Friday, September 28, 2007
[28/09/2007] Calls...
BEST BUY
TECH MAHINDRA (BUY) 1354 (Target1) 1363 ( Target 2) 1372 (Sl) 1321
GMR INFRA (BUY) 855 (Target1) 862 ( Target 2) 871 (Sl) 839
IFCI (BUY) 94.9 (Target1) 97 ( Target 2) 100.10 (Sl) 89
Wednesday, September 26, 2007
[26/09/2007] CALLS...
BEST BUY
CHAMBAL FERTILIZERS (BUY) 56.5 (Target1) 58 ( Target 2) 59.25 (Sl) 53
BALRAMPUR CHINI (BUY) 80 (Target1) 82.4 ( Target 2) 84.2 (Sl) 76
CINEMAX (BUY) 140 (Target1) 143 ( Target 2) 145.6 (Sl) 136
Tuesday, September 25, 2007
Sensex zooms to new peak, Nifty crosses 4,900
Closing
Mumbai: The benchmark Sensex shot up over 281 points on the Bombay Stock Exchange on buying by funds in heavyweight stocks such as Reliance Industries and Bharti Airtel.
The Sensex gained 281.60 points to close at 16,845.83, a level never seen before. It touched an intra-day high of 16,869.64 and a low of 16,599.66 points.
Similarly, the wide-based National Stock Exchange index Nifty spurted by 94.65 points to 4,932.20, after rising to 4,941.15 and dipping to 4,837.15 points.
Buying activity picked up on reports of the Hong Kong index Hang Sang crossing the 26,000-point level for the first time.
Afternoon update
Mumbai:The stock markets continued to remain bullish in afternoon trade, with the Sensex less than 250 points shy of the 17,000 mark. At 1:37pm, the benchmark 30-share index of the Bombay Stock Exchange was trading 198 points up at 16,762.
The Nifty was 89 short of the 5,000 mark, trading 74 points up at 4,911.
Morning
Mumbai: The stock markets continued their record-breaking spree with the benchmark Sensex touching a new peak of 16,820.53 within a few minutes of trade on 24 September, up by a whopping 256 points on the back of firm global cues and a slew of positive news.
The Bombay Stock Exchange (BSE) 30-share barometer opened with a wide upside gap at 16,697.89 from last Friday’s close of 16,564.23 and rallied further to a new intra-trade life-time peak of 16,820.53.
However, profit-taking pared early gains and it was quoted at 16,656.34 at 1030 hrs.
Similarly, the broad-based S&P CNX Nifty of the National Stock Exchange (NSE) logged a new intra-day high of 4,913.35, a rise of 75.80 over previous close of 4,837.55. It was quoted at 4,861.90 at 1030 hrs.
Top heavyweight Reliance Industries (RIL) remained the most favourite of the investing fraternity on news that the company has struck oil in D4 block of Krishna Godavari (KG) basin.
Banking counters also remained in the limelight on expectations of interest rate cut by the central bank in near future.
Most of the Asian indices were firm today in morning deal due to firm trend on Wall Street last Friday. The Dow Jones Industrial Average and the Nasdaq Composite Index rose by 53.49 points and 16.93 points respectively.
Market also got support from hectic short-coverings by operators and retail investors ahead of the expiry of September contract on September 27.
Dealers anticipated high volatility in next few sessions ahead of the expiry of September 2007 futures and options (F&O) contracts on Thursday.
Foreign Institutional Investors (FIIs) continued their buying in select blue-chip counters and pumped nearly Rs762 crore (provisional) on September 21, while domestic institutional investors (DIIs) were net sellers of shares worth Rs277.68 crore on the same day. FIIs have injected a whopping $2 billion in the current month so far.
Sustained fall in the inflation, which stood at 3.32% for the week ended September 8, 2007 from 3.52% in the previous week, also partly aided the bullish trend.
Last week, the benchmark Sensex registered its biggest weekly gain of 960.43 points or 6.16%.
Monday, September 24, 2007
India, Singapore set to open up banking
The Reserve Bank of India (RBI) and the Monetary Authority of Singapore (MAS) are finally ready to open up the financial sector of their respective countries.
According to people intimately familiar with the development, both regulators are very close to reaching an “understanding”.
“It’s a sort of quid pro quo,” says one person, who didn’t want to be named. “MAS will offer the qualifying full bank (QFB) status to State Bank of India (SBI) and possibly to ICICI Bank as well. This will enable these two banks to raise retail deposits and open 25 centres in Singapore, including brick and mortar branches and ATMs. RBI, in turn, will allow DBS and other Singapore banks to open more branches.”
Greater presence: Singapore’s DBS Bank will be allowed to open more branches in India
Greater presence: Singapore’s DBS Bank will be allowed to open more branches in India
India’s central bank is also the banking regulator and MAS regulates the entire financial sector in Singapore, including capital markets .
MAS is asking for 15 branch licences for Singapore banks but RBI cannot offer so many at one go as, under World Trade Organization (WTO) norms, the Indian banking regulator is required to offer 12 new licences every year to all foreign banks. “RBI may offer six branch licences to DBS this year,” this same person said. According to him, a formal announcement will be made soon, certainly before the end of 2007.
“RBI and MAS are working closely to review the applications by banks to be set up or to expand in the respective jurisdiction. This will help enhance economic connectivity between India and Singapore. Once these details are settled, the appropriate announcements would be made,” an MAS spokesperson told Mint.
Since August 2005, when the Indo-Singapore Comprehensive Economic Cooperation Agreement (CECA) came into effect, trade between the two countries has increased significantly. Since the CECA came into being, two Indian banks—Bank of Baroda and Axis Bank—have been allowed to set up operations in Singapore. DBS, Singapore’s largest bank, too, has been granted one more branch licence in India, taking its network to two.
Under the CECA, both the governments have promised to open up the financial sector. Three Singapore banks are to be allowed to open 15 branches in India, while three Indian banks will be given the QFB status.
