|
After yesterday's huge fall, the markets had a very volatile opening today.
Markets opened marginally in the positive, dropped dramatically and bounced
back equally fast in early trades. Global cues were positive with crude dropping
substantially and the US markets bouncing back.
The
indices traded with gains of close to one quarter of a per cent till mid-morning
when they started drifting down. By noon they had dropped back into negative
territory.
Fresh
buying and more short covering ahead of tomorrow's derivatives settlement
helped the indices to start an up trend early in the afternoon which lasted
till closing. Volumes were also very healthy, maintaining the trend of last
one week or so.
The
rebound was led by super heavyweights ONGC and Reliance Industries, both gaining
around 2 per cent each.
Sensex
closed at 7120, up 71 points and the Nifty at 2192, a gain of 22 points from
yesterday's close. Nifty June futures, expiring tomorrow, closed the day at
a premium to the spot index. July Nifty futures are quoting at a discount
of 19 points to the spot index.
Among Nifty stocks, Sun Pharma, VSNL and Tata Motors were the major percentage
gainers while Grasim, Tata Chemicals and Maruti were the major losers.
US
markets rallied smartly after 6 sessions of losses despite the uncertainty
about future short term interest rate views from US Fed meeting scheduled
tomorrow. The markets were helped by the huge drop in crude oil prices and
the jump in consumer confidence index. Both Dow and NASDAQ closed with gains
of over a per cent each. After
trading over $60 to a barrel for two sessions, crude futures for August delivery
crashed almost 4 per cent to $58.20 a barrel yesterday. The large drop is
attributed to profit booking by large funds and traders ahead of weekly inventory
data due today. Despite
the rally in US markets, most Indian ADR's had a weak session yesterday. Wipro
was the single largest loser with losses of over 4 per cent after reports
in Indian media about high level management changes. Tata Motors closed over
2 per cent lower. ICICI Bank, MTNL and VSNL also closed with losses. With
2 per cent gains, Infosys was the best performer among Indian ADR's yesterday. ONGC
confirmed reports that it has held preliminary talks to acquire Petro Kazakhstan.
The target company is based in Canada with oil assets in Central Asia, especially
Kazakhstan. The company is reportedly worth $3 billion. ONGC
had earlier submitted a bid for Canadian company Talisman which has oil assets
in Sudan and elsewhere. The bidding process was cancelled and all bids were
rejected by the Canadian company. There
are reports that the domestic steel companies would cut prices by 5 per cent
from July. International prices have come down significantly over the last
couple of months as inventories have built up with manufacturers. Indian
Oil has announced a hike of Rs1,000 per kilo litre for aviation fuel. The
marginal hike in fuel price despite the runaway increase in crude prices led
to good buying in Jet Airways. The stock closed with gains of over 3 per cent. Tata
Motors, which had seen a huge fall of over 3 per cent yesterday, bounced back
equally fast today. There are reports that the company has formed a joint
venture to set up a truck assembling plant in Thailand. The stock closed with
gains of close to 3 per cent. Other
auto stocks remained weak after yesterday's drop. Maruti lost over 2 per cent
while M&M lose close to 2 per cent. After
remaining subdued for most of the day, Reliance Capital saw a flare up later
in the day which took the stock more than 5 per cent higher on very high volumes.
Reliance Energy also saw some gains towards close. Mid-Cap
Action The
mid-cap index also recovered from yesterday's sharp fall, but the overall
gains were lower than those in frontline stocks. CNX Mid-Cap 200 index closed
at 2987, a gain of 24 points after yesterday's loss of 56 points Nirma
has reported excellent profit growth in the fourth quarter ended March 2005.
The company's profits more than doubled on a marginal growth in revenue. Full
year performance is far more subdued with a profit growth of around 15 per
cent on revenue growth of 5 per cent. The stock gained close to 5 per cent
in early trades and closed with gains of over 4 per cent. Cranes
Software was locked in the 5 per cent upper circuit after the company announced
a bonus issue and a stock split. The bonus is in the ratio of one share for
every share held and each share of Rs10 face value will be split into 5 shares
of Rs2 each. Financial
Technologies, which provides software solutions to commodity exchanges and
is one of the promoters of MCX, gained over 6 per cent after the company announced
excellent results. Full
year profits of Financial Technologies more than tripled as revenues increased
by over 160 per cent. The stock closed with gains of over 8 per cent. Patel
Engineering was locked in the 10 per cent upper circuit after the company
announced an order from the National Highway Authority. A joint venture with
Patel as one of the partners has won three projects for widening major roads
in Tamil Nadu. The company's share in the orders is estimated at over Rs.360
crore. Clutch
Auto has won a contract from a US company. The order is reportedly worth $60
million over a period of 5 years. The company expects total exports to cross
Rs60 crore in the current year and Rs300 crore in 5 years time. The stock
closed with gains of over 7 per cent. Another
auto ancillary which sizzled in today's markets was Talbros Auto which announced
its results today. Last quarter profits almost doubled while full year profits
for the period ended March 2005 has more than doubled. Total
revenues of Talbros have increased by over 25 per cent for the full year.
