Thursday, October 08, 2009
Date,Symbol,Security Name,Client Name,Buy/Sell,Quantity Traded,Trade Price / Wght. Avg. Price,Remarks
08-OCT-2009,ALKALI,Alkali Metals Limited,ADROIT FINANCIAL SERVICES PRIVATE LIMITED,BUY,51688,209.30,-
08-OCT-2009,ALKALI,Alkali Metals Limited,MANSUKH SECURITIES & FINANCE LIMITED,BUY,175537,212.21,-
08-OCT-2009,ALKALI,Alkali Metals Limited,MBL & COMPANY LTD.,BUY,105099,211.09,-
08-OCT-2009,ALKALI,Alkali Metals Limited,MEET TRADELINK,BUY,297359,207.46,-
08-OCT-2009,ALKALI,Alkali Metals Limited,OM INVESTMENTS,BUY,55103,214.38,-
08-OCT-2009,ALKALI,Alkali Metals Limited,V. P. CONSULTANTS PRIVATE LIMITED,BUY,57586,213.38,-
08-OCT-2009,FIEMIND,Fiem Industries Limited,AJAY ASSET MANAGEMENT PRIVATE LIMITED,BUY,60135,105.15,-
08-OCT-2009,FIEMIND,Fiem Industries Limited,GUPTA RAKESH,BUY,107078,99.27,-
08-OCT-2009,GLORY,Glory Polyfilms Limited,AMBIT SECURITIES BROKING PVT. LTD.,BUY,99383,29.18,-
08-OCT-2009,GLORY,Glory Polyfilms Limited,DB (INTERNATIONAL) STOCK BROKERS LTD.,BUY,91457,29.14,-
08-OCT-2009,GLORY,Glory Polyfilms Limited,NAMAN SECURITIES & FINANCE PVT. LTD,BUY,150945,29.18,-
08-OCT-2009,GLORY,Glory Polyfilms Limited,OM INVESTMENTS,BUY,112131,29.17,-
08-OCT-2009,GLORY,Glory Polyfilms Limited,PRASHANT JAYANTILAL PATEL,BUY,504470,29.29,-
08-OCT-2009,GLORY,Glory Polyfilms Limited,SAVEREY PADMANABHA RAO BALAKRISHNAN,BUY,142500,29.26,-
08-OCT-2009,GLORY,Glory Polyfilms Limited,TRANSGLOBAL SECURITIES LTD.,BUY,92275,29.19,-
08-OCT-2009,ISPATIND,Ispat Industries Limited,JAYPEE CAPITAL SERVICES LTD.,BUY,12931287,23.34,-
08-OCT-2009,KFA,Kingfisher Airlines Ltd.,GENUINE STOCK BROKERS PVT LTD,BUY,1371978,58.99,-
08-OCT-2009,MBECL,Mcnally Bharat Engineerin,JHUNJHUNWALA REKHA R,BUY,480078,167.28,-
08-OCT-2009,MBECL,Mcnally Bharat Engineerin,PARIKH AMAL NIRANJAN,BUY,300000,167.04,-
08-OCT-2009,NITCO,Nitco Limited,PATEL PRITESH BIPIN,BUY,304925,61.89,-
08-OCT-2009,NOVAPETRO,Nova Petrochem Limited,BRIJMOHAN D CHIRIPAL,BUY,500000,27.50,-
08-OCT-2009,UBHOLDINGS,United Breweries (Holding,PLATINIUM INVESTMENT MANAGEMENT LTD A/C PLATINUM INTERN FUND,BUY,1624000,207.00,-
08-OCT-2009,ALKALI,Alkali Metals Limited,ADROIT FINANCIAL SERVICES PRIVATE LIMITED,SELL,49088,208.79,-
08-OCT-2009,ALKALI,Alkali Metals Limited,MANSUKH SECURITIES & FINANCE LIMITED,SELL,175537,212.62,-
08-OCT-2009,ALKALI,Alkali Metals Limited,MBL & COMPANY LTD.,SELL,105099,211.10,-
08-OCT-2009,ALKALI,Alkali Metals Limited,MEET TRADELINK,SELL,297359,206.31,-
08-OCT-2009,ALKALI,Alkali Metals Limited,OM INVESTMENTS,SELL,55103,214.39,-
08-OCT-2009,ALKALI,Alkali Metals Limited,SAMIRKUMARDIPAKBHAISHAH,SELL,139200,199.75,-
08-OCT-2009,ALKALI,Alkali Metals Limited,V. P. CONSULTANTS PRIVATE LIMITED,SELL,57586,214.74,-
08-OCT-2009,FIEMIND,Fiem Industries Limited,AJAY ASSET MANAGEMENT PRIVATE LIMITED,SELL,60135,105.20,-
08-OCT-2009,FIEMIND,Fiem Industries Limited,GUPTA RAKESH,SELL,107078,101.45,-
08-OCT-2009,GLORY,Glory Polyfilms Limited,AMBIT SECURITIES BROKING PVT. LTD.,SELL,99383,29.21,-
08-OCT-2009,GLORY,Glory Polyfilms Limited,DB (INTERNATIONAL) STOCK BROKERS LTD.,SELL,91457,29.06,-
