|
The intra-day trading pattern of a steady rise after a flat opening, repeated
itself for the third straight day today. Global cues were negative in the
morning after US markets closed almost flat yesterday, crude oil bounced back
and Asian markets opened weak.
Buying interest in pharma stocks and select auto stocks helped the indices
to start their up trend before noon. Strong results from SAIL helped maintain
the momentum.
Strength in IT stocks like Infosys and TCS helped the indices to close with
gains, even though some profit booking emerged towards the close. Gains on
the Nifty were more than the Sensex in percentage terms, helped by the gains
in TCS and ONGC.
Sensex closed at 6597, up 32 points and the Nifty at 2044, up 15 points. Nifty
June futures discount to the spot index widened to 26 points from yesterday's
20 points.
Among
Nifty stocks, Ranbaxy, SAIL and HCL Technologies were the major percentage
gainers while Zee Tele, Punjab National Bank and HDFC Bank were the major
losers.
US
markets were disappointed yesterday after the release of the US Fed meeting
minutes. The detailed minutes of the meeting held earlier in the month gave
the impression that the Fed will continue with its policy of steady increases
in short term interest rates. The Dow declined marginally by one fifth of
a per cent. NASDAQ closed with marginal gains, stretching its winning streak
to 8 consecutive days. Crude
oil futures for July delivery continue to trend towards the $50 to a barrel
mark. Hedge funds and traders are believed to have bought the commodity in
the last few days and pushed up prices from last week's lows of below $47.
A temporary shut down of a large refinery in Texas was also cited as a reason
for the recovery in crude prices. Indian
ADR's were generally weak yesterday in the US exchanges. MTNL was the single
largest loser with losses of close to 4 per cent. Among the IT stocks, Satyam
and Infosys lost a per cent each. Banking majors ICICI Bank and HDFC Bank
also closed with losses of a per cent each. Tata Motors gained over 2 per
cent while VSNL was the other significant gainer. Maruti
launched its premium hatchback model SWIFT in the capital today. The car has
been priced aggressively to take on competition from Hyundai India. The company
is targeting sales of over 4,000 units per month and reports suggest that
bookings have crossed 9,000 units. The
stock remained firm from the morning with gains of around a per cent. The
stock dipped marginally after the prices were announced on worries of margin
pressures. Analysts expect some pressure on margins because of the low pricing
even though the car is launched with around 85 per cent indigenisation level.
Tata
Motors, Maruti's only competitor listed on the exchanges, remained marginally
weak through out the day. M&M, which is more into commercial vehicles,
posted gains of over a per cent. There are reports that M&M has decided
to set up its passenger car plant near its LCV unit in Andhra Pradesh. M&M
is forming a joint venture with Renault of France to manufacture a mid-size
sedan in India. SAIL
announced the best ever results in its history. Fourth quarter profits surged
over 160 per cent on a revenue growth of over 38 per cent. The company says
it benefited from sales of value added products and cost savings including
finance costs. The stock gained close to 4 per cent after yesterday's rise
of over 7 per cent. SAIL
management says there is no slow down in demand from China and sees demand
picking up in Eastern Europe. The company is interested in domestic acquisitions
but currently has no plans for acquiring facilities abroad. Hot metal capacity
of the company would rise to 20 million tonnes per annum by the year 2012
when the planned expansions are completed. Tata
Steel is looking at acquisitions and collaborations to secure raw material
supplies including iron ore and coal. Speaking at the Reuters Manufacturing
Summit in New York, former managing director of the company, J J Irani, said
the company is strengthening its collaboration with Brazilian mining company
CVRD. The stock closed nearly a per cent lower. Ranbaxy
had a good day on the exchanges after the management said they expect better
times ahead for the company. The company's product pipeline has a potential
market of $35 billion and is well positioned to take advantage of the large
number of patent expiries expected after 2006. The stock closed with gains
of over 4 per cent. Other
pharma stocks like Dr. Reddy's, Sun Pharma and Cipla also gained ground. There
are reports that the Tata group has made an offer to buy Egyptian Fertilizers
Company. The offer for the company, which makes chemical fertilizers, is said
to be around $450 million. A Saudi company is also reported to have bid for
the company in which the Egyptian government holds a significant stake. Mid-Cap
Action Mid-caps
were on fire today as the CNX Mid-Cap 200 index touched a new all time high.
