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Monday, March 02, 2009
AIG posts 61.7 billion dollar loss
American International Group Inc posted a $61.7 billion fourth-quarter loss -- the biggest quarterly loss in corporate history -- after
reaching a revised rescue deal with the US government that wards off for now the prospect of crippling credit rating downgrades.
The massive quarterly loss, equal to $22.95 a share, was AIG's fifth in a row, bringing the total loss over that period to more than $100 billion.
The US Treasury and Federal Reserve said AIG had posed a systemic risk requiring government action to prevent its problems from damaging the entire financial system.
AIG, the recipient of $150 billion in taxpayer aid last year, will get access to an additional $30 billion under the government's revised plan announced on Monday.
It also got more lenient terms on existing financing and will be able to significantly pay down an outstanding credit facility in a swap that will give the government a preferred-share stake in two life insurance businesses.
AIG also announced plans to spin off part of its property-casualty business, to be renamed AIU Holdings.
The revamped rescue package is the third since last fall when the government stepped in to bail out AIG, once the world's biggest insurer by market value.
The Treasury and the Fed said that AIG, which has counterparties around the globe, was so important to the US economy and financial system that it had to be helped, and they held out the possibility more aid might be needed.
"This will take time and possibly further government support if markets do not stabilize and improve," they said in a statement.
via Reuters
Post Session Commentary - March 2 2009
Indian market extended its previous week’s losses to close with huge gap down on account of selling pressure witnessed across the board. Concerns of deteriorating economic conditions led stocks to extend fall by more than 3%. Weak cues from Asian stocks along with lower European markets also fueled the negative sentiments. In domestic arena, approval of RPL’s merger with RIL by with the swap ratio of 16:1, by the board of directors of RIL and RPL, failed to bring any relief. In the mean time, significant selling by FIIs also dragged the market lower.
The domestic market tumbled since initial bell mirroring weak cues from the markets all over the world. The US markets on Friday ended down with the S&P slides to a 12-year low backed by the fourth quarter GDP readings that showed the US economy shrunk at the sharpest pace since 1982. Further, benchmark indices continued to lose ground as extensive selling pressure dragged the stocks sharply lower. Meanwhile, India’s merchandise exports fell 16% in January over the same period a year earlier. Finally, market concluded its southward journey on extremely red territory. BSE Sensex ended around 8,600 mark and NSE Nifty closed below 2,700 level. From the sectoral front, most of the indices ended in red and among those, Bank, Metal, Oil & Gas, Capital Goods, Power and PSU stocks contributed to most of the downward trend. BSE Mid Cap and Small Cap stocks also witnessed huge selling pressure. However, Consumer Durable stocks were able to gain market favour during the trading session.
Among the Sensex pack 29 stocks ended in red territory and 1 in green. The market breadth indicating the overall health of the market remained negative as 1636 stocks closed in red while 731 stocks closed in green and 88 stocks remained unchanged in BSE.
The BSE Sensex closed lower by 284.53 points at 8,607.08 and NSE Nifty ended down by 89.05 points at 2,674.60. BSE Mid Caps and BSE Small Caps ended with losses of 57.31 points and 56.73 points at 2,700.98 and 3,049.28 respectively. The BSE Sensex touched intraday high of 8,762.88 and intraday low of 8,563.52.
Losers from the BSE Sensex pack are Reliance Infra (9.12%), Tata Steel (7.54%), ICICI Bank (7.28%), RCom (6.50%), JP Associates (5%), HDFC Bank (4.43%), L&T Ltd (4.40%), TCS Ltd (4.39%) and ONGC Ltd (3.92%).
Only gainer from the BSE Sensex pack is M&M Ltd (2.58%).
India’s merchandise exports fell 16% in January over the same period a year earlier, marking the fourth straight month of decline in merchandise exports, as recession in the US and EU markets continued to depress demand for its products. The exports in January were down 16% at $12.38bn while imports declined by 18% to $18.46bn. This has led to the trade gap of $6.08bn as against $7.85bn in the year-ago period.
The much-waited Lok Sabha elections schedule is announced today by the election commissioner. The General Elections are to be held between April 16 to June 1, 2009. The first phase will be held on April 16, 2009 and will cover 124 constituencies. Along with this, the phase two will be on April 23, 2009 and will cover 141 seats. The Phase three will be on April 30, 2009 and will cover 107 seats. The phase four and five will be held on May 7 and May 13, 2009 and will cover 85 and 86 seats respectively. The counting of votes will be on May 16, 2009.
On the global markets front the Asian markets which opened before the Indian market, ended in deep red. Sentiments remained weak on declines in Japanese wages and South Korean exports. Monthly wages in Japan fell 1.3% in January 2009 from a year earlier, after declining 0.8% in December 2008, the Labor Ministry said in Tokyo. South Korea''s overseas shipments decreased 17.1% in February 2009 from a year earlier following previous month''s record 33.8% fall, the government reported. Hang Seng, Nikkei 225, Straits Times index and Seoul Composite ended lower by 494.11, 288.27, 61.47 and 44.22 points at 12,317.46, 7,280.15, 1,533.40 and 1,018.81 respectively.
European markets which opened after the Indian market are trading lower. In London FTSE 100 is trading lower by 134.18 points at 3,695.91 and in Frankfurt the DAX index is trading down by 101.42 points at 3,742.32.
The BSE Bank index lost (4.86%) or 206.11 points at 4,033.99 on fears of rising defaults in a weakening economy. Main lossers are ICICI Bank (7.28%), Axis Bank (7.16%), Oriental Bank (6.08%), IDBI Bank (5.38%) and Canara Bank (5.17%).
The BSE Metal index ended down by (4.31%) or 202.15 points at 4,488.82 due to drop in global base metal prices on the London Metal Exchange. Losers are JSW Steel (8.69%), Welspan Gujarat SR (8.31%), Tata Steel (7.54%), Sesa Goa Ltd (5.88%) and Steel Authority (5.79%).
The BSE Oil & Gas index closed with decrease of (2.94%) or 178.14 points at 5,885.97 as crude oil for April delivery reversed its three day rally and prices fell by $0.46 to settle at $44.76 a barrel on the New York Mercantile Exchange. Scrips that lost are Aban Offshore (6.98%), Essar Oil Ltd (6.24%), Reliance Nat Res (4.37%), Cairn Ind (3.92%) and ONGC Ltd (3.92%).
The BSE Capital Goods index also tumbled (2.9%) or 171.06 points to close at 5,726.86. Punj Lloyd (9.04%), Reliance Industrial Infra (6.13%), Gammon Indi (5.54%), Suzlon Energy (5.06%) and Everest Kanto (4.58%) ended in red.
