|
The day belonged to bank stocks, mostly of smaller banks, as the government
decision to modify the regulations governing voting rights in banks set them
on fire.
Global
cues were also very strong after the strong rally in US markets yesterday.
Markets seem to have started taking the volatility in oil prices more lightly
as the marginal impact of higher prices is not perceived as too worrying.
The
indices opened with a large positive gap from yesterdays closing and maintained
the gradual build up till late in the afternoon. Some amount of profit booking
in the last half hour saw the indices coming down from the highs of the day.
Volumes continue to be on the lower side. The
Sensex closed at 6360, up 70 points and the Nifty at 1963, up 20 points. Nifty
May futures discount to the spot index widened to 14 points from yesterday's
10 points. Among
Nifty stocks, L&T, Ranbaxy and Dr Reddy's were the major percentage gainers
while Oriental Bank of Commerce, Gujarat Ambuja and HDFC were the major losers.
US
markets were reassured yesterday by the statements from Fed Reserve confirming
its stand on gradual increases in interest rates. The news about billionaire-investor
Kirk Kerkorian increasing his stake in General Motors cheered the markets.
GM had come under severe selling pressure as the company is facing serious
difficulties in maintaining market share. Both Dow and NASDAQ gained well
over a per cent each. NYMEX
crude futures for June delivery dropped below the $49 mark in early trades
after recovering and closing above $50 to a barrel. Indian
ADR's had a fantastic run yesterday after almost 2 weeks of subdued movements.
Dr Reddy's and Satyam gained 4 per cent each while Infosys, ICICI Bank and
Tata Motors closed with gains of over 2 per cent each. Wipro, HDFC Bank, MTNL
and VSNL all closed with gains. Yesterday,
the union cabinet approved changes to the banking regulations to remove the
10 per cent cap on voting rights. Once approved by the parliament, voting
rights will be linked to the percentage of shareholding. This has been a long
standing demand of foreign banks planning to takeover domestic banks. However,
such takeovers will be subject to approval by the RBI which has ruled out
such transactions involving strong domestic banks till 2009. ONGC
has reportedly made three new oil finds in the country, two on the eastern
coast and another on the western coast. The find on the western coast is said
to be more significant as it opens up new exploration possibilities near the
Mumbai High fields. Estimates about potential reserves are not known. ONGC
is the 100-per cent operator for all the three fields. The stock gained over
two per cent. HDFC
declared its fourth quarter and annual results for the period ended March
2005. For the full year the company has reported close to 19 per cent growth
in profits as revenues rose around 15 per cent. However, a subdued performance
in the fourth quarter pulled the stock down after the announcement. Software
stocks had a good day after the strong rally on NASDAQ yesterday. Infosys
led from the front and was trading with gains of close to 3 per cent till
late afternoon. TCS and Wipro also gained over a per cent each. Jet
Airways was among the few losers closing down by almost 3 per cent. A potentially
strong competitor, Kingfisher Airlines, received permission to start commercial
operations yesterday. Airlines have not hiked the fares even after the recent
hike in jet fuel prices by 8 per cent. Industry officials are admitting the
pressures on margins even as volumes continue to grow. Mid-cap
action Mid-cap
bank stocks sizzled as investors chased the stocks on expectations of takeovers
by foreign banks. All medium and small sized banks which are potential targets
for takeovers made substantial gains. Karnataka
Bank was the biggest percentage gainer with gains of 20 per cent followed
by Lakshmivilas, Dhanalakshmi and South Indian Bank with gains between 15
to 18 per cent. Federal Bank, Bank of Punjab and Karur Vysya posted gains
of between 10 to 14 per cent. Bank of Rajasthan, ING Vysya, Centurion and
Indusind also gained around 10 per cent each. Lupin
has announced a deal with a US pharma company for an anti-infective product.
