|
After two days of strong gains in which the indices gained
well over 2 per cent each, the markets opened the day
with a high degree of volatility. The indices dipped immediately
after opening, bounced back and declined again as traders
remained unsure of the market direction ahead of the derivatives
settlement on Thursday.
The
markets stabilised within an hour and started a steady
up trend on short covering. The indices got a boost as
RBI left the short term interest rates unchanged and bank
stocks surged.
Late
afternoon saw a sharp dip in the indices as some profit
booking emerged. The markets took no time in recovering
lost ground and surged ahead to close at the day's highs.
Sensex
closed at 7553, a gain of 47 points and the Nifty at 2303,
a gain of 11 points. Nifty July futures closed the day
at a premium of 1 point to the spot index.
SAIL,
Dr.Reddy's and ICICI Bank were among the major gainers
among Nifty stocks while Sun Pharma, ACC and Gail were
the major losers.
After
a volatile session, the US markets closed the day yesterday
with losses. Rising crude prices and nervousness among
traders ahead of major corporate results led to the weakness.
The Dow and S&P 500 lost close to half-a-per cent
each while NASDAQ closed lower by over half-a-per cent.
Indian
Tech ADR's had a bad day yesterday with all of them closing
with losses on the US exchanges. Satyam lost close to
4 per cent while Wipro lost over 2 per cent and Infosys
closed lower by a per cent. Tata Motors, MTNL and Dr.Reddy's
also closed lower.
The
ADR's of VSNL and the two private sector bank majors had
a day of major gains. VSNL closed with gains of over 5
per cent. While HDFC Bank closed over 5 per cent higher,
ICICI Bank gained well over 4 per cent.
ONGC
has been awarded eight oil and gas exploration blocks
by the government under NELP. ONGC has won five blocks
in partnership with Cairn Energy of UK and one block in
partnership with Gail. The company won two blocks, one
in the Andaman region and the other in Gujarat, on its
own. The stock closed with gains of half-a-per cent.
Reliance
Industries has won five oil and gas exploration blocks
under NELP. Of these, two blocks are in the Kerala-Konkan
offshore basin and one in Gujarat. Reliance has also been
awarded one block each in the Krishna-Godavari basin and
Mahanadi basin. The stock closed with gains of half-a-per
cent.
Bharti
Televentures reported better than expected results for
the first quarter ended June 2005. Consolidated profits
almost doubled on a revenue growth of close to 35 per
cent as compared to the same quarter of the previous year.
The
excellent growth in both revenues and profits even when
compared to the previous quarter ended March 2005 was
accepted well by the market and the stock moved higher
by 3 per cent to close at a new life-time high.
After
a string of disappointing numbers for many quarters in
the recent past, Dr Reddy's reported better than expected
results for the quarter ended June 2005. Profits were
higher by almost 90 per cent on a revenue growth of close
to 15 per cent as compared to the same quarter of previous
year.
Dr.Reddy's
performance was helped by its recent tie-up with ICICI
Ventures to finance its drug research programmes. The
company also benefited from lower currency losses as compared
to the same quarter of previous year. The stock closed
almost 5 per cent higher.
Ashok
Leyland reported a doubling in quarterly profits for the
period ended June 2005. Revenues were higher by 30 per
cent as compared to the same quarter of previous year.
The stock closed with gains of almost 2 per cent.
SBI
has reportedly initiated due diligence on 4 overseas banks
which are potential targets. The bank is expected to complete
the process within a month before starting formal discussions
for acquisition. The bank had repeatedly stated in the
past that it is interested in acquiring small and medium
sized banks in Asia and Africa.
SBI
has set a target of becoming one of the top three banks
in Asia and one of the global top 20 within the next few
years. The bank is expanding its overseas branch network
at a fast pace with a view of crossing $25 billion in
overseas assets in the next few years. The stock closed
with gains of a per cent.
As
reported yesterday, VSNL will acquire Teleglobe of Bermuda
for $239 million subject to approval of shareholders and
regulatory authorities. VSNL would pay $4.5 per share
to the shareholders of Teleglobe and would assume over
$61 million of debt. After the completion of acquisition,
the company would be merged into a subsidiary of VSNL
to be set up in Bermuda.
Teleglobe
is a large player in the international voice and data
space and has a turnover of $1 billion. The company has
many large bulk customers and controls over 80 terrestrial
and under sea cable lines. Together with the undersea
cable network acquired from Tyco, this acquisition would
transform the business profile of VSNL. After opening
firm, the stock closed with gains of well over a per cent.
Reliance
group company IPCL reported an 83 per cent rise in first
quarter profits for the period ended June 2005. Revenues
were higher by 10 per cent. After remaining firm till
the announcement, the stock gave up its gains later in
the day and closed with marginal losses.
Kotak
Mahindra Bank reported a 50 per cent growth in first quarter
profits on a consolidated basis as compared to the same
quarter of previous year. Total revenues were higher by
close to 60 per cent.
Most
of the smaller PSU banking stocks had a good session today
as they surged on the positive noises from RBI and the
steady short term interest rates. Bank of India, Corporation
Bank, Union Bank and Bank of Baroda all closed with significant
gains.