08-OCT-2009,GLORY,Glory Polyfilms Limited,NAMAN SECURITIES & FINANCE PVT. LTD,SELL,155945,29.11,-
08-OCT-2009,GLORY,Glory Polyfilms Limited,OM INVESTMENTS,SELL,112131,29.19,-
08-OCT-2009,GLORY,Glory Polyfilms Limited,PRASHANT JAYANTILAL PATEL,SELL,504470,29.27,-
08-OCT-2009,GLORY,Glory Polyfilms Limited,SAVEREY PADMANABHA RAO BALAKRISHNAN,SELL,142500,29.18,-
08-OCT-2009,GLORY,Glory Polyfilms Limited,TRANSGLOBAL SECURITIES LTD.,SELL,92275,29.23,-
08-OCT-2009,ISPATIND,Ispat Industries Limited,JAYPEE CAPITAL SERVICES LTD.,SELL,13117329,23.35,-
08-OCT-2009,KFA,Kingfisher Airlines Ltd.,GENUINE STOCK BROKERS PVT LTD,SELL,1371978,59.02,-
08-OCT-2009,MBECL,Mcnally Bharat Engineerin,RAMESHKUMAR GOENKA,SELL,753613,167.00,-
08-OCT-2009,NITCO,Nitco Limited,EMERGING MARKETS MANAGEMENT L.L.C -A/C THE EMM UMBRELLA FUND,SELL,366510,59.19,-
08-OCT-2009,NITCO,Nitco Limited,PATEL PRITESH BIPIN,SELL,304925,62.31,-
08-OCT-2009,NOVAPETRO,Nova Petrochem Limited,CHIRIPAL INDUSTRIES LIMITED,SELL,500000,27.50,-
08-OCT-2009,UBHOLDINGS,United Breweries (Holding,DEUTSCHE SECURITIES MAURITIUS LIMITED,SELL,2000000,207.00,-
Deal Date Scrip Code Company Client Name Deal Type * Quantity Price **
8/10/2009 524412 AAREY DRUGS CHETAN KIRITBHAI MEHTA S 25000 43.35
8/10/2009 533029 ALKALI V P CONSULTANTS PVT LTD B 73240 214.69
8/10/2009 533029 ALKALI A.K.G. STOCK BROKERS PVT. LTD. B 52445 208.28
8/10/2009 533029 ALKALI PRAKASH BHAI NARSINH BHAI PATEL B 98100 215.05
8/10/2009 533029 ALKALI MANSUKH SECURITIES & FINANCE LTD B 142029 210.98
8/10/2009 533029 ALKALI V P CONSULTANTS PVT LTD S 73240 213.97
8/10/2009 533029 ALKALI A.K.G. STOCK BROKERS PVT. LTD. S 52445 208.25
8/10/2009 533029 ALKALI PRAKASH BHAI NARSINH BHAI PATEL S 98100 207.13
8/10/2009 533029 ALKALI MANSUKH SECURITIES & FINANCE LTD S 142029 210.61
8/10/2009 507525 AMRIT CORP USHA SANGHAVI B 26231 84.04
8/10/2009 507525 AMRIT CORP LIFE INSURANCE CORPORATION OF INDIA S 23900 84.00
8/10/2009 507525 AMRIT CORP LIFE INSURANCE CORPORATION OF INDIA S 20000 84.09
8/10/2009 524760 ARVIND INTER VISAGAR POLYTEX LIMITED B 34390 10.31
8/10/2009 524760 ARVIND INTER RANJU MAHESWARI S 50000 10.31
8/10/2009 505506 AXON INFOTEC VIJAY KUMAR BANARSI JAYSWAL B 5000 15.43
8/10/2009 526652 CALS REF LTD JMP SECURITIES PVT LTD S 44431911 0.73
8/10/2009 532363 COMP-U-LEARN KISHORE BABURAMINENI B 70000 25.37
8/10/2009 533055 EDSERV SOFT SETU SECURITIES PVT LTD B 76865 166.50
8/10/2009 533055 EDSERV SOFT SETU SECURITIES PVT LTD S 79357 166.63
8/10/2009 517477 ELNET TECHNO SAINATH HERBAL CARE MARKETING P.LTD S 20026 62.65
8/10/2009 532768 FIEM INDS SETU SECURITIES PVT LTD B 61096 105.59
8/10/2009 532768 FIEM INDS RAKESH GUPTA B 101635 101.38
8/10/2009 532768 FIEM INDS RAKESH GUPTA S 101635 103.18
8/10/2009 532022 FILAT FASH HARESH THAKAR PANNA B 50000 27.25
8/10/2009 523672 FLEX FOODS L BHARAT JAYANTILAL PATEL S 75000 34.69
8/10/2009 532767 GAYATRI PROJ IL & FS PRIVATE EQUITY TRUST A/C. LEVERAGE INDIA FUND S 65000 350.15
8/10/2009 532857 GLORY POLY TRANSGLOBAL SECURITIES LTD. B 100197 29.21
8/10/2009 532857 GLORY POLY DB (INTL) OWN TRADING B 93013 28.93
