Volatile markets end with marginal gains

The Indian equities remained highly volatile throughout the day and closed today's trading session in the green zone Will the July-Sept quarter bring any reason to cheer? AI pilots to end 58-day long strike with immediate effect Lupin gets USFDA approval for generic oral contraceptive TTK Prestige rises on buzz of European acquisition Telecom stks rise as tribunal gives split verdict on 3G roaming dispute Indian indices The Indian equities remained highly volatile throughout the day and closed today's trading session in the green zone. Markets ended flat for the second consecutive session. Yesterday also, the markets ended flat on hopes for some policy changes from the new Finance Minister Manmohan Singh. The Indian indices slipped into negative territory after remaining firm for most part of the day. Sentiments turned weak as India’s crucial monsoon rain fell 31% below the average up to 2 July 2012. The Sensex closed 27 points higher while the Nifty rose 9.35 points. Movement of the Indian indices for the day:- The Indian markets opened today's trading session on a positive note taking support from Asian and European equities. This trend continued till the mid-afternoon session when a sudden volatility was seen in local indices. Profit booking was witnessed and indices kept swinging like a pendulum between the positive and negative terrain. The key indices hit their intraday high and intraday low level in the afternoon session and closed today's trade with marginal gains oscillating on both sides of the equator. Sectors like realty, consumer durables, PSU, banking, metal, capital goods, healthcare, oil & gas and technology led some support to the markets while FMCG, auto, power and IT added some pressure. The major heavyweight losers were- BHEL, Jindal Steel, TCS, ITC, HUL and Hero Motocorp. The broader markets ended the trade on a positive note. The BSE Midcap index rose 0.48%, while the BSE smallcap index was up by 0.80% in trade today. The overall market breadth at close was positive. The Sensex closed at 17,425.71, up by 27 points and the Nifty surged 9.35 points to close at 5287.95. Following are the stocks which were in news today:- 1. Gabriel India rose 0.18% in today's trading session as the company approved bonus issue in the ratio of 1:1. 2. GVK Power and Infrastructure rallied 1.59% in today's trade on various news reports like company's $10 billion coal project may get Australian environment clearance. It was also reported that GVK plans to raise Rs3500 crore from airport stake sale. 3. Top telecom operator Bharti Airtel jumped over 3% today, ahead of a cabinet meeting on the telecom ministry's proposal to charge existing 2G radio airwave holding by carriers at a price to be determined by an upcoming auction on Tuesday. Idea Cellular surged over 5% while Reliance Communications gained over 2% and Tata Teleservices was up nearly 1% in trade today. 4. MTNL rallied 2.51% in today's trade after the company received Rs152.5 crore as refund from the IT Department. 5. Reliance Capital climbed over 4% in today's trading session on the reports that Chinese company may be buying stake in wind power arm. 6. Godrej Properties shot up 3% in today's trade on reports that company has signed Rs770 crore equity commitments with global investors. 7. Shares of sugar companies traded higher by 2-5% on reports that the sugar production in the coming season is likely to decline by 4% due to lower recovery from the standing cane crop and deficient monsoon rainfall. Owing to this, sugar stocks like Balram chini and Bajaj Hindustan rallied over 5% in trade today. Sector movement for the day:- Consumer sector stocks fell sharply today on weak monsoon, which is negative for companies looking to sell goods and services to those living in rural India. With a weak monsoon, rural consumption could be affected. Shares of IT services companies also fell in trade today. Morgan Stanley expects mixed June-quarter results from the top four Indian tech companies, with muted revenue guidance but a steep earnings per share upside. On the flip side, shares of telecom firms rose after the telecom tribunal reportedly gave a split verdict today in the 3G intra-circle roaming case. Currency movement of the day:- The Indian rupee stayed stronger for the fourth straight session today. The rupee appreciated by 63 paise to 54.80 against the US dollar. It was a sharp recovery from the record closing low of 57.15 to the dollar. Market sentiment The market breadth stood in favor of advances. Of the 2965 stocks traded on the BSE, 1728 (58.28%) rose, 1139 (38.41%) fell and 98 (3.31%) stocks remained unchanged Sectoral & stock screening Among the 13 sectoral indices 10 closed in green zone. Top Gainers: BSE CD (up by 2.98%), BSE Realty (surged by 1.96%), BSE PSU (gained by 1.03%). Top Loser: BSE FMCG (slipped by 0.76%), BSE IT (dropped by 0.50%), BSE Power (fell by 0.10%). Among 'A' group stocks, top three gainers were- Mangalore Refinery & Petrochemicals (advanced by 8.36%), Sun TV Network (rose by 5.84%), Essar Oil (gained by 5.81%). Top three losers were- Eicher Motors (drooled by 1.85%), Castrol India (fell by 1.83%), and Emami (declined by 1.80%). Global signals for the day:- Asian stocks were mostly higher on Tuesday. There are speculations that the European Central Bank and the Federal Reserve will do good to boost their ailing economies. Hang Seng gained 1.51% and Japan's Nikkei average jumped around 0.70%. European shares rose today as a relief rally sparked by EU leaders' crisis-fighting agreement continued and investors bet on further policy action after weak economic data showed that the global economy was in need of further stimulus. The US stock index futures pointed towards a mixed start at the Wall Street on Tuesday.