|
After announcement of the settlement between Ambani brothers on Saturday,
today's market opening was keenly awaited. The Reliance group stocks did not
disappoint traders as all of them flared up and helped the Sensex to touch
7,000 in the morning session itself.
All
the 4 major Reliance stocks, RIL, Reliance Energy, Reliance Capital and IPCL
flared up in opening trades. Market men were keen to see which among the two
Ambani groups would see better appreciation.
Going
by today's performance, Anil Ambani group stock outshone parent RIL and IPCL
by a large margin. Reliance Capital saw the most significant gains of close
to 30 per cent at one point. Reliance Energy followed with intra-day gains
of over 18 per cent.
Reliance
Industries and IPCL were far more subdued with over 5 per cent gains. Volumes
were also very high in all these stocks, both in the cash and derivatives
segments.
Reliance
Capital closed with gains of 25 per cent, Reliance Energy with 11 per cent,
Reliance Industries with 5 per cent and IPCL with 4 per cent.
Technology
majors gave ample support to the Reliance pack. Satyam was the surprise winner
with intra-day gains of close to 5 per cent. Both Satyam and Infosys closed
with gains of over 3 per cent each. TCS and Wipro followed suit in that order.
The
surge in these heavyweights helped the Sensex to go past the 7,000 mark 3
times during the day, only to retrace and settle lower.
Sensex closed at 6985, up 79 points and the Nifty at 2144, up 21 points from
Friday's close. Nifty June futures discount to the spot widened to 26 points
from Friday's 14 points.
Among
Nifty stocks, Reliance Energy, Reliance Industries and Hindalco were the major
percentage gainers while SCI, Punjab National Bank and ICICI Bank were the
major losers.
US
markets extended their winning run to the last trading day of the week on
Friday. The surge in oil prices did not prevent the indices from closing with
reasonable gains. Dow gained more than one third of a per cent. Gains on the
NASDAQ were higher at over one half of a per cent.
Crude
oil futures for July delivery surged to an all time high of $58.6 to a barrel
before closing the week at $58.47. The commodity has crossed the $59 mark
in today's early trades.
Most
Indian ADR's saw good gains, especially the technology stocks, on Friday.
Infosys gained close to 3 per cent while Satyam closed with gains of over
a per cent. Wipro also managed to close in the positive. Among other stocks,
VSNL, HDFC Bank and ICICI Bank closed with gains. MTNL and Tata Motors were
the two losers.
After
months of indecision and postponement, the government finally decided to raise
the prices of petrol and diesel today. While the price of petrol has been
hiked by Rs2.5 per litre, diesel prices would go up by Rs2 per litre. Prices
of cooking gas and kerosene were left untouched. The petroleum minister said
this will be a one time hike and there will be no fortnightly revision of
fuel prices. The left parties were quick to criticise the decision and are
planning to launch an agitation shortly. After
surging for a while after the announcement, oil stocks ended up mostly in
the negative as the hike was much lower than the demand by oil companies.
The marketing companies claim under-recovery of over Rs4 per litre. Only BPCL
closed with gains while IOC and HPCL closes with losses. The
cabinet today approved the comprehensive trade pact with Singapore. Under
the agreement, Indian banks operating in Singapore will be treated as local
banks for regulatory purposes. Three Singapore-based banks will be allowed
to open wholly owned subsidiaries in India and they will be treated at par
with domestic banks. The
two countries would also eliminate customs duties on over 500 items from the
current year. India would also sign a double taxation avoidance treaty with
Singapore, on the lines of the existing agreement with Mauritius. ONGC