8/10/2009 532857 GLORY POLY AMBIT SECURITIES BROKING PRIVATE LIMITED B 126843 29.23
8/10/2009 532857 GLORY POLY Naman Securities & Finance Pvt. Ltd. B 94160 29.35
8/10/2009 532857 GLORY POLY TRANSGLOBAL SECURITIES LTD. S 100197 29.19
8/10/2009 532857 GLORY POLY DB (INTL) OWN TRADING S 93013 29.00
8/10/2009 532857 GLORY POLY AMBIT SECURITIES BROKING PRIVATE LIMITED S 126843 29.24
8/10/2009 532857 GLORY POLY Naman Securities & Finance Pvt. Ltd. S 94165 29.27
8/10/2009 532857 GLORY POLY JMP SECURITIES PVT LTD S 92599 28.52
8/10/2009 532786 GREAT OFFSH DHANASHREE PROPERTIES PRIVATE LIMITED B 302140 555.00
8/10/2009 506131 INDIA CO VEN V I C ENTERPRISES P L B 244000 56.30
8/10/2009 506131 INDIA CO VEN DABUR INVESTMENT CORPORATION B 194500 54.95
8/10/2009 506131 INDIA CO VEN POONAM ISHWARLAL ADVANI S 244000 56.30
8/10/2009 506131 INDIA CO VEN DILIP ISHWAR ADVANI S 193500 54.95
8/10/2009 509684 INDIA FOILS SAINATH HERBAL CARE MARKETING P.LTD B 299941 16.56
8/10/2009 509684 INDIA FOILS SHILPA MILIND DESAI S 200000 16.00
8/10/2009 504336 INDTRADECO L VARSHA INDL TOWNSHIP ORGANISERS PVT LTD. S 3500000 0.45
8/10/2009 523467 JAI MATA GLA SUNITA BRIJLAL VISHWAKARMA B 40000 3.94
8/10/2009 523467 JAI MATA GLA MOTI LAL BHASIN S 54307 3.94
8/10/2009 523467 JAI MATA GLA Naman Securities & Finance Pvt. Ltd. S 20000 3.94
8/10/2009 530255 KAY POW PAP BAMPSL SECURITIES LTD. B 318719 7.42
8/10/2009 530255 KAY POW PAP OM PARKASH GUPTA B 84381 7.49
8/10/2009 530255 KAY POW PAP SATISH KUMAR GUPTA B 106987 7.42
8/10/2009 530255 KAY POW PAP ANKIT KUMAR GUPTA B 78300 7.05
8/10/2009 530255 KAY POW PAP B.S.KHANDELWAL B 166000 7.41
8/10/2009 530255 KAY POW PAP GIRRAJ PRASAD GUPTA B 81000 7.31
8/10/2009 530255 KAY POW PAP BAMPSL SECURITIES LTD. S 264455 7.46
8/10/2009 530255 KAY POW PAP OM PARKASH GUPTA S 84381 7.43
8/10/2009 530255 KAY POW PAP SATISH KUMAR GUPTA S 106987 7.28
8/10/2009 530255 KAY POW PAP ANKIT KUMAR GUPTA S 78300 7.66
8/10/2009 530255 KAY POW PAP SUNIL KUMAR GUPTA S 71000 7.03
8/10/2009 530255 KAY POW PAP GIRRAJ PRASAD GUPTA S 81000 7.46
8/10/2009 532368 LGS GLOBAL BHARAT SHANTILAL THAKKAR B 219141 76.17
8/10/2009 532368 LGS GLOBAL BHARAT SHANTILAL THAKKAR S 219141 75.61
8/10/2009 532722 NITCO LTD PRITESH BIPIN PATEL B 287569 62.97
8/10/2009 532722 NITCO LTD PRITESH BIPIN PATEL S 287569 62.13
8/10/2009 532722 NITCO LTD EMERGING MARKETS MANAGEMENT LLC A/C THE EMM UMBRELLA FUNDS EMERGI S 337790 59.54
8/10/2009 531092 OM MET INFRA INDIA DISCOVERY FUND LIMITED B 500000 31.90
8/10/2009 531092 OM MET INFRA COPTHALL MAURITIUS INVESTMENT LIMITED S 1054951 31.90
8/10/2009 531092 OM MET INFRA MACQUARIE BANK LIMITED S 1745993 31.90
8/10/2009 512449 PACE TEXTILES SUTTAM CHAND S 160000 108.04
8/10/2009 511702 PARSHART INV JAYESH KUMARCHIMANLAL SONI B 22000 27.60
8/10/2009 511702 PARSHART INV SUSMITABEN PRADIPBHAI PATEL S 57287 27.60
8/10/2009 590077 RANKLIN SOLU TEJANAGA VENKATA AMBICARAMA SUDARSANPERLA B 27000 37.50
8/10/2009 590077 RANKLIN SOLU NIBU KRISHNAN S 27100 37.50
8/10/2009 531646 RFL INTERNAT KIRTI RAMANLAL SHAHKIRTI RAMANLAL B 31000 1.26
8/10/2009 531646 RFL INTERNAT KHUSHAL KANJI DAND B 50000 1.28