However, not a single Indian bank has yet got the QFB status as MAS has been insisting on “ratings” of Indian banks as a precondition to offer the status even though the treaty does not stipulate that.
MAS had taken an official stance that QFB licences could be given to those Indian banks that meet its “prudential requirements” and the CECA does not guarantee automatic entry. The insistence on prudential requirements is in conformity with the general principle under WTO and other free trade agreements (FTAs). Singapore has 10 FTAs in force.
Friday, September 21, 2007
[21/09/2007] Calls...
DLF (SELL) 754 (Target1) 749 ( Target 2) 741 (Sl) 779.9
RELIANCE COM (SELL) 569.5 (Target1) 563 ( Target 2) 559 (Sl) 576
SHREE RENUKA (SELL) 686 (Target1) 679 ( Target 2) 675.4 (Sl) 696
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Thursday, September 20, 2007
Sensex leads global rally with highest intra-day rise
Reserve’s decision on Tuesday to cut the federal interest rate by 50
basis points could result in an investment bubble in emerging markets,
the Sensex, the benchmark index of the Bombay Stock Exchange rose over 653 points to close at 16323, its highest ever.
broader 50-stock index of the National Stock Exchange also rose, by
over 186 points to end at an all-time high of 4,732, but it was the
Sensex that was the biggest gainer
across global markets. Among emerging market indices, the
representative index of the Shanghai Stock Exchange was the only one to
fall on Wednesday, by 0.5%. All other indices gained between 1% and 4%.
The Sensex gained 4.2%.
on all markets was the Fed’s decision. Some analysts had predicted a 50
basis points cut in interest rates, but there was always the chance
that the Fed would play safe and go for a 25 basis points reduction.
Tuesday, following the Federal Reserve’s decision, the Dow Jones
Industrial Average, the key US index, closed at 13,739, up 336 points
or 2.5%. On Wednesday, the Dow was up another 90 points or 0.65%, at
9.15pm India time.
percentage point cut in its interest rates on federal funds, the first
in four years, easing the borrowing cost for banks in US that are now
expected to cut their prime lending rate. This boosted the spirit of
global investors worried over tightened credit in the wake of the
subprime crisis in the US.
16,000 comes at a time when finance firm Merrill Lynch has warned that
the Fed’s action has increased the risk of an investment bubble in
emerging markets (EM). “It is essentially 1998 in reverse; the credit
problem is now in the US rather than EM. Liquidity to ease the US
credit problem will be redirected towards EM just as liquidity to ease
the Asia/Russia problem was redirected towards technology (stocks),”
the firm said in a trading note to its clients.
around the world remained cautious, said Suyash Choudhary, a fund
manager with Standard Chartered Asset Management in India. Worries
about the exact fallout of the Fed’s action may have something to do
with it.
pressure to intervene in the forex market to prevent the appreciation
of the rupee beyond its comfort zone, said Kaushal Sampat, chief
operating officer of Dun & Bradstreet in India. “The widened
interest rate differential between India and the US could result in a
further surge of capital inflows, leading to the appreciation of the
Indian currency. RBI could consider a cut in interest rates, given the
recent dip in the growth rate of industrial production and with the
inflation being at a 17-month low,” Sampat said.
policy represents a departure from the traditional approach of
responding to backward-looking data more than forward-looking data,
said Ritesh Jain, a debt fund manager with Principal PNB Asset
Management Co. Pvt. Ltd.
vice-president, research, Sharekhan Ltd, said he expects RBI to be
under greater pressure to cut interest rates. He added that sectors
such as banks, autos and metals that are cyclical and interest rate
sensitive, would perform well in the future.
sector was the biggest gainer on BSE. DLF Ltd, the real estate major,
was the top traded counter on BSE with shares worth Rs255.19 crore
changing hands. Reliance Industries Ltd (RIL) and ICICI Bank Ltd
recorded a turnover of about Rs226 crore each. The market
capitalization of RIL, the largest weighted stock in Sensex, crossed
Rs3 trillion for the first time.
and Reliance Energy, the two energy-related stocks in the Sensex,
gained significantly as crude oil prices topped a record $82
(Rs3,304.6) per barrel in Wednesday’s trade, with the Fed’s rate cut
heralding a possible recovery in the economy and higher demand for
energy.
gains, with Housing Development Finance Corp. Ltd and HDFC Bank Ltd, up
about 8% each, gaining the most.
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[20/09/2007] Calls...
PYRAMID SAIMIRA (BUY) 338 (Target1) 342.3 ( Target 2) 347 (Sl) 326
BANK OF BARODA (BUY) 315 (Target1) 318.6 ( Target 2) 321 (Sl) 309
GATEWAY DISTRIPARKS (BUY) 138.45 (Target1) 142 ( Target 2) 144.65 (Sl) 134
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Wednesday, September 19, 2007
[19/09/2007]Calls...
BANK OF INDIA (BUY) 251.4 (Target1) 254.3 ( Target 2) 257 (Sl) 246
PATNI (BUY) 452 (Target1) 457 ( Target 2)461 (Sl) 444
ROLTA (BUY) 455 (Target1) 461 ( Target 2) 465 (Sl) 438
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Monday, September 17, 2007
[17/09/2007] Calls...
BEST BUY
PYRAMID SAIMIRA (BUY) 327 (Target1) 331.4 ( Target 2) 334 (Sl) 321
ROLTA (BUY) 440 (Target1) 444.7 ( Target 2) 449 (Sl) 431
ESS DEE (BUY) 492 (Target1) 498 ( Target 2) 502 (Sl) 484
Friday, September 14, 2007
[14/09/2007] Calls...
MPHASIS BFL (BUY) 293.05 (Target1) 296.8 ( Target 2) 299 (Sl) 287
PATNI COMP (BUY) 460 (Target1) 464.7 ( Target 2) 469 (Sl) 450
INDIABULLS (BUY) 551 (Target1) 557 ( Target 2) 563.4 (Sl) 538
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Thursday, September 13, 2007
Markets in firm mood; Sensex closes 109 points up
Ends day at 15,548 after touching intra-day high of 15,650, on strong interest at Reliance counter; Nifty up 32 points at 4,529
The benchmark Sensex surged by over 109 points on the Bombay Stock Exchange on 13 September, on buying by funds in heavy-weight stocks in oil and gas, banking and realty segment.