The BSE Power index ended lower by (2.83%) or 49.63 points to close at 1,702.12. Reliance Infra (9.12%), Suzlon Energy (5.06%), Power Grid (4.87%), GVK Power (4.74%) and GMR Infra (3.44%) ended in negative territory.
The BSE Consumer Durables stocks gained (0.15%) or 2.3 points to close at 1,544.97. Only gainer is Titan Ind (2.15%).
Reliance Industries fell 3.15% after the company set the swap ratio of 16:1 for merger of Reliance Petroleum slightly in favour of Reliance Petroleum.
Aurobindo Pharma dropped by 1.80% despite the company through its wholly owned subsidiary Aurobindo Pharma Australia Pty Ltd received it''s first approval from Therapeutic Goods Administration (TGA), Government of Australia for the registration of Auro-Lisinopril 5, Auro-Lisinopril 10 and Auro-Lisinopril 20 tablets containing Lisinopril (as dihydrate) 5mg, 10mg and 20mg.
Maruti Suzuki ended down by 0.30%. The company achieved its highest ever domestic and total sales in February 2009. The company also registered the highest ever export sales. The company in February 2009 sold 70,625 units in the domestic market up 19.1% over the corresponding period last year. The company in all sold 79,190 vehicles in February 2009; up 24.1% over the corresponding period last fiscal.
Losing streak extends
The market took a sharp dip in early trades and the downward spell continued unabated for the day. Sensex began the session with a negative gap of 129 points at 8763, however sudden spurt in selling, particularly in banking, metal, oil & gas and capital goods stocks dragged the index just above 8,600 level to the day’s low of 8564. However, the index pared some losses on selective buying in fast moving consumer durables (CD) stocks and ended the session with a loss of 285 points at 8607. Nifty was 89 points down at 2675 at closing.
The market breadth was negative. Of the 2,454 stocks traded on BSE, 1,633 stocks declined, whereas 734 stocks advanced. Eighty seven stocks ended unchanged. All the 13 sectoral indices except BSE CD ended lower. BSE Bankex shed 4.86% followed by BSE Metal (down 4.31%), BSE Oil, BSE CG, BSE Power, BSE PSU, BSE Teck, BSE FMCG, BSE Realty, BSE IT, BSE Auto and BSE HC were down 1-2% each.
Among Sensex stocks, Reliance Infrastructure tumbled 9.12% at Rs445.85, Tata Steel plunged 7.54% at Rs159.35, ICICI Bank slumped 7.28% at Rs304.20, Reliance Communications dropped 6.50% at Rs145.35, JP Associates shed 5% at Rs62.55, HDFC Bank lost 4.43% at Rs845.65, Larsen & Toubro was down 4.40% at Rs584.55 and Tata Consultancy Services declined 4.39% at Rs459.50 Other frontline stocks lost around 1-4% each. However, Mahindra & Mahindra was at Rs317.90, up 2.58%.
Over 3.40 crore shares of Edserv Softsystems changed hands on BSE followed by Cals Refineries (1.40 crore shares), Reliance Petroleum (0.89 crore shares), Satyam Computer Services (0.77 crore shares) and Unitech (0.69 crore shares).
Edserv Softsystems ends with 129% premium
Edserv Softsystems settled at Rs 137.55 on BSE, a sharp premium of 129.25% to its IPO price of Rs 60.
Meanwhile, the BSE Sensex ended lower 284.53 points or 3.20% to 8607.08.
The stock debuted at Rs 55, a discount of 8.33% over the initial public offer (IPO) price. The stock hit a high of 147 and low of Rs 55 during the day.
The counter saw high volumes of 3.41 crore shares on BSE.
At current price of Rs 137.55, the stock trades at a PE multiple of 65.5, based on its year ended March 2008 EPS of Rs 2.1.
The initial public offering of Edserv Softsystem (ESL) was oversubscribed 1.30 times. The qualified institutional buyer category was subscribed 1.07 times, the non institutional investors category 3.10 times and the retail investors category 1.02 times. The issue was open between 5 February 2009 - 9 February 2009.
ESL came with an initial public offering of 39.7 lakh equity shares of Rs 10 each in the price band of Rs 55 - Rs 60. The issue price was later fixed at Rs 60.
Incorporated in 2001, Chennai-based Edserv provides integrated learning and placement solutions, customized software solutions and placement consulting to clients in the field of IT and non-IT verticals. The company has three business units, viz. ELMAQ (IT Training), Edserv (HEADS) and Lambent (Software Development).
The proceeds of the issue would be utilized mainly for establishing the HEAL Lab to develop, test, install, connect and implement the D2J (Degree to Job) content across all HEADS Offices. It will also finance the cost for establishing HEADS Offices across India.
For the year ended on March 2008, the company posted net profit of Rs 2.53 crore on net sales of Rs 3.95 core.
BSE Bulk Deals to Watch - March 2 2009
Deal Date Scrip Code Company Client Name Deal Type * Quantity Price **
2/3/2009 524448 AHLCON PAREN BIKRAMJIT SINGH AHLUWALIA B 750090 14.00
2/3/2009 524448 AHLCON PAREN AHLUWALIA CONTRACT INDIA LTD. S 750090 14.00
2/3/2009 533055 EDSERV SOFT RAJESHPRAVINBHANUSHALI B 356923 117.66
2/3/2009 533055 EDSERV SOFT AVINISH KISHORCHANDRA SHUKLA B 91084 107.89
2/3/2009 533055 EDSERV SOFT MATRIX EQUITRADE PVT. LTD. B 2130360 106.60
2/3/2009 533055 EDSERV SOFT MARWADI SHARES AND FINANCE LIMITED B 304088 126.60
2/3/2009 533055 EDSERV SOFT EUREKA STOCK AND SHARE BROKING SERVICES LIMITED B 623928 117.14
2/3/2009 533055 EDSERV SOFT PIYUSHKUMAR B 307522 121.80
2/3/2009 533055 EDSERV SOFT ALKAAGARWAL B 159030 124.25
2/3/2009 533055 EDSERV SOFT OPG SECURITIES P LTD B 6416716 112.27
2/3/2009 533055 EDSERV SOFT JUGALKISHOREMODI B 689916 112.72
2/3/2009 533055 EDSERV SOFT MANSUKH SEC. AND FINANCE LTD. B 61468 116.15
2/3/2009 533055 EDSERV SOFT R M SHARES TRADING PVT LTD B 615058 114.68
2/3/2009 533055 EDSERV SOFT SAM GLOBAL SECURITIES LTD B 63880 101.16
2/3/2009 533055 EDSERV SOFT KAUSHIK SHAH SHARES SEC PL B 64087 74.35
2/3/2009 533055 EDSERV SOFT PRADEEPKUMARPARASMALJAIN B 269268 116.52
2/3/2009 533055 EDSERV SOFT H.J. SECURITIES PVT. LTD. B 2833872 110.56
2/3/2009 533055 EDSERV SOFT KHANDWALA TRADELINK B 174674 101.92
2/3/2009 533055 EDSERV SOFT MONTU K SHAH B 85465 129.47
2/3/2009 533055 EDSERV SOFT B K SHAH B 82395 106.65
2/3/2009 533055 EDSERV SOFT MOTILAL OSWAL FINANCIAL SERVICES LTD B 197791 89.77
2/3/2009 533055 EDSERV SOFT MAVI BUSINESS VENTURES LTD B 125000 86.85
2/3/2009 533055 EDSERV SOFT NIRMALABEN CHHATRABHUJ SHAH B 89661 81.48
2/3/2009 533055 EDSERV SOFT RAJESHPRAVINBHANUSHALI S 301923 108.09
2/3/2009 533055 EDSERV SOFT MATRIX EQUITRADE PVT. LTD. S 2130360 106.60
2/3/2009 533055 EDSERV SOFT MARWADI SHARES AND FINANCE LIMITED S 304088 127.28
2/3/2009 533055 EDSERV SOFT EUREKA STOCK AND SHARE BROKING SERVICES LIMITED S 623928 117.43
2/3/2009 533055 EDSERV SOFT PIYUSHKUMAR S 307522 122.03
