|
Indices were unable to sustain the rally from the last
two days on worries about FII inflows. The news that FII's
were net sellers on Wednesday when the frontline indices
surged close to 2 per cent each was enough to make traders
worry.
Markets
opened on a strong note, helped by a positive closing
by the US markets yesterday and firm Asian markets. Sensex
surged ahead and posted a new lifetime high of 7861 in
early trades.
The
strength did not last long and the indices started a steady
decline, which lasted for the rest of the day. A brief
attempt at recovery later in the afternoon also did not
last and the indices closed the day almost at the day's
lows.
Sensex
closed at 7767, a loss of 49 points, and the Nifty at
2362, a loss of 19 points. Nifty August futures closed
the day almost at the same levels as the spot index.
Hero
Honda, Dabur and Ranbaxy were among the major gainers
among Nifty stocks while Zee Tele, SAIL and VSNL were
the major losers.
US
markets rallied yesterday as record crude prices lifted
oil stocks. The Dow closed with gains of close to a per
cent while the S&P 500 and the NASDAQ gained three-quarters-of-a
per cent each.
Crude
oil futures rallied to yet another lifetime high of $66.11
to a barrel as production outages in US refineries continued.
Crude closed the day at $65.8 yesterday, another lifetime
closing high for the near month futures. Crude was trading
above $66 in today's early European trades.
Most
Indian ADR's had a good day yesterday on the US exchanges.
Tata Motors and Dr. Reddy's were the significant gainers,
closing higher by 3 per cent each. ICICI Bank continued
its rally, adding another 2 per cent while HDFC Bank declined
a per cent. Among the technology ADR's, Satyam managed
to close with gains while Wipro closed marginally lower.
Infosys was almost unchanged. VSNL lost a per cent while
MTNL closed flat.
The
oil ministry has reportedly recommended an increase of
Rs3.25 per litre on petrol and Rs4 per litre on diesel
to the prime minister's office. The ministry is also believed
to be negotiating with the finance ministry for a reduction
of various duties on petroleum products. The ministry
has also proposed a prize stabilisation fund.
HPCL is reportedly in talks with Saudi oil company, Aramco,
for a stake in the proposed oil refinery in Bhatinda.
Both HPCL and Aramco would hold 26 per cent each and the
rest would be offered to the public.
Software
major Infosys completed 25 years of operations and stated
its intention to emerge as a truly multinational entity
in the next 25 years. The company also announced that
it would expand its facilities in Hyderabad by adding
another 4,000 to 5,000 employees.
Infosys
has acquired a 100-acre plot recently in Hyderabad to
build a new development centre. The management said the
company is looking for another 300 acres of land in the
city.
Pharma
major Ranbaxy continued its rally from yesterday after
a US appeals court cancelled a lower court order prohibiting
Ranbaxy and Israeli generics company Teva from selling
a generic drug for the treatment of blood pressure. The
appeals court has sent the case back to the lower court
for further deliberations. The stock closed almost 3 per
cent higher.
BHEL
has won a Rs26-crore order from Ethiopia for setting up
power distribution sub-stations.
Infrastructure
finance company IDFC made its debut on the exchanges in
spectacular fashion today. Issued at Rs34, the stock opened
on the NSE at Rs60 and went on to touch a high of Rs72.5.
The stock closed the day at Rs69.5, a gain of over 100
per cent on listing.
Mid-Cap
Action
Mid-caps
managed to close on a firm note despite the weakness in
frontline stocks. The CNX Mid-Cap 100 managed to close
above the 3600 levels for the first time. The index closed
the day at 3607, a gain of 9 points.
According
to media reports, Godrej Consumer Products is in negotiations
to acquire a substantial stake in unlisted FMCG company,
Jyoti Laboratories. The latter is a strong player in low-end
detergent and fabric care products especially in the southern
parts of the country.
Overseas
private equity firms had acquired a minority stake in
Jyoti Labs last year. The company reportedly has an annual
turnover of Rs350 crore. Godrej has denied the reports.
The
central government has increased the 'statutory minimum
price' (SMP) on sugar cane to Rs79.5 per 100 kg at 9 per
cent recovery for the next sugar season from Rs74.5 at
8.5 per cent recovery declared for the previous season.
Private
sugar mills are paying much higher prices, averaging above
Rs100 per 100 kg of cane, as sugar prices have been firm
in recent years. The increase in SMP may lead to state
governments, especially UP, increasing their advised prices.
This may encourage farmers to demand higher prices in
the coming season.
Stocks
of organised retail companies rallied on expectations
of sustained sales growth. Pantaloon had reported an over
100 per cent growth in July month sales. Pantaloon Retail
closed over 6 per cent higher while Trent gained 7 per
cent. Shopper's Stop also gained over 6 per cent.