The 30-share index, which experienced two straight sessions of losses, rebounded to close with a gain of 109.08 points at 15,614.44. It touched the day’s high of 15,650.14 and a low of 15,547.66 points.
Similarly, the wide-based National Stock Exchange index Nifty rose by 32.10 points at 4,528.95, after touching a high of 4,540.60 and a low of 4498.05 points.
The index-heaviest Reliance Industries surged by Rs13.55 at Rs2,026.50 on favourable corporate reports, and lifted the oil and gas segment index by 6.35 points at 11,924.63.
Realty index, led by Unitech Ltd, recorded the maximum gain with a 205.52 point surge at 7,847.86, followed by banking index by 102.17 points at 8,081.94. Bank scrips rose on expectation that the US Federal Reserve might cut interest rates next week.
The PSU index rose by 73.03 points at 7,396.63, auto sector index by 63.56 points at 4,939.34, capital goods index by 59.70 points at 13,723.88, IT index by 38.59 points at 4,482.57 and technology index by 22.14 points at 3,562.58.
Mid-morning
Mumbai: The benchmark Sensex recovered by over 97 points in early trade on the Bombay Stock Exchange on 13 September on revival of buying by funds encouraged by firm global trend.
The 30-share Sensex, which shed nearly 30 points at previous day’s closing, bounce by 97.29 points to touch 15,602.65 points in the first five minutes of trade on buying in reality and banking stocks.
BSE reality index shot by over 2% lead by stocks of Unitech Ltd.
Similarly, wide-base National Stock Exchanges’ Nifty rose by 19.95 points at 4,524.80 points.
Market sentiment turned bullish on heavy buying in fundamentally strong shares available at lower level amid firming trend in the global markets.
Sensex scores a ton
BSE 30-share benchmark Sensex gained 109 points to close at 15614. NSE Nifty ended 32 points higher to close at 4528.
Finally, bulls managed to find some direction after struggling for trend in previous trading sessions. The Realty and IT stocks led from the front. Others like Auto and banking followed suit. Further, rise in India’s six key industrial production coupled with positive close in markets across Asia provided vital support. India’s July production at six key industries rose 6.3%
Realty stocks were in momentum after inclusion of construction major Unitech in Nifty-50 on 5th October. IT stocks were in limelight on back of value buying in this sector.
The BSE 30-share benchmark Sensex gained 109 points to close at 15,620 hitting an intra-day high of 15,650 and a low of 15547. NSE Nifty ended 32 points higher to close at 4,528 touching an intra-day high of 4,540 and low of 4,498.
All Reliance group stocks hit the 52-week high levels except for Reliance Communication. Others like RIL, RNRL, REL, Reliance Capital and RPL were at the roof top. REL edged lower by 0.5% at Rs890; Reliance Capital surged by 5.5% to Rs14,000, Reliance Industries gained by 1% to Rs2027, RNRL gained 1.1% to Rs51 and RPL added 0.4% to Rs130.
Dr Reddy’s Lab slipped 1% to Rs641. The company announced that they have received USFDA approval for Ranitidine (Zantac). The scrip touched an intra-day high of Rs653 and a low of Rs639 and recorded volumes of over 1,00,000 shares on NSE.
Western India Shipyard was locked at 5% upper circuit to Rs18.90 after the company announced that it approved revival plan with ABG Shipyard. The scrip touched an intra-day high of Rs18.90 and a low of Rs18.90 and recorded volumes of over 1,00,000 shares on NSE.
Lupin gained by 2.5% to Rs610 after the company announced that they have won Ramipril product patent challenge at Federal circuit. The scrip touched an intra-day high of Rs615 and a low of Rs599 and recorded volumes of over 1,00,000 shares on NSE.
BPCL gained by 0.2% to Rs310 after the oil refiner and Videocon Industries Ltd would acquire stake in a Brazilian oil exploration company owned by Canada's EnCana Corp. The scrip touched an intra-day high of Rs316 and a low of Rs306 and recorded volumes of over 2,00,000 shares on NSE.
Banking stocks were in limelight after RBI’s Deputy Governor Leeladhar said that Indian Banks are not affected by US subprime. SBI gained by 3% to Rs1674, HDFC Bank advanced by 2.6% to Rs1213. However, ICICI Bank pared gains on back of profit booking. The scrip was down 0.2% at Rs884.
Realty stocks ended firm on back of gains in Unitech, which surged by over 7% to Rs280 after The National Stock Exchange (NSE) stated it would replace IPCL in the NIFTY with Unitech. This would be with effect from October 5. Mahindra Gesco edged higher by 7% to Rs563 and Parsvnath gained 1% to Rs322.
IT stocks were back in action after being on the side lines. Satyam Computer gained by 1.6% to Rs434, Wipro was up by 1% at Rs456, Infosys advanced by 1% to Rs1834 and Tech Mahindra surged by 2.1% to Rs1309.
calls for 13th
BUY
Selan sl 136.7--172.80--146.50
Unitech sl 259 tr 267--271.50
SRF sl 145.50 tr 151.50--154.35
RCF sl 54.20 tr 56--57.10
Triveni sl 86.40 tr 88.40--91.95
PTC sl 85.90--tr 89.20--91.40
HOCL sl 58.25--62--63.50
HTMTGlobal sl 412 tr 428--435
HindujaTMT sl 463 tr 585--500
ADSL sl 347 tr 360.8--371
BATA sl 174.80 tr 181.95--185.90
GNFC sl 142.25 tr 147.20--150
keep close watch on.. Advanta, Indiainfoline, Everon, Hindoilexp, ICRA, Naukri, REL, RELCAP, JPASSO
SELL ( HIGHLY RISKY)
HDIL sell near 580 sl 587 tr 572--566
Hanung sell near 167 sl 171 tr 164--161
IFB Agro sl 118 tr 114-111
Dollar slips to record low vs euro
| The US currency declines for a sixth day, the longest losing streak since April, as investors bet the Federal Reserve will reduce its target interest rate | |
The Any hike by Bernanke The US currency The dollar fell to The dollar also slipped The dollar slumped to the lowest in more than a month versus the British pound and was recently little changed at US$2.0318. Against the Canadian |
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Dull market ends slightly down
The 30-share Sensex closed lower by 37 points at 15505 and NSE Nifty closed flat at 4497.
