|
Markets opened the day marginally lower but recovered
soon. The indices remained sideways for almost an hour
as the markets searched for a clear direction. Global
cues were weak as US markets had closed lower yesterday
and crude oil set yet another record.
Buying emerged before noon and the indices started a steady
up trend, which lasted for the rest of the day. Buying
continued in technology stocks led by Wipro, TCS and Satyam
Computers, all of which gained well over a per cent each.
Sensex crossed the 7800 mark once again by late afternoon
trades and the Nifty inched towards the 2400 levels. The
last half hour saw some selling but the indices recovered
and closed the day near the day's highs.
Sensex closed at 7805, a gain of 60 points, and the Nifty
at 2385, a gain of 17 points. Nifty September futures
closed at a discount of 24 points to the spot index.
Tata Power, Bajaj Auto and Zee Tele were the biggest gainers
on the Nifty while SAIL, Tata Motors and HDFC Bank were
the major losers.
US markets lost all of the gains from the previous day
as the indices closed lower yesterday. The markets were
edgy on fresh reports of widespread damages caused by
the hurricane and high loss of life. Possible insurance
claims alone are expected to be in the range of $25 to
$30 billion as the storm moved to other areas.
The Dow lost close to half a per cent while the NASDAQ
and S&P 500 closed with losses of over one third of
a per cent each.
Crude futures for October delivery bounced back sharply
and set an all-time high of $70.85 per barrel yesterday
before closing at $69.81. Reports of major damages to
oil rigs in the Gulf of Mexico, with some of them drifting,
sent oil futures higher.
The hurricane has led to a temporary disruption of crude
production and refining in the US. Crude futures are trading
higher at $70.5 in early European trades today.
Most of the Indian ADR's held on to their gains from the
previous day even as the markets were weak yesterday.
MTNL continued its strong showing, gaining another two
per cent while VSNL closed with marginal gains. ICICI
Bank closed more than a per cent higher while HDFC Bank
closed marginally higher.
Technology ADR's had a bad day with Wipro closing more
than 2 per cent lower while Infosys lost half a per cent.
Satyam managed to close with gains. Tata Motors closed
marginally lower while Dr. Reddy's ended the day with
marginal gains.
Mahindra & Mahindra will set up an integrated research
facility either at Pune or Chennai at a cost of over Rs400
crore. The company is planning to shift all its research
and test facilities to one location. The proposed facility
will have test tracks and crash test facilities apart
from design and engineering. The stock closed a per cent
higher.
As per media reports, Tata Steel has initiated talks with
the government to acquire some of the coalfields of loss
making PSU Bharat Coking Coal. The reports further indicate
that the government is willing to lease out the coalmines
to private companies though the PSU itself will not be
privatised. The stock closed marginally lower.
Hitachi Construction of Japan is planning to raise its
stake in Telco Construction, a subsidiary of Tata Motors.
Telco Construction offers a range of construction equipment
under technical collaboration with Hitachi and is the
market leader with over 50 per cent share. The JV would
introduce more models in the domestic market in future.
The stock lost over a per cent.
Indian Oil would submit its bid for Turkish refiner Tupras
this week. The company is bidding along with a Turkish
partner for 66 per cent in Tupras being sold by the Turkish
government. If successful, Indian Oil would hold 51 per
cent stake in Tupras, which has a refining capacity of
30 million tonnes of crude per annum.
SBI is considering various options to retain at least
a part of the India Millennium Deposits, which are due
for redemption in December. The scheme had raised over
$5 billion and the total amount due, including interest,
is close to $7 billion. Among the options being considered
is an India dedicated offshore equity fund. The stock
gained over a per cent.
After outbidding ONGC-Mittal combine to buy Petro Kazakhstan,
Chinese oil major CNPC is planning to team up with ONGC
for overseas projects. According to media reports, CNPC
has stated that it is currently in discussions with ONGC
regarding a specific project. The stock closed higher.
