Fresh selling derailed recovery from lower level in highly choppy
mid-morning trade. The BSE 30-share Sensex was down 407.70 points.
The market tumbled for the sixth day in a row today, 16 September
2008, mirroring mayhem in global markets triggered by fears of the
state of the US financial system after Lehman Brothers filed for
bankruptcy, insurer AIG struggled for survival and Merrill Lynch
was sold to Bank of America. Nifty cracked below 4,000 in opening
trade.
Banking and financial sector pivotals slumped on global financial
turmoil, with ICICI Bank plunging over 7%. However state run
refinery shares rose after crude hit 7-month low. Index heavyweight
Reliance Industries hit a 52-week low of Rs 1800. The market
breadth was extremely weak.
US markets collapsed on Monday, 15 September 2008 falling the most
since 11 September 2001 as investors worried about the impact of
the latest twists in the credit crisis on the economy and the
outlook for profits. The Dow Jones Industrial Average plunged
504.48 points, or 4.42%, to 10,917.51, the Nasdaq Composite index
dropped 81.36 points, or 3.60%, to 2,179.91 and the Standard &
Poor's 500 index fell 59 points, or 4.71% to 1,192.70.
Asian markets were trading weak today, 16 September 2008 as fears
of a global financial crisis gripped investors across Asia. Key
benchmark indices in China, Japan, Hong Kong, Taiwan, Singapore,
and South Korea were down by between 2.17% and 6.48%.
At 11:21 IST, the BSE 30-share Sensex was down 407.70 points or
3.01% to 13,119.02. The Sensex opened with a downward gap of 479.54
at 13,051.73, which is also its day's low so far. At the day's high
of 13,297.10 hit in mid-morning trade, the Sensex lost 233.85
points.
The S&P CNX Nifty tumbled 122 points or 3% to 3,950.90.
The market breadth was weak on BSE with 1903 shares declining as
compared to just 339 that rose. 51 remained unchanged.
The total turnover on BSE amounted to Rs 1227 crore by 11:30 IST as
compared to Rs 506 crore by 10:30 IST
Tata Motors was the lone gainer from the 30-member Sensex pack.
India's top truck maker by sales rose 0.38% to Rs 392.10, off day's
low of Rs 377.
Banking and financial pivotals were under pressure on global
financial turmoil. India's largest private sector bank in terms of
net profit ICICI Bank plunged 7.31% to Rs 579 on 10.78 lajh shares
and was the top loser from Sensex pack. India's second largest
private sector bank in terms of net profit HDFC Bank slipped 2.21%
to Rs 1177.50.
India's largest state run bank in terms of net assets State Bank of
India slipped 0.87% to Rs 1476. As per reports, the bank paid 50%
higher advance tax to Rs 1560 crore in Q2 September 2008 over Q2
September 2007. It was the top gainer from Sensex pack.
India's largest dedicated housing finance company by total revenue,
Housing Development Finance Corporation lost 3.34% to Rs 2133.
Ranbaxy Laboratories, India's top drug maker by sales slumped 5.46%
to Rs 396.25. The stock has been on sustained downtrend ever since
the Japanese drug maker Daiichi Sankyo's open offer to acquire an
additional 20% stake at Rs 737 a share in the company ended on 4
September 2008.
India's largest private sector firm in terms of market
capitalization and oil refiner Reliance Industries fell 1.86% to Rs
1849 on 3.53 lakh shares. The stock hit a 52-week low of Rs 1800 in
intra-day trade. Reliance Industries reportedly paid 5% higher
advance tax at Rs 680 crore in Q2 September 2008 over Q2 September
2007.
IT pivotals tumbled due to heavy selling on reports that hedging
positions taken by the companies are improper with rupee falling to
two-year low against the dollar. India's fourth largest software
services exporter Satyam Computer Services slumped 6.85% to Rs
342.95 and was the worst hit among the IT pivotals. The company
said it has bagged a SAP implementation contract from Oman-based
Khimji Ramdas LLC. The company made this announcement during
trading hours on Monday, 15 September 2008.
India's second largest software services exporter Infosys lost
2.12% to Rs 1541, after striking high of Rs 1576 in early trade.
Wipro (down 4.82% to Rs 382.90), DLF (down 6.82% to Rs 403.10), and
Jaiprakash Associates (down 6.55% to Rs 137.65), edged lower from
the Sensex pack.
State-run oil refiners surged after crude oil price declined
further to a 7-month low. Indian Oil Corporation (up 1.57% at Rs
420), BPCL (up 4.23% at Rs 362.15), and HPCL (up 3.89% at Rs
249.60), rose.
Tuesday, September 16, 2008
Nifty cracks below 4,000 on global financial turmoil
Key benchmark indices slumped for the sixth day in a row today, 16
September 2008, mirroring mayhem in global markets triggered by
fears of the state of the US financial system after Lehman Brothers
filed for bankruptcy, insurer AIG struggled for survival and
Merrill Lynch was sold to Bank of America. Nifty cracked below
4,000 in opening trade.
Ranbaxy Laboratories slumped over 5%. Index heavyweight Reliance
Industries hit a 52-week low of Rs 1800 in early trade. Banking
pivotals saw divergent trend.
US markets collapsed on Monday, 15 September 2008 falling the most
since 11 September 2001 as investors worried about the impact of
the latest twists in the credit crisis on the economy and the
outlook for profits. The Dow Jones Industrial Average plunged
504.48 points, or 4.42%, to 10,917.51, the Nasdaq Composite index
dropped 81.36 points, or 3.60%, to 2,179.91 and the Standard &
Poor's 500 index fell 59 points, or 4.71% to 1,192.70.
Asian markets were trading weak today, 16 September 2008 as fears
of a global financial crisis gripped investors across Asia. Key
benchmark indices in China, Japan, Hong Kong, Taiwan, Singapore,
and South Korea were down by between 2.07% and 5.95%.
At 10:21 IST, the BSE 30-share Sensex was down 254.13 points or
1.85% to 13,280.34. The Sensex opened with a downward gap of 479.54
at 13,051.73, which is also its day's low so far. At the day's high
of 13,291.10 hit in early trade, the Sensex lost 240.17 points.
The S&P CNX Nifty tumbled 76.55 points or 1.88% to 3,996.35.
The market breadth was weak on BSE with 1273 shares declining as
compared to just 246 that rose. 27 remained unchanged.
The total turnover on BSE amounted to Rs 506 crore by 10:30 IST
Among the 30-member Sensex pack, 28 suffered losses.
Ranbaxy Laboratories, India's top drug maker by sales slumped 5.46%
to Rs 396.25 and was the top loser from Sensex pack. The stock has
been on sustained downtrend ever since the Japanese drug maker
Daiichi Sankyo's open offer to acquire an additional 20% stake at
Rs 737 a share in the company ended on 4 September 2008.
India's largest private sector firm in terms of market
capitalization and oil refiner Reliance Industries fell 1.12% to Rs
1863 on 1.74 lakh shares. The stock hit a 52-week low of Rs 1800 in
intra-day trade. Reliance Industries reportedly paid 5% higher
advance tax at Rs 680 crore in Q2 September 2008 over Q2 September
2007.
IT pivotals tumbled due to heavy selling on reports that hedging
positions taken by the companies are improper with rupee falling to
two-year low against the dollar. India's fourth largest software
services exporter Satyam Computer Services slumped 4.66% to Rs 351
and was the worst hit among the IT pivotals.
Banking pivotals saw divergent trned. India's largest private
sector bank in terms of net profit ICICI Bank slipped 3.19% to Rs
606.90. India's second largest private sector bank in terms of net
profit HDFC Bank slipped 1.42% to Rs 1190.
However India's largest state run bank in terms of net assets State
Bank of India rose 0.33% to Rs 1493.80, on reports the bank paid
50% higher advance tax to Rs 1560 crore in Q2 September 2008 over
Q2 September 2007. It was the top gainer from Sensex pack.
Bharti Airtel (down 4.51% to Rs 730.90), DLF (down 4.90% to Rs
411), and Jaiprakash Associates (down 3.63% to Rs 141.95), edged
lower from the Sensex pack.
Infosys (up 0.04% to Rs 1575), and Mahindra & Mahindra (up 0.29% to
Rs 538.50), edged higher from Sensex pack.
Meanwhile, crude oil prices plunged to a seven-month low as turmoil
in the US financial system heightened concerns energy demand may
slow. US light crude for October 2008 delivery fell $3.02 to $92.69
a barrel yesterday, 15 September 2008.
Back home, bears ruled the roost on the bourses for the fifth
consecutive day yesterday, 15 September 2008 as key benchmark
indices posted substantial losses after US investment bank Lehman
Brothers filed for bankruptcy protection. The BSE 30-share Sensex
lost 469.54 or 3.35% at 13,531.27 and the S&P CNX Nifty lost 155.55
points or 3.68%, to settle at 4072.90 on that day.
Foreign institutional investors (FIIs) were net equity sellers
worth Rs 763.02 crore while mutual funds bought shares worth Rs
1328.14 crore on Monday, 15 September 2008, according to
provisional data on NSE. FIIs were net buyers of Rs 1156.23 crore
in the futures & options segment on that day.
September 2008, mirroring mayhem in global markets triggered by
fears of the state of the US financial system after Lehman Brothers
filed for bankruptcy, insurer AIG struggled for survival and
Merrill Lynch was sold to Bank of America. Nifty cracked below
4,000 in opening trade.
Ranbaxy Laboratories slumped over 5%. Index heavyweight Reliance
Industries hit a 52-week low of Rs 1800 in early trade. Banking
pivotals saw divergent trend.
US markets collapsed on Monday, 15 September 2008 falling the most
since 11 September 2001 as investors worried about the impact of
the latest twists in the credit crisis on the economy and the
outlook for profits. The Dow Jones Industrial Average plunged
504.48 points, or 4.42%, to 10,917.51, the Nasdaq Composite index
dropped 81.36 points, or 3.60%, to 2,179.91 and the Standard &
Poor's 500 index fell 59 points, or 4.71% to 1,192.70.
Asian markets were trading weak today, 16 September 2008 as fears
of a global financial crisis gripped investors across Asia. Key
benchmark indices in China, Japan, Hong Kong, Taiwan, Singapore,
and South Korea were down by between 2.07% and 5.95%.
At 10:21 IST, the BSE 30-share Sensex was down 254.13 points or
1.85% to 13,280.34. The Sensex opened with a downward gap of 479.54
at 13,051.73, which is also its day's low so far. At the day's high
of 13,291.10 hit in early trade, the Sensex lost 240.17 points.
The S&P CNX Nifty tumbled 76.55 points or 1.88% to 3,996.35.
The market breadth was weak on BSE with 1273 shares declining as
compared to just 246 that rose. 27 remained unchanged.
The total turnover on BSE amounted to Rs 506 crore by 10:30 IST
Among the 30-member Sensex pack, 28 suffered losses.
Ranbaxy Laboratories, India's top drug maker by sales slumped 5.46%
to Rs 396.25 and was the top loser from Sensex pack. The stock has
been on sustained downtrend ever since the Japanese drug maker
Daiichi Sankyo's open offer to acquire an additional 20% stake at
Rs 737 a share in the company ended on 4 September 2008.
India's largest private sector firm in terms of market
capitalization and oil refiner Reliance Industries fell 1.12% to Rs
1863 on 1.74 lakh shares. The stock hit a 52-week low of Rs 1800 in
intra-day trade. Reliance Industries reportedly paid 5% higher
advance tax at Rs 680 crore in Q2 September 2008 over Q2 September
2007.
IT pivotals tumbled due to heavy selling on reports that hedging
positions taken by the companies are improper with rupee falling to
two-year low against the dollar. India's fourth largest software
services exporter Satyam Computer Services slumped 4.66% to Rs 351
and was the worst hit among the IT pivotals.
Banking pivotals saw divergent trned. India's largest private
sector bank in terms of net profit ICICI Bank slipped 3.19% to Rs
606.90. India's second largest private sector bank in terms of net
profit HDFC Bank slipped 1.42% to Rs 1190.
However India's largest state run bank in terms of net assets State
Bank of India rose 0.33% to Rs 1493.80, on reports the bank paid
50% higher advance tax to Rs 1560 crore in Q2 September 2008 over
Q2 September 2007. It was the top gainer from Sensex pack.
Bharti Airtel (down 4.51% to Rs 730.90), DLF (down 4.90% to Rs
411), and Jaiprakash Associates (down 3.63% to Rs 141.95), edged
lower from the Sensex pack.
Infosys (up 0.04% to Rs 1575), and Mahindra & Mahindra (up 0.29% to
Rs 538.50), edged higher from Sensex pack.
Meanwhile, crude oil prices plunged to a seven-month low as turmoil
in the US financial system heightened concerns energy demand may
slow. US light crude for October 2008 delivery fell $3.02 to $92.69
a barrel yesterday, 15 September 2008.
Back home, bears ruled the roost on the bourses for the fifth
consecutive day yesterday, 15 September 2008 as key benchmark
indices posted substantial losses after US investment bank Lehman
Brothers filed for bankruptcy protection. The BSE 30-share Sensex
lost 469.54 or 3.35% at 13,531.27 and the S&P CNX Nifty lost 155.55
points or 3.68%, to settle at 4072.90 on that day.
Foreign institutional investors (FIIs) were net equity sellers
worth Rs 763.02 crore while mutual funds bought shares worth Rs
1328.14 crore on Monday, 15 September 2008, according to
provisional data on NSE. FIIs were net buyers of Rs 1156.23 crore
in the futures & options segment on that day.
Pre Market Report 16/09/2008
Key benchmark indices are likely to edge lower for sixth running day today, 16 September 2008 mirroring mayhem in global markets triggered by fears of the state of the US financial system after Lehman Brothers filed for bankruptcy, insurer AIG struggled for survival and Merrill Lynch was sold to Bank of America.
Meanwhile, crude oil prices plunged to a seven-month low as turmoil in the US financial system heightened concerns energy demand may slow. US light crude for October 2008 delivery fell $3.02 to $92.69 a barrel yesterday, 15 September 2008.
As per reports, State Bank of India paid 50% higher advance tax to Rs 1560 crore in Q2 September 2008 over Q2 September 2007. Reliance Industries paid 5% higher advance tax to Rs 680 crore in Q2 September 2008 over Q2 September 2007.
Asian markets were trading weak today, 16 September 2008 as fears of a global financial crisis gripped investors across Asia. China's Shanghai Composite fell 3.67% or 76.37 points at 2,003.29, Japan's Nikkei lost 5.06% or 618.67 points 11,596.09, Hong Kong's Hang Seng plunged 6.52% or 1261.57 points at 18,091.33, Taiwan's Taiwan Weighted slipped 5.04% or 304.89 points at 5,747.56, Singapore's Straits Times declined 2.39% or 59.46 points at 2,427.09 and South Korea's Seoul Composite tumbled 5.70% or 84.26 points at 1,393.66
US markets collapsed on Monday, 15 September 2008 as investors worried about the impact of the latest twists in the credit crisis on the economy and the outlook for profits. The Dow Jones Industrial Average plunged 504.48 points, or 4.42%, to 10,917.51, the Nasdaq Composite index dropped 81.36 points, or 3.60%, to 2,179.91 and the Standard & Poor's 500 index fell 59 points, or 4.71% to 1,192.70.
Back home, bears ruled the roost on the bourses for the fifth consecutive day yesterday, 15 September 2008 as key benchmark indices posted substantial losses after US investment bank Lehman Brothers filed for bankruptcy protection. The BSE 30-share Sensex lost 469.54 or 3.35% at 13,531.27 and the S&P CNX Nifty lost 155.55 points or 3.68%, to settle at 4072.90 on that day.
Foreign institutional investors (FIIs) were net equity sellers worth Rs 763.02 crore while mutual funds bought shares worth Rs 1328.14 crore on Monday, 15 September 2008, according to provisional data on NSE. FIIs were net buyers of Rs 1156.23 crore in the futures & options segment on that day.
Meanwhile, Rajya Sabha member and former head of the PM's economic panel C Rangarajan yesterday, 15 September 2008 said inflation may come down to 10% by December 2008. The former RBI governor said inflation last year was moderate towards the end of December, so base effect will heighten inflation in the current year. The base effect relates to the impact on inflation because of its level in the year-ago period.
Meanwhile, crude oil prices plunged to a seven-month low as turmoil in the US financial system heightened concerns energy demand may slow. US light crude for October 2008 delivery fell $3.02 to $92.69 a barrel yesterday, 15 September 2008.
As per reports, State Bank of India paid 50% higher advance tax to Rs 1560 crore in Q2 September 2008 over Q2 September 2007. Reliance Industries paid 5% higher advance tax to Rs 680 crore in Q2 September 2008 over Q2 September 2007.
Asian markets were trading weak today, 16 September 2008 as fears of a global financial crisis gripped investors across Asia. China's Shanghai Composite fell 3.67% or 76.37 points at 2,003.29, Japan's Nikkei lost 5.06% or 618.67 points 11,596.09, Hong Kong's Hang Seng plunged 6.52% or 1261.57 points at 18,091.33, Taiwan's Taiwan Weighted slipped 5.04% or 304.89 points at 5,747.56, Singapore's Straits Times declined 2.39% or 59.46 points at 2,427.09 and South Korea's Seoul Composite tumbled 5.70% or 84.26 points at 1,393.66
US markets collapsed on Monday, 15 September 2008 as investors worried about the impact of the latest twists in the credit crisis on the economy and the outlook for profits. The Dow Jones Industrial Average plunged 504.48 points, or 4.42%, to 10,917.51, the Nasdaq Composite index dropped 81.36 points, or 3.60%, to 2,179.91 and the Standard & Poor's 500 index fell 59 points, or 4.71% to 1,192.70.
Back home, bears ruled the roost on the bourses for the fifth consecutive day yesterday, 15 September 2008 as key benchmark indices posted substantial losses after US investment bank Lehman Brothers filed for bankruptcy protection. The BSE 30-share Sensex lost 469.54 or 3.35% at 13,531.27 and the S&P CNX Nifty lost 155.55 points or 3.68%, to settle at 4072.90 on that day.
Foreign institutional investors (FIIs) were net equity sellers worth Rs 763.02 crore while mutual funds bought shares worth Rs 1328.14 crore on Monday, 15 September 2008, according to provisional data on NSE. FIIs were net buyers of Rs 1156.23 crore in the futures & options segment on that day.
Meanwhile, Rajya Sabha member and former head of the PM's economic panel C Rangarajan yesterday, 15 September 2008 said inflation may come down to 10% by December 2008. The former RBI governor said inflation last year was moderate towards the end of December, so base effect will heighten inflation in the current year. The base effect relates to the impact on inflation because of its level in the year-ago period.
Intraday Tips for 16th September 08
Nifty: Resistance 3993/4114/4137/4150
Supports 3900/3985/3965/3939/3865/3825
Investors may utilise there 30-40% of cash to invest in front liners ( Index-Based ) stocks today near to days low.
RPOWER ( Reliance Power Limited ) Action Trigger Price Stop Loss Target 1 Target 2
BUY ABOVE 158 156 162 170
S.SELL BELOW 155 157 150 145
NTPC ( NTPC Limited ) Action Trigger Price Stop Loss Target 1 Target 2
BUY ABOVE 171 168 173 177
S.SELL BELOW 167 169 165 160
SBIN ( State Bank of India ) Action Trigger Price Stop Loss Target 1 Target 2
BUY ABOVE 1495 1467 1520 1550
S.SELL BELOW 1460 1470 1430 1390
Supports 3900/3985/3965/3939/3865/3825
Investors may utilise there 30-40% of cash to invest in front liners ( Index-Based ) stocks today near to days low.