The struggle for clear direction continued today on Dalal Street. As, markets failed to capitalize the gains on Wall Street, across Europe, Latin America and other emerging markets. In a range bound trading session, markets swung between gains and loses before ending slightly lower. Select index heavyweights like ICICI Bank, NTPC, ITC and L&T wer among the major loses dragging the key indices lower. While, RIL, REL and Bajaj Auto were among the notable gainers. Finally, the 30-share Sensex closed lower by 37 points at 15505 and NSE Nifty closed flat at 4497.
Essel Propack rallied by over 7% to Rs67 after reports stated that the Indian maker of laminated tubes and packaging plans to buy the packaging unit of Alcan Inc. The scrip has ouched an intra-day high of Rs69 and a low of Rs64 and recorded volumes of over 4,00,000 shares on NSE.
Reliance Industries edged higher by 1.5% to Rs2013 after reports stated that the world's largest polyester maker will pay $250mn to buy the assets of Hualon Corp. of Malaysia. The scrip touched an intra-day high of Rs2021 and a low of Rs1992 and recorded volumes of over 24,00,000 shares on NSE.
IDFC advanced by 1.4% to Rs134 as the RBI has increased the investment limit for FIIs in the companies. The scrip touched an intra-day high of Rs138 and a low of Rs133 and recorded volumes of over 57,00,000 shares on NSE.
Hanung Toys surged by above 6% to Rs164 amid reports that it has won a Rs6bn order from a Swedish company. The scrip touched an intra-day high of Rs167 and a low of Rs154 and recorded volumes of over 8,00,000 shares on NSE.
Pharma stocks were in poor health. Sun Pharma edged lower by 0.4% to Rs1006; Cipla was down by 1.4% to Rs174, Ranbaxy declined by 0.7% to Rs416 and Dr Reddy’s Lab edged lower by 0.5% to Rs647.
IT stocks ended lower as rupee continued strengthen against the USD. Satyam Computer slipped by 1.4% to Rs427, TCS was down by 1% to Rs1015, Rolta dropped by 4% to Rs480 and Mphasis declined by 3.2% to Rs282.
Realty stocks were in momentum. DLF gained by 2.7% to Rs635, Unitech advanced by 3% to Rs262 and Sobha was flat at Rs752.
Metal stocks continued to trade firm. Sterlite Industries gained by 2.3% to Rs624, Tata Steel gained by 0.5% to Rs711, JSW Steel advanced by 1.5% to Rs681 and Hindustan Zinc added 0.5% to Rs709.
Wednesday, September 12, 2007
[12/09/2007] Calls....
BEST BUY
SUN PHARMA (BUY) 1015 (Target1) 1024 ( Target 2) 1039 (Sl) 999
NAGARJUNA FERT (BUY) 43.9 (Target1) 44.7 ( Target 2) 45.6 (Sl) 42.9
INDIA CEMENTS (BUY) 270 (Target1) 274 ( Target 2) 277.4 (Sl) 266.8
Tuesday, September 11, 2007
Calls...[ 11/09/2007]
BEST BUY
PATNI COMP (BUY) 473.5 (Target1) 479 ( Target 2) 485 (Sl) 462
GSFC (BUY) 230 (Target1) 235.4 ( Target 2) 238 (Sl) 225
GITANJALI (BUY) 300 (Target1) 304 ( Target 2) 307 (Sl) 293
Bulls stage a comeback
The BSE 30-share benchmark Sensex gained 6 points to close at 15596. NSE Nifty ended flat at 4507.
After opening in deep red, markets bounced back. Bulls staged a smart comeback as Sensex recovered nearly 250 points and Nifty ended above the 4500mark recovering over 50 points from days low. Buying interest in Index heavyweights like Reliance Industries, ITC and SBI provided support to the key indices. Also positive opening from the European markets and recovery in the Hang Seng index in Asia lifted the sentiments.
All the key sectoral indices ended in green except for the IT sectors as strengthening rupee dragged the IT stocks lower. Even the Mid-Cap and the Smallcap stocks participated in the recovery.
Finally, BSE 30-share benchmark Sensex gained 6 points to close at 15596 hitting an intra-day high of 15626 and a low of 15363. NSE Nifty ended flat at 4507 touching an intra-day high of 4515 and low of 4452.
Bharti Airtel gained by 0.6% to Rs853 after the company secured license from Singapore to offer Global Connectivity. The scrip touched an intra-day high of Rs857 and a low of Rs835 and recorded volumes of over 6,00,000 shares on NSE.
Reliance Communication marginally slipped 0.3% to Rs543. The company announced that they have started blackberry Service in India. The scrip touched an intra-day high of Rs545 and a low of Rs534 and recorded volumes of over 26,00,000 shares on NSE.
Satyam Computer slipped by 1.5% to Rs442. The company announced that they would expand market in Europe and Asia Pacific. The scrip touched an intra-day high of Rs452 and a low of Rs438 and recorded volumes of over 25,00,000 shares on NSE.
Gammon India plunged over 8% to Rs420 after reports stated that a bridge collapsed in Hyderabad. Gammon India was the contractor of the bridge that crumbled. The scrip touched an intra-day high of Rs449 and a low of Rs402 and recorded volumes of over 20,00, 000 shares on NSE.