As per the agreement, Lupin will develop and test the product which will be
marketed in the US by the American company. Lupin will retain the manufacturing
rights and will receive royalty on sales in the US. The Indian company stands
to gain up to $10.5 million, part of which is subject to achieving certain
milestones. The stock gained over 8 per cent in early trades. The
management of Flextronics Software is supporting the move by its parent company
to acquire full ownership. Reports suggested that the offer from Flextronics
of Singapore will open after the company's AGM. The company reported good
results for the quarter as well as year ended March 2005. Commercial
Vehicles manufacturer Eicher Motors gained after the company reported good
volume growth in sales for the month of April. The percentage growth as compared
to the same month of pervious year stands at an impressive 25 per cent. Auto
ancillary Rico Auto gained after the company announced plans to raise funds
through a preferential allotment of issue of warrants to institutions or promoters.
 Among
mid-cap stocks ETC Networks, Omax Auto and Mukand Engineering were the significant
percentage gainers.
Rain
Calcining, Dhampur Sugar and Gujarat Flurochemicals were among the major 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
|
6,359.65
|
+70.10
|
| NIFTY
|
1,963.30
|
+20.70
|
Last
Update : 5 May, 2005, 16:15 PM
Market
Counters
Figures in Rupees
BSE
30
| Scrip
Name |
Open |
High |
Low |
Last
Price |
| LARSEN
& TOUBRO LTD. |
999.00
|
1,046.00
|
992.00
|
1,034.55 |
| RANBAXY
LABORATORIES LTD. |
950.00
|
992.80
|
950.00
|
984.05 |
| INFOSYS
TECHNOLOGIES LTD.-ORDI |
1,949.90
|
2,005.00
|
1,949.90
|
1,996.75 |
| DR.REDDY'S
LABORATORIES LTD. |
659.00
|
682.80
|
658.10
|
671.70 |
| ICICI
BANK L |
372.00
|
379.90
|
372.00
|
377.25 |
| ONG
CORP LTD |
842.00
|
862.00
|
840.25
|
859.15 |
| BAJAJ
AUTO |
1,090.35
|
1,116.80
|
1,090.35
|
1,109.85 |
| HEROHONDA
M |
527.00
|
542.00
|
527.00
|
539.40 |
| HINDUSTAN
PETROLEUM CORP. LTD. |
321.00
|
328.00
|
321.00
|
326.65 |
| HDFC
BANK LT |
541.00
|
564.00
|
541.00
|
546.80 |
| STATE
BANK OF INDIA |
611.00
|
619.65
|
611.00
|
616.30 |
| BHEL
|
815.00
|
825.00
|
815.00
|
821.60 |
| GRASIM
INDUSTRIES LTD. |
1,139.90
|
1,148.00
|
1,136.55
|
1,139.75 |
| MARUTI
UDYOG |
415.00
|
421.75
|
415.00
|
416.70 |
| SATYAM
COMP |
412.50
|
419.90
|
410.00
|
412.70 |
| RELIANCE
ENR* |
494.00
|
495.85
|
488.05
|
491.00 |
| ZEE
TELEF LT |
142.50
|
144.00
|
141.10
|
142.00 |
| ASSOCIATED
CEMENT COMPANIES LT |
371.00
|
374.05
|
370.00
|
370.35 |
| GUJARAT
AMBUJA CEMENTS LTD. |
430.10
|
432.00
|
425.05
|
426.15 |
| HINDALCO
IN |
1,225.00
|
1,229.75
|
1,195.00
|
1,201.25 |
| I
T C LTD |
1,429.75
|
1,431.85
|
1,410.25
|
1,415.70 |
| HOUSING
DEVELOPMENT FINANCE CO |
764.00
|
764.00
|
738.20
|
748.80 |