RPOWER ( Reliance Power Limited ) Action Trigger Price Stop Loss Target 1 Target 2
BUY ABOVE 158 156 162 170
S.SELL BELOW 155 157 150 145
NTPC ( NTPC Limited ) Action Trigger Price Stop Loss Target 1 Target 2
BUY ABOVE 171 168 173 177
S.SELL BELOW 167 169 165 160
SBIN ( State Bank of India ) Action Trigger Price Stop Loss Target 1 Target 2
BUY ABOVE 1495 1467 1520 1550
S.SELL BELOW 1460 1470 1430 1390
Monday, September 15, 2008
Post Market 15/09/2008
News that China's central bank has cut interest rates helped the
domestic bourses cut steep intra-day losses. Despite the recovery,
the market ended the day with heavy losses. The BSE 30-share Sensex
was down 517.46 points as per provisional closing. Fears of more
foreign fund withdrawals weighed heavily on the Indian bourses
today, 15 September 2008, after US investment bank Lehman Brothers
filed for bankruptcy protection.
The financial upheaval also involved other US institutions. Bank of
America has agreed to acquire Merrill Lynch & Co for $50 billion in
an all-stock deal that will give the US bank the world's largest
brokerage.
Index heavyweight Reliance Industries (RIL) rebounded after
touching 52-week low. Maruti Suzuki India staged a sharp recovery
from day's low. Banking pivotals also rebounded from early lows
after China's central bank today, 15 September 2008, cut benchmark
lending rates by 0.27%. All the BSE sectoral indices declined with
stocks from IT and real estate worst hit.
US stock index futures were down sharply, pointing to a steep fall
at the opening on Wall Street. European markets which opened after
Indian markets were weak. Key benchmark indices in UK, Germany and
France were down by between 3.67% and 4.29%. Asian markets were
trading lower today, 15 September 2008. Key benchmark indices in
Taiwan and Singapore fell 4.09% and 3.27% respectively. Most major
Asian equity markets were closed for public holidays.
The BSE 30-share Sensex was down 517.46 points or 3.70% to
13,483.35, as per provisional closing. The Sensex opened with a
huge downward gap of 408.76 at 13,592.05. At the day's low of
13,150.81 hit in mid-morning trade, the Sensex lost 850 points.
The S&P CNX Nifty was down 167.45 points or 3.96% to 4,061 as per
provisional. It had touched an intra-day low of 3,955.40
The market breadth was extremely weak on BSE with 2258 shares
declining as compared to just 375 that rose. 38 remained unchanged.
The total turnover on BSE amounted to Rs 4468 crore.
27 from the 30-member Sensex pack suffered losses.
India's largest private sector power generation company in terms of
sales, Reliance Infrastructure tumbled 9.93% to Rs 837 on 17.35
lakh shares. It was the top loser from Sensex pack.
IT pivotals tumbled due to heavy selling on reports that hedging
positions taken by the companies are improper with rupee falling to
two-year low against the dollar. India's fourth largest software
services exporter Satyam Computer Services slumped 9.61% to Rs
367.50 and was the worst hit among the IT pivotals.
Other IT stocks Wipro (down 4.47% to Rs 401), Infosys (down 4.08%
to Rs 1577), TCS (down 5.94% to Rs 760.15), edged lower.
Banking pivotals rebounded from early lows. India's largest private
sector bank in terms of net profit ICICI Bank slipped 4.11% to Rs
626, off day's low of Rs 595.15. India's largest state run bank in
terms of net assets State Bank of India fell 1.68% to Rs 1486.95 ,
off day's low of Rs 1405.25
China's central bank, acting against a background of extreme stress
in global financial markets, cut benchmark lending rates by 27
basis points to 7.20% today, 15 September 2008. The People's Bank
of China (PBOC) also cut the reserve requirement for all except the
country's five biggest banks and the Postal Savings Bank by 1%. The
PBOC said the aim of the easing was to maintain fast and stable
economic growth.
India's largest private sector firm in terms of market
capitalization and oil refiner Reliance Industries slumped 2.98% to
Rs 1873.80 on 19.05 lakh shares. The stock hit a 52-week low of Rs
1824.10 in intra-day trade. The stock slumped on reports the
government may impose a special oil tax on the domestic crude oil
production under the New Exploration Licensing Policy.
Other oil & gas stock, Essar Oil (down 9.33% at Rs 168.05), Cairn
India (down 7.47% at Rs 205.10), and Oil & Natural Gas Corporation
(down 6.74% at Rs 959.90), slumped.
Realty shares cracked on intense selling pressure. DLF (down 7.72%
to Rs 431.80), Unitech (down 7.67% to Rs 143.25), Indiabulls Real
Estate (down 6.05% to Rs 237.50), Ansal Infrastructure (down 11.81%
to Rs 78), Housing Development Infrastructure (down 12.11% to Rs
241), slumped.
Metal shares slipped. Ispat Industries (down 6.99% to Rs 21.30),
Jindal Steel & Power (down 5.62% to Rs 1497), Hindalco (down 5% to
Rs 115), Sesa Goa (down 4.71% to Rs 129.50), and Tata Steel (down
4.77% to Rs 498.50), slipped.
Ranbaxy Laboratories, India's top drug maker by sales fell 8.78% to
Rs 414.10. The stock has been on sustained downtrend ever since the
Japanese drug maker Daiichi Sankyo's open offer to acquire an
additional 20% stake at Rs 737 a share in the company ended on 4
September 2008.
Reliance Communications (down 6.23% to Rs 366.80), Jaiprakash
Associates (down 6.51% to Rs 147.30), and Tata Motors (down 5.26%
to Rs 390.20), edged lower from Sensex pack.
India's top small car maker by sales Maruti Suzuki India staged a
smart recovery from day's low of Rs 666. It rose 2.03% to Rs 718
and was the top gainer from Sensex pack.
HDFC (up 1.33% to Rs 2208), and ACC (up 0.41% to Rs 593), were the
other gainers from Sensex pack.
US light crude for October 2008 delivery fell $1.52 to $99.66 a
barrel today, 15 September 2008 on early signs that Hurricane Ike
may have spared key Gulf Coast infrastructure, although traders
were cautious on Monday as they awaited status reports on more
Texas refineries.
domestic bourses cut steep intra-day losses. Despite the recovery,
the market ended the day with heavy losses. The BSE 30-share Sensex
was down 517.46 points as per provisional closing. Fears of more
foreign fund withdrawals weighed heavily on the Indian bourses
today, 15 September 2008, after US investment bank Lehman Brothers
filed for bankruptcy protection.
The financial upheaval also involved other US institutions. Bank of
America has agreed to acquire Merrill Lynch & Co for $50 billion in
an all-stock deal that will give the US bank the world's largest
brokerage.
Index heavyweight Reliance Industries (RIL) rebounded after
touching 52-week low. Maruti Suzuki India staged a sharp recovery
from day's low. Banking pivotals also rebounded from early lows
after China's central bank today, 15 September 2008, cut benchmark
lending rates by 0.27%. All the BSE sectoral indices declined with
stocks from IT and real estate worst hit.
US stock index futures were down sharply, pointing to a steep fall
at the opening on Wall Street. European markets which opened after
Indian markets were weak. Key benchmark indices in UK, Germany and
France were down by between 3.67% and 4.29%. Asian markets were
trading lower today, 15 September 2008. Key benchmark indices in
Taiwan and Singapore fell 4.09% and 3.27% respectively. Most major
Asian equity markets were closed for public holidays.
The BSE 30-share Sensex was down 517.46 points or 3.70% to
13,483.35, as per provisional closing. The Sensex opened with a
huge downward gap of 408.76 at 13,592.05. At the day's low of
13,150.81 hit in mid-morning trade, the Sensex lost 850 points.
The S&P CNX Nifty was down 167.45 points or 3.96% to 4,061 as per
provisional. It had touched an intra-day low of 3,955.40
The market breadth was extremely weak on BSE with 2258 shares
declining as compared to just 375 that rose. 38 remained unchanged.
The total turnover on BSE amounted to Rs 4468 crore.
27 from the 30-member Sensex pack suffered losses.
India's largest private sector power generation company in terms of
sales, Reliance Infrastructure tumbled 9.93% to Rs 837 on 17.35
lakh shares. It was the top loser from Sensex pack.
IT pivotals tumbled due to heavy selling on reports that hedging
positions taken by the companies are improper with rupee falling to
two-year low against the dollar. India's fourth largest software
services exporter Satyam Computer Services slumped 9.61% to Rs
367.50 and was the worst hit among the IT pivotals.
Other IT stocks Wipro (down 4.47% to Rs 401), Infosys (down 4.08%
to Rs 1577), TCS (down 5.94% to Rs 760.15), edged lower.
Banking pivotals rebounded from early lows. India's largest private
sector bank in terms of net profit ICICI Bank slipped 4.11% to Rs
626, off day's low of Rs 595.15. India's largest state run bank in
terms of net assets State Bank of India fell 1.68% to Rs 1486.95 ,
off day's low of Rs 1405.25
China's central bank, acting against a background of extreme stress
in global financial markets, cut benchmark lending rates by 27
basis points to 7.20% today, 15 September 2008. The People's Bank
of China (PBOC) also cut the reserve requirement for all except the
country's five biggest banks and the Postal Savings Bank by 1%. The
PBOC said the aim of the easing was to maintain fast and stable
economic growth.
India's largest private sector firm in terms of market
capitalization and oil refiner Reliance Industries slumped 2.98% to
Rs 1873.80 on 19.05 lakh shares. The stock hit a 52-week low of Rs
1824.10 in intra-day trade. The stock slumped on reports the
government may impose a special oil tax on the domestic crude oil
production under the New Exploration Licensing Policy.
Other oil & gas stock, Essar Oil (down 9.33% at Rs 168.05), Cairn
India (down 7.47% at Rs 205.10), and Oil & Natural Gas Corporation
(down 6.74% at Rs 959.90), slumped.
Realty shares cracked on intense selling pressure. DLF (down 7.72%
to Rs 431.80), Unitech (down 7.67% to Rs 143.25), Indiabulls Real
Estate (down 6.05% to Rs 237.50), Ansal Infrastructure (down 11.81%
to Rs 78), Housing Development Infrastructure (down 12.11% to Rs
241), slumped.
Metal shares slipped. Ispat Industries (down 6.99% to Rs 21.30),
Jindal Steel & Power (down 5.62% to Rs 1497), Hindalco (down 5% to
Rs 115), Sesa Goa (down 4.71% to Rs 129.50), and Tata Steel (down
4.77% to Rs 498.50), slipped.
Ranbaxy Laboratories, India's top drug maker by sales fell 8.78% to
Rs 414.10. The stock has been on sustained downtrend ever since the
Japanese drug maker Daiichi Sankyo's open offer to acquire an
additional 20% stake at Rs 737 a share in the company ended on 4
September 2008.
Reliance Communications (down 6.23% to Rs 366.80), Jaiprakash
Associates (down 6.51% to Rs 147.30), and Tata Motors (down 5.26%
to Rs 390.20), edged lower from Sensex pack.
India's top small car maker by sales Maruti Suzuki India staged a
smart recovery from day's low of Rs 666. It rose 2.03% to Rs 718
and was the top gainer from Sensex pack.
HDFC (up 1.33% to Rs 2208), and ACC (up 0.41% to Rs 593), were the
other gainers from Sensex pack.
US light crude for October 2008 delivery fell $1.52 to $99.66 a
barrel today, 15 September 2008 on early signs that Hurricane Ike
may have spared key Gulf Coast infrastructure, although traders
were cautious on Monday as they awaited status reports on more
Texas refineries.
Market tanks as Lehman Brothers files for bankruptcy
Key benchmark indices witnessed a disastrous opening spooked by
reports that the Bank of America struck a $50 billion deal to buy
US's investment banking major Merrill Lynch. The BSE 30-share
Sensex was down 643.32 points. Meanwhile, reports just filtered in
that US investment bank Lehman Brothers is filing for Chapter 11
bankruptcy.
Index heavyweight Reliance Industries (RIL) plunged to 52-week low
below Rs 1900. IT pivotals were the worst hit in the early slide,
with Satyam Computer Services plunging over 10%. All the 30-members
from the Sensex pack suffered losses.
Asian markets were trading lower today, 15 September 2008. Key
benchmark indices in Taiwan and Singapore fell 4.32% and 3.18%.
Most major Asian equity markets were closed for public holidays.
At 10:21 IST, the BSE 30-share Sensex was down 643.32 points or
4.63% to 13,351.91. The Sensex opened with a downward gap of 408.76
at 13,592.05. At the day's low of 13,272.86 hit in early trade
Sensex lost 727.95 points.
The S&P CNX Nifty tumbled 192.70 points or 4.56% to 4,035.75.
The market breadth was weak on BSE with 1397 shares declining as
compared to just 188 that rose. 21 remained unchanged.
All the 30-members from the Sensex pack suffered losses.
IT pivotals tumbled. India's fourth largest software services
exporter Satyam Computer Services plunged 10.37% to Rs 364.60. It
was the top loser from Sensex pack.
Other IT stocks Wipro (down 6.67% to Rs 391.75), Infosys (down
4.01% to Rs 1578), TCS (down 7.07% to Rs 751.50), edged lower.
India's largest private sector firm in terms of market
capitalization and oil refiner Reliance Industries slumped 4.02% to
Rs 1852.90. The stock hit a 52-week low of Rs 1833.25 in early
trade.
India's largest private sector bank in terms of net profit ICICI
Bank slipped 6.72% to Rs 609. India's largest state run bank in
terms of net assets State Bank of India fell 4.36% to Rs 1446.60
Reliance Infrastructure (down 7.80% to Rs 856.80), Jaiprakash
Associates (down 7.14% to Rs 146.30), and Sterlite Industries (down
6.80% to Rs 454), edged lower from Sensex pack.
US light crude for October 2008 delivery fell $1.52 to $99.66 a
barrel today, 15 September 2008 on early signs that Hurricane Ike
may have spared key Gulf Coast infrastructure, although traders
were cautious on Monday as they awaited status reports on more
Texas refineries.
US markets ended mixed on Friday, 12 September 2008, amid
uncertainty over the fate of troubled investment bank Lehman
Brothers. But shares of natural resource companies and utilities
gained as commodity prices rose, offsetting losses among financial
and bank shares. The Dow Jones industrial average slipped 11.72
points, or 0.10%, to 11,421.99. The S&P 500 index gained 2.65
points, or 0.21%, to 1,251.70, and the Nasdaq Composite index
advanced 3.05 points, or 0.14%, 2,261.27.
Back home, heavy selling pressure in pivotals pulled the market
sharply lower on Friday, 12 September 2008. The BSE 30-share Sensex
lost 323.48 points or 2.26% to 14,000.81. and the S&P CNX Nifty was
down 61.85 points or 1.44% to 4,228.45, on that day.
Weak global cues pulled the market sharply lower in the week ended
Friday, 12 September 2008. The 30-share BSE Sensex shed 483.02
points or 3.33% to 14,000.81 and the S&P CNX Nifty fell 123.85
points or 2.84% to 4228.45, on that day.
Foreign institutional investors (FIIs) were net equity sellers
worth Rs 1497.67 crore while mutual funds bought shares worth Rs
695.41 crore on Friday, 12 September 2008, according to provisional
data on NSE. FIIs were net sellers of Rs 777.40 crore in the
futures & options segment on Friday, 12 September 2008
reports that the Bank of America struck a $50 billion deal to buy
US's investment banking major Merrill Lynch. The BSE 30-share
Sensex was down 643.32 points. Meanwhile, reports just filtered in
that US investment bank Lehman Brothers is filing for Chapter 11
bankruptcy.
Index heavyweight Reliance Industries (RIL) plunged to 52-week low
below Rs 1900. IT pivotals were the worst hit in the early slide,
with Satyam Computer Services plunging over 10%. All the 30-members
from the Sensex pack suffered losses.
Asian markets were trading lower today, 15 September 2008. Key
benchmark indices in Taiwan and Singapore fell 4.32% and 3.18%.
Most major Asian equity markets were closed for public holidays.
At 10:21 IST, the BSE 30-share Sensex was down 643.32 points or
4.63% to 13,351.91. The Sensex opened with a downward gap of 408.76
at 13,592.05. At the day's low of 13,272.86 hit in early trade
Sensex lost 727.95 points.
The S&P CNX Nifty tumbled 192.70 points or 4.56% to 4,035.75.
The market breadth was weak on BSE with 1397 shares declining as
compared to just 188 that rose. 21 remained unchanged.
All the 30-members from the Sensex pack suffered losses.
IT pivotals tumbled. India's fourth largest software services
exporter Satyam Computer Services plunged 10.37% to Rs 364.60. It
was the top loser from Sensex pack.
Other IT stocks Wipro (down 6.67% to Rs 391.75), Infosys (down
4.01% to Rs 1578), TCS (down 7.07% to Rs 751.50), edged lower.
India's largest private sector firm in terms of market
capitalization and oil refiner Reliance Industries slumped 4.02% to
Rs 1852.90. The stock hit a 52-week low of Rs 1833.25 in early
trade.
India's largest private sector bank in terms of net profit ICICI
Bank slipped 6.72% to Rs 609. India's largest state run bank in
terms of net assets State Bank of India fell 4.36% to Rs 1446.60
Reliance Infrastructure (down 7.80% to Rs 856.80), Jaiprakash
Associates (down 7.14% to Rs 146.30), and Sterlite Industries (down
6.80% to Rs 454), edged lower from Sensex pack.
US light crude for October 2008 delivery fell $1.52 to $99.66 a
barrel today, 15 September 2008 on early signs that Hurricane Ike
may have spared key Gulf Coast infrastructure, although traders
were cautious on Monday as they awaited status reports on more
Texas refineries.
US markets ended mixed on Friday, 12 September 2008, amid
uncertainty over the fate of troubled investment bank Lehman
Brothers. But shares of natural resource companies and utilities
gained as commodity prices rose, offsetting losses among financial
and bank shares. The Dow Jones industrial average slipped 11.72
points, or 0.10%, to 11,421.99. The S&P 500 index gained 2.65
points, or 0.21%, to 1,251.70, and the Nasdaq Composite index
advanced 3.05 points, or 0.14%, 2,261.27.
Back home, heavy selling pressure in pivotals pulled the market
sharply lower on Friday, 12 September 2008. The BSE 30-share Sensex
lost 323.48 points or 2.26% to 14,000.81. and the S&P CNX Nifty was
down 61.85 points or 1.44% to 4,228.45, on that day.
Weak global cues pulled the market sharply lower in the week ended
Friday, 12 September 2008. The 30-share BSE Sensex shed 483.02
points or 3.33% to 14,000.81 and the S&P CNX Nifty fell 123.85
points or 2.84% to 4228.45, on that day.
Foreign institutional investors (FIIs) were net equity sellers
worth Rs 1497.67 crore while mutual funds bought shares worth Rs
695.41 crore on Friday, 12 September 2008, according to provisional
data on NSE. FIIs were net sellers of Rs 777.40 crore in the
futures & options segment on Friday, 12 September 2008
Pre Market Report 15/09/2008
Key benchmark indices are braced for a subdued start today, 15 September 2008 tracking negative global cues as sentiment remains edgy with the US investment bank Lehman Brothers Holdings prepared to file for bankruptcy as potential buyers abandoned talks. However crude oil prices at 6-month low below the $100 a barrel mark may lift the sentiment.