FMCG stocks ended higher led by gains in the index heavyweight, ITC advanced nearly by 4% to Rs184, Tata Tea was up by 2% to Rs775, McDowell gained 2.5% to Rs1581 and Nirma added 0.3% to Rs165.
Banking stocks also managed to stage a come back led by gains in the index heavyweights like SBI, the scrip was up by 1.3% to Rs1640, PNB gained by 0.8% to Rs493 and Union Bank added 1.1% to Rs147. However, ICICI Bank slipped by 1% to Rs910.
IT stocks were on the receiving end as Indian rupee yet again strengthened against the USD Satyam Computer slipped by 1.6% to Rs442, Wipro was down by 2.7% to Rs465, TCS slipped by 2.7% to Rs1047 and Infosys lost 2% to Rs1871.
Monday, September 10, 2007
Market may continue to witness volatility this week
wait for cues from the US markets, which might get a booster doze in
the form of interest rate cut from the Federal Reserve, analysts said.
The
benchmark BSE Sensex lost 168 points in the past week at 15,590.42
points on Friday. Meanwhile, US benchmark index Dow Jones Industrial
Average (DJIA) fell nearly 250 points to end at 13,113.38 points, while
Nasdaq-100 also closed down 49 points at 2,565.70 points.
The US
markets had declined after the jobs data came in far worse than
expected, threating to throw the economy into a recession. American
employers dismissed 4,000 workers last month, marking a sharp change of
direction from the 68,000 jobs that had been created in July.
In
a research note, global financial services major Citigroup expects US
Federal Reserve to lower interest rates by 75 basis points before the
end of the year, with the first cut coming on or even before the
scheduled meeting of Federal Open Market Committee on September 18.
"Our
global strategists have concluded that Fed cuts should be supportive
for equities performance, with non-US markets outperforming...
Instances of Fed rate cuts have been meaningfully positive for Indian
equities as well, especially on 12-24 month time horizons," Citigroup
analyst Ratnesh Kumar said in the India Equity Strategy report.
Even
in an extremely pessimistic scenario of a recession in the US, massive
rupee appreciation and sharp slowdown in domestic growth, Citigroup
does not see an earning collapse in India, "due to strong and
broad-based growth momentum in the Indian economy".
Besides,
Foreign Institutional Investors again embarked on a buying spree in the
equities market in September after a month of net sale in August. In
the first week of September, FIIs purchased equities worth Rs 2,869
crore and Rs 752 crore in the debt markets.
"The trend taken by the FIIs in the coming week could be crucial for the direction market takes," an analyst said.
Domestic
mutual funds were also net buyers worth Rs 353.80 crore in equity
market during four trading sessions from September 3 to September 6.
The
markets would also be watching the outcome of the negotiations between
the UPA government and its Left allies on the Indo-US nuclear deal.
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Intraday calls for 10 Sep
BEST BUY
Markets to open low on back of weak Global Cues , we expect recovery in the later part of the day ,
Buy NIIT Tech ,
Patni Computers ,
SAIL ,
IDBI during the panic selling for intraday gains
Friday, September 7, 2007
MARKET ABOVE 15600
The market scaled higher level as buying continued throughout the day,
except for the odd blip in early trade. Asian markets rebounded from
initial sluggishness while European stocks were trading mixed.
The BSE 30-share Sensex rose 170.16 points or 1.10% at 15,616.31. It
opened lower at 15,383.13 and slipped further to hit a low of 15,350.18
at the onset of the trading session due to the overnight fall in the US
stocks caused by weak US housing data.
However, it bounced
sharply from that level to hit a high of 15,637.74. At the day’s low of
15,350.18, the Sensex had lost 95.97 points for the day.
Sensex is now just 252.54 points away from its all time high of 15,868.85 hit on 24 July 2007.
The S&P CNX Nifty was up 42.75 points or 0.96% at 4,518.60. The
Nifty September 2007 futures settled at 4507, a discount of 11.60
points as compared to spot closing
The market breadth was
strong on BSE, with 1,698 shares advancing as compared to 1,050 that
declined, while 74 remained unchanged.
The total turnover on
BSE amounted to Rs 4646 crore as compared to Rs 5,167.23 crore on
Wednesday, 5 September 2007. The NSE F&O turnover was Rs 40927.51
crore as compared to Rs 42642.91 crore on Wednesday, 5 September 2007.
The BSE Mid-Cap Index rose 1.11% to 6,848.68 while the BSE Small-Cap
Index gained 1.28% to 8,395.58. Both these indices outperformed the
Sensex by small margin
All the sectoral indices on BSE settled
higher. BSE Consumer Durables index (up 1.09% to 4,497.19), BSE FMCG
Index (up 1.54% at 2,032.09), BSE PSU index (up 1.22% to 7,287.77), BSE
Oil and Gas Index (up 1.11% at 8,231.83), BSE Auto Index (up 1.24% at
4,937.54) and BSE Bankex (up 1.15% at 8,110.85), outperformed the
Sensex.
However, BSE Realty index (up 0.37% to 7,547.65), BSE
IT Index (up 0.41% at 4,665.46), BSE Metal Index (up 0.76% at
11,687.04), BSE TecK index (up 0.32% to 3,647.37), BSE Health Care
Index (up 0.50% at 3,717.03), BSE Capital Goods Index (up 0.68% at
13,658.66 ) were underperformers.
From the 30-member Sensex pack, 27 advanced while the rest declined.
India's largest private sector power utility company by sales Reliance
Energy advanced 4.91% to Rs 863.80 on 14.75 lakh shares. The stock
surged to an all time high of Rs 864.70. As per reports the firm is
planning to hive off its engineering, procurement and construction
division into a new company. It was the top gainer from the Sensex
pack.
Cement stocks held on to gains after opening firm on
healthy dispatches in August 2007. The AV Birla group diversified
company Grasim vaulted 4.25% to Rs 3186. It hit an all time high of Rs
3195
Other cement companies ACC (up 1.72% to Rs 1101), Ambuja
Cement (up 1.56% to Rs 140), India Cements (up 4.31% to Rs 274.60),
UltraTech Cement Company (up 1.68% to Rs 998), and Birla Corporation
(up 3.55% to Rs 317.95) also edged higher.
