGC declined 3.26% to Rs 1,299.95.
India's largest engineering & construction firm in terms of revenue, Larsen & Toubro Ltd (L&T) rose 0.78% to Rs 4,277.65 on securing two major contracts from Cairn India for the construction of civil works and the consolidated construction works of Cairn's project located near Barmer in Rajasthan.
Reliance Natural Resources clocked the highest volume of 2.93 crore shares on BSE. The scrip rose 9.15% to Rs 227.85. Centurion Bank of Punjab clocked the second highest volume of 2.81 crore shares on BSE. The scrip rose 3.81% to Rs 72.25. Hindustan Motors clocked the third highest volume of 2.35 crore shares on BSE. The scrip rose 3.13% to Rs 88.85. IFCI clocked he fourth highest volume of 2 crore shares on BSE. It rose 4.44% to Rs 95.35. Reliance Petroleum clocked the fifth highest volume of 1.71 crore shares on BSE. It rose 2.6% to Rs 251.
Reliance Natural Resources clocked the highest turnover of Rs 651.35 crore on BSE. Reliance Petroleum (Rs 428.07 crore), Hindustan Motors (Rs 214.87 crore), Parsvnath Developers (Rs 211.08 crore) and Centurion Bank of Punjab (Rs 204.66 crore) were other turnover toppers on BSE in that order.
European markets opened firm. Germany’s DAX (up 0.33% to 7,834.45) and UK’s FTSE 100 (up 0.31% to 6,368) edged higher.
In Asia, key benchmark indices in Hong Kong, Japan, South Korea, Singapore and Taiwan were down by between 1.24% to 4.11%. However, China's Shanghai Composite index was up 0.59%.
US stocks tumbled on Friday, 4 January 2008, dragging the Dow Jones Industrial Average to its worst three-day start to a year since the Great Depression, due to fears the economy was heading into a recession. The Dow Jones industrial average lost 256.54 points, or 1.96%, at 12,800.18. The Standard & Poor's 500 Index lost 35.53 points, or 2.46%, at 1,411.63. The Nasdaq Composite Index tumbled 98.03 points, or 3.77%, at 2,504.65.
A US recession may not impact India’s economic growth in a big way given that domestic demand is a key driver of the Indian economy. India's economy is expected to post strong growth for a long period due to favourable demographics. Economists also reckon that a healthy investment cycle will continue to support growth through a self-perpetuating cycle of income creation, savings and investment.
Though the Indian economy may be relatively insulated from the US recession, any risk aversion globally causing setback in global markets, may cast its shadow on the Indian bourses. However, with expectations of good Q3 December 2007 results from the corporate sector, any sharp fall may attract buying.
Sensex displays solid strength
The market witnessed a sharp pull-back after dipping around 250 points in early trades. The rally was mainly triggered by the buoyancy in heavyweights, FMCG, banking, and realty stocks. The Sensex resumed with a negative gap of 50 points at 20,637 tracking weak Asian indices on concerns of rising unemployment in US confirming the possible recession. However, sustained buying in frontline stocks thereafter helped the Sensex to turn positive to touch the day's high of 20,861. Firm openings in European indices also contributed to rally the market. The market saw profit bookings in the afternoon and shed some of its early gains but, it regained strength towards the close. The Sensex finally wrapped up the session at 20,813, up 126 points. The Nifty closed by adding five points at 6,279.
Among the sectoral indices, the FMCG index led the upsurge with gains of 3.34% at 2,505 followed by the BSE Bankex index (up 2.46% at 12,198) and the BSE Realty index (up 2.40% at 13,604). The market breadth was positive. Of the 2,926 stocks traded on the BSE 1,572 stocks advanced, 1,338 stocks declined and 16 stocks ended unchanged.
Out of the 30 Sensex stocks, 12 managed to end in the green while 18 stocks ended with losses. ICICI Bank was the leading gainer and soared 6.11% at Rs1,364. ITC jumped 5.26% at Rs231, Reliance Communication shot up by 3.95% at Rs790, Reliance Energy advanced 2.94% at Rs2,584, HLL moved up by 2.55% at Rs237, DLF added 2.09% at Rs1,136 and Reliance Industries gained 1% at Rs3,016. Among the laggards Infosys dropped 3.35% at Rs1,638, ONGC shed 3.26% at Rs1,300, TCS declined by 2.88% at Rs976, Wipro fell 2.72% at Rs483 and HDFC Bank slipped 2.38% at Rs1,657.
Over 2.93 crore Reliance Natural Resources shares changed hands on the BSE followed by Centurion Bank of Punjab (2.80 crore shares), Hindustan Motors (2.34 crore shares), IFCI (2 crore shares) and Reliance Petroleum (1.71 crore shares).
Reliance Natural Resources registered a turnover of Rs651 crore on the BSE followed by Reliance Petroleum (Rs427 crore), Hindustan Motors (Rs214 crore), Parsvanath (Rs211 crore) and Centurion Bank of Punjab (Rs204 crore).