Asian markets were trading lower today, 15 September 2008. Taiwan's Taiwan Weighted plunged 3.01% or 190.05 points at 6,120.63 and Singapore's Straits Times fell 2.02% or 52.03 points at 2,518.64. Japanese markets were closed for Respect for the Aged Day and Hong Kong markets were shut for the mid-Autumn festival holiday.
US light crude for October 2008 delivery fell $1.52 to $99.66 a barrel today, 15 September 2008 on early signs that Hurricane Ike may have spared key Gulf Coast infrastructure, although traders were cautious on Monday as they awaited status reports on more Texas refineries.
US markets ended mixed on Friday, 12 September 2008, amid volatility as uncertainty over the fate of troubled investment bank Lehman Brothers. But shares of natural resource companies and utilities gained as commodity prices rose, offsetting losses among financial and bank shares. The Dow Jones industrial average slipped 11.72 points, or 0.10%, to 11,421.99. The S&P 500 index gained 2.65 points, or 0.21%, to 1,251.70, and the Nasdaq Composite index advanced 3.05 points, or 0.14%, 2,261.27.
Back home, heavy selling pressure in pivotals pulled the market sharply lower on Friday, 12 September 2008. The BSE 30-share Sensex lost 323.48 points or 2.26% to 14,000.81. and the S&P CNX Nifty was down 61.85 points or 1.44% to 4,228.45, on that day.
Weak global cues pulled the market sharply lower in the week ended Friday, 12 September 2008. The 30-share BSE Sensex shed 483.02 points or 3.33% to 14,000.81 and the S&P CNX Nifty fell 123.85 points or 2.84% to 4228.45, on that day.
Foreign institutional investors (FIIs) were net equity sellers worth Rs 1497.67 crore while mutual funds bought shares worth Rs 695.41 crore on Friday, 12 September 2008, according to provisional data on NSE. FIIs were net sellers of Rs 777.40 crore in the futures & options segment on Friday, 12 September 2008.
Asian markets were trading lower today, 15 September 2008. Taiwan's Taiwan Weighted plunged 3.01% or 190.05 points at 6,120.63 and Singapore's Straits Times fell 2.02% or 52.03 points at 2,518.64. Japanese markets were closed for Respect for the Aged Day and Hong Kong markets were shut for the mid-Autumn festival holiday.
US light crude for October 2008 delivery fell $1.52 to $99.66 a barrel today, 15 September 2008 on early signs that Hurricane Ike may have spared key Gulf Coast infrastructure, although traders were cautious on Monday as they awaited status reports on more Texas refineries.
US markets ended mixed on Friday, 12 September 2008, amid volatility as uncertainty over the fate of troubled investment bank Lehman Brothers. But shares of natural resource companies and utilities gained as commodity prices rose, offsetting losses among financial and bank shares. The Dow Jones industrial average slipped 11.72 points, or 0.10%, to 11,421.99. The S&P 500 index gained 2.65 points, or 0.21%, to 1,251.70, and the Nasdaq Composite index advanced 3.05 points, or 0.14%, 2,261.27.
Back home, heavy selling pressure in pivotals pulled the market sharply lower on Friday, 12 September 2008. The BSE 30-share Sensex lost 323.48 points or 2.26% to 14,000.81. and the S&P CNX Nifty was down 61.85 points or 1.44% to 4,228.45, on that day.
Weak global cues pulled the market sharply lower in the week ended Friday, 12 September 2008. The 30-share BSE Sensex shed 483.02 points or 3.33% to 14,000.81 and the S&P CNX Nifty fell 123.85 points or 2.84% to 4228.45, on that day.
Foreign institutional investors (FIIs) were net equity sellers worth Rs 1497.67 crore while mutual funds bought shares worth Rs 695.41 crore on Friday, 12 September 2008, according to provisional data on NSE. FIIs were net sellers of Rs 777.40 crore in the futures & options segment on Friday, 12 September 2008.
tips for 15th Sep
HTMEDIA Buy Above 129.15 128.00 130.45 132.20
Sell Below 126.60 127.75 125.35 123.65
IVRCLINFRA Buy Above 218.25 278.70 284.05 287.90
Sell Below 275.70 278.15 272.95 269.25
AUSTRAL ( Austral Coke & Projects Limited )
BUY ABOVE 254 240 265 280
S.SELL BELOW 236 244 225 200
RELINFRA ( Reliance Infrastructure Limited )
BUY ABOVE 935 924 955 985
S.SELL BELOW 920 930 900 880
HINDUNILVR ( Hindustan Unilever Limited )
BUY ABOVE 249 247.5 251 255
S.SELL BELOW 247 248 245 242
Sell Below 126.60 127.75 125.35 123.65
IVRCLINFRA Buy Above 218.25 278.70 284.05 287.90
Sell Below 275.70 278.15 272.95 269.25
AUSTRAL ( Austral Coke & Projects Limited )
BUY ABOVE 254 240 265 280
S.SELL BELOW 236 244 225 200
RELINFRA ( Reliance Infrastructure Limited )
BUY ABOVE 935 924 955 985
S.SELL BELOW 920 930 900 880
HINDUNILVR ( Hindustan Unilever Limited )
BUY ABOVE 249 247.5 251 255
S.SELL BELOW 247 248 245 242
Sunday, September 14, 2008
Indian steel giant Bhushan to acquire 64 percent stake in Queensland's Bowen Energy
Brisbane, Sept.13 (ANI): Indian steel giant Bhushan is to acquire a 64 percent stake in Queensland's Bowen Energy.
The Australian reported that Bhushan had paid 560,000 dollars to take its holding to 19.91 per cent and that the two companies had also entered into an agreement for Bhushan to subscribe to 100 million of Bowen shares for 32 million dollars.
The first 50 million share purchase, which will take Bhushan's interest to 50.5 per cent, will be voted on at Bowen's AGM in November.
Managing director Kevin Nichol said the remaining 50 million shares, valued at 16 million dollars, would be sought over the next 18 months and the funds paid in four tranches during that period, taking Bhushan's final stake to around 64 per cent at the end of the process.
"It is the best option any small company in our space could have. Bhushan will control the company and the board at shareholder level, closing the door to other end users, but opening the door for other institutional investors," Nichol was quoted, as saying.
Bhushan, India's third largest speciality steel products producer, does not need approval from the Foreign Investment Review Board because the junior player has a market cap of less than 50 million dollars.
Queensland Premier Anna Bligh is open to foreign interest in her state and visited the Indian steel makers this year to encourage further investment in Queensland's minerals and exploration and mining industries.
Bhushan has just spent three billion American dollars on two new steel mills in India and in the next six months would need up to one billion dollars worth of coal to feed its mills. (ANI)
The Australian reported that Bhushan had paid 560,000 dollars to take its holding to 19.91 per cent and that the two companies had also entered into an agreement for Bhushan to subscribe to 100 million of Bowen shares for 32 million dollars.
The first 50 million share purchase, which will take Bhushan's interest to 50.5 per cent, will be voted on at Bowen's AGM in November.
Managing director Kevin Nichol said the remaining 50 million shares, valued at 16 million dollars, would be sought over the next 18 months and the funds paid in four tranches during that period, taking Bhushan's final stake to around 64 per cent at the end of the process.
"It is the best option any small company in our space could have. Bhushan will control the company and the board at shareholder level, closing the door to other end users, but opening the door for other institutional investors," Nichol was quoted, as saying.
Bhushan, India's third largest speciality steel products producer, does not need approval from the Foreign Investment Review Board because the junior player has a market cap of less than 50 million dollars.
Queensland Premier Anna Bligh is open to foreign interest in her state and visited the Indian steel makers this year to encourage further investment in Queensland's minerals and exploration and mining industries.
Bhushan has just spent three billion American dollars on two new steel mills in India and in the next six months would need up to one billion dollars worth of coal to feed its mills. (ANI)
Friday, September 12, 2008
Pre Market Report 12/09/2008
Key benchmark indices are geared for a firm start boosted by fall in inflation in the week for the third straight week and US crude for October 2008 declining to 5-month low. However the volatility will remain high ahead of the release of industrial production data for July 2008 by noon today, 12 September 2008. Global cues were mixed.
The wholesale price index-based inflation rose 12.10% in the week ended 30 August 2008, below the previous week's annual rise of 12.34%, Government data released after market hours on Thursday, 11 September 2008 showed. The annual inflation rate was 3.72% during the corresponding week of the previous year.
US crude for October 2008 delivery rose 45 cents to $101.37 a barrel today, 12 September 2008 as the markets kept a watchful eye on the path of Hurricane Ike that could disrupt refineries and production in the United States for weeks. It lost $1.71 a barrel on Thursday, 11 September 2008 after falling to $100.10, its lowest level in 5-month in intra-day trade.
Asian markets were trading mixed today, 12 September 2008. China's Shanghai Composite was down 0.11% or 2.38 points at 2,076.59, Hong Kong's Hang Seng plunged 0.73% or 141.63 points at 19,247.09, Taiwan's Taiwan Weighted fell 0.32% or 19.80 points at 6,232.15. However, Japan's Nikkei rose 1.06% or 128.49 points at 12,230.99, Singapore's Straits Times advanced 0.81% or 20.71 points at 2,561.86 and South Korea's Seoul Composite gained 1.78% or 25.64 points at 1,468.88.
US markets staged a late rally on Thursday, 12 September 2008 as oil flirted with the $ 100 a barrel mark and on speculation that a resolution for Lehman Brothers could happen within days. The Dow Jones gained 164.79 points, or 1.46%, to 11,433.71. The S&P 500 index advanced 17.01 points, or 1.38%, to 1,249.05, while the Nasdaq Composite index added 29.52 points, or 1.32%, to 2,258.22.
Back home, weak global markets continued to haunt domestic bourses for the third straight day on Thursday, 11 September 2008. The BSE 30-share Sensex lost 338.32 points or 2.31% to 14,324.29 and the S&P CNX Nifty slipped 109.95 points or 2.5% to 4,290.30.
The barometer index is down 5,962.7 points or 29.39% in the calendar year 2008 so far from its close of 20,286.99 on 31 December 2007. It is 6,882.48 points or 32.45% away from its all-time high of 21,206.77 struck on 10 January 2008.
Foreign institutional investors (FIIs) were net equity sellers worth Rs 1506.96 crore while mutual funds bought shares worth Rs 586.59 crore on Thursday, 11 September 2008, according to provisional data on NSE.
FIIs were net sellers of Rs 1927.80 crore in the futures & options segment on Thursday, 11 September 2008. They were net sellers of index futures to the tune of Rs 1233.38 crore and sold index options worth Rs 505 crore. They were net sellers of stock futures to the tune of Rs 190.96 crore and bought stock options worth Rs 1.55 crore.
The wholesale price index-based inflation rose 12.10% in the week ended 30 August 2008, below the previous week's annual rise of 12.34%, Government data released after market hours on Thursday, 11 September 2008 showed. The annual inflation rate was 3.72% during the corresponding week of the previous year.
US crude for October 2008 delivery rose 45 cents to $101.37 a barrel today, 12 September 2008 as the markets kept a watchful eye on the path of Hurricane Ike that could disrupt refineries and production in the United States for weeks. It lost $1.71 a barrel on Thursday, 11 September 2008 after falling to $100.10, its lowest level in 5-month in intra-day trade.
Asian markets were trading mixed today, 12 September 2008. China's Shanghai Composite was down 0.11% or 2.38 points at 2,076.59, Hong Kong's Hang Seng plunged 0.73% or 141.63 points at 19,247.09, Taiwan's Taiwan Weighted fell 0.32% or 19.80 points at 6,232.15. However, Japan's Nikkei rose 1.06% or 128.49 points at 12,230.99, Singapore's Straits Times advanced 0.81% or 20.71 points at 2,561.86 and South Korea's Seoul Composite gained 1.78% or 25.64 points at 1,468.88.
US markets staged a late rally on Thursday, 12 September 2008 as oil flirted with the $ 100 a barrel mark and on speculation that a resolution for Lehman Brothers could happen within days. The Dow Jones gained 164.79 points, or 1.46%, to 11,433.71. The S&P 500 index advanced 17.01 points, or 1.38%, to 1,249.05, while the Nasdaq Composite index added 29.52 points, or 1.32%, to 2,258.22.
Back home, weak global markets continued to haunt domestic bourses for the third straight day on Thursday, 11 September 2008. The BSE 30-share Sensex lost 338.32 points or 2.31% to 14,324.29 and the S&P CNX Nifty slipped 109.95 points or 2.5% to 4,290.30.
The barometer index is down 5,962.7 points or 29.39% in the calendar year 2008 so far from its close of 20,286.99 on 31 December 2007. It is 6,882.48 points or 32.45% away from its all-time high of 21,206.77 struck on 10 January 2008.
Foreign institutional investors (FIIs) were net equity sellers worth Rs 1506.96 crore while mutual funds bought shares worth Rs 586.59 crore on Thursday, 11 September 2008, according to provisional data on NSE.
FIIs were net sellers of Rs 1927.80 crore in the futures & options segment on Thursday, 11 September 2008. They were net sellers of index futures to the tune of Rs 1233.38 crore and sold index options worth Rs 505 crore. They were net sellers of stock futures to the tune of Rs 190.96 crore and bought stock options worth Rs 1.55 crore.
Stocktips for 12th
Buy INFOSYS Above @ 1753 Target 1769-1781 to 1815.
Sell HDFC Below @ 2256 target 2227-2186 to 2100.
Buy PNB Above @ 503 Target 513-523 to 547.
Sell CMC Below @ 549 Target 544-537 to 522.
Buy BAJAJAUTO Above @ 619 Target 625-630 to 645.
Sell HEROHONDA Below @ 831 Target 824-808 to 779.
Sell HDFC Below @ 2256 target 2227-2186 to 2100.
Buy PNB Above @ 503 Target 513-523 to 547.
Sell CMC Below @ 549 Target 544-537 to 522.
Buy BAJAJAUTO Above @ 619 Target 625-630 to 645.
Sell HEROHONDA Below @ 831 Target 824-808 to 779.
Thursday, September 11, 2008
Post Market Report:11/09/2008
Bears ruled the roost for the third day in a row today, pulling the
Sensex down 338 points. The barometer index has tanked 621 points
in the last three trading sessions. Weak global markets triggered
fall on the domestic bourses today. The market remained weak
throughout the trading session.
Banking stocks declined ahead of the weekly inflation data. Power
stocks fell Index heavyweight Reliance Industries (RIL), Reliance
Infrastructure fell more than 4% each. Tata Power Company and ONGC
fell more than 3.5% each. The market breadth was weak.
Asian markets ended down on continued worries about the credit
crisis after Lehman Brothers failed to announce any firm deals to
raise desperately needed capital after posting record quarterly
loss on Wednesday, 10 September 2008. US markets ended with modest
gains on Wednesday, 10 September 2008.
The BSE 30-share Sensex lost 338.32 points or 2.31% to 14,324.29.
At the day's low of 14,265.38 hit in late trade, the Sensex fell
397.23 points. At the day's high of 14,557.33 hit in early trade,
the Sensex fell 105.28 points.
The S&P CNX Nifty slipped 109.95 points or 2.5% to 4,290.30.
The BSE Sensex has shed 620.68 points in the past three trading
sessions from a recent high of 14,944.97 on 8 September 2008. The
barometer index is down 5,962.7 points or 29.39% in the calendar
year 2008 so far from its close of 20,286.99 on 31 December 2007.
It is 6,882.48 points or 32.45% away from its all-time high of
21,206.77 struck on 10 January 2008.
Nifty September 2008 futures were at 4300.35, at a premium of 10.05
points as compared to spot closing of 4290.30.
BSE clocked a turnover of Rs 4776 crore, compared to Wednesday's Rs
5,185.84 crore. NSE's futures & options (F&O) segment turnover was
Rs 50,366.39 crore, which was lower than Rs 52,717.79 crore on
Wednesday, 10 September 2008.
The market breadth was weak on BSE with 1,786 shares declining as
compared to 853 that advanced. 75 remained unchanged.
Among the 30-member Sensex pack, 28 declined while the rest gained.
The BSE Mid-Cap index was down 1.08% to 5,647.41 and BSE Small-Cap
index fell 1.22% to 6,818.93.
BSE Oil & Gas index (down 3.39% to 9,339.74), BSE Power index (down
2.97% to 2,576.42), BSE Realty index (down 2.48% to 4,875.83), BSE
Capital Goods index (down 2.39% to 11,941) underperformed Sensex.
BSE IT index (down 0.91% to 3,990.44), BSE Auto index (down 0.97%
to 3,961.44), BSE FMCG index (down 1.19% to 2,211.48), BSE
HealthCare index (down 1.4% to 4,182.23), BSE Metal index (down
1.45% to 10,991.79), BSE Bankex (down 1.57% to 7,210.66), BSE Teck
index (down 1.71% to 3,045.40), BSE Consumer Durables index (down
1.8% to 3,622.46) and BSE PSU index (down 2.15% to 6,740.25)
outperformed Sensex.
India's largest private sector firm in terms of market
capitalization and oil refiner Reliance Industries fell 4.13% to Rs
1,997.60 extending losses for the second straight day, spooked by
reports the Prime Minister's Office may recommend levy of export
tax or ban petroleum exports from its refineries in Jamnagar.
Banking pivotals fell ahead of inflation data to be announced by
the government after market hours today, 11 September 2008. ICICI
Bank (down 2.01% to Rs 686.45), State Bank of India (down 1.7% to
Rs 1,538.45) and HDFC Bank (down 1.9% to Rs 1,252.70) edged lower.
Annual inflation rose 12.34% in the year through 23 August 2008,
lower than previous week's 12.40% rise, data released by the
government after trading hours on Thursday, 4 September 2008
showed.
Reliance Infrastructure (down 4.15% to Rs 992), Tata Power Company
(down 3.53% to Rs 1,012.10), Reliance Power (down 0.68% to Rs
168.60) edged lower.
National Thermal Power Corporation fell 2.67% to Rs 173.45. The
company today, 11 September 2008, said it has formed a joint
venture company with Bihar State Electricity Board under the name
Nabinagar Power Generating Company for setting-up of a coal based
power project having capacity of 1980 megawatt.
ONGC (down 3.82% to Rs 1,035.45), DLF (down 3.28% to Rs 485.55),
Jaiprakash Associates (down 3.25% to Rs 162.35), Mahindrs &
Mahindra (down 3% to Rs 560.15) edged lower from the Sensex pack.
Tata Consultancy Services, India's top software services exporter
fell 1.77% to Rs 836.10. The company said on Wednesday it will
partner with Swedish defence and aerospace group Saab for an
aeronautical design and development centre.
Bharti Airtel, India's biggest cellular services provider in terms
of market capitalisation, fell 4.4% to Rs 776.20. Bharti Airtel
launched a venture fund today with an initial Rs 200 crore ($44
million) to promote content and technology development.
Sterlite Industries fell 1.01% to Rs 502.75. From a recent high of
Rs 622.35 on 8 September 2008 the stock had plunged 18.38% to Rs
507.90 on 10 September 2008 after the Vedanta group on Tuesday, 9
September 2008 announced a restructuring to simplify its corporate
structure into three commodity-focused groups: copper and
zinc-lead, aluminium-energy and iron ore.
IFCI clocked the highest volume of 1.52 crore shares on BSE. Tata
Teleservices (Maharashtra) (1 crore shares), Reliance Natural
Resources (86.99 lakh shares), Austral Coke Projects (67.31 lakh
shares) and Reliance Petroleum (67.2 lakh shares) were the other
volume toppers in that order.
Reliance Industries clocked the highest turnover of Rs 478.91 crore
on BSE. Reliance Capital (Rs 240.70 crore), ICICI Bank (Rs 165.73
crore), Austral Coke Projects (Rs 162.14 crore) and Larsen & Toubro
(Rs 145.88 crore) were the other turnover toppers in that order.