HDFC (up 3.79% to Rs 2131), and ITC (up 3.15% to Rs 176.50), were the other gainers from the Sensex pack.
Ranbaxy Laboratories, India’s top drug maker by sales, climbed 3.76% to
Rs 415, on a newspaper report that the drug maker had submitted an
initial bid for US-based Bradley Pharmaceuticals Inc
However
Dr. Reddy's Laboratories, India’s only drug maker listed in the US, was
down 0.05% to Rs 661.95. The company has received approval from the US
Food and Drug Administration for ulcer drug ranitidine hydrochloride
tablets.
State Bank of India (SBI), the nation’s largest
banking entity by net profit advanced 2.60% to Rs 1635.90. As per
reports, it will raise about Rs 1,500 crore through a bond issue this
week. The issue will be part of SBI's Tier II capital and the size of
core issue likely to be set at Rs 1,000 crore with over subscription
option of Rs 500 crore.
Auto shares also rose on renewed
buying. Tata Motors, India’s top auto firm by revenue, rose 2.06% to Rs
712.60. Hero Honda Motors (up 2.72% to Rs 652), Bajaj Auto (up 1.44% to
Rs 2340) and Maruti Udyog (up 0.57% to Rs 878) were the other gainers
from auto pack.
Mahindra & Mahindra, the country's top
utility vehicle manufacturer by sales edged higher by 1.84% to Rs 723
boosted by reports that it is looking to buy a design firm in Italy as
part of its plans to expand presence in the automotive space.
India's largest private sector entity by market capitalisation and oil
refiner Reliance Industries rose 1.51% to Rs 1987 on 5.05 lakh shares.
It recovered from day’s low of Rs 1948. RIL has completed acquisition
of Indian Petrochemicals Corporation (IPCL), a move that could help it
control two-thirds of the country's petrochemical market.
India’s largest FMCG firm by sales Hindustan Unilever (HUL) rose 1.91%
to Rs 216.50. As per reports, HUL will end a seven-week lockout on
Monday, 10 September 2007, at one of its factories at Assam after a
dispute with workers was resolved. The factory makes almost a third of
the company’s personal care products.
IT pivotals rose on late
buying. Wipro (up 1.21% to Rs 478.50), TCS (up 0.35% to Rs 1075),
Satyam Computers (up 0.78% to Rs 452) and Infosys (up 0.32% to Rs 1903)
edged higher.
India's largest aluminium producer by sales
Hindalco Industries was the top loser from the Sensex pack. It lost
1.37% to Rs 154.80 on 9.90 lakh shares.
India’s largest listed
cellular services provider in terms of profit, Bharti Airtel slipped
0.28% to Rs 846.60. As per recent reports, in the Karnataka circle,
Bharti Airtel cannot acquire any operator as it already has a 39.7%
market share. The 40% market share cap suggested by the
IVRCL
Infrastructures (Rs 132.64 crore), Reliance Energy (Rs 124.95 crore),
State Bank of India (Rs 104.89 crore), Indiabulls Financial Services
(Rs 103.93 crore) and GMR Infrastructures (Rs 102.34 crore) were among
the turnover toppers on BSE.
A lot of action was seen in 14
stocks that were included in the futures & options segment of NSE
effective today, 6 September 2007.
3i Infotech (up 0.34% to Rs
149), Aptech (up 5.99% to Rs 338.10), Bhushan Steel (up 1.13% to Rs
948.70), Biocon (up 0.87% to Rs 471.05), CMC (up 3.06% to Rs 1156.95),
Lakshmi Machine Works (up 9.56% to Rs 3205), NIIT Technologies (up
6.62% to Rs 365), Nucleus Software (up 0.63% to Rs 373), Sasken
Communications (up 1.21% to Rs 382), Tech Mahindra (up 3.31% to Rs
1329), and Yes Bank (up 3.43% to Rs 189.90) surged.
But
Welspun Gujarat Stahl Rhoren (down 5.77% to Rs 241), Tulip IT Services
(down 0.75% to Rs 921.10), and Havells India (down 1.56% to Rs 512.10)
edged lower.
Textile and apparel company Raymond was down
0.62% to Rs 273.10. It has reportedly entered the Rs 800-crore premium
women's western-wear market with the launch of ColorPlus Women. Raymond
will open 175 stores in the next three years to retail the range of
ColorPlus apparel.
Punj Lloyd rose 1.63% to Rs 296. As per
reports, the firm is planning a foray into defence equipment. It
proposes to produce guns, rockets, missile artillery systems and
related defence equipment and has applied for an industrial licence to
make these products. The licensing committee of the ministry of
commerce is expected to take a decision on this soon.
Color
Chips (India) slumped 3.12% to Rs 7.77 after the National Stock
Exchange said it had decided to suspend trading in the stock for
non-compliance of provisions of listing agreement. The stock will be
suspended from NSE after trading hours on 12 September 2007.
Saregama India jumped 10% to Rs 302.60. Sonata Investments acquired
10.58 lakh shares of the company at Rs 260 per share in a block deal on
Tuesday, 4 September 2007, on BSE. The stock has risen 21% in the past
two trading sessions.
Kernex Microsystem (India) gained 5% to
Rs 359.40 on recent rumors that it may bag a six-year long railways
contract worth Rs 2,000 crore in joint venture with Konkan Railways.
MSK Projects (India) rose 1.77% to Rs 100.40 after it received order
worth of Rs 76.45 crore from Madhya Pradesh Road Development
Corporation for execution of the Khandwa-Khargone (SH-26) road project.
Punjab Chemicals and Crop Protection soared 7.24% to Rs 155.50
on reports the firm is eyeing a 30% stake in US-based PSD Chemicals, a
privately-held firm in the US. Reportedly, the total deal size could be
around Rs 100 crore.