Another
sector that saw strong buying interest was construction.
Sustained order flow both from government supported domestic
infrastructure projects and overseas orders especially
from the Middle East have boosted the order books of many
of these companies.
Gammon
India, IVRCL, HCC, Nagarjuna Constructions and Jaiprakash
Associates were among the larger construction companies.
Among the smaller companies, MSK Projects, Era Constructions
and Subhash Projects were trading with intra-day gains
of over 10 per cent each.
HMT
Limited and ITI Limited, the PSU stocks which surged yesterday
on reports of new revival packages from the government,
lost ground today. Both stocks closed lower by over 5
per cent each.
Newspaper
publisher Deccan Chronicle surged over 10 per cent as
the IPO of HT Media, publishers of Hindustan Times, closed
today. The HT Media IPO was well received though it was
widely perceived to be over-priced. The formal notification
by the RBI increasing FDI limit in print media to 26 per
cent also helped the stock. Mid-Day Multimedia was another
stock, which closed with good gains.
Mirza
Tanners, an exporter of leather goods, has changed its
name to Mirza International.
DCM
Shriram, with interest in sugar and chemicals, gained
over 5 per cent in early trades after the company announced
that its board would consider a bonus issue.
The
board of Rajasthan Spinning and Weaving has approved the
proposal to raise up to $25 million from an overseas issue
of GDR's or FCCB's.
BOC
India gained in early trades after the company announced
that it has sold its surplus land and old facilities at
Bangalore for Rs49 crore. The company had commissioned
a new liquid compression plant in Bangalore and production
at the old facility was discontinued.
IFB
Industries, Titanor Components and Asian Hotels were among
the best performing stocks among mid-caps.
 Bongaigaon
Refineries, Ginni Filaments and Gujarat Ambuja Exports
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
|
7,767.49
|
-
49.02 |
| NIFTY
|
2,361.55
|
-
19.35 |
Last
Update : 12 August, 2005, 16:15 PM
Market
Counters
Figures in Rupees
BSE
30
| Scrip
Name |
Open |
High |
Low |
Last
Price |
| HEROHONDA
M |
650.00
|
698.00
|
641.15
|
692.55 |
| RANBAXY
LABORATORIES LTD. |
529.00
|
540.90
|
524.00
|
536.50 |
| CIPLA
LTD. |
338.00
|
346.90
|
335.15
|
345.45 |
| HINDALCO
IN |
1,394.00
|
1,418.00
|
1,365.00
|
1,402.35 |
| ASSOCIATED
CEMENT COMPANIES LT |
442.00
|
451.90
|
442.00
|
446.10 |
| GUJARAT
AMBUJA CEMENTS LTD. |
65.50
|
66.90
|
65.00
|
65.65 |
| ICICI
BANK L |
509.00
|
516.65
|
507.00
|
508.55 |
| TATA
MOTORS |
502.00
|
505.00
|
492.55
|
499.20 |
| WIPRO
LTD. |
740.00
|
743.85
|
713.05
|
714.75 |
| BAJAJ
AUTO |
1,439.75
|
1,439.75
|
1,386.00
|
1,392.25 |
| TCS
LTD |
1,322.70
|
1,323.90
|
1,275.00
|
1,282.90 |
| RELIANCE
|
719.70
|
722.45
|
702.00
|
703.70 |
| I
T C LTD |
1,729.85
|
1,729.85
|
1,680.00
|
1,692.80 |
| GRASIM
INDUSTRIES LTD. |
1,348.00
|
1,348.00
|
1,300.00
|
1,319.25 |
| BHEL
|
1,056.55
|
1,099.90
|
1,045.00
|
1,058.05 |
| MARUTI
UDYOG |
482.00
|
485.00
|
475.00
|
475.75 |
| DR.REDDY'S
LABORATORIES LTD. |
848.00
|
850.00
|
832.00
|
837.20 |
| INFOSYS