NEW ICC RULES
(1) Ricky Ponting – (THE TRULY GENUINE CRICKETER OF THE CRICKET ERA AND WHOSE INTEGRITY SHOULD NOT BE DOUBTED ) should be considered as the FOURTH UMPIRE. As per the new rules, FOURTH UMPIRE decision is final and will over ride any decisions taken by any other umpires. ON-FIELD umpires can seek the assistance of RICKY PONTING even if he is not on the field. This rule is to be made, so that every team should understand the importance of the FOURTH UMPIRE .
(2) While AUSTRALIAN TEAM is bowling, If the ball flies anywhere close to the AUSTRALIAN FIELDER(WITHIN 5 metre distance) , the batsman is to be considered OUT irrelevant of whether the catch was taken cleanly or grassed. Any decision for further clarification should be seeked from the FOURTH UMPIRE. This is made to ensure that the cricket is played with SPORTIVE SPIRIT by all the teams.
(3) While BATTING , AUSTRALIAN players will wait for the ON-FIELD UMPIRE decisions only (even if the catch goes to the FIFTH SLIP as the ball might not have touched the bat). Each AUSTRALIAN batsman has to be out FOUR TIMES (minimum) before he can return to the pavilion. In case of THE CRICKETER WITH INTEGRITY , this can be higher.
(4) UMPIRESshould consider a huge bonus if an AUSTRALIAN player scores a century. Any wrong decisions can be ignored as they will be paid huge bonus and will receive the backing of the AUSTRALIAN team and board.
(5) All AUSTRALIAN players are eligible to keep commenting about all players on the field and the OPPONENT TEAM should never comment as they will be spoiling the spirit of the AUSTRALIAN team. Any comments made in any other language are to be considered as RACIALISM only.
(6) MATCH REFREE decisions will be taken purely on the AUSTRALIAN TEAM advices only. Player views from the other teams decisions will not be considered for hearing. MATCH REFREES are to be given huge bonus if this rule is implemented.
(7) NO VISITING TEAM should plan to win in AUSTRALIA. This is to ensure that the sportive spirit of CRICKET is maintained.
(8) THE MOST IMPORTANT RULE : If any bowler gets RICKY PONTING - "THE UNDISPUTED CRICKETER WITH INTEGTIRY IN THE GAME OF CRICKET" more than twice in a series, he will be banned for the REST OF THE SERIES. This is to ensure that the best batsman/Captain will be played to break records and create history in the game of CRICKET.
These rules will clarify better to the all the teams VISITING AUSTRALIA.
VIA EMAIL FORWARD - Thanks for whoever composed this!
Post Market Commentary
The Indian market closed in the positive territory after struggling a lot throughout the trading session. The market opened on a negative note tracking the weak global cues but managed to recover from the fall on the back of heavy buying at the lower levels. BSE Bankex, Realty and Capital Goods remained the centre of attraction as most buying is seen from these baskets. The BSE Sensex closed higher by 125.76 points at 20,812.65 and NSE Nifty closed up by 4.8 points at 6,279.10. The BSE Mid Cap index closed lower by 10.83 points at 10,102.23 while BSE Small Cap closed higher by 91.08 points at 13,975.19. The market breadth was strong as 1572 stocks closed in green while 1338 stocks closed in red.
BSE Realty index surged by 328.88 points to close at 13,614.17. Scrips that pushed up are Parsvnath (8.52%), IndiaBull Real (6.45%), Unitech (2.54%), DLF (2.09%), Akruti City (0.97%) and Penland (0.28%).
BSE Bankex index closed higher by 286.93 points 12,191.99. Scrips that gained are IOB 7.41%, ICICI bank 6.11%, CentBOP 3.81%, Axis bank 3.13%, Yes bank 1.38% and SBI (0.51%).
BSE Oil & Gas index advanced by 57.26 points to close at 13,974.30 as RNRL 9.15%, RPL 2.60%, Essar Oil 1.89% and Reliance industries 1% closed higher.
BSE Metal index fell by 155.55 points to close at 20,141.96. Scrips that fell are Ispat industries by 3.63%, Gujarat NRE 3.06%, JSW Steel 2.94%, Jindal Steel 2.31% and Jindal Stainless 1.86%.
BSE Capital Goods index rose by 121.32 points to close at 20,150.56 as Suzlon Energy 6.80%, Siemens 3.49%, Elecon Eng 3.43%, Jyothi Struc 1.99% and Alstom Projects 1.05% closed higher.
BSE Health Care fell by 41.30 points to close at 4,352.88. Scrips that dropped are Dishman pharma 5.56%, Glenmark 3.71%, Dr Reddy lab 2.25% and Biocon 1.86%.
BSE IT index slipped by 123.71 points to close at 4,195.43. Scrips that fell are HCL Tech 4.68%, Infosys 3.35%, Tech Mahindra 3.11%, NIIT 3.06% and TCS 2.88%.
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