Mid-Cap
Action
Mid-caps
were unable to keep up with the gains on frontline stocks
as was the case in the last two sessions. Many prominent
mid-cap stocks corrected on profit booking, pulling down
the index. The CNX Mid-Cap 100 index closed the day at
3438, a loss of 18 points.
SPL
Industries made its debut on the stock exchanges today
after its recent IPO. Issued at Rs70 per share, the stock
opened at Rs75 on the NSE and closed at Rs103. The company
is engaged in manufacture and export of knitted garments.
Plastic
container and textile manufacturer Sintex Industries reported
a 140 per cent increase in quarterly profits for the period
ended June 2005. Revenues were higher by 45 per cent as
compared to the same quarter of previous year.
Sintex
is also planning a stock split. The company is proposing
to sub-divide every Rs10 share into five shares of Rs2
each. The stock closed with gains of over 3 per cent.
Television
Eighteen reported a 30 per cent increase in quarterly
profits as compared to the same quarter of last year on
a revenue growth of over 50 per cent. Profit margins were
down as expenses were higher because of the launch of
a new consumer channel. The stock closed with losses of
over 2 per cent.
Mid-cap
IT company NIIT Technologies reported a marginal 7 per
cent rise in first quarter revenues as compared to the
same quarter of previous year on a consolidated basis.
Profits were higher by 6 per cent.
Some
of the high flying mid-cap PSU stocks came crashing down
as they reported disappointing results today. Rashtriya
Chemical and Fertilizers reported a loss for the first
quarter as against a profit of over Rs16 crore during
the same quarter of previous year. The stock lost almost
10 per cent today.
Another
trader's favourite which disappointed today was ITI Limited.
The stock had appreciated substantially on market talk
of restructuring, real estate sale etc. The company reported
a marginal reduction in quarterly losses from Rs130 crore
to Rs120 crore. The stock closed almost 10 per cent lower.
 Bata
India, Hindustan Oil Exploration and Noida Toll Bridge
were among the best performing stocks among mid-caps.
Hindustan
Organic Chemicals, Crest Animation and Honda Siel Power
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
|
7,511.14
|
+
87.89 |
| NIFTY
|
2,292.75
|
+
27.15 |
Last
Update : 26 July, 2005, 16:13 PM
Market
Counters
Figures in Rupees
BSE
30
| Scrip
Name |
Open |
High |
Low |
Last
Price |
| ICICI
BANK L |
449.00
|
498.00
|
449.00
|
489.75 |
| NTPC
LTD |
92.60
|
97.35
|
92.10
|
96.85 |
| HDFC
BANK LT |
651.10
|
690.00
|
651.00
|
674.60 |
| STATE
BANK OF INDIA |
728.50
|
748.40
|
726.00
|
743.05 |
| ONG
CORP LTD |
945.60
|
969.50
|
945.00
|
961.65 |
| BAJAJ
AUTO |
1,325.00
|
1,418.00
|
1,325.00
|
1,407.50 |
| GUJARAT
AMBUJA CEMENTS LTD. |
63.10
|
64.35
|
62.75
|
63.90 |
| HINDUSTAN
LEVER LTD. |
162.90
|
165.85
|
162.55
|
164.55 |
| TATA
IRON AND STEEL CO. LTD. |
381.00
|
387.45
|
380.45
|
385.35 |
| ASSOCIATED
CEMENTCOMPANIES LT |
443.50
|
452.10
|
440.25
|
450.25 |
| GRASIM
INDUSTRIES LTD. |
1,168.40
|
1,244.00
|
1,155.05
|
1,172.25 |
| I
T C LTD |
1,654.70
|
1,675.00
|
1,650.00
|
1,665.70 |
| HINDALCO
IN |
1,272.00
|
1,293.00
|
1,272.00
|
1,278.95 |
| HOUSING
DEVELOPMENT FINANCE CO |
899.90 |
916.00
|
890.00
|
904.95 |
| MARUTI
UDYOG |
465.00 |
476.50
|
462.15
|
464.65 |
| BHEL |