The company will set up a new forging unit in Haryana at a cost of over Rs30
crore. The stock was locked in the 5 per cent upper circuit. Agro
Dutch Foods closed the day at 20 per cent upper circuit after reports that
an anti-dumping claim against the company in the US has been turned down by
authorities. SRF
was back in action on reports that the company will receive a compensation
of over Rs40 crore from the government for phasing out the production of an
environmentally sensitive chemical. The stock has seen good appreciation on
reports of good revenues from carbon trading under the Kyoto Protocol. Media
and entertainment stocks saw good buying interest today. NDTV, K Sera Sera
and Television Eighteen all saw gains of 4 to 7 per cent. Some
of the sugar stocks also saw considerable gains on speculation that the free
sale quota for the next quarter due to be released later in the day will be
lower than usual. The quota announced at 34 lakh tonnes came out to be higher
than expectation of around 26 lakh tonnes. Bajaj
Hindustan gained 5 per cent while Balrampur Chini gained over 3 per cent.
Balrampur also saw a large block deal. Bank
of Punjab and Centurion Bank will announce the details of their merger today.
Markets are expecting a merger ratio of one share of Bank of Punjab to two
shares of Centurion Bank.  Geodesic
Info, ITI Limited and DCM were among the best performing stocks among mid-caps.
Indo
Rama Textiles, Tata Sponge Iron and Jindal Poly Films were among the significant
mid-cap losers.
*Disclaimer:
The author does not have any position in the stocks specifically mentioned
above at the time of writing this article. This analysis / report is only
for the purpose of information and is not an investment advice. Readers are
advised to consult a certified financial advisor before taking any investment
decisions. While efforts have been made to ensure the accuracy of the information
provided in the content the author or publisher shall not be held responsible
for any loss caused to any person whatsoever. Other
articles by Rex Mathew List
of general reports on markets List
of general reports on finance
Market:
Indices
National
Markets
Gain (+) / Loss (-)
|
SENSEX
|
7,119.88
|
+
70.88 |
| NIFTY
|
2,191.65
|
+
21.80 |
Last
Update : 29 June, 2005, 16:13 PM
Market
Counters
Figures in Rupees
BSE
30
| Scrip
Name |
Open |
High |
Low |
Last
Price |
| TATA
MOTORS |
422.00
|
429.00
|
417.00
|
426.85 |
| HDFC
BANK LT |
586.00
|
609.00
|
586.00
|
602.40 |
| RELIANCE*
|
617.80
|
647.00
|
617.80
|
642.10 |
| DR.REDDY'S
LABORATORIES LTD. |
727.00
|
744.00
|
725.30
|
740.75 |
| WIPRO
LTD. |
738.00
|
757.00
|
726.10
|
754.25 |
| RELIANCE
ENR |
625.00
|
640.00
|
622.00
|
636.25 |
| BAJAJ
AUTO |
1,302.00
|
1,368.00
|
1,295.00
|
1,353.65 |
| ONG
CORP LTD |
973.10
|
997.75
|
965.20
|
994.30 |
| STATE
BANK OF INDIA |
663.60
|
674.90
|
658.10
|
672.60 |
| HINDALCO
IN |
1,180.00
|
1,224.00
|
1,175.05
|
1,214.05 |
| I
T C LTD |
1,585.00
|
1,622.50
|
1,585.00
|
1,614.60 |
| INFOSYS
TECHNOLOGIES LTD.-ORDI |
2,308.00
|
2,333.40
|
2,305.25
|
2,324.10 |
| NTPC
LTD |
83.05
|
84.05
|
82.90
|
83.90 |
| RANBAXY
LABORATORIES LTD. |
1,058.00
|
1,072.00
|
1,055.00
|
1,068.75 |
| TATA
IRON AND STEEL CO. LTD. |
342.00
|
347.55
|
337.50
|
346.50 |
