The week began with the public sector banking giant State Bank of India coming out with better-than-expected fourth quarter numbers. The Lok Sabha passed SBI Amendment Bill 2006 allowing the bank to reduce its stake in seven subsidiary banks to 51 per cent. It will now be able to raise additional capital to meet the new risk provisioning norms and growth plans. Other bank stocks took a cue from SBI to follow suit.
Technology stocks witnessed subdued action on continued appreciation of the rupee against the dollar. Reports from two US lawmakers that some Indian IT firms were misusing the H1B visa programme may also have triggered caution.
The stock of Raj TV was conspicuous during the first half of the past week for a sudden spurt in volumes. On Tuesday, over 27.36 lakh shares were traded in the NSE and the stock gained 20 per cent. The stock surged 19 per cent on the same day to close at Rs 226.4. The company attributed the heightened interest in the stock to expansion plans by the channel.
Suzlon Energy's stock lost about nine per cent after the company reported a 3.4 per cent decline in consolidated net profits in the fourth quarter.
Alfa Laval and United Spirits were the news on Wednesday. United Spirits, after the company clocked handsome gains after it agreed to buy Scottish Liquor maker White and Mackay for $1.18 billion (Rs 4800 crore).
Bajaj Auto witnessed a steep fall in the latter part of the week as it announced its demerger plans
Market heavyweight Reliance Industries witnessed buying interest after reports that the company had made two natural gas discoveries. The stock touched a record high of Rs 1,705 before settling just below Rs 1,700 on Friday.