1,004.40 |
1,004.40
|
975.25
|
995.80 |
| CIPLA
LTD. |
342.00
|
347.00
|
340.30
|
342.10 |
| TATA
POWER |
402.40 |
404.75
|
397.25
|
402.00 |
| TATA
MOTORS |
462.90
|
477.00
|
462.90
|
472.65 |
| BHARTI
TELE |
267.00
|
270.80
|
261.10
|
267.25 |
| RANBAXY
LABORATORIES LTD. |
527.00
|
529.80
|
500.05
|
504.40 |
| SATYAM
COMP |
530.65 |
537.90
|
519.00
|
521.60 |
| HEROHONDA
M |
620.00 |
620.00
|
603.15
|
605.20 |
| LARSEN
& TOUBRO LTD. |
1,260.00 |
1,268.00
|
1,229.00
|
1,241.95 |
| TCS
LTD |
1,300.00
|
1,305.00
|
1,277.00
|
1,283.20 |
| INFOSYS
TECHNOLOGIES LTD.-ORDI |
2,240.00
|
2,250.00
|
2,210.00
|
2,222.30 |
| RELIANCE
ENR |
652.00
|
652.75
|
639.00
|
641.85 |
| DR.REDDY'S
LABORATORIES LTD. |
762.05
|
769.70
|
762.05
|
766.00 |
| RELIANCE* |
688.00 |
695.60
|
685.05
|
687.45 |
| WIPRO
LTD. |
719.70 |
719.70
|
705.55 |
713.10 |
Last
Update : 26 July, 2005, 16:02PM
S&P
CNX Nifty
| Symbol |
Open |
High |
Low |
Last
Price |
| RELIANCE
|
691.40
|
695.70
|
684.60
|
687.55 |
| VSNL
|
373.95
|
397.40
|
366.00
|
389.00 |
| SBIN
|
722.95
|
748.00
|
722.95
|
743.20 |
| TISCO |
380.00 |
387.45
|
380.00
|
385.35 |
| SATYAMCOMP
|
535.90
|
537.75
|
519.40
|
521.90 |
| ONGC
|
942.00
|
970.00
|
942.00
|
965.35 |
| ICICIBANK
|
457.00
|
499.05
|
455.05
|
493.40 |
| INFOSYSTCH
|
2235.00
|
2258.70
|
2220.25
|
2228.90 |
| PNB
|
411.00
|
429.00
|
411.00
|
427.20 |
| ZEETELE
|
173.85
|
190.25
|
173.45
|
186.40 |
| MARUTI
|
464.90
|
476.00
|
462.00
|
465.25 |
| HDFCBANK
|
647.70
|
695.00
|
647.70
|
674.65 |
| TCS
|
1296.60
|
1302.35
|
1275.20
|
1284.35 |
| IPCL
|
193.50
|
198.40
|
193.50
|
196.65 |
| HINDLEVER
|
161.70
|
166.25
|
161.70
|
165.50 |
| TATAMOTORS
|
476.00
|
476.50
|
467.20
|
473.55 |
| ITC
|
1658.00
|
1674.00
|
1649.00
|
1665.80 |
| BHARTI
|
260.10
|
271.00
|
260.10
|
267.40 |
| M&M
|
615.00
|
648.50
|
615.00
|
645.45 |
| SAIL
|
54.50
|
55.75
|
54.40
|
54.95 |
| LT |
1262.00 |
1262.00
|
1226.25
|
1243.60 |
| WIPRO
|
719.45
|
719.90
|
705.00
|
713.25 |
| ORIENTBANK
|
287.00
|
287.00
|
265.10
|
277.80 |
| GUJAMBCEM
|
63.00
|
64.35
|
62.70
|
63.95 |
| ACC
|
450.00
|
452.25
|
440.20
|
450.40 |
| HDFC
|
883.00
|
915.10
|
883.00
|
905.05 |
| BHEL
|
986.00
|
1008.00
|
976.05
|
997.70 |
| MTNL
|
136.00
|
139.60
|
133.80
|
137.20 |
| DABUR
|
151.00
|
154.75
|
149.55
|
151.45 |
| RANBAXY
|
529.00
|
531.00
|
501.35
|
504.25 |
| GAIL |
222.20 |
230.00
|
222.20
|
229.45 |
| CIPLA
|
343.90
|
348.40
|
337.00
|
342.20 |
| HINDALC0
|
1270.00
|
1296.00
|
1268.00
|
1278.20 |
| DRREDDY
|
765.00
|
769.95
|
761.30
|
766.30 |
| REL
|
646.05
|
650.00
|
640.20
|
642.45 |
| BAJAJAUTO
|
1362.25
|
1420.00
|
1352.00
|
1395.65 |
| GRASIM
|
1158.10
|
1177.00
|
1155.00
|
1174.30 |
| HEROHONDA
|
618.00
|
618.00
|
605.00
|
605.60 |
| HCLTECH
|
395.00
|
400.00
|
388.00
|
390.10 |
| TATAPOWER
|
404.90
|
408.70
|
398.00
|
402.95 |
| TATACHEM
|
192.50
|
193.25
|
187.75
|
188.30 |
| ABB
|
1445.00
|
1525.05
|
1441.10
|
1516.90 |
| HINDPETRO
|
300.00
|
301.90
|
295.15
|
299.45 |
| SUNPHARMA
|
647.80
|
647.80
|
604.00
|
616.40 |
| NATIONALUM
|
159.00
|
159.70
|
156.25
|
158.90 |
| COLGATE
|
241.20
|
244.00
|
236.10
|
237.05 |
| TATATEA
|
668.00
|
674.90
|
657.10
|
669.25 |
| BPCL
|
354.90
|
355.00
|
352.00
|
353.95 |
| SCI
|
147.60
|
149.75
|
147.20
|
149.35 |
| GLAXO |
889.00 |
889.00
|
864.50
|
871.00 |
Last
Update : 26 July, 2005, 16:00PM
| 