European markets edged lower today, 11 September 2008. France's CAC
40, Germany's DAX and UK's FTSE 100 were down by between 0.78% to
1.15%.
Asian markets were trading lower today, 11 September 2008. China's
Shanghai Composite, Japan's Nikkei, Hong Kong's Hang Seng, Taiwan's
Taiwan Weighted, Singapore's Straits Times, and South Korea's Seoul
Composite were down between 1.48% to 3.34%.
US markets finished with modest gains on Wednesday, 10 September
2008 after rallying earlier on a drop in oil prices. The
nervousness was due to investor worries about financial shares like
Lehman Brothers. The Dow Jones industrial average gained 38.19
points, or 0.34%, to 11,268.92. The S&P 500 index advanced 7.53
points, or 0.61%, to 1,232.04, and the Nasdaq Composite index added
18.89 points, or 0.85%, to 2,228.70.
Sensex down 338 points. The barometer index has tanked 621 points
in the last three trading sessions. Weak global markets triggered
fall on the domestic bourses today. The market remained weak
throughout the trading session.
Banking stocks declined ahead of the weekly inflation data. Power
stocks fell Index heavyweight Reliance Industries (RIL), Reliance
Infrastructure fell more than 4% each. Tata Power Company and ONGC
fell more than 3.5% each. The market breadth was weak.
Asian markets ended down on continued worries about the credit
crisis after Lehman Brothers failed to announce any firm deals to
raise desperately needed capital after posting record quarterly
loss on Wednesday, 10 September 2008. US markets ended with modest
gains on Wednesday, 10 September 2008.
The BSE 30-share Sensex lost 338.32 points or 2.31% to 14,324.29.
At the day's low of 14,265.38 hit in late trade, the Sensex fell
397.23 points. At the day's high of 14,557.33 hit in early trade,
the Sensex fell 105.28 points.
The S&P CNX Nifty slipped 109.95 points or 2.5% to 4,290.30.
The BSE Sensex has shed 620.68 points in the past three trading
sessions from a recent high of 14,944.97 on 8 September 2008. The
barometer index is down 5,962.7 points or 29.39% in the calendar
year 2008 so far from its close of 20,286.99 on 31 December 2007.
It is 6,882.48 points or 32.45% away from its all-time high of
21,206.77 struck on 10 January 2008.
Nifty September 2008 futures were at 4300.35, at a premium of 10.05
points as compared to spot closing of 4290.30.
BSE clocked a turnover of Rs 4776 crore, compared to Wednesday's Rs
5,185.84 crore. NSE's futures & options (F&O) segment turnover was
Rs 50,366.39 crore, which was lower than Rs 52,717.79 crore on
Wednesday, 10 September 2008.
The market breadth was weak on BSE with 1,786 shares declining as
compared to 853 that advanced. 75 remained unchanged.
Among the 30-member Sensex pack, 28 declined while the rest gained.
The BSE Mid-Cap index was down 1.08% to 5,647.41 and BSE Small-Cap
index fell 1.22% to 6,818.93.
BSE Oil & Gas index (down 3.39% to 9,339.74), BSE Power index (down
2.97% to 2,576.42), BSE Realty index (down 2.48% to 4,875.83), BSE
Capital Goods index (down 2.39% to 11,941) underperformed Sensex.
BSE IT index (down 0.91% to 3,990.44), BSE Auto index (down 0.97%
to 3,961.44), BSE FMCG index (down 1.19% to 2,211.48), BSE
HealthCare index (down 1.4% to 4,182.23), BSE Metal index (down
1.45% to 10,991.79), BSE Bankex (down 1.57% to 7,210.66), BSE Teck
index (down 1.71% to 3,045.40), BSE Consumer Durables index (down
1.8% to 3,622.46) and BSE PSU index (down 2.15% to 6,740.25)
outperformed Sensex.
India's largest private sector firm in terms of market
capitalization and oil refiner Reliance Industries fell 4.13% to Rs
1,997.60 extending losses for the second straight day, spooked by
reports the Prime Minister's Office may recommend levy of export
tax or ban petroleum exports from its refineries in Jamnagar.
Banking pivotals fell ahead of inflation data to be announced by
the government after market hours today, 11 September 2008. ICICI
Bank (down 2.01% to Rs 686.45), State Bank of India (down 1.7% to
Rs 1,538.45) and HDFC Bank (down 1.9% to Rs 1,252.70) edged lower.
Annual inflation rose 12.34% in the year through 23 August 2008,
lower than previous week's 12.40% rise, data released by the
government after trading hours on Thursday, 4 September 2008
showed.
Reliance Infrastructure (down 4.15% to Rs 992), Tata Power Company
(down 3.53% to Rs 1,012.10), Reliance Power (down 0.68% to Rs
168.60) edged lower.
National Thermal Power Corporation fell 2.67% to Rs 173.45. The
company today, 11 September 2008, said it has formed a joint
venture company with Bihar State Electricity Board under the name
Nabinagar Power Generating Company for setting-up of a coal based
power project having capacity of 1980 megawatt.
ONGC (down 3.82% to Rs 1,035.45), DLF (down 3.28% to Rs 485.55),
Jaiprakash Associates (down 3.25% to Rs 162.35), Mahindrs &
Mahindra (down 3% to Rs 560.15) edged lower from the Sensex pack.
Tata Consultancy Services, India's top software services exporter
fell 1.77% to Rs 836.10. The company said on Wednesday it will
partner with Swedish defence and aerospace group Saab for an
aeronautical design and development centre.
Bharti Airtel, India's biggest cellular services provider in terms
of market capitalisation, fell 4.4% to Rs 776.20. Bharti Airtel
launched a venture fund today with an initial Rs 200 crore ($44
million) to promote content and technology development.
Sterlite Industries fell 1.01% to Rs 502.75. From a recent high of
Rs 622.35 on 8 September 2008 the stock had plunged 18.38% to Rs
507.90 on 10 September 2008 after the Vedanta group on Tuesday, 9
September 2008 announced a restructuring to simplify its corporate
structure into three commodity-focused groups: copper and
zinc-lead, aluminium-energy and iron ore.
IFCI clocked the highest volume of 1.52 crore shares on BSE. Tata
Teleservices (Maharashtra) (1 crore shares), Reliance Natural
Resources (86.99 lakh shares), Austral Coke Projects (67.31 lakh
shares) and Reliance Petroleum (67.2 lakh shares) were the other
volume toppers in that order.
Reliance Industries clocked the highest turnover of Rs 478.91 crore
on BSE. Reliance Capital (Rs 240.70 crore), ICICI Bank (Rs 165.73
crore), Austral Coke Projects (Rs 162.14 crore) and Larsen & Toubro
(Rs 145.88 crore) were the other turnover toppers in that order.
European markets edged lower today, 11 September 2008. France's CAC
40, Germany's DAX and UK's FTSE 100 were down by between 0.78% to
1.15%.
Asian markets were trading lower today, 11 September 2008. China's
Shanghai Composite, Japan's Nikkei, Hong Kong's Hang Seng, Taiwan's
Taiwan Weighted, Singapore's Straits Times, and South Korea's Seoul
Composite were down between 1.48% to 3.34%.
US markets finished with modest gains on Wednesday, 10 September
2008 after rallying earlier on a drop in oil prices. The
nervousness was due to investor worries about financial shares like
Lehman Brothers. The Dow Jones industrial average gained 38.19
points, or 0.34%, to 11,268.92. The S&P 500 index advanced 7.53
points, or 0.61%, to 1,232.04, and the Nasdaq Composite index added
18.89 points, or 0.85%, to 2,228.70.
Wednesday, September 10, 2008
Post Market Report:10/09/2008
Weak global markets weighed heavily on the domestic bourse pulling
the BSE Sensex down 238.15 points. Nevertheless, the key benchmark
indices cut losses in late trade led by recovery in banking stocks.
Volatility was high
Metal shares were the chief casualty of the day with Sterlite
Industries plunging over 11% and Tata Steel sliding 5%. Index
heavyweight Reliance Industries dropped little under 3%. The market
breadth was extremely weak.
US stocks slumped on Tuesday, 9 September 2008 as financial shares
sold off on worries about Lehman Brothers' ability to raise
much-needed cash. The Dow Jones industrial average plunged 280.01
points, or 2.43%, to 11,230.73. The S&P 500 index fell 43.28
points, or 3.41%, to 1,224.51, and the Nasdaq Composite index
declined 59.95 points, or 2.64%, to 2,209.81.
European markets which opened after Indian market were subdued. Key
benchmark indices in UK, Germany and France were down by between
0.50% and 1.17%.
Asian markets which opened before Indian market were mixed today,
10 September 2008. Key benchmark indices in Japan, Hong Kong,
Singapore were down by between 0.44% and 2.40%. Indices in China,
South Korea, and Taiwan rose between 0.23% and 0.72%.
The BSE 30-share Sensex slipped 238.15 points or 1.6%, to settle at
14,662.61. It opened 188.23 points lower at 14,717.53. At the day's
low of 14,609.83 hit in late trade, the Sensex lost 290.93 points.
At the day's high of 14,866.32 hit in mid-morning trade, the Sensex
fell 34.44 points.
The S&P CNX Nifty slipped 68.45 points or 1.53% at 4400.25. Nifty
September 2008 futures were at 4415.30, at a premium of 15.05
points as compared to spot closing. NSE's futures & options (F&O)
segment turnover was Rs 52,717.79 crore, which was higher than Rs
43,958.71 crore on Tuesday, 9 September 2008.
The BSE Sensex is down 5624.38 points or 27.72% in the calendar
year 2008 so far from its close of 20,286.99 on 31 December 2007.
It is 6554.16 points or 30.85% away from its all-time high of
21,206.77 struck on 10 January 2008.
Reliance Power was down 0.03% to Rs 169.35. The stock replaced Dr
Reddy's Labs in Nifty index from today. Dr Reddy's Labs slipped
1.97% to Rs 567.05.
The market breadth was weak on BSE with 1716 shares declining as
compared to 944 that advanced. 77 remained unchanged.
The total turnover on BSE amounted to Rs 5152 crore on BSE as
compared to Rs 4,587.35 crore on Tuesday, 9 September 2008.
The BSE Mid-cap index fell 1.20% at 5,708.93 and the BSE Small-cap
index slipped 0.88% to 6,903.42
Among the 30-member Sensex pack, 21 declined while the rest
advanced.
The BSE Metal index lost the most among the sectoral indices on
BSE, sliding 5.48% to 11,154 weighed by steep fall in Sterlite
Industries. Aluminium and copper maker Sterlite Industries tanked
11.76% to Rs 508 after plunging 7.50% to Rs 575.70 yesterday, 9
September 2008. It was the top loser from the Sensex pack. The
Sterlite ADR tumbled 16.23% yesterday, 9 September 2008 on the New
York Stock Exchange (NYSE) after the Vedanta group on Tuesday, 9
September 2008 announced a restructuring to simplify its corporate
structure into three commodity-focused groups: copper and
zinc-lead, aluminium-energy and iron ore.
As per the restructuring scheme, which will be effective from April
2009, Sterlite will demerge its aluminium and energy businesses to
Madras Aluminium Company (Malco) to be simultaneously renamed
Sterlite Aluminium. Vedanta will transfer its 79.4% equity interest
in Konkola Copper Mines Plc (KCM) to Sterlite.
Malco will issue seven shares of Rs 2 each to the shareholders of
Sterlite for every four shares of Rs 2 each held by them. Sterlite
will issue one share of Rs 2 each to Malco shareholders for every
51 shares of Rs 2 each held by them.
Madras Aluminium Company (Malco) was down 5.72% to Rs 201.95 on
26.87 lakh shares
Worlds sixth largest steel producer by capacity Tata Steel plunged
5.10% to Rs 535.60.
Other metal stocks JSW Steel (down 7.43% to Rs 662), Jindal Steel &
Power (down 7.97% to Rs 1656.70), Sesa Goa (down 3.73% to Rs 142),
Hindustan Zinc (down 3.57% to Rs 529.75), and Steel Authority of
India (down 6.40% to Rs 140.30), slumped.
India's largest private sector firm by market capitalization and
oil refiner Reliance Industries (RIL) lost 2.93% to Rs 2080 on 9.70
lakh shares. The stock came off its day's high of Rs 2135 hit in
early trade. As per reports, the Prime Minister's Office (PMO) may
recommend levy of export tax or even ban petroleum product exports
from Reliance's export oriented refineries in Jamnagar. The BSE Oil
& Gas index slipped 2.18% to 9,667.38.
Banking shares staged a comeback in late trade. The Bankex slipped
0.58% to 7,325.35. India's largest private sector bank in terms of
net profit ICICI Bank was down 1.52% to Rs 702, off day's low of Rs
686.60. HDFC Bank, India's second largest private sector bank in
terms of net profit was down 0.62% to Rs 1285.05, off day's low of
Rs 1250.10. India's largest state run bank in terms of net assets
State Bank of India rose 0.35% to Rs 1566 after sliding to a low of
Rs 1534.35.
Capital goods heavyweights slipped, leading a 1.07% fall to
12,233.80 in BSE Capital Goods index. India's largest power
equipment maker by sales, Bharat Heavy Electricals declined 1.95%
to Rs 1712.90. The company on Tuesday, 9 September 2008, said it
won a contract worth Rs 2,200 crore for setting up a combined cycle
power plant in Tripura on turnkey basis.
India's largest engineering & construction firm by outstanding
order book position Larsen & Toubro fell 0.97% to Rs 2710. Larsen &
Tobro today, 10 September 2008, said it had received an order worth
$160 million from Brazil's Petrobras
Telecom pivotals were also subdued. India's second largest cellular
services provider in terms of market capitalisation Reliance
Communications (RCom) slipped 0.68% to Rs 402.50. As per recent
reports, RCom's subsidiary Reliance Big Entertainment has acquired
a majority stake in the US-based cricket webcasting portal, Willow
TV, for an undisclosed amount.
Bharti Airtel, the country's largest cellular services provider in
terms of market capitalisation declined 3.04% to Rs 811
Reliance Infrastructure (down 3.17% to Rs 1037), Tata Power (down
3.54% to Rs 1048), and Jaiprakash Associates (down 2.44% to Rs
167.60), edged lower from Sensex pack.
North India's largest cement maker by sales ACC gained 1.30% to Rs
604.45 and was the top gainer from Sensex pack.
Real estate heavyweights slipped with the BSE Realty index sliding
1.52% to 4,999.99. DLF, the country's largest realty company by
market capitalisation slipped 0.19% to Rs 502.90. On Monday, 8
September 2008, the company received a clearance from the
Securities and Exchange Board of India (Sebi) to go ahead with a
buyback plan. In July 2008, DLF had announced its Rs 1,100-crore
plan to buy back shares from existing shareholders at a price not
exceeding Rs 600 a share.
Unitech, the country's second largest realty company by market
capitalisation, fell 2.55% to Rs 158.45.
Ranbaxy Laboratories, India's top drug maker by sales fell 0.32% to
Rs 455. The Japanese drug maker Daiichi Sankyo's open offer to
acquire an additional 20% stake at Rs 737 a share in the company
ended on 4 September 2008.
IT pivotals were mixed despite the rupee sliding past the 45 mark
per dollar today, 10 September 2008. India's second largest
software services exporter Infosys Technologies rose 0.68% to Rs
1758.95. The stock came off day's low of Rs 1726.
Other IT pivotals Satyam Computer Services (down 0.79% to Rs
421.65), Wipro (down 0.24% to Rs 433.10), and TCS (down 1.98% to Rs
849.05), edged lower. IT firms derive a lion's share of revenue by
way of exports and therefore fall in the domestic currency benefits
the IT sector.
Austral Coke & Projects topped the turnover chart on BSE with a
turnover of Rs 275.65 crore followed by Sterlite Industries (Rs
212.85 crore), Reliance Industries (Rs 204.30 crore), Reliance
Capital (Rs 184.30 crore) and ICICI Bank (Rs 159.60 crore), in that
order.
IFCI led the volumes chart on BSE clocking volumes of 2.12 crore
shares followed by Reliance Natural Resources (93.55 lakh shares),
Tata Teleservices (Maharashtra) (72.60 lakh shares), Reliance Power
(46.75 lakh shares) and Sterlite Industries (40.65 lakh shares), in
that order.
SEL Manufacturing Company plunged 8.35% to Rs 215.65. The company
said it would set up a technical textile park in Himachal Pradesh.
The company made this announcement during trading hours today, 10
September 2008.
Usher Agro surged 12.05% to Rs 192 after company entered into a
memorandum of understanding with Satake Corporation, Japan for
expansion of rice milling capacity by another 1 million tonne. The
company announced the expansion plans during market hours today, 10
September 2008.
Hydro S&S Industries galloped 20% to Rs 41.45 after the company
said its board will meet on 16 September 2008 to consider buyback
of equity shares. The company made this announcement after trading
hours on Tuesday, 9 September 2008.
Madras Cements gained 4.16% to Rs 2620.10 after the company's board
fixed 10 October 2008 as the record date for 1:1 bonus issue and
10-for-1 stock split. The company fixed the record date after
trading hours on Tuesday, 9 September 2008.
the BSE Sensex down 238.15 points. Nevertheless, the key benchmark
indices cut losses in late trade led by recovery in banking stocks.
Volatility was high
Metal shares were the chief casualty of the day with Sterlite
Industries plunging over 11% and Tata Steel sliding 5%. Index
heavyweight Reliance Industries dropped little under 3%. The market
breadth was extremely weak.
US stocks slumped on Tuesday, 9 September 2008 as financial shares
sold off on worries about Lehman Brothers' ability to raise
much-needed cash. The Dow Jones industrial average plunged 280.01
points, or 2.43%, to 11,230.73. The S&P 500 index fell 43.28
points, or 3.41%, to 1,224.51, and the Nasdaq Composite index
declined 59.95 points, or 2.64%, to 2,209.81.
European markets which opened after Indian market were subdued. Key
benchmark indices in UK, Germany and France were down by between
0.50% and 1.17%.
Asian markets which opened before Indian market were mixed today,
10 September 2008. Key benchmark indices in Japan, Hong Kong,
Singapore were down by between 0.44% and 2.40%. Indices in China,
South Korea, and Taiwan rose between 0.23% and 0.72%.
The BSE 30-share Sensex slipped 238.15 points or 1.6%, to settle at
14,662.61. It opened 188.23 points lower at 14,717.53. At the day's
low of 14,609.83 hit in late trade, the Sensex lost 290.93 points.
At the day's high of 14,866.32 hit in mid-morning trade, the Sensex
fell 34.44 points.
The S&P CNX Nifty slipped 68.45 points or 1.53% at 4400.25. Nifty
September 2008 futures were at 4415.30, at a premium of 15.05
points as compared to spot closing. NSE's futures & options (F&O)
segment turnover was Rs 52,717.79 crore, which was higher than Rs
43,958.71 crore on Tuesday, 9 September 2008.
The BSE Sensex is down 5624.38 points or 27.72% in the calendar
year 2008 so far from its close of 20,286.99 on 31 December 2007.
It is 6554.16 points or 30.85% away from its all-time high of
21,206.77 struck on 10 January 2008.
Reliance Power was down 0.03% to Rs 169.35. The stock replaced Dr
Reddy's Labs in Nifty index from today. Dr Reddy's Labs slipped
1.97% to Rs 567.05.
The market breadth was weak on BSE with 1716 shares declining as
compared to 944 that advanced. 77 remained unchanged.