has reported a profit growth of over 90 per cent for the fourth quarter ended
March 2005. Revenues increased by over 40 per cent. Full year profits were
higher by close to 50 per cent. The
total subsidy burden on the company for the whole of last year was over Rs4,000
crore. The subsidy losses for the current year also will be substantial. The
company is confident of winning 10 out of the 20 new exploration blocks for
which bids were invited recently. On
the first working day after the announcement of Reliance settlement, news
flow from Anil Ambani group came thick and fast. After the announcements over
the weekend, two companies announced plans to issue shares on a preferential
basis to promoters and institutions. Reliance
Capital would come out with a preferential issue to raise Rs3,000 crore while
Reliance Energy will raise over Rs1,600 crore. According to reports, both
companies have already received institutional commitments for part of the
issue. There
are reports that Videocon group would buy the television manufacturing facilities
of European electronics major Thomson for
$1 billion. Further details were not available. Mid-Cap
Action After
opening with gains, Mid-cap stocks extended their losses to the third day,
losing three fourths of a per cent. CNX Mid-Cap 200 index closed at 2983,
a loss of 22 points. Matrix
Lab has announced the acquisition of a 22 per cent stake in a Belgian pharmaceutical
company. The company will make an open offer for the remaining 78 per cent
shares. The whole transaction is expected to cost over $260 million. This
is the largest ever overseas acquisition by an Indian pharma company. The
acquisition is expected to strengthen the company's operations in crucial
European markets. Matrix
is in the process of merging Strides Arcolab with itself. The stock gained
over 2 per cent after the announcement. Ballarpur
Industries, the largest player in the domestic paper industry, floated its
FCCB issue in Singapore today. The zero coupon bonds will be listed on the
Singapore Stock Exchange. The
FCCB's will be converted into equity shares at the rate of Rs180 per share
after a period of 5 years. The company expects to raise $60 million from the
issue. The stock closed with losses of over 4 per cent. The
boards of Centurion Bank and Bank of Punjab are meeting today to discuss a
merger proposal. Centurion Bank, owned by Sabre Capital and Bank Muscat, had
undergone a restructuring exercise after ownership change. Bank of Punjab
has a network of over 100 branches in the north, especially Punjab. The
companied entity will have a balance sheet size, total of assets and liabilities,
of over Rs10,000 crore. Both stocks surged in the morning to touch recent
highs before giving up part of the gains later in the day. Centurion
closed with gains of over 4 per cent while Bank of Punjab closed with gains
of close to 5 per cent. Mahavir
Spinning has declared a bonus issue of one share for every two shares held
and a final dividend of 45 per cent. The stock gained in early trades. Padmalaya
Telefilms continued its downtrend today as well. The stock will be de-listed
shortly from the exchanges for non-compliance of listing norms. Other media
stocks like TV Today and NDTV lost over 7 per cent each.  WIMCO
Limited, Saregama and Swaraj Engines were among the best performing stocks
among mid-caps.
Granules
India, GESCO Corporation and Shreyas Shipping 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
|
6,984.55
|
+
78.03 |
| NIFTY
|
2,144.35
|
+
20.95 |
Last
Update : 20 June, 2005, 16:13 PM
Market
Counters
Figures in Rupees
BSE
30
| Scrip
Name |
Open |
High |
Low |
Last
Price |
| RELIANCE
ENR |
606.00
|
705.90
|
606.00
|
658.25 |
| RELIANCE*
|
612.00
|
645.70
|
612.00
|
630.40 |
| HINDALCO
IN |
1,140.00
|
1,189.00
|
1,136.00
|
1,185.65 |
| INFOSYS
TECHNOLOGIES LTD.-ORDI |
2,232.30
|
2,390.00
|
2,232.30
|
2,375.50 |
| SATYAM
COMP |
487.00
|
510.50
|
487.00
|
503.50 |
| TCS
LTD |
1,270.00
|
1,300.00
|