TECHNOLOGIES LTD.-ORDI |
2,301.15
|
2,301.15
|
2,252.00
|
2,259.40 |
| HOUSING
DEVELOPMENT FINANCE CO |
935.00
|
959.00
|
931.10
|
937.15 |
| RELIANCE
ENR |
623.00
|
628.00
|
608.00
|
609.65 |
| LARSEN
& TOUBRO LTD. |
1,325.00
|
1,336.80
|
1,321.00
|
1,326.15 |
| SATYAM
COMP |
535.00
|
535.00
|
522.30
|
525.95 |
| NTPC
LTD |
97.50
|
97.50
|
95.75
|
96.15 |
| STATE
BANK OF INDIA |
816.90
|
822.00
|
806.10
|
812.40 |
| HDFC
BANK LT |
665.00
|
670.00
|
655.10
|
658.10 |
| HINDUSTAN
LEVER LTD. |
169.90
|
171.50
|
167.25
|
168.55 |
| TATA
POWER |
426.10
|
429.90
|
420.00
|
424.55 |
| TATA
IRON AND STEEL CO. LTD. |
408.90
|
408.90
|
395.50
|
402.25 |
Last
Update : 12 August, 2005, 16:05PM
S&P
CNX Nifty
| Symbol |
Open |
High |
Low |
Last
Price |
| RELIANCE
|
719.80
|
722.70
|
702.15
|
704.20 |
| TISCO
|
408.00
|
408.90
|
395.10
|
402.85 |
| SATYAMCOMP
|
532.90
|
534.00
|
522.65
|
527.10 |
| SBIN
|
819.90
|
822.00
|
807.00
|
811.05 |
| INFOSYSTCH
|
2310.00
|
2310.00
|
2252.20
|
2261.45 |
| ITC
|
1729.90
|
1729.90
|
1680.00
|
1692.45 |
| TATAMOTORS
|
502.00
|
505.40
|
492.00
|
499.35 |
| VSNL
|
415.55
|
419.00
|
401.10
|
402.95 |
| SAIL
|
64.70
|
65.15
|
62.05
|
62.90 |
| RANBAXY
|
525.00
|
539.65
|
523.00
|
536.40 |
| ICICIBANK
|
510.00
|
520.00
|
507.55
|
512.75 |
| TCS |
1328.40 |
1328.40
|
1275.60
|
1282.85 |
| ACC
|
445.00
|
451.80
|
442.20
|
446.05 |
| ONGC |
957.00 |
959.65
|
948.50
|
951.10 |
| HINDLEVER
|
170.20
|
172.00
|
166.55
|
168.60 |
| MARUTI
|
483.45
|
487.00
|
475.05
|
476.25 |
| BHARTI
|
310.00
|
313.50
|
305.50
|
310.60 |
| HDFC
|
950.00
|
959.80
|
930.15
|
937.45 |
| ZEETELE
|
174.80
|
175.90
|
168.05
|
168.65 |
| WIPRO |
732.95 |
740.00
|
706.10
|
714.80 |
| HEROHONDA
|
654.00
|
702.00
|
640.15
|
693.10 |
| GUJAMBCEM
|
65.00
|
67.00
|
64.90
|
65.55 |
| PNB |
425.70 |
426.80
|
414.05
|
416.30 |
| TATATEA
|
810.00
|
815.00
|
781.10
|
789.30 |
| HDFCBANK
|
651.00
|
670.00
|
651.00
|
660.20 |
| CIPLA
|
336.00
|
346.00
|
335.00
|
345.15 |
| REL
|
623.00
|
623.00
|
607.50
|
609.10 |
| HINDALC0
|
1380.00
|
1415.00
|
1366.00
|
1403.00 |
| M&M
|
694.90
|
696.90
|
685.00
|
690.80 |
| GRASIM
|
1345.00
|
1347.90
|
1304.00
|
1315.55 |
| IPCL
|
187.40
|
187.45
|
182.80
|
183.65 |
| TATAPOWER
|
428.50
|
428.50
|
420.00
|
424.10 |
| BAJAJAUTO
|
1435.00
|
1435.00
|
1371.10
|
1393.30 |
| BHEL
|
1071.90
|
1080.00
|
1051.00
|
1057.20 |
| DABUR |
152.25 |
158.90
|
150.10
|
157.60 |
| LT
|
1339.00
|
1339.00
|
1315.00
|
1322.70 |
| NATIONALUM
|
167.00
|
169.25
|
165.25
|
167.40 |
| ORIENTBANK
|
265.10
|
276.00
|
265.10 |
272.50 |
| HCLTECH
|
439.00
|
445.50
|
425.60
|
429.95 |
| TATACHEM
|
187.50
|
191.35
|
186.10
|
188.25 |
| BPCL
|
360.00
|
370.00
|
356.00
|
359.95 |
| HINDPETRO
|
303.50
|
304.95
|
297.10
|
299.15 |
| GAIL
|
234.65
|
235.00
|
231.50
|
232.40 |
| MTNL
|
133.00
|
133.00
|
128.80
|
129.45 |
| COLGATE
|
255.00
|
256.00
|
249.20
|
253.20 |
| SCI
|
150.50
|
150.90
|
148.30
|
148.80 |
| DRREDDY
|
852.10
|
854.80
|
829.00
|
836.85 |
| GLAXO
|
901.00
|
920.00
|
871.00
|
911.75 |
| SUNPHARMA
|
622.00
|
623.00
|
603.00
|
619.05 |
| ABB
|
1545.00
|
1562.95
|
1511.30
|
1530.00 |
Last
Update : 12 August, 2005, 16:00PM
| 