| HINDUSTAN
LEVER LTD. |
136.50
|
136.90
|
134.00
|
134.95 |
| TATA
POWER |
362.00
|
364.95
|
357.70
|
359.85 |
| RELIANCE*
|
545.10
|
547.00
|
538.25
|
540.65 |
| Bharti
Televentures |
|
|
|
217.80 |
| Cipla |
|
|
|
266.55 |
| Tata
Motors |
|
|
|
420.15 |
| TISCO |
|
|
|
354.50 |
| Wipro |
|
|
|
637.30 |
Last
Update : 5 May, 2005, 16:05PM
S&P
CNX Nifty
| Symbol |
Open |
High |
Low |
Last
Price |
| INFOSYSTCH
|
1970.00
|
2007.00
|
1951.15
|
1995.15 |
| TISCO
|
356.10
|
360.30
|
352.30
|
354.95 |
| SBIN |
610.00 |
619.80
|
610.00
|
616.20 |
| SATYAMCOMP
|
415.00
|
418.85
|
410.20
|
412.50 |
| ONGC
|
841.00
|
860.00
|
840.00
|
857.15 |
| RELIANCE
|
542.75
|
547.40
|
539.20
|
541.15 |
| TCS
|
1149.95
|
1150.00
|
1125.55
|
1136.85 |
| SAIL
|
53.40
|
54.50
|
52.75
|
53.75 |
| RANBAXY
|
951.60
|
992.00
|
950.00
|
985.85 |
| TATAMOTORS
|
421.05
|
427.80
|
418.40
|
420.30 |
| MARUTI
|
418.00
|
421.85
|
413.55
|
415.60 |
| PNB
|
365.60
|
375.40
|
365.60
|
368.65 |
| M&M
|
462.00
|
478.90
|
462.00
|
473.75 |
| LT
|
997.15
|
1044.00
|
993.00
|
1032.90 |
| ITC
|
1400.05
|
1432.80
|
1400.05
|
1416.20 |
| DRREDDY
|
657.95
|
684.85
|
657.95
|
671.95 |
| ORIENTBANK
|
289.85
|
289.85
|
275.80
|
278.95 |
| HINDPETRO
|
322.00
|
328.65
|
321.25
|
327.50 |
| ICICIBANK
|
372.50
|
380.25
|
372.50
|
376.70 |
| WIPRO
|
642.00
|
644.00
|
634.00
|
637.40 |
| HDFC
|
757.85
|
765.00
|
735.90
|
743.85 |
| HINDLEVER
|
135.50
|
136.65
|
134.25
|
134.95 |
| REL |
502.00 |
502.00
|
489.10
|
491.20 |
| HINDALC0
|
1224.00
|
1233.00
|
1195.00
|
1201.05 |
| TATAPOWER
|
363.00
|
365.00
|
357.25
|
359.35 |
| HDFCBANK
|
544.00
|
554.90
|
544.00
|
546.55 |
| ZEETELE
|
140.00
|
144.35
|
140.00
|
142.05 |
| TATATEA
|
544.00
|
548.65
|
540.15
|
542.15 |
| HEROHONDA
|
531.60
|
542.00
|
528.00
|
539.40 |
| MTNL
|
119.60
|
119.60
|
115.85
|
117.65 |
| ACC
|
369.00
|
375.90
|
369.00
|
370.50 |
| GRASIM
|
1133.00
|
1149.50
|
1133.00
|
1139.35 |
| CIPLA
|
267.50
|
270.00
|
265.70
|
267.10 |
| BHARTI |
217.10 |
218.95
|
216.20
|
217.80 |
| IPCL
|
167.85
|
168.00
|
165.40
|
165.75 |
| HCLTECH
|
345.00
|
347.95
|
340.55
|
342.15 |
| BAJAJAUTO
|
1097.00
|
1117.50
|
1095.00
|
1110.15 |
| GUJAMBCEM
|
406.10
|
432.00
|
406.10
|
426.40 |
| NATIONALUM
|
146.00
|
147.45
|
145.30
|
146.05 |
| DABUR
|
120.25
|
123.50
|
119.10
|
120.55 |
| BHEL
|
820.00
|
825.50
|
816.50
|
821.20 |
| GAIL |
212.00 |
214.25
|
211.10
|
211.70 |
| BPCL
|
364.00
|
367.55
|
363.10
|
365.30 |
| GLAXO
|
737.95
|
744.00
|
730.25
|
734.20 |
| COLGATE
|
205.90
|
208.95
|
205.00
|
205.85 |
| TATACHEM
|
158.10
|
160.40
|
157.25
|
157.95 |
| SUNPHARMA
|
490.05
|
500.75
|
490.05
|
494.40 |
| VSNL
|
212.85
|
213.40
|
207.25
|
208.00 |
| SCI
|
146.25
|
147.95
|
145.70
|
145.90 |
| ABB
|
1249.80
|
1255.00
|
1235.00
|
1245.75 |
Last
Update : 5 May, 2005, 16:04PM
| 