| SATYAM
COMP |
485.10
|
495.00
|
485.00
|
488.95 |
| BHARTI
TELE |
240.00
|
244.90
|
240.00
|
243.30 |
| LARSEN
& TOUBRO LTD. |
1,127.90
|
1,140.00
|
1,123.00
|
1,131.05 |
| TCS
LTD |
1,325.65
|
1,358.00
|
1,322.00
|
1,333.25 |
| BHEL
|
847.00
|
860.00
|
840.20
|
851.90 |
| GRASIM
INDUSTRIES LTD. |
1,083.80
|
1,083.80
|
1,057.50
|
1,062.00 |
| MARUTI
UDYOG |
471.95
|
474.00
|
457.50
|
461.05 |
| TATA
POWER |
378.00
|
378.00
|
369.00
|
372.25 |
| ASSOCIATED
CEMENT COMPANIES LT |
376.00
|
381.15
|
372.60
|
377.75 |
| HOUSING
DEVELOPMENT FINANCE CO |
859.00
|
860.00
|
835.10
|
858.00 |
| CIPLA
LTD. |
311.50
|
312.80
|
308.00
|
309.80 |
| ICICI
BANK L |
414.00
|
420.00
|
414.00
|
416.85 |
| HINDUSTAN
LEVER LTD. |
164.10
|
164.70
|
161.05
|
162.70 |
Last
Update : 29 June, 2005, 16:02PM
S&P
CNX Nifty
| Symbol |
Open |
High |
Low |
Last
Price |
| RELIANCE
|
634.00
|
647.00
|
632.70
|
641.85 |
| INFOSYSTCH
|
2312.00
|
2335.00
|
2300.05
|
2324.65 |
| SATYAMCOMP
|
487.00
|
495.40
|
485.00
|
489.15 |
| TISCO
|
342.00
|
347.40
|
337.30
|
346.10 |
| ONGC
|
975.00
|
999.50
|
966.00
|
995.00 |
| SBIN |
664.15 |
674.85
|
658.00
|
672.95 |
| TCS
|
1325.00
|
1357.95
|
1322.15
|
1332.55 |
| IPCL |
173.70 |
175.70
|
171.15
|
174.15 |
| REL
|
631.00
|
639.40
|
623.20
|
636.65 |
| WIPRO
|
739.80
|
758.10
|
727.00
|
753.65 |
| BHARTI
|
240.00
|
245.00
|
239.15
|
243.30 |
| TATAMOTORS
|
417.40
|
435.00
|
416.10
|
429.75 |
| ITC
|
1590.00
|
1623.00
|
1585.10
|
1614.80 |
| MARUTI
|
471.00
|
473.90
|
457.15
|
461.10 |
| HDFCBANK
|
594.70
|
609.90
|
590.00
|
601.60 |
| HDFC
|
859.00
|
859.00
|
841.00
|
851.90 |
| SAIL
|
49.25
|
49.90
|
48.50
|
49.60 |
| CIPLA
|
311.00
|
314.50
|
309.00
|
310.00 |
| HINDLEVER
|
163.50
|
165.00
|
161.00
|
162.75 |
| BAJAJAUTO
|
1318.00
|
1365.00
|
1281.10
|
1352.95 |
| ACC
|
378.00
|
382.00
|
353.55
|
378.10 |
| HINDALC0
|
1185.00
|
1224.00
|
1155.00
|
1213.75 |
| M&M
|
565.00
|
565.00
|
551.00
|
555.50 |
| HEROHONDA
|
577.35
|
587.00
|
572.00
|
576.85 |
| GRASIM
|
1080.00
|
1086.95
|
1055.00
|
1061.50 |
| GUJAMBCEM
|
60.40
|
60.40
|
58.40
|
59.80 |
| ICICIBANK
|
422.00
|
422.00
|
414.55
|
416.95 |
| ZEETELE |
151.90 |
155.00
|
150.10
|
153.40 |
| PNB |
378.00 |
384.00
|
368.00
|
383.40 |
| RANBAXY
|
1060.00
|
1074.00
|
1053.00
|
1070.15 |
| LT
|
1131.95
|
1143.70
|
1115.25
|
1135.85 |
| TATAPOWER
|
378.45
|
378.45
|
369.15
|
372.40 |
| TATATEA
|
610.10
|
624.90
|
605.00
|
616.85 |
| DRREDDY
|
725.00
|
745.25
|
725.00
|
743.40 |
| DABUR
|
128.00
|
131.30
|
126.50
|
127.10 |
| BHEL
|
855.00
|
856.00
|
840.05
|
851.80 |
| ORIENTBANK
|
255.00
|
256.80
|
253.50
|
255.90 |
| HCLTECH
|
387.00
|
388.25
|
380.00
|
381.05 |
| TATACHEM
|
168.00
|
169.95
|
165.05
|
169.50 |
| GAIL
|
219.50
|
221.00
|
217.30
|
220.20 |
| GLAXO
|
781.45
|
798.80
|
781.10
|
790.55 |
| SUNPHARMA
|
564.00
|
588.00
|
564.00
|
581.70 |
| HINDPETRO
|
311.90
|
313.85
|
310.00
|
311.60 |
| VSNL
|
225.95
|
232.90
|
224.55
|
231.75 |
| NATIONALUM
|
140.25
|
142.05
|
140.10
|
140.95 |
| COLGATE
|
232.95
|
237.45
|
230.50
|
236.45 |
| SCI
|
143.00
|
144.45
|
141.55
|
142.95 |
| MTNL
|
117.00
|
118.00
|
116.25
|
116.75 |
| BPCL
|
369.50
|
375.50
|
366.10
|
367.35 |
| ABB
|
1305.00
|
1321.00
|
1297.00
|
1315.00 |
Last
Update : 29 June, 2005, 16:00PM
| 