Gujarat Industries Power Company spurted
9.22% to Rs 7.40. Recently, its board approved expansion of its
lignite-fired power generating capacity at an investment of Rs 1300
crore by installing two units of 250 mega watts each.
iGate
Global Solutions flared up 6.16% to Rs 145.70. Yesterday (5 September
2007), Reliance Long Term Equity Fund bought 6.51 lakh shares of the
company via two bulk deals on the BSE.
Hindoostan Spinning
& Weaving Mills jumped 5% at Rs 56.10. It has spurted recently on
reports that the firm has sold 8 acres of its defunct mill located near
the Siddhivinayak temple at Prabhadevi, Mumbai, for Rs 350 crore to
Mumbai-based builder Akruti Nirman.
Networth Stock Broking
jumped 5% to Rs 99.80. The stock had risen 5% yesterday, 5 September
2007, on rumors that Hinduja Group is buying a majority stake in the
company. The company clarified after market on that day, that that the
company has been considering & contemplating proposal from
investors. However no firm decision has been taken by it, neither has
any arrangement was finalized.
Hindustan Dorr Oliver rose 2.22% to Rs 131 bagged a contract of Rs 77 crore from National Aluminium Company (Nalco)
Sical Logistics gained 4.86% to Rs 257 after Old Lane Mauritius IV
invested Rs 107 crore for a 26% stake in the company’s new unit, Sical
Infra Assets.
Escorts dropped 1.61% to Rs 103.85 after the
National Stock Exchange said after trading hours on Wednesday, 5
September 2007, it had barred fresh positions in the company's
derivatives contracts as the open interest had crossed the 95% limit
Drug maker Abbott India was up 0.78% to Rs 575. The stock came off the
session’s high of Rs 585. It said after trading hours on Wednesday, 5
September 2007, its board had approved buying back shares worth Rs
51.84 crore, at a price not exceeding Rs 650 per share.
KS
Oils surged 5.51%to Rs 71.75 after it said during trading hours on
Thursday, 6 September 2007, it plans to form a joint venture in
Malaysia to invest in palm plantations. The company will hold 49% in
the joint venture.
Hindustan Zinc rose 2.96% to Rs 724.10 even
it cut zinc prices by 3.7% to Rs 139200 per tonne, with ieffect from 6
September 2007. The company said lead prices were reduced by 6% to Rs
139100 a tonne.
Business directory publisher Infomedia India
gained 5% to Rs 256.45 on a newspaper report that said a clutch of
private equity firms were vying for ICICI Venture's 63% stake in it.
The European Central Bank kept interest rates unchanged at 4% in a meeting held today, 6 September 2007.
There are hopes that the US Federal Reserve will cut the fed funds rate
by at least a quarter percentage point on 18 September 2007.
European markets, which opened after the Indian markets, were trading
mixed today. Among key European indices, United Kingdom (down 0.11% to
6,253.50) and France (down 0.23% to 5,538.53) slipped while Germany's
DAX rose 0.34% to 7,613.93.
Asian markets rebounded from lower
levels today, 6 September 2007. Japan's Nikkei (up 0.61% at 16,257),
Taiwan's Taiwan Weighted (up 1.16% at 9,017.08), South Korea's Seoul
Composite (up 1.24% at 1,888.81) and Shanghai Composite (up 1.56% at
5,393.56) rose.
Hang Seng index was down marginally by 0.08% at 24,050.40
US markets finished lower yesterday, 5 September 2007, after weak US
housing data revived concerns about the health of the world's biggest
economy. The Dow Jones Industrial Average slipped 143.39 points, or
1.07%, at 13,305.47. Broader stock indicators also lost ground. The
Standard & Poor's 500 index fell 17.13 points, or 1.15%, to
1,472.29, and the Nasdaq Composite index fell 24.29 points, or 0.92%,
to 2,605.95.
Crude oil prices rose to $76 a barrel on
Thursday, 6 September 2007 buoyed by expectations that US crude and
gasoline inventories fell last week. US crude rose 33 cents to $76.06 a
barrel while London Brent crude was up 21 cents at $74.55 a barrel.
The National Stock Exchange said on Thursday, 6 September 2007, it will
extend trading timing by 45 minutes from 25 September 2007 to 9 October
2007 due to loss of satellite connectivity during this period. Trading
will close at 11:25 IST and re-open at 12:10 IST. The final closing
will be at 16:15 IST, instead of 15:30 IST.
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[07/09/2007] Calls...
BEST BUY
PATNI COMP (BUY) 483 (Target1) 488 ( Target 2) 493 (Sl) 471 [BOTH TARGET ACHIEVED]
CUMMINS (BUY) 400 (Target1) 403.8 ( Target 2) 408 (Sl) 391 [ TARGET 1 ACHIEVED]
GITANJALI (BUY) 300 (Target1) 304 ( Target 2) 307 (Sl) 293 [ TARGET 1 ACHIEVED]
[07/09/2007] Calls...
SUGAR STOCKS TO BE IN LIMELIGHT BUY FOR 3-5 % GAINS IN SHORT TERM
BEST BUY
PATNI COMP (BUY) 483 (Target1) 488 ( Target 2) 493 (Sl) 471
CUMMINS (BUY) 400 (Target1) 403.8 ( Target 2) 408 (Sl) 391
GITANJALI (BUY) 300 (Target1) 304 ( Target 2) 307 (Sl) 293
CLOSING...The momentum revives...
After
two days of lackluster trade, markets ended firm today with the
benchmark indices advancing by more than 1%. While buying was witnessed
in auto, banking, power, cement and software stocks, select pharma and
media stocks ended in the red. On the sectoral indices front, BSE FMCG
(up 1.5%) and the BSE Auto Index (up 1.2%) emerged as the key gainers.
As far as global markets are concerned, Asian markets ended mixed.
European indices too have opened on a cautious note.
The
BSE Sensex closed at 15,616 (up 170 points) while the NSE Nifty closed
at 4,519 (up 43 points). The rupee was trading at 40.92 to the dollar.
