|
Markets opened with a big positive gap in the morning even though US markets
had closed on a flat note yesterday. Major Asian indices were firm today and
crude had declined overnight, spreading some positive sentiment among traders.
FII inflows so far during June have remained positive.
After
trading sideways till noon, the indices turned volatile and gave up most of
the gains. The weakness did not last long either as the indices bounced back
equally strong to retest the highs of the morning.
Markets
saw another sharp drop late in the afternoon before renewed buying in Reliance
and banking stocks helped the indices to close at the highs of the day.
Both
Sensex and Nifty managed to close above the psychologically important marks
of 6800 and 2100 respectively. These are the highest levels of the indices
for almost 3 months.
With
a close to 3 per cent gain, Infosys regained the top ranking in market capitalisation
among technology stocks, pushing TCS to second place.
Sensex
closed at 6858, up 77 points and the Nifty at 2112, up 14 points from yesterday's
close. Nifty June futures discount to the spot widened to 18 points from yesterday's
10 points.
Among
Nifty stocks, Shipping Corporation, ICICI Bank and Reliance Energy were the
major percentage gainers while Bajaj Auto, Dr. Reddy's and Oriental Bank of
Commerce were the major losers.
Yesterday,
US markets could not hold on to early gains. The indices opened very strongly
with gains of almost a per cent each. Declining oil prices and positive comments
from US Fed Chairman could not prevent the late afternoon decline. Broader
indices like Dow and S&P 500 ended with marginal gains while tech heavy
NASDAQ closed in the negative.
Crude
futures for July delivery declined further yesterday to close below $54 to
a barrel. Expectations of higher crude inventory levels in the US kept the
commodity weak. Many analysts expect crude to trade in the $47 to $55 range
in the near future. Crude is trading more than a per cent lower in early European
trades today.
ADR's
of Indian banks on the US exchanges repeated their strong performance on the
domestic bourses yesterday. HDFC Bank gained over 4 per cent while ICICI Bank
closed with gains of over 2 per cent. Telecom stocks MTNL and VSNL also posted
very strong gains. Tech stocks Wipro, Satyam and Infosys managed to close
with marginal gains even as technology stocks were weak. Tata Motors was the
only significant loser which closed a per cent lower.
Reliance
Energy was one of the major gainers among frontline stocks, closing with gains
of almost 4 per cent. The company's chairman, Anil Ambani, confirmed at the
AGM that Reliance Industries will supply natural gas for the proposed 3,740
MW thermal power plant in UP. Anil
Ambani also confirmed that Reliance Energy is planning to set up a 12,000mw
coal based thermal power plant in Orissa. This will be the largest coal based
power plant at a single location in the world. The
confirmation on natural gas supplies from Reliance's gas fields in the Krishna-Godavari
basin for the UP power project is seen as further evidence of the brothers
nearing a settlement. There has been much uncertainty about the gas supply
ever since the project was announced. Consolidation
of public sector oil companies, an issue which had disappeared from headlines
for sometime now, resurfaced today. The committee appointed to look into the
issue has reportedly ruled against the creation of a single large oil company.
According
to reports, the committee is in favour of consolidating various companies
in the oil and gas sector into three integrated companies. This will ensure
benefits of size while at the same time ensuring competition. There
is speculation that ONGC has expressed its interest in BPCL, HPCL and parts
of GAIL for the consolidation process. ONGC closed with losses of more than
a per cent. Neyveli
Lignite reported its results for the quarter and year ended March 2005. For
the fourth quarter, the company has reported a growth of close to 10 per cent
in profits. Revenues grew marginally higher at around 12 per cent. Ashok
Leyland was another significant gainer today. The stock gained over 5 per
cent early in the morning and maintained the up trend through out the day.
The company had reported excellent volume growth in sales for the month of
May.
Mid-Cap Action Mid-caps
underperformed the frontline stocks even though the index continued to seek
new all time highs today. CNX Mid-Cap 200 index closed at 3059, up 13 points.
The index has closed at new all time highs for the third day. IndiaBulls
announced that a US-based fund will pick up more than 40 per cent stake in
one of its subsidiaries for $30 million. The subsidiary, in which IndiaBulls
will continue to hold a majority stake, will start operations in the retail
finance space shortly. The stock gained 10 per cent in early trades. United
Phosphorus announced the acquisition of a Spanish distribution company for
11.5 million Euros. CEQUISA is a distributor of farm chemicals in Europe and
has a turnover of close to 20 million Euros. The stock gained over 5 per cent
in early trades before giving up some of its gains. Multinational
bearings major SKF will invest close to Rs100 crore in its subsidiary SKF
India to expand production facilities in Bangalore and Pune by 50 per cent.