ONGC is also one of the bidders for some of the exploration
blocks and refining projects in Ecuador. The blocks on
offer reportedly hold very good potential and would involve
investment of $2.5 billion. ONGC's subsidiary OVL had
won 25 per cent stakes in two deep-water exploration blocks
in Nigeria yesterday.
Speculation about a merger between and TCS and its subsidiary
CMC has resurfaced, which have been taken up by the print
media as well. TCS denied all such reports. The stock
closed more than a per cent higher.
Mid-Cap Action
Mid-caps
also started the day on an indifferent note but gained
strength before noon and maintained a steady up trend
for the rest of the session. Gains on the mid-cap index
were higher than the frontline indices. The CNX Mid-Cap
index closed the day at 3663, a gain of 33 points.
GE
Shipping formally announced the de-merger of the offshore
services division into a separate company. Existing shareholders
of GE Shipping would get shares in the new company on
a proportionate basis as per the scheme being worked out
by Kotak Bank. The stock closed more than a per cent higher.
The
offshore services division provides drilling services,
marine construction and port services and contributed
less than 20 per cent of last year's profits. The GE Shipping
management has confirmed that the share capital of the
company would be reduced during the process of de-merger.
Aurobindo
Pharma will set up a wholly owned subsidiary in South
Africa to address the increasing demand for generic anti-aids
drugs in that country.
Mid-cap
pharma company JB Chemicals is reportedly in negotiations
to acquire drug formulation and pharma packaging companies
in Russia. The company already has a large presence in
the Russian and the former CIS markets. According to these
reports the target companies could be as big as JB Chemicals
itself and the deal size could be in excess of Rs350 crore.
KEC
International, one of the leaders in power transmission
lines construction, surged over 15 per cent by early afternoon
after the company announced two overseas orders worth
Rs150 crore. According to a company release, it has won
an order worth Rs125 crore from Algeria and another one
worth Rs25 crore from Afghanistan for building transmission
lines.
Nagarjuna
Constructions informed the exchanges that it has won a
new order for building flyovers in Bihar worth Rs108 crore.
The company has also been awarded a contract worth Rs19
crore to build a manufacturing facility for Sandoz in
Mumbai.
The
board of directors of Dhampur Sugar has approved plans
to raise up to $55 million from an overseas issue of GDR's
or FCCB's. The proposal to raise FII investment limit
to 49 per cent from 24 per cent has also been approved.
Dhampur
will set up a new sugar mill with a capacity to crush
6,000 tonnes of cane per day along with a co-generation
unit of 25 MW. The company will also expand the capacities
at its existing units. Total cost of these investment
plans are estimated to be over Rs425 crore.
The
board of directors of Dishman Pharmaceuticals has approved
a stock split in the ratio of 5 shares of Rs2 each for
every Rs10 share.
Saregama
India, an RPG group company, gained after the company
confirmed that it is in negotiations to sell surplus land
in Kolkata. The deal would be finalised after getting
all clearances from local authorities. Saregama has created
a master server of more than three lakh songs and is in
the process of digitising its entire library within this
financial year.
Stocks
of small telecom companies, especially in the equipment-manufacturing
sector, saw considerable buying interest today. Global
Telesystems and Shyam Telecom were trading with gains
of well over 10 per cent each in intra-day trades.
Spanco
Telesystems was locked in the 20 per cent upper circuit
for the second day today. The stock has appreciated over
100 per cent in the last one month after the ADAE group
announced that it would acquire 14.9 per cent stake in
the company.
Select
mid-cap software stocks also saw huge buying in today's
trade. Aztec Software and Scandent Solutions were trading
with gains of over 15 per cent each in intra-day trades.
Aztec closed the day locked in the 20 per cent upper circuit.
Four Soft and NIIT Technologies were the other significant
gainers.
 Dewan
Housing, IVP and Sangam India were among the best performing
stocks among mid-caps.
