Market extends gains

Sustained buying demand in index pivotals helped market extend
early gains after opening on a buoyant note tracking gains in Asian
stocks and higher US index futures. Capital goods and metal stocks
were in demand. The market breadth was strong.

China�s Shanghai Composite surged 4.44% after the government on
Sunday, 9 November 2008, announced $586 billion in infrastructure
and public welfare spending to slow the crisis's impact on its
economy, the world's fourth-largest. Other Asian markets, too, were
firm. Key benchmark indices in Hong Kong, Japan, Singapore and
South Korea were up by between 1.55% and 3.39%. However Taiwan's
Taiwan Weighted was down 0.04% despite announcing 25 basis points
cut in interest rates for the fourth time in two months after
exports dropped in October 2008 by most in three years.

Trading in US index futures indicated the Dow will rise 126 points
at the opening bell.

Economic officials from 20 leading nations called Sunday for
increased government spending to boost the troubled global economy
and said developing countries deserve a prominent role in talks to
overhaul the world financial system. Each country will have to
design its own stimulus package to meet its specific needs, said
David McCormick, the US Treasury's undersecretary for international
affairs.

President-elect Barack Obama on Friday, 7 November 2008, vowed to
act swiftly to address the global financial crisis.

At 11:29 IST, the BSE 30-share Sensex was up 290.50 points, or
2.92%, to 10,254.70. The Sensex opened 190.27 points higher at
10,154.56. The Sensex rose 298.67 points at the day�s high of
10,262.96 in mid-morning trade. At the day�s low of 10,095.90,
the Sensex rose 131.61 points in early trade.

The S&P CNX Nifty gained 92.50 points, or 3.11%, to 3,065.50

The market breadth, indicating the overall health of the market,
was strong on BSE with 1440 shares advancing as compared with 616
that declined. 6 shares remained unchanged.

The total turnover on the BSE amounted to Rs 1045 crore by 11:30
IST as copmpared to Rs 330 crore by 10:30 IST

Among the 30-member Sensex pack, 27 advanced while the rest
declined.

Capital goods shares spurted on renewed buying with the BSE capital
goods index advancing 4.38% to 7,970.08 and was the second biggest
gainer among the BSE sectoral indices.

Indian top engineering and construction firm by sales Larsen &
Toubro surged 5.66% to Rs 920.65 after its consortium with
Malaysia's Scomi Engineering Bhd won an order worth Rs 2460 crore.

Bharat Heavy Electricals, the country's largest power equipment
maker by sales gained 5.70% to Rs 1485.25

Metal shares dominated the list of Sensex gainers on hopes Chinese
demand will rise after the stimulus package.

India�s top aluminium and copper producer by sales, Sterlite
Industries jumped 11.76% to Rs 275.10 on 5.26 lakh shares. It was
the top gainer from the Sensex pack.

Tata Steel (up 9.73% to Rs 208.60) and Hindalco Industries (up
4.22% to Rs 63), were the other gainers from the metal pack.

India�s largest private sector company by market capitalization
and oil refiner Reliance Industries (RIL) advanced 4.41% to Rs
1272.50, ahead of verdict on the gas dispute case hearing with
National Thermal Power Corporation on 11 November 2008. The later
rose 4.86% to Rs 158.25

Reliance Infrastructure (up 6.26% to Rs 596.55), Jaiprakash
Associates (up 4.79% to Rs 91.90), and ICICI Bank (up 5.51% to Rs
455), were the other gainers from the Sensex pack.

Auto stocks were mixed after latest data showed fall in sales in
key segments in the month just gone by. India's top small car maker
by sales Maruti Suzuki India lost 1.20% to Rs 590.50 and was the
top loser from the Sensex pack.

Mahindra & Mahindra (up 0.10% to Rs 372.50), and Tata Motors (up
3.15% to Rs 163.90) rose on bargain hunting.

According to the figures released by the Society of Indian
Automobile Manufacturers (Siam), passenger car sales declined 6.6%
to 98,900 units in October 2008 over October 2007. Sales of trucks
and buses fell 35.9% to 28,027 units.

IT pivotals were mixed as gains in rupee were offset by firm
American depository receipts' (ADR) on Friday, 7 November 2008 on
the New York Stock Exchange. The partially convertible rupee was at
47.20/21 per dollar, nearly 1% stronger than Friday's close of
47.65/66 per dollar. A rise in rupee impacts margins at IT pivotals
who derive a lion's share from exports to the US. The BSE IT index
was up 0.12% to 2,673.70

India's third largest IT exporter by sales Satyam Computer Services
rose 1.85% to Rs 282.15 as ADR jumped 10.64% and India's fourth
largest IT exporter by sales Wipro rose 1.36% to Rs 264.20 as ADR
advanced 6.51%, on the New York Stock Exchange on Friday, 7
November 2008.

However India's second largest IT exporter by sales Infosys slipped
0.69% to Rs 1253, despite ADR surging 7.97% on the New York Stock
Exchange on Friday, 7 November 2008.

India's largest IT exporter by sales Tata Consultancy Services fell
0.44% to Rs 522.25.

Aurobindo Pharma surged 4.29% to Rs 118 on receiving final approval
from the US Food & Drug Administration for manufacturing and
marketing Sertraline hydrochloride in 20 miligram strength. The
company made this announcement after trading hours on Friday, 7
November 2008.

Suzlon Energy declined 3.25% to Rs 68.40 after credit rating agency
CRISIL cut outlook on rating of the companyâ€(TM)s long-term bank
facilities to negative from stable.

US light crude for December 2008 delivery rose $2.86 to $63.90 a
barrel, today, 10 November 2008, rebounding after sliding on
Friday, 7 November 2008, to a 1-1/2-year low below $60, on the back
top exporter Saudi Arabia's plans to cut December 2008 supplies to
Asia, a weaker dollar and hopes that global economies' plans to
lift growth could avert recession.

US stocks rose on Friday as bargain hunters scooped up shares at
multiyear lows after a big drop in the October 2008 payrolls was
less dire than feared. The Dow Jones industrial average jumped
248.02 points, or 2.85%, to 8,943.81. The S&P 500 index advanced
26.11 points, or 2.89%, to 930.99, and the Nasdaq composite index
added 38.70 pints, or 2.41%, to 1,647.40.

Back home, the 30-share BSE Sensex had risen 230.07 points or 2.36%
at 9,964.29 and the 50-unit S&P Nifty had gained 80.35 points or
2.78% to 2,973 on Friday, 7 November 2008 after data showed rise in
infrastructure sector output and on positive global cues.

Foreign institutional investors (FIIs) were net sellers worth Rs
19.27 crore while mutual funds sold shares worth Rs 147.08 crore on
Friday, 7 November 2008, according to provisional data on NSE.

ONGC spurted 4.93% to Rs 778.15 at 10:57 IST on BSE, snapping three
sessions of losses after its chief said that company was looking
for more acquisitions. Media reports quoted ONGC's chairman RS
Sharma on Saturday, 8 November 2008, as saying that ONGC was not
facing cash flow problems and was still looking for acquisition
opportunities despite the global financial crisis. Sharma added
that ONGC was looking at possible acquisitions in Africa and Latin
America.