8/10/2009 531646 RFL INTERNAT SUDARSHAN VISHWANATH THOPATE S 40000 1.24
8/10/2009 506172 SAMPADA CHEM DOLEX COMMERCIAL PRIVATE LIMITED S 33500 29.75
8/10/2009 506172 SAMPADA CHEM SHREE SATYANARAIN PROPERTIES PRIVATE LTD S 28000 29.75
8/10/2009 505590 SCENARIO MED KUSUM GUPTA S 5000 121.80
8/10/2009 532478 UNITED BREW TREE LINE ASIA MASTER FUND SINGAPORE PTE LTD B 5000000 141.00
8/10/2009 532478 UNITED BREW DEUTSCHE SECURITIES MAURITIUS LIMITED S 5000000 141.00
8/10/2009 532917 VARUN INDS HITESH SHASHIKANT JHAVERI B 118050 187.68
8/10/2009 532093 VENKAT PHARM SETU SECURITIES PVT LTD B 25097 7.87
8/10/2009 532093 VENKAT PHARM JYOTI PORTFOLIO LIMITED B 95083 7.43
8/10/2009 532093 VENKAT PHARM KOKADAN SHARFUDDIN B 26500 7.89
8/10/2009 532093 VENKAT PHARM KALPANA MADHANI SECURITIES PVT. LTD. B 36317 7.89
8/10/2009 532093 VENKAT PHARM CHIMANLAL MANEKLAL SECURITIES PVT.LTD B 37981 7.79
8/10/2009 532093 VENKAT PHARM MUMBAI STK. BROKING PVT. LTD. B 30000 7.67
8/10/2009 532093 VENKAT PHARM BHAVIN Y MEHTA B 25003 7.83
8/10/2009 532093 VENKAT PHARM SETU SECURITIES PVT LTD S 40001 7.70
8/10/2009 532093 VENKAT PHARM JYOTI PORTFOLIO LIMITED S 80478 7.88
8/10/2009 532093 VENKAT PHARM KOKADAN SHARFUDDIN S 26500 7.25
8/10/2009 532093 VENKAT PHARM KALPANA MADHANI SECURITIES PVT. LTD. S 36317 7.84
8/10/2009 532093 VENKAT PHARM BHAVIN Y MEHTA S 25003 7.89
8/10/2009 511147 WALL STREE F RAJASTHAN GLOBAL SEC LTD B 261732 56.49
8/10/2009 511147 WALL STREE F ANGEL INFIN PRIVATE LIMITED B 225001 55.84
8/10/2009 511147 WALL STREE F SPICE INVESTMENTS & FINANCE ADVISORS PVT. LTD. B 1243852 55.40
8/10/2009 511147 WALL STREE F FAIRDEAL INFIN SERVICES PVT. LTD. B 100000 55.90
8/10/2009 511147 WALL STREE F BP FINTRADE PRIVATE LIMITED B 62632 55.65
8/10/2009 511147 WALL STREE F ARIF ASGAR PATEL S 740000 55.79
8/10/2009 511147 WALL STREE F ANGEL INFIN PRIVATE LIMITED S 145001 56.40
8/10/2009 511147 WALL STREE F FAIRDEAL INFIN SERVICES PVT. LTD. S 75000 56.72
8/10/2009 511147 WALL STREE F BP FINTRADE PRIVATE LIMITED S 62639 56.42
8/10/2009 511147 WALL STREE F ASGAR PATEL S 1260000 55.41
8/10/2009 531249 WELL PACK PA BUNIYAD CHEMICALS LTD B 25000 274.53
8/10/2009 522108 YUKEN INDIA SWARNARATNA SECURITIES P. LTD B 20000 76.39
8/10/2009 522108 YUKEN INDIA APARAJEETA IT SOFTWARE SOULTIONS PRIVATE LIMITED S 46000 72.84
8/10/2009 522108 YUKEN INDIA EQUITY INTELLIGENCE INDIA PRIVATE LIMITED S 15000 76.90
The domestic market pared its gains and finally closed on flat note due to fresh selling emerged in key stocks during last trading hour. Besides, market slipped into red during first half of trading due to fall in IT stocks backed by strong rupee. However, stocks surged since mid session on announcement of one-for-one bonus share issue by Reliance Industries Ltd. Firm cues from the markets all over world along with higher US index futures also contributed to the upturn. Meanwhile, India''s inflation increased 0.7% in the 12 months to 26th September 2009, which is lower than 0.83% of the previous week. BSE Sensex ended above 16,800 level and NSE Nifty closed around 5,000 level.