The index closed above the 3,000 level for the first time today. ICI
India, subsidiary of multinational chemicals major ICI, reported disappointing
results and the stock was down over 10 per cent in early trades. For the fourth
quarter ended March 2005, the company has reported a marginal loss even as
revenues grew over 10 per cent. Profits for the full year more than halved. Another
mid-cap company to disappoint with its results was luggage manufacturer VIP
Industries. The company's profits for the fourth quarter dropped over 50 per
cent even as revenues rose over 15 per cent. The stock lost close to 4 per
cent by noon. Tide
Water Oil continued its rally from yesterday after reports of ONGC's plans
to acquire the company. The government holds a more than 27 per cent stake
in Tide Water Oil, which markets automobile lubricants. Eicher
Motors gained over 10 per cent in early trades after the company approved
the sale of its tractor division to south based TAFE. TAFE is the second largest
player in the tractor industry after M&M. Eicher will focus on the commercial
vehicles segment  and
is also planning to buy a design company in the US. The stock closed with
gains of over 14 per cent. Eicher Limited was locked in the 20 per cent upper
circuit. Vardhman
Polytex, Classic Industries and Flex Industries were among the best performing
stocks among mid-caps. Soma
Textiles, L G Balakrishnan Brothers and Crew BOS Products 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
|
6,597.60 |
+32.23 |
| NIFTY
|
2,043.85 |
+15.25 |
Last
Update : 25 May, 2005, 16:15 PM
Market
Counters
Figures in Rupees
BSE
30
| Scrip
Name |
Open |
High |
Low |
Last
Price |
| RANBAXY
LABORATORIES LTD. |
1,003.15
|
1,051.00
|
1,003.15
|
1,040.20 |
| STATE
BANK OF INDIA |
662.05
|
680.10
|
658.00
|
676.85 |
| DR.REDDY'S
LABORATORIES LTD. |
690.10
|
707.00
|
690.00
|
704.55 |
| HEROHONDA
M |
568.00
|
580.85
|
562.30
|
578.65 |
| ONG
CORP LTD |
871.00
|
887.00
|
868.25
|
883.30 |
| CIPLA
LTD. |
280.00
|
283.45
|
279.35
|
282.20 |
| ASSOCIATED
CEMENT COMPANIES LT |
380.00
|
387.00
|
380.00
|
384.95 |
| TATA
POWER |
374.00
|
374.50
|
369.00
|
373.35 |
| I
T C LTD |
1,504.00
|
1,523.95
|
1,497.00
|
1,514.95 |
| INFOSYS
TECHNOLOGIES LTD.-ORDI |
2,142.00
|
2,200.00
|
2,121.00
|
2,173.05 |
| MARUTI
UDYOG |
460.00
|
465.00
|
459.00
|
460.90 |
| WIPRO
LTD. |
682.00
|
689.90
|
672.25
|
686.55 |
| GRASIM
INDUSTRIES LTD. |
1,110.00
|
1,133.80
|
1,110.00
|
1,124.55 |
| GUJARAT
AMBUJA CEMENTS LTD. |
433.50
|
438.50
|
433.50
|
435.75 |
| BAJAJ
AUTO |
1,210.00
|
1,225.00
|
1,200.40
|
1,213.05 |
| HOUSING
DEVELOPMENT FINANCE CO |
755.00
|
759.00
|
751.00
|
756.00 |
| SATYAM
COMP |
451.55
|
456.70
|
448.60
|
452.65 |
| BHARTI
TELE |
220.10
|
220.85
|
218.05
|
220.15 |
| HINDUSTAN
LEVER LTD. |
129.90
|
130.10
|
128.50
|
129.35 |
| ICICI
BANK L |
400.00
|
400.00
|
394.55
|
399.30 |
| ZEE
TELEF LT |
145.00
|
146.50
|
139.35
|
140.00 |
| TATA
IRON AND STEEL CO. LTD. |