2/3/2009 533055 EDSERV SOFT ALKAAGARWAL S 159030 124.37
2/3/2009 533055 EDSERV SOFT OPG SECURITIES P LTD S 6416716 112.39
2/3/2009 533055 EDSERV SOFT JUGALKISHOREMODI S 689916 112.93
2/3/2009 533055 EDSERV SOFT MANSUKH SEC. AND FINANCE LTD. S 61468 115.71
2/3/2009 533055 EDSERV SOFT R M SHARES TRADING PVT LTD S 615058 116.05
2/3/2009 533055 EDSERV SOFT SAM GLOBAL SECURITIES LTD S 63880 102.25
2/3/2009 533055 EDSERV SOFT KAUSHIK SHAH SHARES SEC PL S 64087 81.45
2/3/2009 533055 EDSERV SOFT PRADEEPKUMARPARASMALJAIN S 269268 116.63
2/3/2009 533055 EDSERV SOFT H.J. SECURITIES PVT. LTD. S 2833872 110.62
2/3/2009 533055 EDSERV SOFT KHANDWALA TRADELINK S 174674 105.14
2/3/2009 533055 EDSERV SOFT MONTU K SHAH S 85465 128.77
2/3/2009 533055 EDSERV SOFT B K SHAH S 82395 108.25
2/3/2009 533055 EDSERV SOFT MOTILAL OSWAL FINANCIAL SERVICES LTD S 197791 91.00
2/3/2009 533055 EDSERV SOFT MAVI BUSINESS VENTURES LTD S 75000 119.45
2/3/2009 533055 EDSERV SOFT NIRMALABEN CHHATRABHUJ SHAH S 89661 80.47
2/3/2009 504000 ELPRO INTERN LOTUS GLOBAL INVESTMENTS LIMITED S 70000 255.00
2/3/2009 513059 G.S. AUTO HARDIK M MITHANI B 39767 7.35
2/3/2009 531137 GEMSTONE INV NAINESH HIMAT JATANIA S 20000 22.85
2/3/2009 511728 KZLEASING KARAN MAHESHKUMAR HADVANI B 17027 56.42
2/3/2009 511728 KZLEASING JYOTIKABEN MAHESHBHAI HADVANI B 18030 56.33
2/3/2009 504864 ORISA SP IRS NISHU FINLEASE PVT LTD B 108400 326.55
2/3/2009 526588 PHOTOQUIP IN VIMAL J SONI B 80000 9.95
2/3/2009 526588 PHOTOQUIP IN JAVED S SAIYED S 79700 9.95
2/3/2009 524727 SPAN DIAGNOS BAJRANG MAHESHWARI B 20000 35.00
2/3/2009 524727 SPAN DIAGNOS NIMBARAM DHARMAJI PRAJAPATI B 20000 45.00
2/3/2009 524727 SPAN DIAGNOS BAJRANG MAHESHWARI S 20000 45.00
2/3/2009 524727 SPAN DIAGNOS NIMBARAM DHARMAJI PRAJAPATI S 20000 35.00
2/3/2009 532619 UTV SOFTWARE FIDELITY FUNDS MAURITIUS LIMITED B 286212 195.00
2/3/2009 531249 WELL PACK PA GANDHI MANISHA NAVNEETLAL B 25000 74.44
NSE Bulk Deals to Watch - March 2 2009
Date,Symbol,Security Name,Client Name,Buy/Sell,Quantity Traded,Trade Price / Wght. Avg. Price,Remarks
02-MAR-2009,EDSERV,Edserv Softsystems Limite,A TO Z STOCK TRADE PRIVATE LIMITED,BUY,222632,124.62,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,AJAY ASSET MANAGEMENT PRIVATE LIMITED,BUY,97168,125.55,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,AMBIT SECURITIES BROKING PVT. LTD.,BUY,657286,117.96,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,ANBU CHEZHIAN R,BUY,64000,132.81,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,ARCHITA C GADA,BUY,132769,114.10,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,ASHWIN STOCKS AND INVESTMENT PRIVATE LIMITED,BUY,561206,107.71,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,ASIT C MEHTA INVESTMENT INTERRMEDIATES LTD,BUY,377541,129.48,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,AVINISH KISHORCHANDRA SHUKLA,BUY,103500,112.59,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,B K SHAH CO KETAN BHAILAL SHAH,BUY,150338,106.16,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,BHAVIN SURESH CHHEDA,BUY,195486,119.08,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,BP FINTRADE PRIVATE LIMITED,BUY,1257486,111.85,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,CHOKHANI SECURITIES LTD,BUY,90263,122.45,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,CPR CAPITAL SERVICES LTD.,BUY,424239,122.99,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,DEPANSU SECURITIES INDIA PRIVATE LIMITED,BUY,222068,124.85,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,DHYAN SECURITIES PVT LTD,BUY,84924,112.65,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,DINDAYAL BIYANI STOCK BROKERS LTD,BUY,149676,116.12,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,DINESH MUNJAL,BUY,438086,121.18,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,DIPAN MEHTA SHARE & STOCK BROKERS PVT. LTD.,BUY,135630,103.79,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,DKG SECURITIES PVT. LTD.,BUY,327949,112.01,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,EPOCH SYNTHETICS PVT LTD,BUY,8568,101.90,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,G RAMAKRISHNA,BUY,288177,117.45,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,GENUINE STOCK BROKERS PVT LTD,BUY,60605,133.89,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,GHALLA BHANSALI STOCK BROKERS PVT. LTD.,BUY,263244,103.21,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,HARBUX SINGH SIDHU,BUY,820226,119.62,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,INDIA ADVANTAGE SECURITIES LTD.,BUY,182918,129.30,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,JAY SURESH CHHEDA,BUY,158422,121.62,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,KAUSHIK SHAH SHARES & SECURITIES PVT LTD,BUY,1146468,109.27,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,KHANDWALA TRADELINK CO,BUY,139901,106.13,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,KOTECHA NIRMAL NARENDRA,BUY,69500,63.74,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,KRUNAL FINVEST- NIKESH NATAVARLAL SHETH,BUY,60045,137.78,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,LATIN MANHARLAL SECURITIES PVT. LTD.,BUY,894067,132.35,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,M/S JIYA INVESTMENTS,BUY,259242,115.61,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,MAHALAXMI INVESTMENTS,BUY,71506,111.60,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,MANIPUT INVESTMENTS PVT LTD,BUY,1365483,118.35,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,MANSUKH SECURITIES & FINANCE LTD,BUY,66248,118.61,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,MARWADI SHARES AND FINANCE LIMITED,BUY,356322,126.71,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,MAVI BUSINESS VENTURE LTD,BUY,270000,97.32,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,MBL & COMPANY LTD.,BUY,80771,130.52,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,MITHALI MUKESH GUDEKAR,BUY,272111,97.12,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,MITHUN SECURITIES PVT. LTD.,BUY,80154,115.26,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,MLB CAPITAL PVT LTD,BUY,101700,125.05,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,MOTILAL OSWAL FINANCIAL SERVICES LTD,BUY,182024,94.40,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,MUKUL RAMVALLABH TIBREWALA,BUY,91820,124.71,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,MULTIPLIER S AND S ADV PVT LTD,BUY,146499,126.94,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,NAMAN SECURITIES & FINANCE PVT LTD,BUY,171114,124.44,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,NEPTUNE FINCOT PVT