Nifty holds 5400 at close; Indian gold prices at life high

Benchmark Nifty held on the 5400-mark on Thursday, though it spent most of the session consolidating,  keeping hopes of 5600 very much alive for active traders

IT stocks hogged the limelight of the day after minutes from the Federal Reserve meeting suggest the US central bank is moving towards monetary stimulus measures. Defensives like FMCG and pharma also equally supported the Nifty to hold 5400 mark.

The Sensex closed flat at 17850.22 up 3.36 points or 0.02% and the Nifty ended at 5418.30 up 5.45 points or 0.10%. About 1303 shares advanced, 1457 shares declined, and 685 shares remain unchanged.
 
The Golden Moment

Buoyed by a firm trend in the overseas markets, gold futures prices today climbed to all-time high of Rs 31,029 per 10 grams as speculators indulged in enlarging positions.

Rising spot demand in domestic markets for the wedding season also pushed gold futures to trade at record high, traders said.

Cairn India, Ranbaxy Labs, TCS, Wipro and Infosys were top gainers in the Nifty. Mahindra and Mahindra, Reliance Infra, Larsen, Reliance and ONGC were top losers.

Credit Suisse upbeat on ITC

Credit Suisse has initiated coverage of Indian consumer staple companies such as ITC with "outperform" ratings, saying price-to-earnings premiums are "high", but "far from the peak", while adding earnings growth are "steady."

Reliance shares fell 1.73%, ending down for a fourth consecutive session, although the energy conglomerate is still up nearly 7% for the month.

Shares in Hindustan Zinc gain 2% on media reports that Vedanta Group is willing to increase its offer price to buy the government's remaining stakes in Hindustan Zinc and Bharat Aluminium Company (Balco).

Rupee at one week high

The rupee rose to an over one-week high on Thursday after the euro jumped to a seven-week high on hopes of monetary easing by the Federal Reserve and as the government made it easier for companies to tap overseas funds.

Indian shares reversed gains due to downward journey in oil & gas, auto and banks stocks. European markets too were off day's high - France's CAC, Germany's DAX and Britain's FTSE were flat as compared to 0.7% gains in initial trade.

Oil & gas producers Reliance Industries and ONGC were real culprits behind losing of gains in afternoon trade; both tanked 2% each. Housing finance company HDFC and engineering and construction major Larsen & Toubro lost over 1%.

The BSE benchmark fell 47 points to 17,800.13 and the NSE benchmark declined 16 points to 5,397.10.

Country's largest lenders State Bank of India and ICICI Bank were marginally lower while their rival HDFC Bank was flat.

Among auto stocks, Tata Motors, Mahindra & Mahindra and Bajaj Auto were down 1-1.6% while Maruti and Hero Motocorp were marginally under pressure.

Software services exporters managed to hold early gains due to consistent buying interest; TCS was up 1.6% and Infosys gained 1.2%. Wipro remained top gainer with 3% gains.

FMCG majors ITC and Hindustan Unilever were up 1% and 0.25%, respectively. Shares of Sun Pharma, Cipla, Tata Power, Tata Steel and Jindal Steel moved up 0.5-1%.

The broader markets too reversed gains as decliners outnumbered advancers by 830 to 597 on the National Stock Exchange.

In the second line shares, S Kumars Nationwide and Opto Circuits tanked 12% each.

Reliance Capital, Shree Renuka Sugars, GMR Infra and Alok Industries were down 1-4%.

The 30-share BSE Sensex trimmed gains to 35 points from 105 points in afternoon trade as the European markets too erased somewhat gains. France's CAC, Germany's DAX and Britain's FTSE rose 0.3% each as compared to 0.7% gains in initial trade.

The BSE benchmark was up 35.5 points to 17,882.35 and the NSE benchmark moved up 9.55 points to 5,422.40.

Index heavyweight Reliance Industries reversed its morning gains, losing 0.9% while state-owned oil & gas producer ONGC fell 1.5%.

Engineering and construction major Larsen & Toubro was down 0.9% and state-run power equipment manufacturer went up 0.3%.