The recent bid by SKF to take SKF India private had failed as the offer price
was much below investor expectations. NIIT
Technologies, which announced its results after market closed yesterday, was
one of the best performing mid-cap stocks of the day. The stock gained over
15 per cent in early trades after the management indicated that the company
is looking at possible acquisitions. The stock closed with gains of 20 per
cent. NIIT
Technologies have reported a 70 per cent rise in profits for the full year
ended March 2005. NIIT Technologies is the de-merged software services division
of NIIT Limited. NIIT Limited, which focuses on IT education, also gained
over 4 per cent in early trades. Construction
companies IVRCL and Nagarjuna Constructions posted good gains after both companies
announced fresh order wins. While IVRCL received a contract worth over Rs230
crore, Nagarjuna received three orders worth a total of Rs200 crore. Tata
Investment Corporation was another major gainer after the company said its
board will meet later in the month to consider a bonus issue. The company
is an investment arm of the Tata group. Radico
Khaitan, the second largest player in the liquor industry after UB-Shaw Wallace,
has reported a profit growth of close to 40 per cent for the year. Total revenues
for the year were a shade lower than the Rs1,000-crore mark. The figures are
not comparable to previous year's results as the company had merged two subsidiaries
into itself. Assam
Company was locked in the 20 per cent upper circuit for the second day today.
The company had announced an oil find in Assam.  Premier
Auto Electrical, South East Asia Marine and TN Petro were among the best performing
stocks among mid-caps.
Crisil,
GM Breweries and Shriram Transport Finance 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
|
6,858.24
|
+
76.99 |
| NIFTY
|
2,112.40
|
+
14.25 |
Last
Update : 8 June, 2005, 16:47 PM
Market
Counters
Figures in Rupees
BSE
30
| Scrip
Name |
Open |
High |
Low |
Last
Price |
| ICICI
BANK L |
407.50
|
420.95
|
407.50
|
419.70 |
| RELIANCE
ENR* |
551.90
|
572.00
|
540.10
|
566.30 |
| INFOSYS
TECHNOLOGIES LTD.-ORDI |
2,182.35
|
2,309.00
|
2,182.35
|
2,297.85 |
| SATYAM
COMP |
461.00
|
475.00
|
460.80
|
472.35 |
| HOUSING
DEVELOPMENT FINANCE CO |
810.00
|
831.00
|
809.75
|
827.45 |
| HINDALCO
IN |
1,100.00
|
1,120.00
|
1,092.00
|
1,116.60 |
| I
T C LTD |
1,565.00
|
1,583.90
|
1,562.20
|
1,581.00 |
| RELIANCE*
|
548.10
|
560.00
|
548.10
|
558.50 |
| CIPLA
LTD. |
290.85
|
297.00
|
290.00
|
295.20 |
| MARUTI
UDYOG |
455.10
|
466.00
|
455.10
|
464.10 |
| TCS
LTD |
1,275.00 |
1,295.40
|
1,275.00
|
1,290.75 |
| GRASIM
INDUSTRIES LTD. |
1,103.00
|
1,109.00
|
1,095.00
|
1,101.10 |
| BHEL
|
873.00
|
883.75
|
873.00
|
880.05 |
| NTPC
LTD |
86.80
|
87.20
|
85.80
|
86.55 |
| TATA
MOTORS |
436.00
|
439.90
|
436.00
|
438.00 |
| STATE
BANK OF INDIA |
685.85
|
694.90
|
684.05
|
689.10 |
| HEROHONDA
M |
555.00
|
563.75
|
553.00
|
556.30 |
| WIPRO
LTD. |
720.00
|
735.00
|
720.00
|
732.60 |
| TATA
IRON AND STEEL CO. LTD. |
340.00
|
341.80
|
335.05
|
339.10 |
| BHARTI
TELE |
221.90
|
221.90
|
220.00
|
221.05 |