LTD,BUY,187556,135.62,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,NIRMALA B,BUY,77570,133.47,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,NIRMIT MUKESHKUMAR PATEL,BUY,178175,129.56,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,OM INVESTMENTS,BUY,521491,131.60,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,OPG SECURITIES PVT. LTD.,BUY,219195,118.07,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,P R B SECURITIES PRIVATE LTD,BUY,173659,135.87,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,PRASHANT JAYANTILAL PATEL,BUY,514649,130.29,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,R APPALA RAJU,BUY,408000,122.82,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,R BABY,BUY,95000,107.06,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,R.M. SHARE TRADING PVT LTD,BUY,746837,113.75,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,SAI PRASAD REDDY LOMADA,BUY,71001,138.40,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,SALASAR STOCK BROKING LTD.,BUY,81159,118.51,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,SARAVANA STOCKS PRIVATE LIMITED,BUY,160000,108.81,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,SETHU S,BUY,122114,116.88,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,SHAH PRAFUL MANILAL HUF,BUY,98854,106.77,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,SHANTANU GUPTA,BUY,72500,91.03,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,SMC GLOBAL SECURITIES LTD.,BUY,65097,106.07,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,SRINIVAS M R,BUY,88442,114.04,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,SUNEET LAL,BUY,72913,103.98,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,SUPREME STOCKS PRIVATE LIMITED,BUY,90000,135.41,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,SWARAJ SHARES & SEC PVT. LTD.,BUY,162946,99.67,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,TODI SECURITIES PVT. LTD.,BUY,66826,133.49,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,TRANSGLOBAL SECURITIES LTD.,BUY,621869,119.13,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,URMILA L N SERI,BUY,98100,122.21,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,URVI INVESTMENT (PROP:JYOTI MEHTA),BUY,60491,132.44,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,VAIBHAV DOSHI,BUY,385494,119.09,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,VASUDEVA RAO K,BUY,191000,116.01,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,VINAN BROKING SERVICES PVT LTD,BUY,319589,111.73,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,VIREN RAMNIKLAL KENIA,BUY,118204,109.92,-
02-MAR-2009,EDUCOMP,Educomp Solutions Limited,C D INTEGRATED SERVICES LTD,BUY,126998,1606.32,-
02-MAR-2009,KALINDEE,Kalindee Rail Nirman (Eng,L&T CAPITAL COMPANY LIMITED,BUY,61199,86.13,-
02-MAR-2009,UTVSOF,UTV Software Communicatio,FID FUNDS MAURITIUS LIMITED ,BUY,318085,197.59,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,A TO Z STOCK TRADE PRIVATE LIMITED,SELL,222632,124.70,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,AJAY ASSET MANAGEMENT PRIVATE LIMITED,SELL,97168,126.10,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,AMBIT SECURITIES BROKING PVT. LTD.,SELL,657286,117.99,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,ANBU CHEZHIAN R,SELL,64000,132.69,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,ARCHITA C GADA,SELL,132769,114.78,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,ASHWIN STOCKS AND INVESTMENT PRIVATE LIMITED,SELL,561206,107.66,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,ASIT C MEHTA INVESTMENT INTERRMEDIATES LTD,SELL,377541,129.64,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,AVINISH KISHORCHANDRA SHUKLA,SELL,45000,123.70,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,B K SHAH CO KETAN BHAILAL SHAH,SELL,150350,107.42,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,BHAVIN SURESH CHHEDA,SELL,195486,118.65,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,BP FINTRADE PRIVATE LIMITED,SELL,1257488,111.17,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,CHOKHANI SECURITIES LTD,SELL,90264,123.61,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,CPR CAPITAL SERVICES LTD.,SELL,424239,123.05,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,DEPANSU SECURITIES INDIA PRIVATE LIMITED,SELL,222068,124.71,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,DHYAN SECURITIES PVT LTD,SELL,84924,112.91,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,DINDAYAL BIYANI STOCK BROKERS LTD,SELL,149676,114.06,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,DINESH MUNJAL,SELL,438086,120.54,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,DIPAN MEHTA SHARE & STOCK BROKERS PVT. LTD.,SELL,135630,103.66,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,DKG SECURITIES PVT. LTD.,SELL,327949,127.55,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,EPOCH SYNTHETICS PVT LTD,SELL,61368,72.41,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,G RAMAKRISHNA,SELL,288177,117.30,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,GENUINE STOCK BROKERS PVT LTD,SELL,60605,133.93,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,GHALLA BHANSALI STOCK BROKERS PVT. LTD.,SELL,224210,101.44,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,HARBUX SINGH SIDHU,SELL,820226,119.82,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,INDIA ADVANTAGE SECURITIES LTD.,SELL,182918,130.29,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,INDIA MAX INVESTMENT FUND LTD,SELL,406354,65.00,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,JAY SURESH CHHEDA,SELL,158422,121.71,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,KAUSHIK SHAH SHARES & SECURITIES PVT LTD,SELL,1146468,108.94,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,KHANDWALA TRADELINK CO,SELL,139901,100.77,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,KOTECHA NIRMAL NARENDRA,SELL,10000,116.44,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,KRUNAL FINVEST- NIKESH NATAVARLAL SHETH,SELL,88337,134.95,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,LATIN MANHARLAL SECURITIES PVT. LTD.,SELL,894067,132.44,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,M/S JIYA INVESTMENTS,SELL,259242,115.63,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,MAHALAXMI INVESTMENTS,SELL,71506,111.55,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,MANIPUT INVESTMENTS PVT LTD,SELL,1365483,118.40,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,MANSUKH SECURITIES & FINANCE LTD,SELL,66248,117.78,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,MARWADI SHARES AND FINANCE LIMITED,SELL,356322,126.90,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,MBL & COMPANY LTD.,SELL,80771,130.30,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,MITHALI MUKESH GUDEKAR,SELL,272111,106.41,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,MITHUN SECURITIES PVT. LTD.,SELL,80154,115.04,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,MLB CAPITAL PVT LTD,SELL,101700,122.74,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,MOTILAL OSWAL FINANCIAL SERVICES LTD,SELL,182024,93.42,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,MUKUL RAMVALLABH TIBREWALA,SELL,81820,129.85,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,MULTIPLIER S AND S ADV PVT LTD,SELL,146495,127.21,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,NAMAN SECURITIES & FINANCE PVT LTD,SELL,171114,124.94,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,NEPTUNE FINCOT PVT LTD,SELL,187556,136.08,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,NIRMALA B,SELL,77570,133.32,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,NIRMIT MUKESHKUMAR PATEL,SELL,175175,128.63,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,OM INVESTMENTS,SELL,521491,131.72,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,OPG SECURITIES PVT. LTD.,SELL,219195,118.39,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,P R B SECURITIES PRIVATE LTD,SELL,173659,135.89,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,PRASHANT JAYANTILAL PATEL,SELL,514649,130.39,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,R APPALA RAJU,SELL,408000,122.75,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,R BABY,SELL,95000,140.16,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,R.M. SHARE TRADING PVT LTD,SELL,746837,112.60,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,SAI PRASAD REDDY LOMADA,SELL,71001,132.94,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,SALASAR STOCK BROKING LTD.,SELL,74159,129.41,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,SARAVANA STOCKS PRIVATE LIMITED,SELL,150000,120.55,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,SETHU S,SELL,122114,117.21,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,SHAH PRAFUL MANILAL HUF,SELL,98854,108.44,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,SHANTANU GUPTA,SELL,62500,100.11,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,SMC GLOBAL SECURITIES LTD.,SELL,65097,104.97,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,SRINIVAS M R,SELL,88442,115.49,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,SUNEET LAL,SELL,72913,102.33,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,SUPREME STOCKS PRIVATE LIMITED,SELL,90000,129.77,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,SWARAJ SHARES & SEC PVT. LTD.,SELL,162946,124.33,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,TODI SECURITIES PVT. LTD.,SELL,66826,133.68,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,TRANSGLOBAL SECURITIES LTD.,SELL,621869,118.56,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,URMILA L N SERI,SELL,98100,122.73,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,URVI INVESTMENT (PROP:JYOTI MEHTA),SELL,65491,132.70,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,VAIBHAV DOSHI,SELL,380494,119.76,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,VASUDEVA RAO K,SELL,191000,126.37,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,VINAN BROKING SERVICES PVT LTD,SELL,354010,111.64,-
02-MAR-2009,EDSERV,Edserv Softsystems Limite,VIREN RAMNIKLAL KENIA,SELL,118204,110.49,-
02-MAR-2009,EDUCOMP,Educomp Solutions Limited,C D INTEGRATED SERVICES LTD,SELL,126998,1607.77,-
02-MAR-2009,MARKSANS,Marksans Pharma Limited,SANGAM FISCALS & HOLDINGS PVT LTD,SELL,2050000,5.40,-
Sensex tumbles to 3-month low on US gloom
Weak global markets and data showing slide in India's exports for the fourth month in a row in January 2009 hit the domestic bourses hard. Trading in US index futures indicated the Dow could slide 137 points at the opening bell on Monday, 2 March 2009. The BSE 30-share Sensex tumbled 284.53 points, or 3.2%.
After a sharp slide at the onset of the trading session, the market immediately recovered from lower level as fears of heavy selling by foreign funds eased to some extent as the performance of the two indices which gauge institutional activity on the bourses indicated that neither foreign institutional investors' (FIIs) nor domestic funds' selling had pulled the market lower at the onset of the trading session. The market weakened again at about 14:00 IST on as European markets, which opened after Indian market, dropped in early trade.
After a sharp slide in mid-afternoon trade, the market immediately cut losses as the performance of the two institutional investors' indices showed that domestic institutional investors (DIIs) could be absorbing the sales of accelerated selling by foreign funds by mid-day. At 13:00 IST, the Instanex FII Index had fallen 2.49% verses a 2.45% slide in S&P CNX Nifty and 2.27% fall in Sensex. At that time, the Instanex DII 15 Portfolio was down 1.88%, outperforming the Instanex FII Index as well as the Nifty and the Sensex.
But the intraday recovery on bourses was short-lived as the market witnessed a one-way sharp slide in late trade.
According to an end-of the day analysis by Instanex Capital Consultants which owns and manages the 15-share Instanex FII index, today's fall in was not led by selling by foreign funds. The index fell 3.07% at 194.56 today, outperforming the BSE Sensex and Nifty. While Sensex lost 3.2%, the Nifty lost 3.22%.
The analysis also showed that DIIs had absorbed most of the selling as the fall in the Instanex DII 15 Portfolio was just much lower than the two key benchmark indices at 2.8%. Since the past few days, DIIs have been absorbing heavy sales by foreign institutional investors.
FIIs have pressed substantial sales of Indian stocks this year. FIIs have pressed substantial sales of Indian stocks this year. FII outflow in February 2009 totaled Rs 2707 crore. FII outflow in calendar year 2009 totaled Rs 6940.90 crore (till 27 February 2009).
As per the provisional data on BSE, foreign institutional investors (FIIs) sold shares worth Rs 580.43 crore and domestic funds bought shares worth Rs 334.13 crore today, 2 March 2009.
Banking, IT, capital goods and metal stocks led the decline on the domestic bourses today, 2 March 2009. Index heavyweight Reliance Industries (RIL) was down after its board approved a swap ratio for merger of Reliance Petroleum (RPL) with the company, with the merger ratio being more favourable to RPL. Auto stocks pared gains after an intraday rally triggered by strong monthly sales figures announced Maruti Suzuki and Hero Honda Motors.