Mangalam
Timber, Precision Wires and Ruchi Infrastructure 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
|
7,805.43
|
+
60.43 |
| NIFTY
|
2,384.65
|
+
16.90 |
Last
Update : 31 August, 2005, 16:15 PM
Market
Counters
Figures in Rupees
BSE
30
| Scrip
Name |
Open |
High |
Low |
Last
Price |
| TATA
POWER |
433.50
|
452.25
|
428.45
|
450.65 |
| BAJAJ
AUTO |
1,380.00
|
1,425.00
|
1,371.00
|
1,413.60 |
| WIPRO
LTD. |
358.00
|
365.90
|
353.20
|
364.65 |
| RELIANCE
|
710.00
|
724.00
|
708.00
|
719.55 |
| TCS
LTD |
1,388.00
|
1,416.00
|
1,384.00
|
1,405.85 |
| SATYAM
COMP |
522.00
|
533.90
|
518.05
|
530.05 |
| I
T C LTD |
1,715.00
|
1,735.00
|
1,708.95
|
1,731.80 |
| INFOSYS
TECHNOLOGIES LTD.-ORDI |
2,340.00
|
2,380.00
|
2,330.00
|
2,376.25 |
| HINDALCO
IN |
145.00
|
145.00
|
140.00
|
143.45 |
| ICICI
BANK L |
478.75
|
483.50
|
477.10
|
481.70 |
| HOUSING
DEVELOPMENT FINANCE CO |
899.00
|
913.85
|
893.50
|
904.85 |
| STATE
BANK OF INDIA |
790.00
|
799.00
|
783.50
|
796.65 |
| HEROHONDA
M |
640.00
|
651.35
|
640.00
|
646.70 |
| DR.REDDY'S
LABORATORIES LTD. |
786.05
|
818.00
|
781.65
|
799.85 |
| RELIANCE
ENR |
570.00
|
575.00
|
564.05
|
569.95 |
| RANBAXY
LABORATORIES LTD. |
529.00
|
529.00
|
520.00
|
525.30 |
| ASSOCIATED
CEMENT COMPANIES LT |
478.00
|
481.00
|
472.05
|
478.45 |
| ONG
CORP LTD |
977.50
|
989.00
|
972.30
|
981.40 |
| BHEL
|
1,065.00
|
1,071.55
|
1,051.25
|
1,068.70 |
| NTPC
LTD |
102.00
|
102.50
|
100.70
|
102.05 |
| HDFC
BANK LT |
645.00
|
645.90
|
637.55
|
640.15 |
| TATA
MOTORS |
463.00
|
467.00
|
460.65
|
462.85 |
| LARSEN
& TOUBRO LTD. |
1,339.00
|
1,340.00
|
1,315.00
|
1,332.95 |
| CIPLA
LTD. |
348.00
|
348.00
|
341.00
|
341.803 |
| HINDUSTAN
LEVER LTD. |
166.90
|
166.90
|
164.25
|
165.65 |
| GUJARAT
AMBUJA CEMENTS LTD. |
65.75
|
65.90
|
65.00
|
65.60 |
| MARUTI
UDYOG |
474.90
|
475.00
|
467.10
|
471.00 |
| BHARTI
TELE |
319.90
|
319.90
|
312.90
|
315.05 |
| GRASIM
INDUSTRIES LTD. |
1,300.00
|
1,315.00
|
1,300.00
|
1,300.00 |
| TATA
IRON AND STEEL CO. LTD. |
392.95
|
392.95
|
386.00
|
390.65 |
Last
Update : 31 August, 2005, 16:05PM
S&P
CNX Nifty
| Symbol |
Open |
High |
Low |
Last
Price |
| RELIANCE
|
712.00
|
723.75
|
708.25
|
719.40 |
| SATYAMCOMP
|
520.00
|
533.50
|
515.00
|
529.90 |
| INFOSYSTCH
|
2351.95
|
2383.00
|