357.85
|
359.90
|
354.10
|
355.10 |
| HDFC
BANK LT |
537.00
|
545.00
|
515.00
|
541.00 |
| BHEL
|
872.65
|
873.00
|
867.00
|
868.55 |
| HINDUSTAN
PETROLEUM CORP. LTD. |
335.00
|
337.85
|
333.10
|
336.45 |
| TATA
MOTORS |
444.25
|
446.50
|
441.40
|
444.10 |
| LARSEN
& TOUBRO LTD. |
1,081.50
|
1,085.90
|
1,072.00
|
1,079.90 |
| HINDALCO
IN |
1,168.00
|
1,172.00
|
1,157.00
|
1,162.60 |
| RELIANCE
ENR* |
485.00
|
489.85
|
483.10
|
484.80 |
Last
Update : 25 May, 2005, 16:05PM
S&P
CNX Nifty
| Symbol |
Open |
High |
Low |
Last
Price |
| INFOSYSTCH
|
2131.00
|
2200.00
|
2111.15
|
2171.20 |
| SBIN
|
662.00
|
679.70
|
653.25
|
677.45 |
| SAIL
|
52.60
|
54.40
|
52.20
|
54.00 |
| RELIANCE
|
528.00
|
534.00
|
525.50
|
530.65 |
| SATYAMCOMP
|
448.00
|
456.90
|
446.70
|
452.45 |
| TCS
|
1229.70
|
1269.40
|
1215.00
|
1260.55 |
| TISCO
|
358.55
|
359.70
|
354.15
|
355.25 |
| MARUTI
|
464.35
|
465.00
|
458.25
|
460.35 |
| RANBAXY
|
1010.00
|
1052.80
|
1005.00
|
1040.25 |
| ONGC
|
870.00
|
886.90
|
868.00
|
883.20 |
| TATAMOTORS
|
444.80
|
446.90
|
440.20
|
443.50 |
| ITC
|
1498.10
|
1523.90
|
1498.10
|
1516.00 |
| WIPRO
|
677.00
|
689.00
|
673.05
|
687.00 |
| GAIL
|
225.00
|
226.00
|
223.10
|
224.55 |
| ZEETELE
|
145.40
|
145.40
|
139.50
|
140.05 |
| ORIENTBANK
|
267.80
|
267.80
|
263.00
|
263.75 |
| BAJAJAUTO
|
1206.00
|
1227.75
|
1206.00
|
1213.55 |
| PNB
|
388.10
|
389.00
|
382.85
|
383.75 |
| ACC
|
382.10
|
387.80
|
380.95
|
385.15 |
| M&M
|
480.00
|
491.75
|
471.10
|
489.80 |
| HCLTECH
|
355.00
|
365.50
|
354.10
|
364.60 |
| BPCL |
395.00 |
401.25
|
387.25
|
399.10 |
| HINDPETRO
|
335.00
|
338.70
|
330.65
|
337.00 |
| HEROHONDA
|
569.70
|
580.00
|
561.10
|
578.75 |
| HINDALC0
|
1165.00
|
1173.00
|
1156.00
|
1162.70 |
| ICICIBANK
|
397.10
|
399.00
|
394.50
|
397.40 |
| LT
|
1084.90
|
1085.00
|
1071.30
|
1079.65 |
| HINDLEVER
|
129.45
|
130.00
|
128.75
|
129.45 |
| TATAPOWER
|
370.00
|
375.00
|
369.00
|
374.00 |
| IPCL
|
165.90
|
168.05
|
165.00
|
166.25 |
| BHARTI
|
220.25
|
221.90
|
217.65
|
221.00 |
| DRREDDY
|
690.00
|
707.90
|
690.00
|
704.45 |
| CIPLA
|
280.00
|
283.50
|
279.50
|
282.25 |
| SUNPHARMA
|
532.00
|
550.00
|
528.30
|
545.60 |
| GRASIM
|
1120.00
|
1133.00
|
1116.00
|
1124.10 |
| HDFCBANK
|
547.20
|
547.20
|
537.15
|
540.25 |
| TATACHEM
|
164.00
|
167.85
|
164.00
|
165.80 |
| BHEL
|
872.00
|
873.90
|
865.15
|
870.65 |
| HDFC
|
754.00
|
759.95
|
754.00
|
757.15 |
| REL
|
481.60
|
489.40
|
481.60
|
485.50 |
| ABB
|
1296.00
|
1315.00
|
1288.00
|
1300.00 |
| GUJAMBCEM
|
437.30
|
438.50
|
433.50
|
436.35 |
| GLAXO
|
745.00
|
755.00
|
737.05
|
750.45 |
| MTNL
|
116.30
|
117.15
|
116.00
|
116.50 |
| NATIONALUM
|
147.00
|
148.30
|
146.50
|
147.60 |
| TATATEA
|
545.00
|
548.80
|
541.00
|
547.55 |
| COLGATE
|
214.00
|
216.00
|
213.30
|
215.45 |
| SCI
|
150.00
|
150.60
|
148.50
|
149.45 |
| VSNL
|
213.00
|
213.95
|
210.00
|
210.95 |
| DABUR
|
125.70
|
125.70
|
124.10
|
124.65 |
Last
Update : 25 May, 2005, 16:04PM
| 
