domain-b.com : Markets end flat; fertiliser, midcap technology outperform

Markets end flat; fertiliser, midcap technology outperform

02 June 2009

The benchmark indices ended the session on a flat note, after seeing rally in the last four sessions. Both the indices had opened higher but couldn't sustain their gains. However, in the last half an hour of the trade, the markets recovered most of their day's losses.

Metal, select financial and auto stocks helped the markets to recover in late trade while power, telecom, select oil and technology stocks remained under pressure throughout the session. Among the midcaps and smallcaps, technology and fertiliser shares bucked the trend.

The 30-share BSE Sensex recovered 266.68 points from the day's low of 14,608.23 and closed 34.28 points or 0.23% higher at 14,874.91. It was just short of 6 points from the 15,000 mark in the early trade.

However, the 50-share NSE Nifty shut shop at 4525.25, down just 0.10% or 4.65 points, after showing recovery of 74 points from the day's low of 4451.30. It closed above the 4500 mark for the second consecutive day.

Anu Jain, Vice President - IIFL Private Wealth Management, India Infoline said, "Basically 4,509 seems to be a crucial figure." She said as long as the Nifty stays around these levels, for another 2-3 days then we will see another push taking it to another 4-5% higher. So 4,510 is a good level which can basically give the next spurt if we consolidate here. "We may scale up to 4,650 in the near future," Jain said.

The fertiliser space was buzzing today. Coromandel Fertilisers, Fertiliser and Chemical, National Fertiliser and Rashtriya Chemical gained 9-14.7%. Chambal Fertilisers, Deepak Fertiliser, GSFC, Mangalore Chemical, Nagarjuna Fertiliser and Oswal Chemical went up 2-5%.

Technology (midcap and smallcap) stocks witnessed huge buying interest. Allied Digital, ALLSEC Tech, aurionPro Solutions, Aztecsoft, Core Projects, Datamatics Global, Dhanus Tech, Firstsource Solutions, Geometric, HCL Tech, KPIT Cummins, Logix Micro, 3i Infotech, Northgate Tech, Nucleus Software, Patni Computer, Polaris and Tech Mahindra gained 4-8%.