The market has been agog with talks of a rate cut by the RBI shortly. Some expectations were that the rate cut could have been at the weekend (either on Saturday 28 March 2009 or Sunday 1 March 2009). However, there was no such announcement at the weekend, disappointing the stock market investors.
Meanwhile, Indian manufacturing activity shrank for a fourth straight month in February 2009 as the global downturn hurt demand and soured business sentiment, a survey showed on Monday. The ABN AMRO Bank purchasing managers'index (PMI), based on a survey of 500 companies, rose to a seasonally adjusted 47 in February 2009 from January's 46.7. A reading above 50 signals economic expansion while a figure below 50 suggests contraction. Manufacturing makes up about 16% of India's gross domestic product.
India's exports fell an annual 15.9% to $12.38 billion in January 2009 over January 2008, government data released during trading hours today showed. It was the fourth straight loss as the global slowdown shaved off demand for Indian goods. The trade deficit narrowed to $6.1 billion in January 2009 compared with $7.57 billion in December 2008 due to a sharp decline in imports. Imports were down 18.2% at $18.46 billion in January 2009, led by 47.5% fall in oil imports.
N Gopalaswami, the Chief Election Commissioner, today announced that Lok Sabha elections will begin on 16 April 2009 and the 15th Lok sabha will be constituted by 2 June 2009.
The outcome of the election will be a key drive of the domestic bourses going ahead. The market may recover if a coalition led either by Congress or BJP comes to power. But the recovery will be subject to BJP or Congress led coalition coming to power without a support from the Left front which is against key economic reforms. The market will then look for whether the new government which comes to power undertakes second generation reforms that could bring India back on a strong growth path witnessed in five years between 2003 and 2008.
It is highly unlikely that either Congress or BJP comes to power on its own i.e. without the support of other smaller/regional parties. Elections are likely to be held in phases during April-May 2009.
European shares fell sharply on Monday, led lower by HSBC, which slid after unveiling a big rights issue as its annual profits fell and bad debts soared in the United States. The key benchmark indices in France, Germany and UK were down by between 3.42% to 4.58%.
Asian shares plunged as declines in Japanese wages and South Korean exports fueled concerns the global recession is deepening. Key benchmark indices in Hong Kong, Japan, South Korea, Singapore and Taiwan were down by between 2.88% to 4.16%. While, China's Shanghai Composite rose 0.51%.
Monthly wages in Japan fell 1.3% in January 2009 from a year earlier, after declining 0.8% in December 2008, the Labor Ministry said in Tokyo today. South Korea's overseas shipments decreased 17.1% in February 2009 from a year earlier following previous month's record 33.8% percent slump, the government reported today.
US stocks tumbled on Friday, 27 February 2009, after the Commerce Department said the US economy shrank in the three months to December 2008 by the most since 1982.
The BSE 30-share Sensex was down 284.53 points, or 3.2%, to 8,607.08, its lowest closing since 20 November 2008. At the day's low of 8,563.52 Sensex fell 328.09 points in late trade, its lowest level since 2 December 2008. At the day's high of 8,762.88 Sensex fell 128.73 points in early trade.
The S&P CNX Nifty was down 89.05 points, or 3.22%, to 2,674.60.
The market breadth, indicating the overall health of the market, was weak on BSE with 745 shares advancing as compared with 1,659 that declined. A total of 69 shares remained unchanged.
The Sensex is down 1,040.23 points or 10.78% in calendar 2009 from its close of 9,647.31 on 31 December 2008.
The BSE clocked a turnover of Rs 2182 crore, lower than Rs 3052.95 crore on Friday, 27 February 2009.
Nifty March 2009 futures were at 2629.80, at a discount of 44.80 points as compared to the spot closing of 2674.60. Turnover in NSE's futures & options (F&O) segment was Rs 35310.68 crore lower than Rs 39204.47 crore on Friday, 27 February 2009.
The BSE Consumer Durables index (up 0.15%), the BSE Healthcare index (down 0.41%), the BSE Auto index (down 1%), the BSE IT index (down 1.84%), the BSE Realty index (down 2.36%), the BSE FMCG index (down 2.48%), the BSE TECk index (down 2.5%), the BSE PSU index (down 2.61%), the BSE Power index (down 2.83%), the BSE Capital Goods index (down 2.9%), the BSE Oil & Gas index (down 2.94%) outperformed the Sensex.
The BSE Bankex (down 4.36%) and the BSE Metal index (down 4.31%) underperfomed the Sensex.
From the 30 share Sensex pack, 29 stocks fell and only one stock gained.
India's largest private sector company by market capitalization and oil refiner Reliance Industries (RIL) fell 3.15% to Rs 1,225.15 after the company set the swap ratio for merger of Reliance Petroluem slightly in favour of Reliance Petroleum. Reliance Industries said on Monday its board approved the absorption of its unit Reliance Petroleum (RPL) and set a share swap ratio giving it direct control of the world's largest refinery complex. Reliance Industries said it would issue one share for every 16 held in RPL, which runs a refinery.
Reliance Industries said late on Friday 27 February 2009, it would also buy Chevron's 5 % stake in Reliance Petroleum valued at $344 million as of the close of trade on Friday. Reliance Industries said it would own 75.38% of Reliance Petroleum after buying out Chevron's stake. Shares of Reliance Petroleum was volatile now down 1.38% to Rs 75.15.
Meanwhile, RIL today said its absorption of its unit RPL will be tax neutral for both the entities i.e. both the refineries will retain their tax benefits.
Oil exploration firms ONGC and Cairn India declined by 3.92% each as oil April 2009 Nymex crude oil futures were 80 cents lower at $43.96 a barrel on Globex hurt by weak US gross domestic product data. It had risen sharply last week.
Banking stocks fell as fears of rising defaults in a weakening economy and on fall in American Depository Receipts (ADRs) offset hopes a further fall in interest rates may boost lending growth. India's largest private sector bank by net profit ICICI Bank fell 7.28%. Its American Depository Receipts (ADR) slipped 2.88% on Friday, 27 February 2009. Recently, Life Insurance Corporation of India hiked its stake in ICICI Bank by 2.04% to 9.38%.
India's largest bank in terms of assets and branch network State Bank of India fell 3.1%. The Indian government on Tuesday 24 February 2009 introduced a bill in Parliament which will enable it to increase the capital base of State Bank of India's subsidiaries and issue preference and bonus shares of these entities. India's second largest private sector bank by net profit HDFC Bank slipped 4.43% as its ADR fell 1.49% on Friday.
PSU bank stocks, Indian Overseas Bank, Union Bank of India, Bank of Baroda, Bank of India fell by between 1.38% to 4.55%.
Dewan Housing Finance Corporation rose 1.32% after the company said its board will meet on 6 March 2009 to consider raising funds through issue of equity shares on rights basis.