Auto stocks drifted lower on profit booking as they were gainers yesterday. Commercial vehicle major Tata Motors and utility vehicle maker Mahindra & Mahindra fell around 1%. Bajaj Auto slipped 0.7%.

Housing finance company HDFC and Country's largest power producer NTPC were down 0.3%.

India's largest lender State Bank of India too turned negative while its rivals ICICI Bank and HDFC Bank gained 0.2-0.5%.

Software services exporter Wipro topped the buying list with 3% gains while its rivals TCS and Infosys rose 1.3%-1.7%.

Fast moving consumer goods major Hindustan Unilever advanced over 1% and private steel producer Tata Steel gained 1.5%.

Healthcare stocks like Cipla and Sun Pharma were up over 1%.

Indian equity benchmarks continued to trade higher with 0.5% gains due to consistent buying interest in technology, banks, metals, FMCG and healthcare stocks.

The 30-share BSE Sensex advanced 94.25 points to 17,941.11 and the 50-share NSE Nifty went up 27 points to 5,439.80. European markets opened higher on hopes of QE3 by US Federal Reserve; France's CAC, Germany's DAX and Britain's FTSE rose 0.5-0.7%.

The Indian rupee extended gains to 55.14 against the US dollar, up 35 paise over previous close. Foreign institutional investors may be buyers today; they have bought more than Rs 8,000 crore worth of shares consistently since July 27.

Country's largest private sector lender ICICI Bank rose 1% while its rivals HDFC Bank and State Bank of India gained 0.5% each.

Drug producer Ranbaxy Labs topped the buying list with 3% gains, which was also trading at new 52-week high while other pharma stocks like Sun Pharma, Cipla and Ranbaxy Labs were up 1-1.6%.

Software services exporter Wipro and private steel producer Tata Steel too were among top three gainers with more than 2% gains.

Top IT services exporters Tata Consultancy Services and Infosys climbed 1.9% and 1.3%, respectively. Fast moving consumer goods major Hindustan Unilever rose 1%.

Metals and mining stocks remained strong; Coal India, Sterlite Industries, Jindal Steel and Hindalco Industries advanced 1% each.

State-owned power equipment manufacturer BHEL was up 0.8% whereas engineering and construction major Larsen & Toubro fell 0.4%.

Shares of ONGC, Tata Motors, Bajaj Auto and Mahindra & Mahindra were down 0.2%-0.8%.

In the second line shares, Rallis India, HMT, India Cements, ALSTOM India and Manappuram Finance rallied 3.5-4% whereas Opto Circuits tanked 11%. Tulip Telecom, Glodyne Tech, Cholamandalam and India Infoline lost 3-5%.

The BSE Sensex was inching towards the 18,000 level and the NSE Nifty towards the 5450 level led by Infosys and TCS. ICICI Bank and HDFC Bank too were quite supportive, but the fall in L&T, ONGC and Tata Motors has limited the upside.

The BSE benchmark gained 92.26 points at 17,939.12, supported by 24 out of 30 stocks. Meanwhile, the NSE benchmark rose 25.65 points to 5,438.50. The Indian rupee appreciated by 32 paise to 55.17 against the US dollar.

Metals and mining stocks remained on buyers' radar; Sterlite Industries, Hindalco Industries, Coal India, JSPL and Tata Steel were up 1-2%.

India's largest software services exporters Infosys, TCS and Wipro too climbed 1-2%. Private sector lenders ICICI Bank and HDFC Bank moved up 0.5-0.9% while their rival State Bank of India was up 0.44%.

Ranbaxy Labs, among healthcare (blue chip) stocks, topped the buying list with 3.5% gains. Dr Reddy's Labs, Sun Pharma and Cipla went up 1-2%.

Fast moving consumer goods majors ITC and Hindustan Unilever gained 0.2% and 0.7%, respectively.

Engineering and construction major Larsen & Toubro and state-owned oil & gas producer ONGC fell 0.6%.