1,270.00
|
1,296.55 |
| RANBAXY
LABORATORIES LTD. |
1,061.00
|
1,087.00
|
1,044.00
|
1,070.65 |
| TATA
IRON AND STEEL CO. LTD. |
342.70
|
350.60
|
339.00
|
348.40 |
| WIPRO
LTD. |
749.80
|
759.00
|
745.00
|
754.95 |
| BHARTI
TELE |
234.80
|
240.55
|
232.15
|
235.45 |
| BAJAJ
AUTO |
1,250.00
|
1,263.00
|
1,250.00
|
1,256.00 |
| HDFC
BANK LT |
596.10
|
598.95
|
593.35
|
597.45 |
| ONG
CORP LTD |
925.50
|
932.00
|
911.50
|
921.90 |
| DR.REDDY'S
LABORATORIES LTD. |
721.00
|
727.00
|
720.00
|
721.05 |
| GUJARAT
AMBUJA CEMENTS LTD. |
61.00
|
61.90
|
49.40
|
59.30 |
| ICICI
BANK L |
420.00
|
424.00
|
402.50
|
405.10 |
| TATA
POWER |
377.00
|
378.00
|
365.00
|
366.30 |
| STATE
BANK OF INDIA |
678.00 |
678.00
|
654.65
|
656.55 |
| TATA
MOTORS |
427.00
|
427.00
|
412.00
|
414.15 |
| HOUSING
DEVELOPMENT FINANCE CO |
850.05
|
864.80
|
847.90
|
850.30 |
| LARSEN
& TOUBRO LTD. |
1,123.90
|
1,130.00
|
1,100.00
|
1,101.30 |
| HINDUSTAN
LEVER LTD. |
150.15
|
152.00
|
146.60
|
148.15 |
| GRASIM
INDUSTRIES LTD. |
1,107.90 |
1,107.90
|
1,086.25
|
1,087.80 |
| BHEL
|
884.00
|
884.00
|
860.00
|
870.40 |
| I
T C LTD |
1,564.00
|
1,564.00
|
1,535.60
|
1,538.00 |
| MARUTI
UDYOG |
444.90
|
447.70
|
436.30
|
442.35 |
| NTPC
LTD |
82.90
|
83.20
|
82.35
|
82.65 |
| HEROHONDA
M |
553.00
|
553.00
|
540.05
|
548.05 |
| ASSOCIATED
CEMENT COMPANIES LT |
383.00
|
384.00
|
377.05
|
380.00 |
| CIPLA
LTD. |
290.85
|
290.85
|
282.05
|
284.60 |
Last
Update : 20 June, 2005, 16:02PM
S&P
CNX Nifty
| Symbol |
Open |
High |
Low |
Last
Price |
| RELIANCE
|
625.00
|
645.70
|
616.35
|
630.50 |
| REL
|
605.00
|
706.90
|
605.00
|
658.10 |
| INFOSYSTCH
|
2295.00
|
2382.65
|
2234.70
|
2371.10 |
| SATYAMCOMP
|
488.75
|
510.40
|
487.00
|
503.75 |
| IPCL
|
168.00
|
179.00
|
166.35
|
167.50 |
| SBIN
|
671.90
|
673.40
|
654.00
|
657.05 |
| TISCO
|
344.15
|
350.40
|
339.10
|
348.60 |
| TCS
|
1275.00
|
1301.95
|
1270.30
|
1295.90 |
| ONGC
|
920.00
|
929.00
|
912.15
|
922.20 |
| ITC
|
1564.00
|
1569.00
|
1533.00
|
1535.40 |
| WIPRO
|
740.00
|
759.60
|
740.00
|
756.55 |
| M&M
|
555.00
|
570.00
|
555.00
|
566.40 |
| TATAMOTORS
|
420.40
|
421.40
|
412.85
|
413.95 |
| MARUTI
|
443.35
|
447.00
|
436.70
|
442.25 |
| HINDPETRO
|
325.00
|
331.40
|
318.15
|
319.35 |
| PNB |
398.95 |
398.95
|
378.20
|
380.80 |
| SAIL
|
53.20
|
53.40
|
52.60
|
53.10 |
| BHARTI |
235.90 |
240.90
|
233.00
|
235.30 |
| ICICIBANK
|
420.00
|
422.90
|
402.60
|
405.15 |
| RANBAXY
|
1050.00
|
1085.90
|
1043.80
|
1070.20 |
| BPCL
|
370.00
|
382.50
|
369.10
|
371.75 |
| HCLTECH
|
379.90
|
395.00
|
376.00
|
391.85 |
| HINDLEVER
|
149.95
|
151.35
|
146.50
|
148.40 |
| HINDALC0
|
1140.00
|
1188.00
|
1138.00
|
1185.25 |
| GAIL
|
220.90
|
222.40
|
216.50
|
220.05 |
| LT
|
1120.00
|
1134.40
|
1100.00
|
1100.40 |
| GUJAMBCEM
|
58.05
|
65.00
|
49.40
|
59.35 |
| ORIENTBANK
|
268.00
|
269.75
|
258.25
|
261.95 |
| HDFCBANK
|
599.75
|
600.00
|
593.10
|
598.60 |
| BAJAJAUTO
|
1260.00
|
1265.00
|
1250.10
|
1255.05 |
| SCI
|
146.00
|
146.45
|
136.10
|
137.40 |
| BHEL
|
872.00
|
880.00
|
860.10
|
873.00 |
| HDFC
|
850.10
|
865.00
|
846.00
|
850.10 |
| ACC
|
381.25
|
381.25
|
376.65
|
380.10 |
| VSNL
|
229.70
|
237.85
|
224.05
|
232.10 |
| GRASIM
|
1110.00
|
1110.00
|
1086.00
|
1088.15 |
| ZEETELE
|
143.70
|
143.70
|
141.00
|
142.10 |
| SUNPHARMA
|
577.70
|
600.00
|
546.20
|
564.70 |
| HEROHONDA
|
552.00
|
552.00
|
542.00
|
548.15 |
| GLAXO
|
773.05
|
795.00
|
773.00
|
786.85 |
| DRREDDY
|
725.00
|
729.00
|
716.60
|
720.60 |
| CIPLA
|
286.00
|
289.00
|
282.00
|
284.75 |
| TATAPOWER
|
377.00
|
378.00
|
365.15
|
366.65 |
| TATACHEM
|
172.90
|
172.90
|
167.05
|
170.20 |
| MTNL
|
122.60
|
123.50
|
119.65
|
120.60 |
| NATIONALUM
|
144.75
|
146.50
|
142.10
|
144.45 |
| DABUR
|
130.35
|
132.00
|
126.15
|
126.60 |
| ABB
|
1300.00
|
1302.10
|
1266.10
|
1286.85 |
| TATATEA
|
585.00
|
586.00
|
575.00
|
575.90 |
| COLGATE
|
232.90
|
235.00
|
226.25
|
227.30 |
Last
Update : 20 June, 2005, 16:00PM
| 