2330.30
|
2376.10 |
| ZEETELE
|
189.10
|
196.30
|
186.10
|
190.05 |
| TCS
|
1380.80
|
1415.35
|
1380.00
|
1404.85 |
| SBIN
|
789.50
|
798.45
|
783.00
|
796.30 |
| VSNL
|
375.00
|
383.50
|
372.20
|
376.65 |
| TISCO
|
392.00
|
392.00
|
387.75
|
390.55 |
| TATAMOTORS
|
467.00
|
467.80
|
459.80
|
461.45 |
| ONGC
|
980.00
|
987.90
|
971.00
|
981.85 |
| TATAPOWER
|
434.80
|
452.50
|
429.05
|
450.75 |
| ITC
|
1713.00
|
1735.00
|
1706.00
|
1731.65 |
| SAIL
|
63.00
|
64.00
|
61.90
|
62.15 |
| M&M
|
715.00
|
725.00
|
662.75
|
721.20 |
| ACC
|
477.90
|
481.50
|
473.00
|
478.40 |
| WIPRO
|
358.00
|
365.90
|
352.20
|
364.65 |
| IPCL
|
185.70
|
189.85
|
184.50
|
189.30 |
| LT
|
1335.00
|
1342.00
|
1314.00
|
1334.10 |
| REL
|
555.00
|
575.00
|
555.00
|
570.10 |
| ICICIBANK
|
478.10
|
483.95
|
478.05
|
481.80 |
| GUJAMBCEM
|
66.15
|
66.15
|
65.00
|
65.45 |
| BHARTI
|
316.90
|
318.00
|
301.10
|
315.25 |
| RANBAXY
|
523.85
|
528.00
|
520.00
|
526.25 |
| HCLTECH
|
451.00
|
458.90
|
445.30
|
456.50 |
| HINDLEVER
|
164.50
|
166.70
|
164.40
|
165.50 |
| HDFC
|
896.25
|
914.90
|
882.50
|
903.80 |
| GRASIM
|
1271.05
|
1309.00
|
1271.05
|
1300.60 |
| DRREDDY
|
792.00
|
814.00
|
784.00
|
800.20 |
| HINDALC0
|
141.60
|
143.70
|
140.05
|
143.35 |
| MARUTI
|
474.85
|
475.00
|
467.00
|
470.15 |
| HEROHONDA
|
642.00
|
653.90
|
641.00
|
646.40 |
| HDFCBANK
|
649.00
|
649.95
|
632.05
|
640.25 |
| PNB |
402.00 |
403.50
|
397.10
|
401.85 |
| TATATEA
|
812.00
|
824.85
|
808.00
|
819.40 |
| TATACHEM
|
186.30
|
190.75
|
184.80
|
188.30 |
| GAIL
|
231.00
|
235.25
|
230.00
|
233.10 |
| BHEL
|
1068.80
|
1070.00
|
1055.00
|
1067.10 |
| BPCL
|
358.00
|
361.85
|
352.00
|
359.60 |
| NATIONALUM
|
167.80
|
169.85
|
165.00
|
169.25 |
| BAJAJAUTO
|
1371.00
|
1426.15
|
1371.00
|
1412.40 |
| SCI
|
160.00
|
162.00
|
156.50
|
157.15 |
| CIPLA
|
344.00
|
346.80
|
340.00
|
341.85 |
| HINDPETRO
|
293.00
|
294.00
|
290.00
|
292.35 |
| MTNL
|
126.40
|
127.70
|
125.30
|
127.20 |
| DABUR
|
142.00
|
154.50
|
142.00
|
153.50 |
| ORIENTBANK
|
253.60
|
256.50
|
252.85
|
255.05 |
| ABB
|
1580.00
|
1600.00
|
1580.00
|
1596.40 |
| GLAXO |
855.00 |
885.00
|
855.00
|
878.90 |
| SUNPHARMA
|
627.90
|
639.65
|
620.00
|
626.70 |
| COLGATE
|
252.90
|
260.00
|
246.55
|
247.85 |
Last
Update : 31 August, 2005, 16:00PM
|