The markets opened higher today on the back of positive Asian markets along with announcement of one-for-one bonus share issue by Reliance Industries Ltd. However, the US stock market ended mixed on Wednesday. Investors took a wait-and-watch approach ahead of the start of earnings season, though banks and techs gained. Stocks were trading listlessly during most of the session as the Dollar Index recovered on Wednesday from losses in the past three sessions. However, Indian benchmark indices pared initial gains due to fall in IT stocks on strong rupee. Further, market rebounded from lows and continued to trade higher on optimism about Q2 September 2009 results. Gains in European stocks also supported the domestic market. Meanwhile, market was unable to hold the same momentum and finally closed on flat note. From the sectoral front, most of the buying was seen in Realty, FMCG, Oil & Gas, Auto, Metal and Power stocks. However, Teck and IT stocks contributed to most of the selling pressure.
Among the Sensex pack 22 stocks ended in green territory and 8 in red territory. The market breadth indicating the overall health of the market remained negative as 1512 stocks closed in red while 1246 stocks closed in green and 110 stocks remained unchanged in BSE.
The BSE Sensex closed marginally higher by 36.22 points at 16,843.54 and NSE Nifty ended slightly up by 16.50 points at 5,002.25. BSE Mid Caps and Small Caps closed with gains 49.85 and 16.27 points at 6,344.91 and 7,422.72 respectively. The BSE Sensex touched intraday high of 156,998.52 and intraday low of 16,775.36.
Gainers from the BSE Sensex pack are Tata Motors (5.35%), Reliance Infra (4.89%), Tata Steel (3.56%), JP Asociates (3.20%), HUL (2.72%), ITC Ltd (2.31%), M&M Ltd (2.14%), ONGC Ltd (2.01%), Herohonda Motors (1.75%), Hindalco (1.57%), NTPC Ltd (1.39%), BHEL (1.16%) and DLF Ltd (1.16%).
Losers from the BSE Sensex pack are Bharti Airtel (6.61%), RCom (6.01%), Sun Pharma (3.42%), TCS Ltd (3.36%), Infosys Tech (1.80%), Maruti Suzuki (1.69%), L&T Ltd (1.65%) and Wipro Ltd (1.40%).
India''s wholesale price index increased 0.7% in the 12 months to 26th September 2009, which is lower than 0.83% of the previous week. The annual inflation rate was 12.08% during the corresponding week of previous year. Inflation has remained in the positive territory for the fourth straight week. The wholesale price index for all commodities stood at 243, down 0.1% from a week earlier. The prices of manufactured products dropped by 0.2% on a week-on-week basis and the price of the fuel group was down 0.1%.
On the global markets front, the Asian markets that opened before the Indian market, ended higher, as investors eyed company earnings for clues about the health of the global economy. Hang Seng, Nikkei 225, Singapore''s Straits and Seoul Composite ended higher by 251.31, 32.87, 16.32 and 17.46 points at 21,492.90, 9,832.47, 2,650.95 and 1,615.46 respectively. Meanwhile, markets in China have been closed since 1 October 2009 for National day and Autumn festival celebrations. Trading will resume on 9 October 2009.
European markets, which opened after the Indian market, are trading in green, as investors awaited decisions on interest rates from Europe''s two leading central banks. In Paris the CAC 40 is higher 43.65 points at 3,800.06, in Frankfurt DAX index is trading up 58.75 points at 5,699.50 and in London FTSE 100 is trading higher by 26.83 points at 5,135.73.