| BAJAJ
AUTO |
1,271.00
|
1,290.50
|
1,245.05
|
1,262.05 |
| DR.REDDY'S
LABORATORIES LTD. |
722.00
|
726.00
|
710.00
|
711.00 |
| ONG
CORP LTD |
935.00
|
935.75
|
918.20
|
921.25 |
| HINDUSTAN
LEVER LTD. |
143.60
|
145.00
|
141.00
|
142.50 |
| HDFC
BANK LT |
597.80
|
597.80
|
582.00
|
585.55 |
| RANBAXY
LABORATORIES LTD. |
1,088.60
|
1,100.00
|
1,081.00
|
1,083.85 |
| ASSOCIATED
CEMENT COMPANIES LT |
381.00
|
382.95
|
375.10
|
378.55 |
| TATA
POWER |
385.00
|
387.80
|
380.10
|
382.20 |
| LARSEN
& TOUBRO LTD. |
1,106.00
|
1,120.00
|
1,100.00
|
1,103.60 |
| GUJARAT
AMBUJA CEMENTS LTD. |
456.50
|
458.55
|
450.75
|
453.60 |
Last
Update : 8 June, 2005, 16:02PM
S&P
CNX Nifty
| Symbol |
Open |
High |
Low |
Last
Price |
| RELIANCE
|
551.30
|
560.00
|
550.00
|
558.45 |
| INFOSYSTCH
|
2222.70
|
2305.00
|
2222.70
|
2296.25 |
| SATYAMCOMP
|
460.00
|
474.95
|
460.00
|
472.45 |
| SBIN
|
690.00
|
694.75
|
685.00
|
689.90 |
| TISCO
|
340.90
|
341.85
|
334.85
|
339.35 |
| TCS
|
1280.00
|
1296.00
|
1276.10
|
1292.10 |
| PNB
|
403.50
|
412.00
|
403.50
|
407.05 |
| ITC
|
1565.00
|
1585.00
|
1562.05
|
1580.90 |
| ONGC
|
935.00
|
935.80
|
916.10
|
921.85 |
| SCI
|
151.00
|
164.90
|
151.00
|
161.80 |
| MARUTI
|
458.00
|
465.40
|
456.00
|
464.10 |
| IPCL
|
169.90
|
171.80
|
168.40
|
169.20 |
| SAIL
|
51.55
|
51.75
|
50.25
|
51.10 |
| TATAMOTORS
|
437.50
|
439.50
|
434.70
|
438.25 |
| ICICIBANK
|
406.25
|
421.00
|
406.25
|
419.60 |
| REL
|
551.95
|
573.90
|
547.10
|
567.55 |
| HINDLEVER
|
143.00
|
144.80
|
141.00
|
142.45 |
| WIPRO
|
708.55
|
736.60
|
708.55
|
734.40 |
| ORIENTBANK
|
278.80
|
283.30
|
273.50
|
275.20 |
| RANBAXY
|
1099.00
|
1102.00
|
1080.10
|
1085.35 |
| HDFC
|
810.10
|
831.80
|
810.10
|
826.60 |
| HDFCBANK
|
592.00
|
594.80
|
582.00
|
585.85 |
| M&M
|
514.30
|
522.90
|
510.15
|
520.30 |
| GUJAMBCEM
|
455.00
|
458.40
|
450.60
|
454.50 |
| GAIL
|
212.00
|
213.95
|
211.55
|
213.00 |
| TATATEA
|
603.00
|
610.00
|
595.35
|
598.45 |
| BAJAJAUTO
|
1285.10
|
1289.95
|
1246.15
|
1261.45 |
| HCLTECH
|
367.00
|
377.20
|
365.00
|
373.90 |
| CIPLA
|
289.80
|
297.00
|
289.00
|
295.40 |
| HINDALC0
|
1099.00
|
1119.85
|
1099.00
|
1117.40 |
| HINDPETRO
|
325.50
|
326.50
|
322.00
|
324.55 |
| LT
|
1111.00
|
1120.00
|
1100.00
|
1104.80 |
| BHEL
|
871.10
|
882.95
|
871.10
|
880.40 |
| VSNL |
225.10 |
229.00
|
222.50
|
223.70 |
| BPCL
|
372.00
|
376.50
|
368.10
|
370.15 |
| BHARTI
|
221.00
|
222.00
|
220.00
|
221.25 |
| ZEETELE
|
149.00
|
150.50
|
148.70
|
149.30 |
| ACC
|
380.90
|
382.80
|
375.55
|
378.85 |
| TATAPOWER
|
385.00
|
388.00
|
380.60
|
382.55 |
| GRASIM
|
1094.00
|
1109.80
|
1088.00
|
1100.90 |
| HEROHONDA
|
557.50
|
564.00
|
555.00
|
557.30 |
| MTNL
|
125.90
|
126.60
|
124.60
|
125.95 |
| NATIONALUM
|
147.00
|
149.60
|
146.50
|
148.50 |
| TATACHEM
|
182.00
|
182.80
|
179.25
|
179.85 |
| DRREDDY
|
726.00
|
729.00
|
709.10
|
711.50 |
| COLGATE
|
238.40
|
239.90
|
234.00
|
238.30 |
| DABUR
|
132.40
|
134.50
|
131.20
|
131.75 |
| ABB
|
1300.10
|
1374.90
|
1300.00
|
1331.95 |
| SUNPHARMA
|
555.50
|
558.00
|
550.00
|
555.20 |
| GLAXO
|
765.50
|
779.00
|
762.00
|
775.20 |
Last
Update : 8 June, 2005, 16:00PM
| 