Despite a steep cut in policy rates by RBI since October 2008, there has not been a commensurate reduction in lending rates by banks as fears of rising bad loans have made them cautious in increasing advances/lending. One reason why banks have not fully passed on the central bank rate cuts to customers is because higher bond yields are pushing up their funding costs. Bond yields and bond prices are inversely related. After a steep decline in bond yields in Q3 December 2008, the yields have hardened considerably in calendar year 2009 on worries over government's borrowing programme.
As per the latest data by the Reserve Bank of India, the banking sector lent over Rs 10,000 crore in the fortnight ended 13 February 2009. Food credit rose Rs 547.82 crore, while non-food credit went up by Rs 9124.95 crore. This is the highest fortnightly growth in bank loans since November 2007.
Metal stocks declined on fall in global base metal prices on the London Metal Exchange due to dismal global economic data. Hindalco Industries, Steel Authority of India, National Aluminum Company and Sterlite Industries fell by between 1.31% to 5.79%.
The world's sixth largest steel maker by sales Tata Steel fell 7.54% to Rs 159.35. The stock had surged 5.61% to Rs 172.35 on Friday, 27 February 2009 after announcing forecast-bearing consolidated results. On a consolidated basis, the company's net profit fell 44.18% to Rs 732.21 crore on 3.57% rise in total income to Rs 33,222.59 crore in Q3 December 2008 over Q3 December 2007. The market was expecting a loss.
Auto Stocks pared intraday gains in a weak market. India's largest car maker by sales Maruti Suzuki India fell 0.3% to Rs 675.55, off the day's high of Rs 693.70. Its vehicle sales rose 24.1% to 79190 units in February 2009 over February 2008. It was a record monthly sales by the car maker.
TVS Motor Company rose 2.58% after its two wheeler sales rose 13% to 1,07,301 units in February 2009 over February 2008. But India's largest motorcycle maker by sales Hero Honda Motors fell 3.38% despite reporting a 24% jump in its total sale for the month of February 2009, at 3,29,055 units, as compared to 2,65,431 units in February 2008.
India's second largest motorcycle maker in terms of market share Bajaj Auto fell 4.93% after total vehicle sales fell 16% to 1,53,782 units in February 2009 over February 2008.
India's largest tractor maker by sales Mahindra & Mahindra rose 2.58% to Rs 317.90, off the day's high of Rs 325.50. India's largest commercial vehicle maker by sales Tata Motors fell 0.2% to Rs 149.15, off the day's high of Rs 153.90.
Apollo Tyres rose 23.81% after the company said its board will meet on March 19 to consider a share buyback.
Capital goods stocks fell on worries a slowing economy will crimp orders. Larsen & Toubro, Bharat Heavy Electricals, Crompton Greaves, ABB, Thermax fell by between 0.57% to 4.4%.
Outsourcing focussed IT firms fell on fears a weak global economy would cut the amount firms spent on technology and on fall in ADRs overnight. India's third largest software services exporter, Wipro fell 2.17% as its ADR fell 4.05% on Friday. India's second largest software services exporter Infosys Technologies fell 1.02%. Its ADR remained unchanged on Friday. India's largest software services exporter by sales TCS declined 4.39%.
IT firms derive a lion's share of revenue from exports to US. There have been concerns of cut back in technology spend by global firms amid a recession in the US economy and due to the global financial sector crisis.
IT stocks fell despite a weak rupee. The Indian rupee dropped to an all-time low on Monday on heightened fears of rising capital outflows from the stock market. The partially convertible rupee was at 51.92 from Friday's close of 51.10/12 per dollar. A weak rupee boosts revenues of IT firms in rupee terms as IT companies earn a lion's share of revenue from exports.
Rate sensitive realty stocks fell on recent reports falling interest rates have failed to revive housing demand. DLF, Indiabulls Real Estate and Unitech fell by between 1.78% to 4.61%. Most of the realty deals including sale of commercial property and housing sales is driven by finance.
Some HealthCare stocks rose on defensive buying. Glenmark Pharmaceuticals, Biocon, Fortis HealthCare, Dr. Reddy's Laboratories, Novartis India rose by between 0.84% to 8.59%.
Edserv Softsystems settled at Rs 137.55, a 129.25% premium over its issue price of Rs 60, on its debut today.
Cals Refineries clocked the highest volume of 1.4 crore shares on BSE. Reliance Petroleum (89.97 lakh shares), Satyam Computer Services (77.68 lakh shares), Unitech (69.04 lakh shares) and Suzlon Energy (45.49 lakh shares) were the other volume toppers in hat order.
Reliance Industries clocked the highest turnover of Rs 205.88 crore on BSE. Educomp Solutions (Rs 116.42 crore), ICICI Bank (Rs 98.01 lakh), State Bank of India (Rs 88.30 lakh) and Reliance Infrastructure (Rs 81.94 lakh) were the other turnover toppers in that order.
India Votes 2009 - Election Dates
Lok Sabha elections will be held in five phases from April 16 to May 13 in redrawn constituencies for the first time, the Election Commission announced on Monday.
Setting in motion the process for the constitution of the 15th Lok Sabha, the poll panel said a total of 714 million electorate will cast their votes on April 16, 23, 30, May 7 and 13 to elect the 543-member House.
Counting of votes will take place on May 16, chief election commissioner N Gopalaswami, flanked by Election commissioners Navin Chawla and SY Quraishi, announced at a press conference here.
Uttar Pradesh, which has the maximum of 80 seats, and Jammu and Kashmir will have five-phase polls while Bihar will go to polls in four stages.
Maharashtra and West Bengal will have three phased polls, while Andhra Pradesh, Assam, Jharkhand, Karnataka, Madhya Pradesh, Manipur, Orissa and Punjab will have voting in two stages.
The remaining 15 states and seven union territories will have one-day poll, he said.
Assembly elections to Andhra Pradesh, Orissa and Sikkim will also be held along with the Lok Sabha poll
Market may edge lower on weak Asian stocks
A setback in Asian stocks, no rate cut announcement by the Reserve Bank of India at the week-end and sustained selling by foreign funds may pull the market lower. Monthly sales figures of auto and cement firms which would be out in the next 2-3 days and swap ratio for merger of Reliance Petroleum (RPL) with Reliance Industries (RIL) will influence trade in the near term.
Auto and cement sales figures for February 2009 could be keenly watched to get an inkling of the economy which is suffering a slowdown.
Meanwhile, the high weightage of index heavyweight RIL in the key benchmark indices, even a small movement in RIL stock could have large impact on the Sensex and the Nifty. The board of RIL and RIL meet today to consider the merger.
The market has been agog with talks of a rate cut by the RBI shortly. Some expectations were that the rate cut could have been at the week-end (either on Saturday 28 March 2009 or Sunday 1 March 2009). However, there was no such announcement at the week-end which may put pressure on stocks.