The total turnover on BSE amounted to Rs 5152 crore on BSE as
compared to Rs 4,587.35 crore on Tuesday, 9 September 2008.
The BSE Mid-cap index fell 1.20% at 5,708.93 and the BSE Small-cap
index slipped 0.88% to 6,903.42
Among the 30-member Sensex pack, 21 declined while the rest
advanced.
The BSE Metal index lost the most among the sectoral indices on
BSE, sliding 5.48% to 11,154 weighed by steep fall in Sterlite
Industries. Aluminium and copper maker Sterlite Industries tanked
11.76% to Rs 508 after plunging 7.50% to Rs 575.70 yesterday, 9
September 2008. It was the top loser from the Sensex pack. The
Sterlite ADR tumbled 16.23% yesterday, 9 September 2008 on the New
York Stock Exchange (NYSE) after the Vedanta group on Tuesday, 9
September 2008 announced a restructuring to simplify its corporate
structure into three commodity-focused groups: copper and
zinc-lead, aluminium-energy and iron ore.
As per the restructuring scheme, which will be effective from April
2009, Sterlite will demerge its aluminium and energy businesses to
Madras Aluminium Company (Malco) to be simultaneously renamed
Sterlite Aluminium. Vedanta will transfer its 79.4% equity interest
in Konkola Copper Mines Plc (KCM) to Sterlite.
Malco will issue seven shares of Rs 2 each to the shareholders of
Sterlite for every four shares of Rs 2 each held by them. Sterlite
will issue one share of Rs 2 each to Malco shareholders for every
51 shares of Rs 2 each held by them.
Madras Aluminium Company (Malco) was down 5.72% to Rs 201.95 on
26.87 lakh shares
Worlds sixth largest steel producer by capacity Tata Steel plunged
5.10% to Rs 535.60.
Other metal stocks JSW Steel (down 7.43% to Rs 662), Jindal Steel &
Power (down 7.97% to Rs 1656.70), Sesa Goa (down 3.73% to Rs 142),
Hindustan Zinc (down 3.57% to Rs 529.75), and Steel Authority of
India (down 6.40% to Rs 140.30), slumped.
India's largest private sector firm by market capitalization and
oil refiner Reliance Industries (RIL) lost 2.93% to Rs 2080 on 9.70
lakh shares. The stock came off its day's high of Rs 2135 hit in
early trade. As per reports, the Prime Minister's Office (PMO) may
recommend levy of export tax or even ban petroleum product exports
from Reliance's export oriented refineries in Jamnagar. The BSE Oil
& Gas index slipped 2.18% to 9,667.38.
Banking shares staged a comeback in late trade. The Bankex slipped
0.58% to 7,325.35. India's largest private sector bank in terms of
net profit ICICI Bank was down 1.52% to Rs 702, off day's low of Rs
686.60. HDFC Bank, India's second largest private sector bank in
terms of net profit was down 0.62% to Rs 1285.05, off day's low of
Rs 1250.10. India's largest state run bank in terms of net assets
State Bank of India rose 0.35% to Rs 1566 after sliding to a low of
Rs 1534.35.
Capital goods heavyweights slipped, leading a 1.07% fall to
12,233.80 in BSE Capital Goods index. India's largest power
equipment maker by sales, Bharat Heavy Electricals declined 1.95%
to Rs 1712.90. The company on Tuesday, 9 September 2008, said it
won a contract worth Rs 2,200 crore for setting up a combined cycle
power plant in Tripura on turnkey basis.
India's largest engineering & construction firm by outstanding
order book position Larsen & Toubro fell 0.97% to Rs 2710. Larsen &
Tobro today, 10 September 2008, said it had received an order worth
$160 million from Brazil's Petrobras
Telecom pivotals were also subdued. India's second largest cellular
services provider in terms of market capitalisation Reliance
Communications (RCom) slipped 0.68% to Rs 402.50. As per recent
reports, RCom's subsidiary Reliance Big Entertainment has acquired
a majority stake in the US-based cricket webcasting portal, Willow
TV, for an undisclosed amount.
Bharti Airtel, the country's largest cellular services provider in
terms of market capitalisation declined 3.04% to Rs 811
Reliance Infrastructure (down 3.17% to Rs 1037), Tata Power (down
3.54% to Rs 1048), and Jaiprakash Associates (down 2.44% to Rs
167.60), edged lower from Sensex pack.
North India's largest cement maker by sales ACC gained 1.30% to Rs
604.45 and was the top gainer from Sensex pack.
Real estate heavyweights slipped with the BSE Realty index sliding
1.52% to 4,999.99. DLF, the country's largest realty company by
market capitalisation slipped 0.19% to Rs 502.90. On Monday, 8
September 2008, the company received a clearance from the
Securities and Exchange Board of India (Sebi) to go ahead with a
buyback plan. In July 2008, DLF had announced its Rs 1,100-crore
plan to buy back shares from existing shareholders at a price not
exceeding Rs 600 a share.
Unitech, the country's second largest realty company by market
capitalisation, fell 2.55% to Rs 158.45.
Ranbaxy Laboratories, India's top drug maker by sales fell 0.32% to
Rs 455. The Japanese drug maker Daiichi Sankyo's open offer to
acquire an additional 20% stake at Rs 737 a share in the company
ended on 4 September 2008.
IT pivotals were mixed despite the rupee sliding past the 45 mark
per dollar today, 10 September 2008. India's second largest
software services exporter Infosys Technologies rose 0.68% to Rs
1758.95. The stock came off day's low of Rs 1726.
Other IT pivotals Satyam Computer Services (down 0.79% to Rs
421.65), Wipro (down 0.24% to Rs 433.10), and TCS (down 1.98% to Rs
849.05), edged lower. IT firms derive a lion's share of revenue by
way of exports and therefore fall in the domestic currency benefits
the IT sector.
Austral Coke & Projects topped the turnover chart on BSE with a
turnover of Rs 275.65 crore followed by Sterlite Industries (Rs
212.85 crore), Reliance Industries (Rs 204.30 crore), Reliance
Capital (Rs 184.30 crore) and ICICI Bank (Rs 159.60 crore), in that
order.
IFCI led the volumes chart on BSE clocking volumes of 2.12 crore
shares followed by Reliance Natural Resources (93.55 lakh shares),
Tata Teleservices (Maharashtra) (72.60 lakh shares), Reliance Power
(46.75 lakh shares) and Sterlite Industries (40.65 lakh shares), in
that order.
SEL Manufacturing Company plunged 8.35% to Rs 215.65. The company
said it would set up a technical textile park in Himachal Pradesh.
The company made this announcement during trading hours today, 10
September 2008.
Usher Agro surged 12.05% to Rs 192 after company entered into a
memorandum of understanding with Satake Corporation, Japan for
expansion of rice milling capacity by another 1 million tonne. The
company announced the expansion plans during market hours today, 10
September 2008.
Hydro S&S Industries galloped 20% to Rs 41.45 after the company
said its board will meet on 16 September 2008 to consider buyback
of equity shares. The company made this announcement after trading
hours on Tuesday, 9 September 2008.
Madras Cements gained 4.16% to Rs 2620.10 after the company's board
fixed 10 October 2008 as the record date for 1:1 bonus issue and
10-for-1 stock split. The company fixed the record date after
trading hours on Tuesday, 9 September 2008.
Market opens on a weak note; Sterlite Industries tumbles
Key benchmark indices opened lower today, 10 September 2008, on
weak cues from global markets. The BSE 30-share Sensex was down
144.81 points. The market breadth was negative. Sterlite Industries
tumbled over 6%. Banking shares were under pressure.
US stocks slumped on Tuesday, 9 September 2008 as financial shares
sold off on worries about Lehman Brothers' ability to raise
much-needed cash. The Dow Jones industrial average plunged 280.01
points, or 2.43%, to 11,230.73. The S&P 500 index fell 43.28
points, or 3.41%, to 1,224.51, and the Nasdaq Composite index
declined 59.95 points, or 2.64%, to 2,209.81.
Asian markets were mixed today, 10 September 2008. Key benchmark
indices in Japan, Hong Kong, Singapore, were down by between 0.75%
and 1.52%. Indices in China, South Korea, and Taiwan rose between
0.04% and 1.06%.
At 10:25 IST, the BSE 30-share Sensex was down 144.81 points or
0.97% to 14,755.39. It opened 188.23 points lower at 14,717.53,
which is also its day's low so far. At the day's high of 14,836.82
hit in early trade, the Sensex fell 63.94 points.
The S&P CNX Nifty slipped 42.40 points or 0.95% to 4,426.3
The market breadth was negative on BSE with 836 shares declining as
compared to 678 that advanced. 59 remained unchanged.
The total turnover on BSE amounted to Rs 623 crore.
Among the 30-member Sensex pack, 23 declined while the rest gained.
India's largest aluminium and copper maker by sales Sterlite
Industries tanked 6.39% to Rs 539 tracking sharp fall in its ADR
which tumbled 16.23% yesterday, 9 September 2008 on the New York
Stock Exchange (NYSE). The counter saw high volumes of 8.27 lakh
shares. It was the top loser from the Sensex pack.
The company yesterday, 9 September 2008 said its parent Vedanta
Resources PLC has approved a restructuring program of the group's
businesses. Under the scheme, Sterlite will demerge its aluminium
and energy businesses to Madras Aluminium which will be later
renamed Sterlite Aluminum. Sterlite Industries shareholders would
get seven shares in Madras Aluminium for every four shares held as
part of a restructuring.
Banking shares were under pressure. ICICI Bank (down 2.22% to Rs
696.80), State Bank of India (down 0.55% to Rs 1552.10), and HDFC
Bank (down 1.47% to Rs 1273.05), slipped.
India's largest private sector firm by market capitalization and
oil refiner Reliance Industries (RIL) declined 1.35% to Rs 2114 on
1.03 lakh shares.
Mahindra & Mahindra (down 1.04% to Rs 576.20), Tata Motors (down
0.81% to Rs 417), and NPTC (down 0.72% to Rs 178.30), edged lower
from the Sensex pack.
Ranbaxy Laboratories, India's top drug maker by sales rose 1.25% to
Rs 462.10 and was the top gainer among the Sensex pack. The
Japanese drug maker Daiichi Sankyo's open offer to acquire an
additional 20% stake at Rs 737 a share in the company ended on 4
September 2008.
Wipro (up 1.12% to Rs 439), DLF (up 0.67% to Rs 507.20), and ACC
(up 0.43% to Rs 599.25), edged higher from Sensex pack.
Meanwhile the central bank governor Duvvuri Subbarao said on
Tuesday, 9 September 2008 that India's inflation is showing signs
of moderating but it is too early to conclude whether this is a
trend and signaled that he would wait and see before taking any
fresh steps.
US crude for October 2008 delivery rose 52 cents at $103.78 a
barrel today, 10 September 2008, after the Organisation of
Petroleum Exporting Countries (Opec) surprised traders with a deal
to effectively cut production by just over 500,000 barrels per day
(bpd). US crude for October 2008 delivery had touched a 5-month low
of $103.72 yesterday, 9 September 2008.
Back home, key benchmark indices ended a choppy session lower on
Tuesday, 9 September 2008, weighed by weak Asian markets. The BSE
30-share Sensex declined 44.21 points or 0.3%, to settle at
14,900.76 and the S&P CNX Nifty slipped 13.6 points or 0.3%, to
4468.70, on that day.
weak cues from global markets. The BSE 30-share Sensex was down
144.81 points. The market breadth was negative. Sterlite Industries
tumbled over 6%. Banking shares were under pressure.
US stocks slumped on Tuesday, 9 September 2008 as financial shares
sold off on worries about Lehman Brothers' ability to raise
much-needed cash. The Dow Jones industrial average plunged 280.01
points, or 2.43%, to 11,230.73. The S&P 500 index fell 43.28
points, or 3.41%, to 1,224.51, and the Nasdaq Composite index
declined 59.95 points, or 2.64%, to 2,209.81.
Asian markets were mixed today, 10 September 2008. Key benchmark
indices in Japan, Hong Kong, Singapore, were down by between 0.75%
and 1.52%. Indices in China, South Korea, and Taiwan rose between
0.04% and 1.06%.
At 10:25 IST, the BSE 30-share Sensex was down 144.81 points or
0.97% to 14,755.39. It opened 188.23 points lower at 14,717.53,
which is also its day's low so far. At the day's high of 14,836.82
hit in early trade, the Sensex fell 63.94 points.
The S&P CNX Nifty slipped 42.40 points or 0.95% to 4,426.3
The market breadth was negative on BSE with 836 shares declining as
compared to 678 that advanced. 59 remained unchanged.
The total turnover on BSE amounted to Rs 623 crore.
Among the 30-member Sensex pack, 23 declined while the rest gained.
India's largest aluminium and copper maker by sales Sterlite
Industries tanked 6.39% to Rs 539 tracking sharp fall in its ADR
which tumbled 16.23% yesterday, 9 September 2008 on the New York
Stock Exchange (NYSE). The counter saw high volumes of 8.27 lakh
shares. It was the top loser from the Sensex pack.
The company yesterday, 9 September 2008 said its parent Vedanta
Resources PLC has approved a restructuring program of the group's
businesses. Under the scheme, Sterlite will demerge its aluminium
and energy businesses to Madras Aluminium which will be later
renamed Sterlite Aluminum. Sterlite Industries shareholders would
get seven shares in Madras Aluminium for every four shares held as
part of a restructuring.
Banking shares were under pressure. ICICI Bank (down 2.22% to Rs
696.80), State Bank of India (down 0.55% to Rs 1552.10), and HDFC
Bank (down 1.47% to Rs 1273.05), slipped.
India's largest private sector firm by market capitalization and
oil refiner Reliance Industries (RIL) declined 1.35% to Rs 2114 on
1.03 lakh shares.
Mahindra & Mahindra (down 1.04% to Rs 576.20), Tata Motors (down
0.81% to Rs 417), and NPTC (down 0.72% to Rs 178.30), edged lower
from the Sensex pack.
Ranbaxy Laboratories, India's top drug maker by sales rose 1.25% to
Rs 462.10 and was the top gainer among the Sensex pack. The
Japanese drug maker Daiichi Sankyo's open offer to acquire an
additional 20% stake at Rs 737 a share in the company ended on 4
September 2008.
Wipro (up 1.12% to Rs 439), DLF (up 0.67% to Rs 507.20), and ACC
(up 0.43% to Rs 599.25), edged higher from Sensex pack.
Meanwhile the central bank governor Duvvuri Subbarao said on
Tuesday, 9 September 2008 that India's inflation is showing signs
of moderating but it is too early to conclude whether this is a
trend and signaled that he would wait and see before taking any
fresh steps.
US crude for October 2008 delivery rose 52 cents at $103.78 a
barrel today, 10 September 2008, after the Organisation of
Petroleum Exporting Countries (Opec) surprised traders with a deal
to effectively cut production by just over 500,000 barrels per day
(bpd). US crude for October 2008 delivery had touched a 5-month low
of $103.72 yesterday, 9 September 2008.
Back home, key benchmark indices ended a choppy session lower on
Tuesday, 9 September 2008, weighed by weak Asian markets. The BSE
30-share Sensex declined 44.21 points or 0.3%, to settle at
14,900.76 and the S&P CNX Nifty slipped 13.6 points or 0.3%, to
4468.70, on that day.
Pre Market Report 10/09/2008
Key benchmark indices are likely to open lower today, 10 September 2008 on weak cues from global markets. Volatility is likely to remain high.
Meanwhile the Central bank governor Duvvuri Subbarao said on Tuesday, 9 September 2008 that India's inflation is showing signs of moderating but it is too early to conclude whether this is a trend and signaled that he would wait and see before taking any fresh steps.
US crude for October 2008 delivery rose 52 cents at $103.78 a barrel today, 10 September 2008 after organisation of petroleum exporting countries surprised traders with a deal to effectively cut production by just over 500,000 barrels per day (bpd) from July 2008 levels.
Most Asian markets were trading lower today, 10 September 2008, tracking losses on the Wall Street. China's Shanghai Composite plunged 1.93% or 41.35 points at 2,104.43, Japan's Nikkei slipped 1.06% or 131.11 points at 12,269.54, Hong Kong's Hang Seng tumbled 2.12% or 435.31 points at 20,055.80, Singapore's Straits Times fell 1.01% or 26.94 points at 2,646.27, South Korea's Seoul Composite was down 0.02% or 0.35 points at 1,454.15. However, Taiwan's Taiwan Weighted gained 0.79% or 50.51 points at 6,475.28
US stocks slumped on Tuesday, 9 September 2008 as financial shares sold off on worries about Lehman Brothers' ability to raise much-needed cash. The Dow Jones industrial average plunged 280.01 points, or 2.43%, to 11,230.73. The S&P 500 index fell 43.28 points, or 3.41%, to 1,224.51, and the Nasdaq Composite index declined 59.95 points, or 2.64%, to 2,209.81.
Back home, key benchmark indices ended a choppy session lower on Tuesday, 9 September 2008, weighed by weak Asian markets. The BSE 30-share Sensex declined 44.21 points or 0.3%, to settle at 14,900.76 and the S&P CNX Nifty slipped 13.6 points or 0.3%, to 4468.70, on that day.
The BSE Sensex is down 5386.23 points or 26.55% in the calendar year 2008 so far from its close of 20,286.99 on 31 December 2007. It is 6306.01 points or 29.73% away from its all-time high of 21,206.77 struck on 10 January 2008.
Foreign institutional investors (FIIs) were net equity sellers worth Rs 391.53 crore while mutual funds bought shares worth Rs 106.27 crore on Tuesday, 9 September 2008, according to provisional data on NSE.
FIIs were net buyers of Rs 33.39 crore in the futures & options segment on Tuesday, 9 September 2008. They were net buyers of index futures to the tune of Rs 450.28 crore and bought index options worth Rs 43.99 crore. They were net sellers of stock futures to the tune of Rs 577.41 crore and bought stock options worth Rs 49.75 crore.
Meanwhile the Central bank governor Duvvuri Subbarao said on Tuesday, 9 September 2008 that India's inflation is showing signs of moderating but it is too early to conclude whether this is a trend and signaled that he would wait and see before taking any fresh steps.
US crude for October 2008 delivery rose 52 cents at $103.78 a barrel today, 10 September 2008 after organisation of petroleum exporting countries surprised traders with a deal to effectively cut production by just over 500,000 barrels per day (bpd) from July 2008 levels.
Most Asian markets were trading lower today, 10 September 2008, tracking losses on the Wall Street. China's Shanghai Composite plunged 1.93% or 41.35 points at 2,104.43, Japan's Nikkei slipped 1.06% or 131.11 points at 12,269.54, Hong Kong's Hang Seng tumbled 2.12% or 435.31 points at 20,055.80, Singapore's Straits Times fell 1.01% or 26.94 points at 2,646.27, South Korea's Seoul Composite was down 0.02% or 0.35 points at 1,454.15. However, Taiwan's Taiwan Weighted gained 0.79% or 50.51 points at 6,475.28
US stocks slumped on Tuesday, 9 September 2008 as financial shares sold off on worries about Lehman Brothers' ability to raise much-needed cash. The Dow Jones industrial average plunged 280.01 points, or 2.43%, to 11,230.73. The S&P 500 index fell 43.28 points, or 3.41%, to 1,224.51, and the Nasdaq Composite index declined 59.95 points, or 2.64%, to 2,209.81.
Back home, key benchmark indices ended a choppy session lower on Tuesday, 9 September 2008, weighed by weak Asian markets. The BSE 30-share Sensex declined 44.21 points or 0.3%, to settle at 14,900.76 and the S&P CNX Nifty slipped 13.6 points or 0.3%, to 4468.70, on that day.