The BSE Realty index ended up by (2.09%) or 90.76 points at 4,424.52, as Housing Dev (6.45%), Indiabull Real (2.75%), Unitech Ltd (2.43%), Sobha Dev (1.76%) and Ackruti (1.26%) in green.
The BSE FMCG index gained (2.01%) or 54.24 points 2,756.84. Gainers are United Brew (8.78%), Godrej Cons (3.23%), HUL (2.72%) and Colgate Palm (2.71%).
The BSE Auto index ended higher by (1.66%) or 107.03 points at 6,563.16. Main gainers are Tata Motors (5.35%), Ashok Leyland (4.79%), Exide Indus (4.35%), Cummins Indi (3.84%) and Apollo Tyre (2.96%).
The BSE Oil & Gas index increased by (1.43%) or 145.68 points at 10,306.88. Gainers are Gail India (3.66%), BPCL (2.52%), HPCL (2.16%), Cairn Indi (2.04%) and ONGC Ltd (2.01%).
The BSE Teck index dropped by (2.80%) or 85.29 points at 2,965.22. Losers are Bharti Airtel (6.61%), RCom (6.01%), Tanla (5.39%), TCS Ltd (3.36%) and HCL Tech (3.22%).
The BSE IT index closed lower by (1.876%) or 82.27 points at 4,339. Losers are TCS Ltd (3.36%), HCL Tech (3.22%), Mphasis Ltd (2.73%), Patni Computer (2.58%) and rolta Ind (1.87%).
Reliance Industries Ltd gained 0.96%. The Board of Directors of the Reliance Industries Ltd proposed, subject to shareholders approval, issue of bonus shares in the ratio of one equity share for every one equity share held in the Company. The Board also declared dividend of Rs 13 per share for the financial year 2008-09. This will result in a payment of Rs. 2,219 crore inclusive of taxes of Rs. 322 crore. Both the bonus shares and dividend will accrue to the shareholders of erstwhile Reliance Petroleum Ltd, which has been amalgamated recently with the Company.
IVRCL Infrastructures & Projects Limited (IVRCL) ended lower by 0.68%. The company has bagged orders of Rs.523.31 Crores from UP Jal Nigain for integrated Sewerage works under JNNURM in Allahabad and from Kakade Infrastructure for Five Building towers, Super-specialty hospital and a star hotel in Pune.
Valson Industries Ltd spurted 4.99% after the company said its board will meet on 15 October 2009 to consider bonus issue.
Edserv Softsystems Ltd jumped 4.97% after the company bagged a modular employable skills training deal from the Indian government.
Financial Technologies India Ltd gained 4.19% on bargain hunting after the stock corrected in the preceding sessions.
Ranbaxy Laboratories Ltd gained 1.74% despite the company''s French unit was raided on 6 October 2009, by European Union officials as part of an investigation of generic drug practices.
On a day when the global indices staged a mixed bag performance, the Sensex once again witnessed a day of high volatility and lost the steam at the end. Owing to almost flat closing of the US market, Asian indices gave a mixed bag performance, however European markets opened with decent gains and are currently trading at 5144, about 35 points above its previous closing. Nikkei 225, Kospi and Hang Seng ended the day with smart gain of close to 1% each, while Jakarta Composite and Taiwan weighted declined by more than 1% each. Besides, traders in US markets will be looking forward to the data on the wholesale inventories, continuing claims and trade balance that will be out today which might decide the trading course for the major US indices.
Benchmark Sensex opened at 16908, about 101 points higher over yesterday’s closing, however it witnessed high volatility for third consecutive trading session. While continued selling in IT and TECk stocks on the back of the weakening of the US dollar and earning downgrades, pulled Sensex down to hit the days low of 16775 during the course of the day. However buying in realty, FMCG and oil & gas landed support to the Sensex. Alike yesterday the index witnessed a steep fall towards the closing hours, however it recovered in the closing minutes of trade and ended the session 36 points higher at 16843, while Nifty rose by 16 points to close marginally above5000 mark and ended the day at 5002. The market breadth was fairly negative as out of 2,866 stocks traded on the BSE 1,511 stocks declined, whereas 1,247 stocks advanced. One hundred-eight stocks ended unchanged.