Amidst
weak global cues, the BSE Sensex opened with a negative gap of more
than 60 points (0.4%). However, the index soon pared its losses to
enter into the positive territory. Thereafter, the index proceeded to
trade higher for the rest of the trading session and finally closed
with a gain of 1.1%. The overall market breadth was positive with
gainers outnumbering the losers in the ratio of 4.6 to 1 on the Nifty.
Reliance Energy (up 5%), Grasim and Ranbaxy (each up 4%) were the key
gainers on the NSE.
Reliance
Energy is planning to hive off its engineering, procurement and
construction (EPC) division into a new company. REL is considering the
option to list the new company to raise funds for its projects. The EPC
division has an order backlog of Rs. 70 bn. The EPC division's revenue
was Rs 20.8 bn in FY07, almost a third of company's total revenue of Rs
65.8 bn. The EPC division has contributed about 8% of the net profit of
Rs. 8 bn of Reliance Energy. Reliance Energy (up 5%) along with its peer Tata Power (up 3%) closed firm today.
Pharma closed mixed today with Ranbaxy, Dabur Pharma (each up 3%) and Cipla (up 1%) leading the pack of gainers, while Matrix Labs (down 4%) and Divi's Lab (down
1%) closed in the red. As per a leading business daily, Ranbaxy has
completed the second phase of the clinical trials of a revolutionary
anti-malarial drug that could enable it to be the nation's first
pharmaceutical company to launch a New Chemical Entity (NCE) globally.
The company has just finished phase II clinical trials and is doing a
phase II for the combination of that product. If everything continues
to be successful, Ranbaxy will be able to launch the NCE in the market
by 2011. While two to three dozen new molecules are being developed for
cardiovascular, arthritis, diabetes and oncology, there have been just
two products launched in the last 30 years for malaria. Though the
market size is considered small the competition is not likely to be
intense.
As per a leading business daily, Mahindra and Mahindra
(M&M) is planning to acquire a design firm in Italy to upgrade its
skills. The company has been looking for overseas buys to expand its
business. It has also been reported to be eyeing Ford Motor's brands
Jaguar and Land Rover. Though details regarding the deal have not yet
been divulged, the move is part of company's global strategy to source
the best product. Further, its manufacturing unit in Chennai which is a
joint venture with French carmaker Renault and Japan's Nissan, would be
operational in two years. The companies had formed a JV to make cars
with an investment of Rs 40 bn. The plant would have a capacity of 0.4
m cars and utility vehicles and would make models of all three
partners, besides power train for Renault and Nissan. These ventures
would help the company develop new models and increase its presence.
M&M along with its peers Tata Motors and Ashok Leyland closed firm today (each up 2%).
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FIIs net buyers of Rs 311cr in cash market
crore (provisional) today, according to data released by BSE.
While FIIs made gross purchases of Rs 2,275.51 crore, gross sales totalled Rs 1,964.14 crore.
Domestic
institutional investors (DIIs) were net sellers of Rs 8.26 crore
(provisional) today. While DIIs made gross purchases of Rs 841.01
crore, gross sales totalled Rs 849.27 crore.
FIIs were net
buyers of Rs 410.40 crore on Wednesday, September 5, according to data
released by Sebi today. While FIIs made gross purchases of Rs 2,703
crore, gross sales totalled Rs 2,292.70 crore.
Mutual funds
(MFs) were net buyers of Rs 67.40 crore on Wednesday. MFs made
purchases of Rs 548.80 crore and sales of Rs 481.40 crore.
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Thursday, September 6, 2007
[06/09/2007] Calls...
RELIANCE ENERGY (SELL) 818 (Target1) 812 ( Target 2) 808 (Sl) 833
RCOM (SELL) 535 (Target1) 529 ( Target 2) 525 (Sl) 546
JSW STEEL (SELL) 675 (Target1) 669 ( Target 2) 666 (Sl) 690
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Wednesday, September 5, 2007
[05/09/2007] Calls...
LANCO INFRA (BUY) 297 (Target1) 301 ( Target 2) 303 (Sl) 290.1 [ACHIEVED]
IFCI (BUY) 70.8 (Target1) 72 ( Target 2)73.4 (Sl) 66
GITANJALI (BUY) 300 (Target1) 304 ( Target 2) 307 (Sl) 293 [ACHIEVED]
Tuesday, September 4, 2007
[04/09/2007] Calls...
SAIL (BUY) 165.5 (Target1) 169 ( Target 2) 171 (Sl) 162
PARSVNATH (BUY) 310 (Target1) 314 ( Target 2) 318 (Sl) 304 [ACHIEVED]
JUPITER BIO (BUY) 188 (Target1) 191 ( Target 2) 195 (Sl) 184 [ACHIEVED]
Market Forecast for 04.09.07
The market opened positive but remained volatile throughout the day. The market seems to be tired and a further upmove can be seen in the coming days to come. I advise all traders to kindly book profits in every rise. However, positional buyers can stay long above 4385.
Today, market may open flat or positive with gap up attached with high volatility and remain long only above 4475 with SL 4460 for a tgt of 4495-4515. If it remains below 4475 keep short with SL 4490 for tgt 4450-4435. dont short blindly. Play with the mood of the market and mint money, Happy investing
Monday, September 3, 2007
[03/09/07] Calls...
GMR INFRA (BUY) 810 (Target1) 818 ( Target 2) 825 (Sl) 796
PARSVNATH (BUY) 303.5 (Target1) 309 ( Target 2) 313 (Sl) 296
HFCL (BUY) 20.6 (Target1) 21.25 ( Target 2) 21.80 (Sl) 19
[TARGETS ACHIEVED]
[03/09/07] Calls...
GMR INFRA (BUY) 810 (Target1) 818 ( Target 2) 825 (Sl) 796
PARSVNATH (BUY) 303.5 (Target1) 309 ( Target 2) 313 (Sl) 296
HFCL (BUY) 20.6 (Target1) 21.25 ( Target 2) 21.80 (Sl) 19
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