The BSE Sensex is down 5386.23 points or 26.55% in the calendar year 2008 so far from its close of 20,286.99 on 31 December 2007. It is 6306.01 points or 29.73% away from its all-time high of 21,206.77 struck on 10 January 2008.
Foreign institutional investors (FIIs) were net equity sellers worth Rs 391.53 crore while mutual funds bought shares worth Rs 106.27 crore on Tuesday, 9 September 2008, according to provisional data on NSE.
FIIs were net buyers of Rs 33.39 crore in the futures & options segment on Tuesday, 9 September 2008. They were net buyers of index futures to the tune of Rs 450.28 crore and bought index options worth Rs 43.99 crore. They were net sellers of stock futures to the tune of Rs 577.41 crore and bought stock options worth Rs 49.75 crore.
Tuesday, September 9, 2008
Post Market Report:09/09/2008
Key benchmark indices ended a choppy session lower weighed down by
weak Asian markets. The BSE 30-share Sensex declined 44.21 points.
Firm European markets triggered a sharp recovery in afternoon
trade, lifting the Sensex to positive zone but the market once
again slipped into the red on fresh selling at higher level. The
market breadth was negative.
Sterlite Industries tumbled 8%. Tata Motors was under pressure
throughout the day, sliding around 4%. On the positive side Bharti
Airtel and Maruti Suzuki India added over 2% each. Telecom pivotals
were in demand. Capital goods heavyweights saw divergent trend.
Refinery and sugar stocks bucked weak market trend.
European markets, which opened after Indian markets were trading
higher. Key benchmark indices in UK, Germany and France rose
between 0.39% and 1.24%.
Asian stocks dropped. Key benchmark indices in Japan, Hong Kong,
Taiwan, Singapore, South Korea were down by between 0.93% and
3.51%. However China's Shanghai Composite rose 0.11%.
The BSE 30-share Sensex declined 44.21 points or 0.3%, to settle at
14,900.76. It opened 130.64 points lower at 14,814.33. At the day's
high of 14,998.32 hit in mid-afternoon trade, the Sensex gained
53.35 points. At the day's low of 14,714.92 hit in early trade, the
Sensex lost 230.05 points.
The S&P CNX Nifty slipped 13.6 points or 0.3%, to end at 4468.70.
Nifty September 2008 futures were at 4481, at a premium of 12.30
points as compared to spot closing.
The BSE Sensex is down 5386.23 points or 26.55% in the calendar
year 2008 so far from its close of 20,286.99 on 31 December 2007.
It is 6306.01 points or 29.73% away from its all-time high of
21,206.77 struck on 10 January 2008.
The market breadth was negative on BSE with 1464 shares declining
as compared to 1181 that advanced. 69 remained unchanged.
The BSE Mid-cap index fell 0.72% at 5,778.20 and BSE Small-cap
index declined 0.26% to 6,964.61
The total turnover on BSE amounted to Rs 4550 crore as compared to
Rs 4,505.75 crore yesterday, 8 September 2008. NSE's futures &
options (F&O) segment turnover was Rs 43,958.71 crore, which was
lower than Rs 45,977.53 crore on Monday, 8 September 2008.
Among the 30-member Sensex pack, 20 declined while the rest gained.
Metal stocks suffered the most among the sectoral indices on BSE
led by Sterlite Industries. India's largest aluminium and copper
maker by sales plunged 8.07% to Rs 572.15 on 23.05 lakh shares. It
was the top loser from Sensex pack. Sterlite Industries today said
its parent company, Vedanta Resources PLC approved a restructuring
program of the group's businesses. Under the scheme, Sterlite will
demerge its aluminium and energy businesses to Madras Aluminium
which will be later renamed Sterlite Aluminum. Sterlite Industries
shareholders would get seven shares in Madras Aluminium for every
four shares held as part of a restructuring. The BSE Metal index
lost 1.78% to 11,801.18.
Madras Aluminium jumped 20% to Rs 219 on high volumes of 49.41 lakh
shares.
India's top truck maker by sales Tata Motors lost 3.80% to Rs
419.90. The stock slipped after the company said on Monday, 8
September 2008, that the suspension of work at the Nano plant will
continue due to limited clarity on the outcome of Sunday's talks
between the State government and the leadership of the just ended
Trinamool Congress-led agitation outside the Singur site.
Ranbaxy, India's top drug maker by sales fell 2.91% to Rs 450.90,
after striking day's high of Rs 480. The Japanese drug maker
Daiichi Sankyo's open offer to acquire an additional 20% stake at
Rs 737 a share in the company ended on 4 September 2008.
Capital goods heavyweights saw divergent trend. The BSE Capital
Goods index fell 0.46% to 12,366.39. India's largest power
equipment maker by sales, Bharat Heavy Electricals declined 2.49%
to Rs 1746 despite reports the company has won a contract worth Rs
2,200 crore for setting up a combined cycle power plant in Tripura
on turnkey basis.
India's largest engineering & construction firm by outstanding
order book position Larsen & Toubro rose 0.09% to Rs 2739.85, after
touching day's low of Rs 2691.25
Real estate shares were subdued. The BSE Realty index fell 1.16% at
5,077.16. DLF, the country's largest realty company by market
capitalisation fell 1.36% to Rs 505.10. On Monday, 8 September
2008, the company received a clearance from the Securities and
Exchange Board of India (Sebi) to go ahead with a buyback plan. In
July 2008, DLF had announced its Rs 1,100-crore plan to buy back
shares from existing shareholders at a price not exceeding Rs 600 a
share.
Unitech, the country's largest listed realty company, fell 0.46% to
Rs 162.50
India's largest private sector bank by net profit ICICI Bank shed
0.74% to Rs 715.45. Other banking shares State Bank of India (down
2.16% to Rs 1557.10), and HDFC Bank (down 0.67% to Rs 1292),
slipped. The Bankex lost 1.28% to 7,368.33.
India's second largest software services exporter Infosys
Technologies fell 0.08% to Rs 1747.10. The stock came off day's low
of Rs 1700. HCL Technologies may reportedly counter bid Infosys for
acquiring the UK-based SAP consultant Axon. According to reports,
HCL may make an offer in the range of 690 pence per share for Axon
compared to Infosys' offer of 600 pence per share
Tata Power Company (down 1.69% to Rs 1082.30), and Mahindra &
Mahindra (down 1.42% to Rs 582), edged lower from the Sensex pack.
India's largest private sector firm by market capitalization and
oil refiner Reliance Industries (RIL) was down 0.11% to Rs 2129.70
on 8.11 lakh shares. The stock moved in a range of Rs 2086.15 and
Rs 2156.40 during the day.
India's top small car maker by sales Maruti Suzuki India gained
2.36% to Rs 710 on 1.79 lakh shares. It was the top gainer from
Sensex pack.
Telecom shares were in demand. India's second largest cellular
services provider in terms of market capitalisation Reliance
Communications (RCom) advanced 1.57% to Rs 404.80. As per recent
reports, RCom's subsidiary Reliance Big Entertainment has acquired
a majority stake in the US-based cricket webcasting portal, Willow
TV, for an undisclosed amount.
Bharti Airtel, the country's largest cellular services provider in
terms of market capitalisation rose 2.15% to Rs 837
India's largest oil exploration company by market capitalisation
Oil and Natural Gas Corporation (ONGC) rose 0.25% to Rs 1102. As
per reports the company's wholly-owned subsidiary ONGC Videsh (OVL)
has bid for a 20% stake in the Angolan Block 32, which is owned by
a consortium of firms led by French firm Total Exploration and
Production Angola. The Angolan Block 32 reportedly has 1.5 billion
barrels of oil reserves, the production of which is slated to start
in 2012.
Reliance Infrastructure (up 1.24% to Rs 1071.50), Grasim (up 0.41%
to Rs 2020) and TCS (up 1.40% to Rs 866.90) gained from Sensex
pack.
Resurgere Mines & Minerals was the top traded counter on BSE with
turnover of Rs Rs 262.80 crore followed by Austral Coke & Projects
(Rs 239.50 crore), Reliance Industries (Rs 172.35 crore), Reliance
Capital (Rs 155.25 crore) and Gokul Refoils (Rs 153.85 crore), in
that order.
IFCI led the volumes chart on BSE notching volumes of 2.15 crore
shares followed by Austral Coke & Projects (1.06 crore shares),
Resurgere Mines & Minerals (86.50 lakh shares), Reliance Natural
Resources (74.15 lakh shares) and Reliance Power (58 lakh shares),
in that order.
Refinery stocks gained on drop in oil prices. Hindustan Petroleum
Corporation (up 5.70% to Rs 245.55), Bharat Petroleum Corporation
(up 2.26% to Rs 353), and Indian Oil Corporation (up 0.10% to Rs
432.90), rose. US crude for October 2008 delivery fell $1.18 to
$105.16 a barrel today, 9 September 2008. It hit a five-month low
of $104.70 a barrel yesterday, 8 September 2008.
Sugar stocks were in demand after the Supreme Court in an interim
order on Monday, 8 September 2008, asked sugar mills in Uttar
Pradesh (UP) to pay yo all outstanding cane arrears to growers for
the 2007-08 crushing season at the rate of Rs 110 for a quintal
within the next four weeks. Balrampur Chini Mills (up 3.31% to Rs
95.10), Shree Renuka Sugars (up 1.33% to Rs 121.75), and Bajaj
Hindustan (up 0.91% to Rs 172.30), gained.
This is lower than the State Advised price of Rs 125 for a quintal
fixed by the UP government for the current season.
Tech Mahindra rose 2.84% at Rs 796.10 on reports the firm bagged a
$250 million, 7-year contract from a North Amercian telecom
services firm. It has also won a smaller, 3-year deal from a
Kuwait-based telecom firm for under $10 million. Revenues from both
contracts will start flowing in from the last quarter of the
current financial year, the reports added.
Idea Cellular rose 2.72% to Rs 85.10. The company has fixed 6
October 2008, as the closing date for its open offer for an
additional 20% stake in Spice Communications. The offer opens on 17
September 2008.
Punj Lloyd slipped 1.36% to Rs 304.50. The company said its
Singapore unit Punj Lloyd Pte has bagged an order worth Rs 167
crore from FWP, Singapore to carry out select mechanical work on
Jurong Island, Singapore. The company made this announcement during
trading hours today, 9 September 2008.
Ramco Systems jumped 6.80% to Rs 106 after the company said on
Monday, 8 September 2008, its board will meet on 11 September 2008
to consider certain changes in the proposed rights issue to raise
up to Rs 173 crore.
weak Asian markets. The BSE 30-share Sensex declined 44.21 points.
Firm European markets triggered a sharp recovery in afternoon
trade, lifting the Sensex to positive zone but the market once
again slipped into the red on fresh selling at higher level. The
market breadth was negative.
Sterlite Industries tumbled 8%. Tata Motors was under pressure
throughout the day, sliding around 4%. On the positive side Bharti
Airtel and Maruti Suzuki India added over 2% each. Telecom pivotals
were in demand. Capital goods heavyweights saw divergent trend.
Refinery and sugar stocks bucked weak market trend.
European markets, which opened after Indian markets were trading
higher. Key benchmark indices in UK, Germany and France rose
between 0.39% and 1.24%.
Asian stocks dropped. Key benchmark indices in Japan, Hong Kong,
Taiwan, Singapore, South Korea were down by between 0.93% and
3.51%. However China's Shanghai Composite rose 0.11%.
The BSE 30-share Sensex declined 44.21 points or 0.3%, to settle at
14,900.76. It opened 130.64 points lower at 14,814.33. At the day's
high of 14,998.32 hit in mid-afternoon trade, the Sensex gained
53.35 points. At the day's low of 14,714.92 hit in early trade, the
Sensex lost 230.05 points.
The S&P CNX Nifty slipped 13.6 points or 0.3%, to end at 4468.70.
Nifty September 2008 futures were at 4481, at a premium of 12.30
points as compared to spot closing.
The BSE Sensex is down 5386.23 points or 26.55% in the calendar
year 2008 so far from its close of 20,286.99 on 31 December 2007.
It is 6306.01 points or 29.73% away from its all-time high of
21,206.77 struck on 10 January 2008.
The market breadth was negative on BSE with 1464 shares declining
as compared to 1181 that advanced. 69 remained unchanged.
The BSE Mid-cap index fell 0.72% at 5,778.20 and BSE Small-cap
index declined 0.26% to 6,964.61
The total turnover on BSE amounted to Rs 4550 crore as compared to
Rs 4,505.75 crore yesterday, 8 September 2008. NSE's futures &
options (F&O) segment turnover was Rs 43,958.71 crore, which was
lower than Rs 45,977.53 crore on Monday, 8 September 2008.
Among the 30-member Sensex pack, 20 declined while the rest gained.
Metal stocks suffered the most among the sectoral indices on BSE
led by Sterlite Industries. India's largest aluminium and copper
maker by sales plunged 8.07% to Rs 572.15 on 23.05 lakh shares. It
was the top loser from Sensex pack. Sterlite Industries today said
its parent company, Vedanta Resources PLC approved a restructuring
program of the group's businesses. Under the scheme, Sterlite will
demerge its aluminium and energy businesses to Madras Aluminium
which will be later renamed Sterlite Aluminum. Sterlite Industries
shareholders would get seven shares in Madras Aluminium for every
four shares held as part of a restructuring. The BSE Metal index
lost 1.78% to 11,801.18.
Madras Aluminium jumped 20% to Rs 219 on high volumes of 49.41 lakh
shares.
India's top truck maker by sales Tata Motors lost 3.80% to Rs
419.90. The stock slipped after the company said on Monday, 8
September 2008, that the suspension of work at the Nano plant will
continue due to limited clarity on the outcome of Sunday's talks
between the State government and the leadership of the just ended
Trinamool Congress-led agitation outside the Singur site.
Ranbaxy, India's top drug maker by sales fell 2.91% to Rs 450.90,
after striking day's high of Rs 480. The Japanese drug maker
Daiichi Sankyo's open offer to acquire an additional 20% stake at
Rs 737 a share in the company ended on 4 September 2008.
Capital goods heavyweights saw divergent trend. The BSE Capital
Goods index fell 0.46% to 12,366.39. India's largest power
equipment maker by sales, Bharat Heavy Electricals declined 2.49%
to Rs 1746 despite reports the company has won a contract worth Rs
2,200 crore for setting up a combined cycle power plant in Tripura
on turnkey basis.
India's largest engineering & construction firm by outstanding
order book position Larsen & Toubro rose 0.09% to Rs 2739.85, after
touching day's low of Rs 2691.25
Real estate shares were subdued. The BSE Realty index fell 1.16% at
5,077.16. DLF, the country's largest realty company by market
capitalisation fell 1.36% to Rs 505.10. On Monday, 8 September
2008, the company received a clearance from the Securities and
Exchange Board of India (Sebi) to go ahead with a buyback plan. In
July 2008, DLF had announced its Rs 1,100-crore plan to buy back
shares from existing shareholders at a price not exceeding Rs 600 a
share.
Unitech, the country's largest listed realty company, fell 0.46% to
Rs 162.50
India's largest private sector bank by net profit ICICI Bank shed
0.74% to Rs 715.45. Other banking shares State Bank of India (down
2.16% to Rs 1557.10), and HDFC Bank (down 0.67% to Rs 1292),
slipped. The Bankex lost 1.28% to 7,368.33.
India's second largest software services exporter Infosys
Technologies fell 0.08% to Rs 1747.10. The stock came off day's low
of Rs 1700. HCL Technologies may reportedly counter bid Infosys for
acquiring the UK-based SAP consultant Axon. According to reports,
HCL may make an offer in the range of 690 pence per share for Axon
compared to Infosys' offer of 600 pence per share
Tata Power Company (down 1.69% to Rs 1082.30), and Mahindra &
Mahindra (down 1.42% to Rs 582), edged lower from the Sensex pack.
India's largest private sector firm by market capitalization and
oil refiner Reliance Industries (RIL) was down 0.11% to Rs 2129.70
on 8.11 lakh shares. The stock moved in a range of Rs 2086.15 and
Rs 2156.40 during the day.
India's top small car maker by sales Maruti Suzuki India gained
2.36% to Rs 710 on 1.79 lakh shares. It was the top gainer from
Sensex pack.
Telecom shares were in demand. India's second largest cellular
services provider in terms of market capitalisation Reliance
Communications (RCom) advanced 1.57% to Rs 404.80. As per recent
reports, RCom's subsidiary Reliance Big Entertainment has acquired
a majority stake in the US-based cricket webcasting portal, Willow
TV, for an undisclosed amount.
Bharti Airtel, the country's largest cellular services provider in
terms of market capitalisation rose 2.15% to Rs 837
India's largest oil exploration company by market capitalisation
Oil and Natural Gas Corporation (ONGC) rose 0.25% to Rs 1102. As
per reports the company's wholly-owned subsidiary ONGC Videsh (OVL)
has bid for a 20% stake in the Angolan Block 32, which is owned by
a consortium of firms led by French firm Total Exploration and
Production Angola. The Angolan Block 32 reportedly has 1.5 billion
barrels of oil reserves, the production of which is slated to start
in 2012.
Reliance Infrastructure (up 1.24% to Rs 1071.50), Grasim (up 0.41%
to Rs 2020) and TCS (up 1.40% to Rs 866.90) gained from Sensex
pack.
Resurgere Mines & Minerals was the top traded counter on BSE with
turnover of Rs Rs 262.80 crore followed by Austral Coke & Projects
(Rs 239.50 crore), Reliance Industries (Rs 172.35 crore), Reliance
Capital (Rs 155.25 crore) and Gokul Refoils (Rs 153.85 crore), in
that order.
IFCI led the volumes chart on BSE notching volumes of 2.15 crore
shares followed by Austral Coke & Projects (1.06 crore shares),
Resurgere Mines & Minerals (86.50 lakh shares), Reliance Natural
Resources (74.15 lakh shares) and Reliance Power (58 lakh shares),
in that order.
Refinery stocks gained on drop in oil prices. Hindustan Petroleum
Corporation (up 5.70% to Rs 245.55), Bharat Petroleum Corporation
(up 2.26% to Rs 353), and Indian Oil Corporation (up 0.10% to Rs
432.90), rose. US crude for October 2008 delivery fell $1.18 to
$105.16 a barrel today, 9 September 2008. It hit a five-month low
of $104.70 a barrel yesterday, 8 September 2008.
Sugar stocks were in demand after the Supreme Court in an interim
order on Monday, 8 September 2008, asked sugar mills in Uttar
Pradesh (UP) to pay yo all outstanding cane arrears to growers for
the 2007-08 crushing season at the rate of Rs 110 for a quintal
within the next four weeks. Balrampur Chini Mills (up 3.31% to Rs
95.10), Shree Renuka Sugars (up 1.33% to Rs 121.75), and Bajaj
Hindustan (up 0.91% to Rs 172.30), gained.
This is lower than the State Advised price of Rs 125 for a quintal
fixed by the UP government for the current season.
Tech Mahindra rose 2.84% at Rs 796.10 on reports the firm bagged a
$250 million, 7-year contract from a North Amercian telecom
services firm. It has also won a smaller, 3-year deal from a
Kuwait-based telecom firm for under $10 million. Revenues from both
contracts will start flowing in from the last quarter of the
current financial year, the reports added.
Idea Cellular rose 2.72% to Rs 85.10. The company has fixed 6
October 2008, as the closing date for its open offer for an
additional 20% stake in Spice Communications. The offer opens on 17
September 2008.