Among sectoral indices, it was only IT and telecom stocks that traded in the red. While BSE Realty and BSE FMCG gained the most and ended the day with over 2% gains each followed by BSE Oil & Gas, Auto, Power, Metal, Bankex and CD that rose by over 1% each. However, BSE TECk plunged the most by 2.70% followed by BSE IT that lost 1.74%. On the back of weakening of US dollar and downgrading of IT sector by major brokerage house resulted in a massive sell off in the IT stocks that recorded a fall for the third consecutive trading session. While the concerns raised on the future earnings of the telecom players on account of price war in the industry doubled with the expected regulatory activity led the fall in the telecom stocks. On the stocks front, Housing Development & Infrastructure led the top gainers list and surged the most by 6.45% to Rs363.10, followed by Great Eastern Shipping Company that rose 6.02% to Rs278.15, while Siemens, Tata Motors and Oracle Financial Services gained over 5% each. Among losers, Bharti Airtel fell the most by 6.61% to Rs334.65, Reliance Communications declined by 6.01% to Rs246.30, Piramal Healthcare fell by 5.70% to Rs389.50, while Sintex Industries and Max India lost over 4% each. And stocks like Sun Pharmaceutical Industries, Tata Consultancy Services, HCL Technologies and United Phosphorus ended with loss of over 3% each.
On turnover front, over 1.50 crore Unitech shares changed hands on the BSE followed by Ispat Industries (1.22 crore shares), Bharti Airtel (0.81 crore shares), Suzlon Energy (0.65 crore shares), Reliance Communications (0.63 crore shares) and Housing Development & Infrastructure (0.62 crore shares
4 to 5
115 to 125
4 to 4.50
Euro Multi Vision
70 to 75
4.50 to 5
40 to 50
4 to 4.50
Today domestic markets are likely to open positive as majority of Asian markets have opened in green. There is some firmness in Asian markets despite some consolidation happening at this peak levels. There are no cues from US markets, which closed flat after spending most of its session in the negative territory. In the domestic arena one could witness some rebound happening in the frontline stocks. However the sentiments are still cautious and therefore, domestic markets are likely to trade range bound during the day.
On Wednesday, domestic market pared all its initial gains and ended the day on weak note backed by fresh selling in key stocks that emerged during last trading hours. Profit-booking pressure at several blue chip counters also contributed to the downward journey. However, market exhibited good show during the first half of the trading, mirroring firm global markets but was unable to hold the momentum and slipped further. Meanwhile, benchmark indices moved between positive and negative terrain during afternoon trade on continuous bouts of buying and selling. BSE Sensex ended below 16,900 level and NSE Nifty closed below 5,000 level.
The BSE Sensex closed lower by 151.88 points or (0.90%) at 16,806.66 and NSE Nifty ended down by 41.65 points or (0.83%) at 4,985.75. BSE Mid Caps and Small Caps closed with gains 87.63 and 33.96 points at 6,295.06 and 7,406.55 respectively. The BSE Sensex touched intraday high of 17,120.56 and intraday low of 16,764.07.
On Wednesday, the US stock market closed flat after spending most of its session in negative territory. The resurgence in dollar from its previous three session losses, kept the stocks out of shine during the day’s trade. Banking stocks managed to emerge at a strong contender and find some direction in the early going. The KBW Bank index gained by 1.2% and the financial sector closed with a significant gain of 1%. Energy, Tech, Consumer Staples and Materials were the lead gainers of the day with respective gains of 0.6%, 0.5%, 0.3% and 0.2% respectively. The leadership of financial sector helped S&P 500 close with on a stronger note. Telecom was the only sector that closed with a severe loss of 2.9%. US light crude oil futures for November delivery closed with a loss of 1.7% at $69.66 per barrel, on the New York Mercantile Exchange.
The Dow Jones Industrial Average (DJIA) ended with a marginal loss of 5.67 points at 9,725.58. NASDAQ index surged 6.76 points to 2,110.33 and the S&P 500 (SPX) closed higher by 2.86 points at 1,057.58.
Indian ADRs ended mixed on Wednesday. However, losers outnumbered the gainers. In the telecom space, Tata Communication was down 3.22% and MTNL was down 0.57%. In the banking space, ICICI Bank was down 3.09% and HDFC Bank was down 2.3%. In the IT space, Infosys was down 2.1%, Wipro was down 1.94%, Satyam Computers was down 0.93% and Patni Computers was down 1.31%. In other sectors, Tata Motors was unchanged, while Dr Reddy''s Labs was up 0.35% and Sterlite Industries was up 1.43%.
The FIIs on Wednesday stood as net buyers in equity and net sellers in debt. Gross equity purchased stood at Rs 4,178.30 Crore and gross debt purchased stood at Rs 360.00 Crore, while the gross equity sold stood at Rs 4,146.90 Crore and gross debt sold stood at Rs 577.80 Crore. Therefore, the net investment of equity and debt reported were Rs 31.40 Crore and Rs (217.90) Crore respectively.
On Wednesday, the partially convertible rupee ended at 46.66/67 per dollar, 0.49% stronger than Tuesday’s closing at 46.89/90. The weakness in dollar across the globe and also the downtrend is local stock markets have reinforced strength in local currency.