Despite a steep cut in policy rates by RBI since October 2008, there has not been a commensurate reduction in lending rates by banks as fears of rising bad loans have made them cautious in increasing advances/lending. One reason why banks have not fully passed on the central bank rate cuts to customers is because higher bond yields are pushing up their funding costs. Bond yields and bond prices are inversely related. After a steep decline in bond yields in Q3 December 2008, the yields have hardened considerably in calendar year 2009 on worries over government's borrowing programme.
Asian shares started the week on a downbeat note amid worries about the health of large US banks and the economy. Key benchmark indices in Hong Kong, Japan, China, South Korea, Singapore and Taiwan were down by between 0.37% to 4.7%
Pre Session Commentary - March 2 2009
Today domestic markets are likely to open negative as other markets across Asia have opened with brutal losses. The only domestic news that would storm the markets today is the merger of RIL and RPL. The swap ratio is not yet confirmed however there are anticipations that RIL’s stock may surge due to certain advantages of merger. Sterlite Industries could be another stock in motion today as the company has bid US Asarco for $ 1.5 billion. However the domestic market sentiments are likely to track the movements and sentiments of other Asian markets. One could witness selling pressure amidst volatility during the day’s trading session.
On Friday, the markets managed to pare off it early losses but still closed in red. The sentiments were weak since the opening and there was enough selling pressure across broader markets. Majority of Asian markets were trading in red and all the European markets could hardly survive the claw of bears. Amidst bearish sentiments prevailing across other markets, domestic traders were never late to evade their risk. However at the fag end of trading session, fresh buying helped recover some early losses. Sectors like Bankex, FMCG and Metal managed to close in green by gains of 1.31%, 0.34% and 0.22% respectively. However Realty, Oil & Gas and Tech were the top laggards as they fell by 2.29%, 1.64% and 1.40% respectively. During the session we expect the markets to be trading negative with volatility across the trading session.
The BSE Sensex closed low by 63.25 points at 8,891.61 and NSE Nifty ended low by 22 points at 2,763.65. The BSE Mid Caps closed flat at 2,758.29 and 3,106.01. The BSE Sensex touched intraday high of 8,944.11 and intraday low of 8,728.66.
On Friday, the US stock markets closed in red due to expectations of contraction in its GDP for the fourth quarter. Economic data remains gloomy. The fourth quarter GDP has been revised lower to reflect an annual rate of -6.2% versus a previously estimated -3.8%. The decrease in fourth quarter activity primarily reflected negative contributions from exports, personal consumption expenditures, equipment and software, and residential fixed investment. The selling pressure exacerbated after Citi Group announced that it is offering common shares of $ 27.5 billion in its existing preferred equity. The government will exchange a maximum of $25 billion face value of its preferred stock, which gives the government a 36% stake in the company. US light crude oil for April delivery reversed its three day rally, as the prices fell by $0.46 to settle at $44.76 a barrel on the New York Mercantile Exchange. The crude prices touched a low of $42.55 during the intraday.
The Dow Jones Industrial Average (DJIA) declined by 119.15 points to close at 7,062.93. The NASDAQ Composite (RIXF) index fell by 13.63 points to close at 1,377.84 and the S&P 500 (SPX) fell by 17.74 points to close at 735.09.
Today major stock markets in Asia are trading in deep red. Shanghai composite is down by 7.75 points to 2,075.08, Japan''s Nikkei is low by 242.46 points at 7,325.96. Hang Seng is low by 504.94 points at 12,306.63, South Korea''s Seoul Composite is low by 46.07 points at 1,016.96 and Singapore''s Strait Times is also trading low by 53.94 points to 1,540.93.
Indian ADRs closed lower. In technology sector, Satyam ended down by 19.25% along with Wipro by 4.05%. Further, Infosys remained unchanged and Patni Computers closed down by 5.80%. In banking sector ICICI Bank and HDFC Bank lost 2.88% and 1.49% respectively. In telecommunication sector, MTNL gained 8.11% while Tata Communication plunged 0.81%. However, Sterlite Industries increased by 3.16%.
The FIIs on Friday stood as net sellers in equity and net buyer in debt. Gross equity purchased stood at Rs 1,353.60 Crore and gross debt purchased stood at Rs 755.50 Crore, while the gross equity sold stood at Rs 1,592.30 Crore and gross debt sold stood at Rs. 306.60 Crore. Therefore, the net investment of equity and debt reported were Rs (238.60) Crore and Rs 448.90 Crore respectively.
On Friday, the Indian rupee closed at 51.10/12, 1.3% weaker than its previous close of 50.45/47. The rupee slipped further for the fifth consecutive day on the back of huge demand from importers and plummeting stock markets.
On BSE, total number of shares traded were 22.69 Crore and total turnover stood at Rs 3,052.95 Crore. On NSE, total number of shares traded were 53.24 Crore and total turnover was Rs 8,898.93 Crore.
Top traded volumes on NSE Nifty – Unitech with 23204854 shares, Power Grid with 19916378 shares, ICICI Bank with 17868678 shares, Tata Steel with total volume traded 14548491 shares followed by SAIL with 13640735 shares.
On NSE Future and Options, total number of contracts traded in index futures was 955328 with a total turnover of Rs 12,316.70 Crore. Along with this total number of contracts traded in stock futures were 378407 with a total turnover of Rs 10,302.97 Crore. Total numbers of contracts for index options were 1131309 with a total turnover of Rs 15,693.34 Crore and total numbers of contracts for stock options were 28719 and notional turnover was Rs 891.46 Crore.
Today, Nifty would have a support at 2,693 and resistance at 2,742 and BSE Sensex has support at 8,773 and resistance at 8,862.
Markets to remain shaky
After witnessing a slump in last weeks trades, the market is likely to remain shaky as global markets fell further and the FIIs remaining net sellers of equities in the local market. Although the sentiment is likely to remain bearish on weak global indices. Among the key domestic indices, the Nifty may get support at 2830 and a break below this level could see the index slip further to 2800. The Sensex has a likely support at 8740 and may test higher levels at 9050.
US indices slumped on Friday as the Dow ended lower at 7063 down 119 points, while the tech-laden Nasdaq declined to close 14 points lower at 1378.
Indian floats had a weak outing on the US bourses. Except MTNL all fell sharply. Satyam tumbled 19.25%, Rediff slipped 6.17% and Patni Computer, Tata Motors, Wipro, ICICI Bank, Dr Reddy, VSNL dropped over 1-5% each.
Crude oil prices in the international market edged lower, with the Nymex light crude oil for April delivery lost by 46 cents to close at $44.76 per barrel. In the commodity space, the Comex gold for April series declined 10 cents to settle at $942.50 a troy ounce.
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