Telecom operator Bharti Airtel, two-wheeler maker Bajaj Auto and commercial vehicle manufacturer Tata Motors were down 0.5-0.7%.

Indian shares gained some strength today after a consolidation in previous session due to buying interest in technology, fast moving consumer goods, banks, metals and healthcare stocks. Asian markets like Hang Seng and Nikkei gained 0.9% and 0.2%, respectively whereas Shanghai declined just 0.2% due to HSBC's Preliminary PMI for August hit a 9-month low of 47.8 as against final 49.3 in July.

The 30-share BSE Sensex gained 98.56 points at 17,945.42 and the 50-share NSE Nifty rose 28.40 points to 5,441.25. The broader markets were up 0.5% as the market breadth remained in favour of advances.

Country's largest IT services exporters TCS, Infosys and Wipro moved up 1-1.6%. FMCG majors ITC and Hindustan Unilever went up 0.4%-0.8%.

Top lenders State Bank of India, ICICI Bank and HDFC Bank gained between 0.3% and 0.7%.

Healthcare stocks like Sun Pharma, Cipla and Dr Reddy's Labs climbed 0.5%-1.5% while Ranbaxy Labs hit a 52-week high of Rs 552.70 with gaining nearly 3%.

Metals stocks strengthened on hopes of fiscal stimulus by Federal Reserve. Jindal Steel surged 2.4% while Tata Steel and Hindalco Industries rose nearly 1.5%. Sterlite Industries was up 0.5%.

Top commercial vehicle maker Tata Motors and two-wheeler maker Bajaj Auto fell 0.8% on profit booking.

Telecom operator Bharti Airtel lost another 0.7% today after falling more than 3.5% yesterday due to downgrade by various foreign research firm. Nomura downgraded the stock to reduce and cut price target to Rs 220 from Rs 280.

The BSE Sensex and NSE Nifty started off Thursday trade with a positive bias on hopes of QE3 by US Federal Reserve. Banks, technology metals, FMCG and capital goods stocks led the support while Bharti Airtel remained under pressure.

The BSE benchmark went up 66.22 points to 17,913.08 and the NSE benchmark was up 19 points to 5,431.60. The Indian rupee too gained 22 paise to 55.26 against the US dollar.

Asian markets were stable in morning trade on stimulus hopes after FOMC minutes indicated increasing support for additional easing, but uncertainty remained over European Central Bank's solution to European's debt crisis.

Back home, Jaiprakash Associates gained more than 2% on reports that CRH will buy 51% stake in Jaypee's Gujarat units for Rs 2100 crore.

Tata Steel, Sterlite, Sesa Goa and Hindalco were up 1% each on hopes of US QE3.

Ranbaxy Labs, Sun Pharma, BHEL, Wipro, Cairn, HDFC Bank, PNB, State Bank of India, ICICI Bank and Axis Bank too were quite supportive.

Bharti Airtel declined another 1% after falling over 3.5% yesterday due to downgrade by various foreign research firms.

Tata Motors, Infosys and ONGC were marginally under pressure.

The CNX Midcap Index rose 35 points to 7,293 as about two shares advanced for every share declining on the National Stock Exchange.

In the second line shares, Orchid Chemical, GVK Power and SREI Infrastructure moved up 2-2.5%.

Glenmark Pharma rose over 1.5% as International Centre For Dispute Resolution (ICDR) ruled in favour of company in Napo arbitration.

Everonn Education shot up 7% as Bharti Group will sell Centum to the company.

Videocon Industries gained 2% as its joint venture partner Petrobras found more oil in Brazil offshore block.

Adani Ports and SEZ fell 1% as The Times of India reported that Adani's SEZ in Gujarat is under government scanner for alleged violation of Centers norms.

Hindustan Zinc rallied over 3% as Vedanta may offer 25% higher price for buying government's stake in HZL and BALCO.

India Cements jumped nearly 2%. United Spirits was up over 1%.

PNB Gilts shot up 11%. Shasun Pharma, Jet Airways and Pantaloon Retail were down 1-2%.