Punj Lloyd slipped 1.36% to Rs 304.50. The company said its
Singapore unit Punj Lloyd Pte has bagged an order worth Rs 167
crore from FWP, Singapore to carry out select mechanical work on
Jurong Island, Singapore. The company made this announcement during
trading hours today, 9 September 2008.
Ramco Systems jumped 6.80% to Rs 106 after the company said on
Monday, 8 September 2008, its board will meet on 11 September 2008
to consider certain changes in the proposed rights issue to raise
up to Rs 173 crore.
OIL expects SEBI clearance for IPO by this week
OIL expects SEBI clearance for IPO by this week
State-run Oil India (OIL) on Monday said it expects to receive Sebi clearance for its maiden public offering within this week or the next, a top official told said here.
"After filing the DRHP last December, we have given a letter to Sebi highlighting the recent developments. We expect to get its approval either this week or the next week," OIL Chairman and Managing Dierector M R Pasrija told the media.
The Government owns 98.13 per cent stake in OIL and the remaining is with the employees and others. Post-issue, Government's stake would come down to 78.5 per cent.
The company will dilute 10 per cent stake to public through IPO, 10 per cent again for oil marketing companies like IOC, HPCL and BPCL at IPO price.
State-run Oil India (OIL) on Monday said it expects to receive Sebi clearance for its maiden public offering within this week or the next, a top official told said here.
"After filing the DRHP last December, we have given a letter to Sebi highlighting the recent developments. We expect to get its approval either this week or the next week," OIL Chairman and Managing Dierector M R Pasrija told the media.
The Government owns 98.13 per cent stake in OIL and the remaining is with the employees and others. Post-issue, Government's stake would come down to 78.5 per cent.
The company will dilute 10 per cent stake to public through IPO, 10 per cent again for oil marketing companies like IOC, HPCL and BPCL at IPO price.
Monday, September 8, 2008
Post Market Report:07/09/2008
Sep 8,2008 4:42:00 PM
Market cheers NSG nod for nuclear trade with India
Key benchmark indices surged today after the 45-nations Nuclear
Supplier Group (NSG) on Saturday, 6 September 2008, lifted a
34-year-old embargo on nuclear trade with India. The BSE 30-share
Sensex jumped 461.14 points. Strong Asian and European markets
supported domestic bourses.
The market, however, gave up some of the strong gains in late
trade. Both the key benchmark indices - BSE Sensex and S&P CNX
Nifty fell below their respective psychologically important levels
of 15,000 and 4,500, after topping those levels earlier in the day.
The market breadth was strong. All the 30 Sensex stocks were in
green. Sterlite Industries surged over 6%. Probable nuclear deal
beneficiaries were the flavor of the day. Banking and financial
shares also surged.
Stocks rose across the globe after the US government on Sunday, 7
September 2008 took over mortgage finance firms Fannie Mae and
Freddie Mac to limit extensive damage of the financial crisis. US
futures jumped. In Asia, key benchmark indices in Japan, Hong Kong,
Taiwan, Singapore, South Korea were up by between 3.88% and 5.57%.
However, China's Shanghai Composite was down 2.68%
In Europe, key benchmark indices in UK, Germany and France were up
by between 3.57% and 4.67%.
The BSE 30-share Sensex jumped 461.14 points or 3.18% at 14,944.97.
It opened 554.23 points higher at 15,034.06 and surged to strike an
intra-day high of 15,107.01 in early trade. At the day's high, the
Sensex gained 623.18 points. At the day's low of 14,917.06 hit in
late trade, the Sensex rose 433.23 points.
The S&P CNX Nifty jumped 130 points or 2.99%, to settle at 4482.30.
Nifty September 2008 futures were at 4510, at a premium of 27.70
points as compared to spot closing. NSE's futures & options (F&O)
segment turnover was Rs 45,977.53 crore, which was lower than Rs
46,868.19 crore on Friday, 5 September 2008.
The BSE Sensex is down 5342.02 points or 26.33% in the calendar
year 2008 so far from its close of 20,286.99 on 31 December 2007.
It is 6261.80 points or 29.53% away from its all-time high of
21,206.77 struck on 10 January 2008.
The NSG's acceptance of the US proposal to drop a ban on nuclear
trade with India will now put the Indo-US nuclear deal on the fast
track. The approval came after almost three days of meeting in
Vienna, lifting a 34-year-old embargo on nuclear trade with India.
The NSG meet was called to minimise any damage to the
Non-Proliferation Treaty, which India has not joined.
However, the nuclear deal still needs to be ratified by the US
Congress before it could take force. The Congress must act before
adjourning in late September 2008 for US presidential elections. If
that does not happen, the deal could be left to an uncertain fate
under a new US administration that takes office next year.
The market breadth was strong on BSE with 1656 shares advancing as
compared to 1040 that declined. 63 remained unchanged.
The total turnover on BSE amounted to Rs 4485 crore as compared to
Rs 4,815.43 crore on Friday, 5 September 2008.
The BSE Mid-Cap index rose 1.15% to 5,819.89 and the BSE Small-Cap
index gained 1.12% to 6,982.77. Both these indices underperformed
the Sensex.
India's top copper manufacturer in terms of sales, Sterlite
Industries jumped 6.16% to Rs 624 on 5.79 lakh shares. It was the
top gainer from Sensex pack
Banking and financial shares vaulted buoyed by the bailout of US
mortgage giants Fannie Mae and Freddie Mac. ICICI Bank (up 4.65% to
Rs 719), HDFC Bank (up 4.43% to Rs 1302.70), State Bank of India
(up 4.84% to Rs 1592.05), and Housing Development Finance
Corporation (up 4.12% to Rs 2375) surged.
Potential nuclear deal beneficiaries rallied. India's largest
private sector power generation firm by sales, Reliance
Infrastructure jumped 4.17% to Rs 1058.20. The company had earlier
announced plans to invest Rs 12,000- crore in nuclear power
capacity. It plans to install 2000 megawatt of nuclear power
capacity.
India's largest engineering & construction company by order book
position Larsen & Toubro gained 4.54% to Rs 2735.15. Bharat Heavy
Electricals, the nation's largest capital goods maker by sales
surged 2.90% to Rs 1782. The company supplies up to 500 megawatt of
equipment to Nuclear Power Corporation.
India's largest power generation company by sales, National Thermal
Power Corporation surged 4.50% to Rs 181.25. The company signed a
memorandum of understanding with Swiss Agency for Development and
Cooperation to formulate a long-term strategy for renewable energy
projects. The company made this announcement after trading hours on
Friday, 5 September 2008.
India's largest private sector firm by market capitalization and
oil refiner Reliance Industries (RIL) advanced 2.19% to Rs 2125 on
7.30 lakh shares.
Telecom pivotals were in demand on renewed buying interest. India's
second largest cellular services provider in terms of market
capitalisation Reliance Communications (RCom) advanced 1.03% to Rs
398, off day's high of Rs 415. RCom's subsidiary Reliance Big
Entertainment reportedly acquired a majority stake in the US-based
cricket webcasting portal, Willow TV, for an undisclosed amount.
India's largest cellular services provider in terms of market
capitalisation Bharti Airtel rose 1.54% to Rs 817.25
Ranbaxy, India's top drug maker by sales gained 3.61% to Rs 466.60,
after striking day's low of Rs 438.05. The Japanese drug maker
Daiichi Sankyo's open offer to acquire an additional 20% stake at
Rs 737 a share in the company ended on 4 September 2008.
IT pivotals advanced on fresh buying. Infosys Technologies (up
2.09% to Rs 1748.60), Satyam Computer Services (up 3.29% to Rs
429.50), Wipro (up 1.11% to Rs 431), and TCS (up 1.78% to Rs
853.10), logged gains.
Auto shares gained. India's top truck maker by sales Tata Motors
rose 4.30% to Rs 438 on reports of stalemate over acquisition of
land for the company's project at Singur ended on Sunday, 7
September 2008 following two rounds of discussions between West
Bengal Chief Minister Buddhadeb Bhattacharjee and Trinamool
Congress chief Mamata Banerjee.
But Tata Motors, which had suspended work at the site, said on
Monday, 8 September 2008, it would not start work until it was
confident of smooth operations and the continued viability of the
project.
Mahindra & Mahindra (up 0.61% to Rs 585.50), and Maruti Suzuki
India (up 0.92% to Rs 686), rose from auto pack.
Austral Coke & Projects topped the turnover chart on BSE with a
turnover of Rs 186.08 crore followed by Reliance Capital (Rs 173.60
crore), Reliance Industries (Rs 156.79 crore), Larsen & Toubro (Rs
156.01 crore) and Resurgere Mines & Minerals (Rs 149.25 crore), in
that order.
Reliance Natural Resources topped volumes on BSE notching volumes
of 93.22 lakh shares followed by Austral Coke & Projects (90.18
lakh shares), IFCI (80.24 lakh shares), Reliance Power (57.72 lakh
shares) and Karuturi Global (51.05 lakh shares), in that order.
Among the non-Sensex potential nuclear deal benefeciaries, Areva
T&D gained 3.08% to Rs 1675. Alstom Projects India surged 6.47% to
Rs 422.20. The company makes nuclear reactors and rotors.
Hindustan Construction Company jumped 7.58% to Rs 104.35. The
company has constructed four nuclear power projects in India. It is
an engineering procurement and construction contractor for nuclear
projects.
Walchandnagar Industries galloped 13.70% to Rs 302.45. It makes
critical equipment for India's nuclear power facilities.
Refinery shares declined as crude oil prices rose. Hindustan
Petroleum Corporation (down 1.31% to Rs 233.30), Bharat Petroleum
Corporation (down 3.90% to Rs 344), and Indian Oil Corporation
(down 2.92% to Rs 433.55), slipped.
New York's main contract, light sweet crude for delivery in October
2008 rose $2.37 to $108.60 per barrel today, 8 September 2008 on
worries hurricane Ike will threaten production facilities in the
oil-rich US Gulf Coast.
Cambridge Technology Enterprises was locked at 10% upper limit at
Rs 61.05 after the company said on Monday, 8 September 2008, its
board has approved the acquisition of US based Protege Software
Services Inc. The company made this announcement before trading
hours today, 8 September 2008.
Dolphin Offshore Enterprises India jumped 20% to Rs 281.15 after
the company said on Monday, 8 September 2008, it has bagged two
orders aggregating Rs 304 crore from Oil & Natural Gas Corporation.
The company made this announcement during trading hours today, 8
September 2008.
Hotel Leela Venture rose 3.26% to Rs 34.85 on reports the firm
plans adding seven new luxury hotels in the next three to five
years. The company will invest Rs 2,000-crore to add 2,000 rooms at
these new hotels.
Pratibha Industries surged 5.44% to Rs 284.90 after the company
said on Monday, 8 September 2008, it has secured a contract worth
Rs 44.75 crore from Delhi Jal Board for water transmission program.
The government is working on 32 reform laws, 21 of them in the area
of economy and finance, Trade Minister Kamal Nath said in an
interview to a German newspaper published on Monday, 8 September
2008. The government expects its coalition allies to support much
of its planned economic reform legislation, Nath told the
Handelsblatt daily.
Market cheers NSG nod for nuclear trade with India
Key benchmark indices surged today after the 45-nations Nuclear
Supplier Group (NSG) on Saturday, 6 September 2008, lifted a
34-year-old embargo on nuclear trade with India. The BSE 30-share
Sensex jumped 461.14 points. Strong Asian and European markets
supported domestic bourses.
The market, however, gave up some of the strong gains in late
trade. Both the key benchmark indices - BSE Sensex and S&P CNX
Nifty fell below their respective psychologically important levels
of 15,000 and 4,500, after topping those levels earlier in the day.
The market breadth was strong. All the 30 Sensex stocks were in
green. Sterlite Industries surged over 6%. Probable nuclear deal
beneficiaries were the flavor of the day. Banking and financial
shares also surged.
Stocks rose across the globe after the US government on Sunday, 7
September 2008 took over mortgage finance firms Fannie Mae and
Freddie Mac to limit extensive damage of the financial crisis. US
futures jumped. In Asia, key benchmark indices in Japan, Hong Kong,
Taiwan, Singapore, South Korea were up by between 3.88% and 5.57%.
However, China's Shanghai Composite was down 2.68%
In Europe, key benchmark indices in UK, Germany and France were up
by between 3.57% and 4.67%.
The BSE 30-share Sensex jumped 461.14 points or 3.18% at 14,944.97.
It opened 554.23 points higher at 15,034.06 and surged to strike an
intra-day high of 15,107.01 in early trade. At the day's high, the
Sensex gained 623.18 points. At the day's low of 14,917.06 hit in
late trade, the Sensex rose 433.23 points.
The S&P CNX Nifty jumped 130 points or 2.99%, to settle at 4482.30.
Nifty September 2008 futures were at 4510, at a premium of 27.70
points as compared to spot closing. NSE's futures & options (F&O)
segment turnover was Rs 45,977.53 crore, which was lower than Rs
46,868.19 crore on Friday, 5 September 2008.
The BSE Sensex is down 5342.02 points or 26.33% in the calendar
year 2008 so far from its close of 20,286.99 on 31 December 2007.
It is 6261.80 points or 29.53% away from its all-time high of
21,206.77 struck on 10 January 2008.
The NSG's acceptance of the US proposal to drop a ban on nuclear
trade with India will now put the Indo-US nuclear deal on the fast
track. The approval came after almost three days of meeting in
Vienna, lifting a 34-year-old embargo on nuclear trade with India.
The NSG meet was called to minimise any damage to the
Non-Proliferation Treaty, which India has not joined.
However, the nuclear deal still needs to be ratified by the US
Congress before it could take force. The Congress must act before
adjourning in late September 2008 for US presidential elections. If
that does not happen, the deal could be left to an uncertain fate
under a new US administration that takes office next year.
The market breadth was strong on BSE with 1656 shares advancing as
compared to 1040 that declined. 63 remained unchanged.
The total turnover on BSE amounted to Rs 4485 crore as compared to
Rs 4,815.43 crore on Friday, 5 September 2008.
The BSE Mid-Cap index rose 1.15% to 5,819.89 and the BSE Small-Cap
index gained 1.12% to 6,982.77. Both these indices underperformed
the Sensex.
India's top copper manufacturer in terms of sales, Sterlite
Industries jumped 6.16% to Rs 624 on 5.79 lakh shares. It was the
top gainer from Sensex pack
Banking and financial shares vaulted buoyed by the bailout of US
mortgage giants Fannie Mae and Freddie Mac. ICICI Bank (up 4.65% to
Rs 719), HDFC Bank (up 4.43% to Rs 1302.70), State Bank of India
(up 4.84% to Rs 1592.05), and Housing Development Finance
Corporation (up 4.12% to Rs 2375) surged.
Potential nuclear deal beneficiaries rallied. India's largest
private sector power generation firm by sales, Reliance
Infrastructure jumped 4.17% to Rs 1058.20. The company had earlier
announced plans to invest Rs 12,000- crore in nuclear power
capacity. It plans to install 2000 megawatt of nuclear power
capacity.
India's largest engineering & construction company by order book
position Larsen & Toubro gained 4.54% to Rs 2735.15. Bharat Heavy
Electricals, the nation's largest capital goods maker by sales
surged 2.90% to Rs 1782. The company supplies up to 500 megawatt of
equipment to Nuclear Power Corporation.
India's largest power generation company by sales, National Thermal
Power Corporation surged 4.50% to Rs 181.25. The company signed a
memorandum of understanding with Swiss Agency for Development and
Cooperation to formulate a long-term strategy for renewable energy
projects. The company made this announcement after trading hours on
Friday, 5 September 2008.
India's largest private sector firm by market capitalization and
oil refiner Reliance Industries (RIL) advanced 2.19% to Rs 2125 on
7.30 lakh shares.
Telecom pivotals were in demand on renewed buying interest. India's
second largest cellular services provider in terms of market
capitalisation Reliance Communications (RCom) advanced 1.03% to Rs
398, off day's high of Rs 415. RCom's subsidiary Reliance Big
Entertainment reportedly acquired a majority stake in the US-based
cricket webcasting portal, Willow TV, for an undisclosed amount.
India's largest cellular services provider in terms of market
capitalisation Bharti Airtel rose 1.54% to Rs 817.25
Ranbaxy, India's top drug maker by sales gained 3.61% to Rs 466.60,
after striking day's low of Rs 438.05. The Japanese drug maker
Daiichi Sankyo's open offer to acquire an additional 20% stake at
Rs 737 a share in the company ended on 4 September 2008.
IT pivotals advanced on fresh buying. Infosys Technologies (up
2.09% to Rs 1748.60), Satyam Computer Services (up 3.29% to Rs
429.50), Wipro (up 1.11% to Rs 431), and TCS (up 1.78% to Rs
853.10), logged gains.
Auto shares gained. India's top truck maker by sales Tata Motors
rose 4.30% to Rs 438 on reports of stalemate over acquisition of
land for the company's project at Singur ended on Sunday, 7
September 2008 following two rounds of discussions between West
Bengal Chief Minister Buddhadeb Bhattacharjee and Trinamool
Congress chief Mamata Banerjee.
But Tata Motors, which had suspended work at the site, said on
Monday, 8 September 2008, it would not start work until it was
confident of smooth operations and the continued viability of the
project.
Mahindra & Mahindra (up 0.61% to Rs 585.50), and Maruti Suzuki
India (up 0.92% to Rs 686), rose from auto pack.
Austral Coke & Projects topped the turnover chart on BSE with a
turnover of Rs 186.08 crore followed by Reliance Capital (Rs 173.60
crore), Reliance Industries (Rs 156.79 crore), Larsen & Toubro (Rs
156.01 crore) and Resurgere Mines & Minerals (Rs 149.25 crore), in
that order.
Reliance Natural Resources topped volumes on BSE notching volumes
of 93.22 lakh shares followed by Austral Coke & Projects (90.18
lakh shares), IFCI (80.24 lakh shares), Reliance Power (57.72 lakh
shares) and Karuturi Global (51.05 lakh shares), in that order.
Among the non-Sensex potential nuclear deal benefeciaries, Areva
T&D gained 3.08% to Rs 1675. Alstom Projects India surged 6.47% to
Rs 422.20. The company makes nuclear reactors and rotors.
Hindustan Construction Company jumped 7.58% to Rs 104.35. The
company has constructed four nuclear power projects in India. It is
an engineering procurement and construction contractor for nuclear
projects.
Walchandnagar Industries galloped 13.70% to Rs 302.45. It makes
critical equipment for India's nuclear power facilities.
Refinery shares declined as crude oil prices rose. Hindustan
Petroleum Corporation (down 1.31% to Rs 233.30), Bharat Petroleum
Corporation (down 3.90% to Rs 344), and Indian Oil Corporation
(down 2.92% to Rs 433.55), slipped.
New York's main contract, light sweet crude for delivery in October
2008 rose $2.37 to $108.60 per barrel today, 8 September 2008 on
worries hurricane Ike will threaten production facilities in the
oil-rich US Gulf Coast.
Cambridge Technology Enterprises was locked at 10% upper limit at
Rs 61.05 after the company said on Monday, 8 September 2008, its
board has approved the acquisition of US based Protege Software
Services Inc. The company made this announcement before trading
hours today, 8 September 2008.
Dolphin Offshore Enterprises India jumped 20% to Rs 281.15 after
the company said on Monday, 8 September 2008, it has bagged two
orders aggregating Rs 304 crore from Oil & Natural Gas Corporation.
The company made this announcement during trading hours today, 8
September 2008.
Hotel Leela Venture rose 3.26% to Rs 34.85 on reports the firm
plans adding seven new luxury hotels in the next three to five
years. The company will invest Rs 2,000-crore to add 2,000 rooms at
these new hotels.
Pratibha Industries surged 5.44% to Rs 284.90 after the company
said on Monday, 8 September 2008, it has secured a contract worth
Rs 44.75 crore from Delhi Jal Board for water transmission program.
The government is working on 32 reform laws, 21 of them in the area
of economy and finance, Trade Minister Kamal Nath said in an
interview to a German newspaper published on Monday, 8 September
2008. The government expects its coalition allies to support much
of its planned economic reform legislation, Nath told the
Handelsblatt daily.
Pre Market Report 08/09/2008
Key benchmark indices are geared for a sharp upward gap opening after the 45-nation Nuclear Supplier Group (NSG) on Saturday, 6 September 2008 reached a consensus on the crucial Indo-US nuke deal agreeing on a clean waiver for India. Boosted by the deal, the SGX Nifty surged 190.50 points to 4,558.50 in opening trade. Global cues were mixed. Crude oil gained over $2 per barrel.
The NSG's acceptance of the US proposal to drop the ban on nuclear trade will now put the Indo-US nuclear deal on the fast track. The approval came after almost three days of meeting in Vienna, ending a three-decade-long ban on India buying materials related to nuclear energy. The NSG meet was called to minimise any damage to the Non-Proliferation Treaty, which India has not joined.
However, the nuclear deal still needs to be ratified by the US Congress before it could take force. The Congress must act before adjourning in late September 2008 for US presidential elections. If that does not happen then the deal could be left to an uncertain fate under a new US administration that takes office next year.
New York's main contract, light sweet crude for delivery in October 2008 rose $2.37 to $108.60 per barrel today, 8 September 2008 on worries hurricane Ike will threaten production facilities in the oil-rich US Gulf Coast.
Most Asian markets were trading firm today, 8 September 2008. Japan's Nikkei gained 3.59% or 438.04 points at 12,650.27, Hong Kong's Hang Seng rose 3.99% or 795.86 points at 20,729.14, Taiwan's Taiwan Weighted advanced 5.28% or 333.24 points at 6,640.52, Singapore's Straits Times surged 3.57% or 91.87 points at 2,666.08, South Korea's Seoul Composite added 4.40% or 61.82 points at 1,466.2. However, China's Shanghai Composite was down 0.27% or 6.01 points at 2,196.43
US markets ended mixed on Friday, 5 September 2008 after financial shares rebounded on hopes that concrete measures would be taken to rescue mortgage companies Fannie Mae and Freddie Mac. The Dow Jones industrial average roe 32.73 points, or 0.29%, to 11,220.96. The Standard & Poor's 500 index gained 5.48 points, or 0.44%, to 1,242.31. However the Nasdaq composite index slid 3.16 points, or 0.14%, to 2,255.88.
Back home, intense selling in index pivotals ever since the opening bell tracking weak global markets led a sell-off on the bourses on Friday, 5 September 2008. The BSE 30-share Sensex lost 415.27 points or 2.79% to 14,483.83 and the S&P CNX Nifty declined 95.45 points or 2.15%, to settle at 4352.30.
Gains led by a sharp fall in oil price were erased by setback in global equities and domestic political concerns. The Sensex lost 80.70 points or 0.55% to 14,483.83 and the S&P CNX Nifty lost 7.70 points or 0.17% to 4352.30 in the week ended Friday, 5 September 2008.
Foreign institutional investors (FIIs) were net equity sellers worth Rs 1857 crore while mutual funds purchased shares worth Rs 484.77 crore on Friday, 5 September 2008, according to provisional data on NSE.
FIIs were net sellers of Rs 949.97 crore in the futures & options segment on Friday, 5 September 2008. They were net sellers of index futures to the tune of Rs 632.74 crore and purchased index options worth Rs 345.37 crore. They were net sellers of stock futures to the tune of Rs 743.27 crore and bought stock options worth Rs 80.68 crore.
The NSG's acceptance of the US proposal to drop the ban on nuclear trade will now put the Indo-US nuclear deal on the fast track. The approval came after almost three days of meeting in Vienna, ending a three-decade-long ban on India buying materials related to nuclear energy. The NSG meet was called to minimise any damage to the Non-Proliferation Treaty, which India has not joined.
However, the nuclear deal still needs to be ratified by the US Congress before it could take force. The Congress must act before adjourning in late September 2008 for US presidential elections. If that does not happen then the deal could be left to an uncertain fate under a new US administration that takes office next year.
New York's main contract, light sweet crude for delivery in October 2008 rose $2.37 to $108.60 per barrel today, 8 September 2008 on worries hurricane Ike will threaten production facilities in the oil-rich US Gulf Coast.
Most Asian markets were trading firm today, 8 September 2008. Japan's Nikkei gained 3.59% or 438.04 points at 12,650.27, Hong Kong's Hang Seng rose 3.99% or 795.86 points at 20,729.14, Taiwan's Taiwan Weighted advanced 5.28% or 333.24 points at 6,640.52, Singapore's Straits Times surged 3.57% or 91.87 points at 2,666.08, South Korea's Seoul Composite added 4.40% or 61.82 points at 1,466.2. However, China's Shanghai Composite was down 0.27% or 6.01 points at 2,196.43
US markets ended mixed on Friday, 5 September 2008 after financial shares rebounded on hopes that concrete measures would be taken to rescue mortgage companies Fannie Mae and Freddie Mac. The Dow Jones industrial average roe 32.73 points, or 0.29%, to 11,220.96. The Standard & Poor's 500 index gained 5.48 points, or 0.44%, to 1,242.31. However the Nasdaq composite index slid 3.16 points, or 0.14%, to 2,255.88.
Back home, intense selling in index pivotals ever since the opening bell tracking weak global markets led a sell-off on the bourses on Friday, 5 September 2008. The BSE 30-share Sensex lost 415.27 points or 2.79% to 14,483.83 and the S&P CNX Nifty declined 95.45 points or 2.15%, to settle at 4352.30.
Gains led by a sharp fall in oil price were erased by setback in global equities and domestic political concerns. The Sensex lost 80.70 points or 0.55% to 14,483.83 and the S&P CNX Nifty lost 7.70 points or 0.17% to 4352.30 in the week ended Friday, 5 September 2008.
Foreign institutional investors (FIIs) were net equity sellers worth Rs 1857 crore while mutual funds purchased shares worth Rs 484.77 crore on Friday, 5 September 2008, according to provisional data on NSE.
FIIs were net sellers of Rs 949.97 crore in the futures & options segment on Friday, 5 September 2008. They were net sellers of index futures to the tune of Rs 632.74 crore and purchased index options worth Rs 345.37 crore. They were net sellers of stock futures to the tune of Rs 743.27 crore and bought stock options worth Rs 80.68 crore.
Tips for 8th Sep 2008
PIVOTS NIFTY FUT;4324SUPPORT : 4289 – 4251- 4195 RESIS:4382 – 4441 – 4476 - 4511
NIFTY WEEKLY trading range in 4160-4545
BUY ABAN ABOVE 2307 TGT 2353>2416 STOPLOSS 2279
Buy FIRST LEASING COMPANY CMP :49.55 Buy above 49.75, Target : 54-56 Stop Loss : 47
BUY APIL 402 TGT 411>423 STOPLOSS 396
BUY NTPC ABOVE 174 TGT 181>185STOPLOSS 171
Buy MUKTA ARTS - CMP : 97.10, Buy above 97.50, Target : 106, Stop Loss : 94
RPOWER BUY ABV 164.15SL162.25 T166.50/169.50
SELL ESSAROIL BELOW199 TGT 193 >187 STOPLOSS 204
Buy Sonata Software Target of 37~39
NIFTY WEEKLY trading range in 4160-4545
BUY ABAN ABOVE 2307 TGT 2353>2416 STOPLOSS 2279
Buy FIRST LEASING COMPANY CMP :49.55 Buy above 49.75, Target : 54-56 Stop Loss : 47
BUY APIL 402 TGT 411>423 STOPLOSS 396
BUY NTPC ABOVE 174 TGT 181>185STOPLOSS 171
Buy MUKTA ARTS - CMP : 97.10, Buy above 97.50, Target : 106, Stop Loss : 94
RPOWER BUY ABV 164.15SL162.25 T166.50/169.50
SELL ESSAROIL BELOW199 TGT 193 >187 STOPLOSS 204
Buy Sonata Software Target of 37~39
Sunday, September 7, 2008
DLF, Bharti, ONGC, Cairn India enter DJ BRIC 50 index
NEW DELHI: Real estate giant DLF, telecom major Bharti Airtel and energy firms ONGC and Cairn India have made their way to the Dow Jones BRIC 50 Index, a blue-chip index measuring performance of 50 largest and most liquid companies in Brazil, Russia, India and China.
The new entrants would replace four other Indian firms -- realty firm Unitech, Tata Motors, TCS and Satyam Computer -- on the investible index, global index major Dow Jones Indexes said in a statement.
The changes are part of the regular annual review of the index and would be effective as of the open of trading on September 22.
Other Indian companies on the index include RIL, L&T, ICICI Bank, Infosys, SBI, RCOM, Tata Steel, HDFC, BHEL, Suzlon and ITC.
Besides four Indian companies, other new components of the index would include three from Brazil -- BM&F Bovespa S/A Bolsa de Valores Mercadorias e Futuros, Companhia Energetica de Minas Gerais-CEMIG, Metalurgica Gerdau S/A Pref, two Chinese entities -- China COSCO Holdings Company Limited and China Communications Construction Co Ltd -- and Russia's Surgutneftegaz JSC.
The 10 companies exiting the index include Brazil's Banco Santander S/A Pref, Companhia de Gas de Sao Paulo Ord and Light S/A Ord, China's Jiangxi Copper Company and Trina Solar Limited ADS and Russia's Mobile Telesystems.
The float-adjusted market capitalisation of the reconstituted Dow Jones BRIC 50 Index has increased to $920 billion from $852 billion as of September 2.
The number of components in the index is fixed at 15 each for Brazil, India and China and five components for Russia to reflect the size of each market in the index.
The new entrants would replace four other Indian firms -- realty firm Unitech, Tata Motors, TCS and Satyam Computer -- on the investible index, global index major Dow Jones Indexes said in a statement.
The changes are part of the regular annual review of the index and would be effective as of the open of trading on September 22.
Other Indian companies on the index include RIL, L&T, ICICI Bank, Infosys, SBI, RCOM, Tata Steel, HDFC, BHEL, Suzlon and ITC.
Besides four Indian companies, other new components of the index would include three from Brazil -- BM&F Bovespa S/A Bolsa de Valores Mercadorias e Futuros, Companhia Energetica de Minas Gerais-CEMIG, Metalurgica Gerdau S/A Pref, two Chinese entities -- China COSCO Holdings Company Limited and China Communications Construction Co Ltd -- and Russia's Surgutneftegaz JSC.
The 10 companies exiting the index include Brazil's Banco Santander S/A Pref, Companhia de Gas de Sao Paulo Ord and Light S/A Ord, China's Jiangxi Copper Company and Trina Solar Limited ADS and Russia's Mobile Telesystems.
The float-adjusted market capitalisation of the reconstituted Dow Jones BRIC 50 Index has increased to $920 billion from $852 billion as of September 2.
The number of components in the index is fixed at 15 each for Brazil, India and China and five components for Russia to reflect the size of each market in the index.
Companies those will show movement on 8th because of Indo-US Nuclear Deal
ABB
Alstom Projects India
Areva T&D India
BHEL
Crompton Greaves
Gammon India
HCC
L&T
NTPC
Reliance Infrastructure
Rolta
Tata Power
Walchandnagar Industries
Alstom Projects India
Areva T&D India
BHEL
Crompton Greaves
Gammon India
HCC
L&T
NTPC
Reliance Infrastructure
Rolta
Tata Power
Walchandnagar Industries
Saturday, September 6, 2008
Only two PSU issues in IPO desert
NEW DELHI: Despite all the hoopla over disinvestment picking up pace following the Left’s withdrawal of support to the UPA government, only two public sector companies may get listed during 2008-09. These two companies are NHPC and Oil India.
Plans were afoot to list around 15 public sector companies, including heavyweights such as BSNL, RITES, Coal India and Cochin Shipyard, but public offers of most of these companies are stuck for various reasons. According to government sources, the plans for listing many PSUs have been deferred due to reasons ranging from no or little requirement for raising capital, corporate governance issues and possible protests from employee unions.
“The government is all for listing of public sector units as it unlocks tremendous value and creates good corporate governance. The companies, however, need to clear regulatory and internal hurdles,” a senior official in department of disinvestment (DoD) said. The department has informally conveyed to some PSUs not to go ahead and file the prospectus, and instead do a reality check first. Taking a cue from the BSNL IPO fiasco, the government has also asked PSUs to gauge employee sentiments before starting IPO procedures.
“The government has set no targets on how many PSUs will be listed this year. We’ve conveyed to the PSUs that they should only come out with an IPO if there is a need for fresh capital. They need to review whether the issue will add to profitability. RITES, for example, is not going for an IPO since it does not require more capital now,” the official said.
The government has also asked the PSUs to create an understanding among its employees so that there is no problem at the time of filing the draft red herring prospectus. “There have been issues in the past when the process has been stalled because of opposition from the employees,” the official said.
Earlier, the government had asked the PSUs to expedite the process of appointing independent directors on their board to meet Securities Exchange Board of India’s listing norms. Both Oil India and NHPC had to file their prospectus again because they didn’t have the required number of independent directors.
Source: economictimes
Plans were afoot to list around 15 public sector companies, including heavyweights such as BSNL, RITES, Coal India and Cochin Shipyard, but public offers of most of these companies are stuck for various reasons. According to government sources, the plans for listing many PSUs have been deferred due to reasons ranging from no or little requirement for raising capital, corporate governance issues and possible protests from employee unions.
“The government is all for listing of public sector units as it unlocks tremendous value and creates good corporate governance. The companies, however, need to clear regulatory and internal hurdles,” a senior official in department of disinvestment (DoD) said. The department has informally conveyed to some PSUs not to go ahead and file the prospectus, and instead do a reality check first. Taking a cue from the BSNL IPO fiasco, the government has also asked PSUs to gauge employee sentiments before starting IPO procedures.
“The government has set no targets on how many PSUs will be listed this year. We’ve conveyed to the PSUs that they should only come out with an IPO if there is a need for fresh capital. They need to review whether the issue will add to profitability. RITES, for example, is not going for an IPO since it does not require more capital now,” the official said.
The government has also asked the PSUs to create an understanding among its employees so that there is no problem at the time of filing the draft red herring prospectus. “There have been issues in the past when the process has been stalled because of opposition from the employees,” the official said.
Earlier, the government had asked the PSUs to expedite the process of appointing independent directors on their board to meet Securities Exchange Board of India’s listing norms. Both Oil India and NHPC had to file their prospectus again because they didn’t have the required number of independent directors.
Source: economictimes
High-dividend yield stocks aren't the best bets always
MUMBAI: Though perceived as a safe haven when the market slips into a bear phase, high-dividend yield stocks cannot always be considered as good investment bets, feel analysts. While dividend yield has improved significantly for many companies amid market downtrend since January, analysts are sceptical about sustainability of high rate of dividends due to an impending slowdown in earnings’ growth. They feel there is a risk of making capital loss if a high-dividend yield company is unable to sustain its performance.
Leading stock broking firm India Infoline has identified 25 companies from different industries in the list of BSE-500 companies, as top dividend yield stocks. Fifteen of them, however, have reported a decline in earnings in April-June quarter, prompting the brokerage to take a negative view on fundamentals of most of them.
The analysis covered companies such as Indiabulls Real Estate, Ambuja Cements, Canara Bank, MTNL, Bajaj Auto, ACC, HCL Technologies, Tata Motors, Castrol India, Syndicate Bank, Ashok Leyland, Chennai Petro, Bongaigaon Refinery, Varun Ship, Andhra Bank, HCL Infosys, Wyeth, Bank of Maharashtra, Wochardt, Vijaya Bank, Allahabad Bank, Royal Orchid, GIC, Ador Welding and Mirc Electronics. These companies have offered dividend yield between 3.5% (Tata Motors) and 8.9% (Bongaigaon Refinery) calculated as percentage of dividend per share (annual) to the current market price.
“A majority of the sample companies belong to sectors such as financials, auto, cement, realty and IT, where our fundamental view is negative. Barring IT, all other industries are cyclicals facing difficult business conditions due to slowing economic activity,” said the brokerage in its report.
Ambareesh Baliga of Karvy Stock Broking agrees that one should not take investment decisions simply on the basis of dividend yield. “Investors need to study prospects of a company before taking any investment call. As dividend yield is based on the past performance, it is hardly an indication of the future profitability and sustainability of dividend,” he said.
Historically, high-dividend yield stocks have never given good capital appreciation, according to an analyst with a leading brokerage firm. While investors expect companies to pay good dividends, they, however, are mostly concerned about capital appreciation, which mainly depends on factors such as growth potential, quality of management, industry prospects, domestic and global economic conditions. Given the current economic scenario, investors should not invest in companies with high debt or large capex plans even if dividend yields are attractive, says the analyst.
While analysts generally do not favour investing in high-dividend yield stocks, some of them want investors to take sector-specific approach rather than picking up specific stocks. They advise investors to take shelter in sectors that are less sensitive to interest rate because of low debt. “Defensive sectors like FMCG, pharma and also IT look good as they are expected to cushion investor portfolio against the fall in other sectors,” said Mr Baliga.
Source : economictimes
Leading stock broking firm India Infoline has identified 25 companies from different industries in the list of BSE-500 companies, as top dividend yield stocks. Fifteen of them, however, have reported a decline in earnings in April-June quarter, prompting the brokerage to take a negative view on fundamentals of most of them.
The analysis covered companies such as Indiabulls Real Estate, Ambuja Cements, Canara Bank, MTNL, Bajaj Auto, ACC, HCL Technologies, Tata Motors, Castrol India, Syndicate Bank, Ashok Leyland, Chennai Petro, Bongaigaon Refinery, Varun Ship, Andhra Bank, HCL Infosys, Wyeth, Bank of Maharashtra, Wochardt, Vijaya Bank, Allahabad Bank, Royal Orchid, GIC, Ador Welding and Mirc Electronics. These companies have offered dividend yield between 3.5% (Tata Motors) and 8.9% (Bongaigaon Refinery) calculated as percentage of dividend per share (annual) to the current market price.
“A majority of the sample companies belong to sectors such as financials, auto, cement, realty and IT, where our fundamental view is negative. Barring IT, all other industries are cyclicals facing difficult business conditions due to slowing economic activity,” said the brokerage in its report.
Ambareesh Baliga of Karvy Stock Broking agrees that one should not take investment decisions simply on the basis of dividend yield. “Investors need to study prospects of a company before taking any investment call. As dividend yield is based on the past performance, it is hardly an indication of the future profitability and sustainability of dividend,” he said.
Historically, high-dividend yield stocks have never given good capital appreciation, according to an analyst with a leading brokerage firm. While investors expect companies to pay good dividends, they, however, are mostly concerned about capital appreciation, which mainly depends on factors such as growth potential, quality of management, industry prospects, domestic and global economic conditions. Given the current economic scenario, investors should not invest in companies with high debt or large capex plans even if dividend yields are attractive, says the analyst.
While analysts generally do not favour investing in high-dividend yield stocks, some of them want investors to take sector-specific approach rather than picking up specific stocks. They advise investors to take shelter in sectors that are less sensitive to interest rate because of low debt. “Defensive sectors like FMCG, pharma and also IT look good as they are expected to cushion investor portfolio against the fall in other sectors,” said Mr Baliga.
Source : economictimes
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