On BSE, total number of shares traded were 59.07 Crore and total turnover stood at Rs 6,634.57 Crore. On NSE, total number of shares traded were 93.15 Crore and total turnover was Rs 21,042.82 Crore.
Top traded volumes on NSE Nifty – Unitech with total volume traded 46035420 shares, followed by Bharti Airtel with 38085626, Suzlon Energy with 22056804, Idea Cellular with 18786520 and Reliance Comm with 15667178 shares.
On NSE Future and Options, total number of contracts traded in index futures was 772443 with a total turnover of Rs 18,646.49 Crore. Along with this total number of contracts traded in stock futures were 704670 with a total turnover of Rs 23,457.66 crore. Total numbers of contracts for index options were 1450112 with a total turnover of Rs 36,648.07 Crore and total numbers of contracts for stock options were 70988 and notional turnover was Rs 2,277.94 Crore.
Today, Nifty would have a support at 4,902 and resistance at 5,048 and BSE Sensex has support at 16,612 and resistance at 16,896.
Reliance Industries announces 1:1 bonus issue and Rs13 per share as dividend. (ET)
Reliance Industries to invest US$8.8bn in developing KG-D6 field. (ET)
Government looks to sell 5% in NTPC. (ET)
HDFC expects 20-25% growth in loan disbursements in 2010. (BS)
Tata Steel has reported 19% increase in sales volumes in Q2 FY10. (ET)
Tata Steel to start importing coal from its Mozambique mines in 1.5 years. (BS)
BHEL is looking at Africa for setting up its first manufacturing facility abroad. (BS)
TCS to tweak currency strategy on Rupee swings. (ET)
Tata Motors is expected to produce around 40,000 Nanos this fiscal and increase it four-fold to over 170,000 units during FY11. (BL)
BHEL is set to begin the process of due diligence for picking up a majority stake in a Hungarian engineering company, Transelektro Ganz Rock Boiler and Power Equipment Company. (BL)
Essar Group and JSPL are competing to take over a coal mining company in Australia. (BS)
JSW Energy to set up 10 power plants with a capacity of 1,350MW in Rajasthan. (BS)
Bajaj Auto has launched the Kawasaki Ninja 250R. (BL)
Ranbaxy’s French units raided in EU drug probe. (BS)
Dr Reddy’s Laboratories has launched Strea C10 (pure topical Vitamin C 10%) and Strea A15 (pure topical Retinol 0.15%) in the domestic market. (BL)
SAIL will import about 11mn tons of coking coal this fiscal, lower than the imports in 2008-09. (BL)
NMDC has lined up a capital expenditure programme of Rs25bn to increase the capacity of its ore production from 30mn tons to 50mn tons by 2014. (BL)
JSPL has been asked to stop work on its Orissa steel unit by the Divisional Forest Officer. (BS)
Mahindra Satyam has tied up with the US-based Vision Solutions, to strengthen its high availability and disaster recovery offerings. (BL)
Ansal Properties and Infrastructure in talks with PE players to raise US$100mn. (ET)
PTC’s financial services arm raises Rs1bn through non convertible bonds. (ET)
Parsvanath Developers has decided to raise Rs1.68bn by allotting shares to QIPs. (ET)
The board of Uniphos Enterprises approves Rs1bn fund raising. (ET)
Era Infra bags 2 orders worth Rs1.47bn for construction related works. (FE)
Kingfisher has returned 19 leased aircrafts in the past 10 months. (FE)
Finance Minister to nudge government banks to keep hold interest rates. (ET)
GDP to grow over 6.3%, as per the planning commission. (ET)
Bank credit expanded by Rs1,089bn in Q2 FY10. (ET)
RBI has rejected a government proposal to auction ECBs to Indian companies. (FE)
Multiplex operators across the country have hiked ticket prices by 15–20%. (BL)
Every man is free to rise as far as he's able or willing, but the degree to which he thinks determines the degree to which he'll rise.
After 12 years, RIL has decided to reward its shareholders with a generous 1:1 bonus. The recent treasury stock sale by RIL had raised some concerns on valuations. It’s a no-brainer that the stock will open higher. The key indices will naturally benefit from a firm RIL as the stock is an index heavyweight. According to Prayesh Jain, Research Analyst at India Infoline "the market would be positively surprised by the announcement of 1:1 bonus issue by Reliance Industries after 12 years". Last time around, the stock reacted by rising 3%. We expect the stock to open strong and sustain at higher levels in the near term. The move is to boost up investor confidence, which had slackened on back of pending litigations with RNRL and NTPC. The stock underperformed Sensex by 8% over the last three months and by about 5% YTD.
While the market will open higher, the overall mood will be determined by the trend in global markets. Most players are keenly awaiting the latest batch of quarterly numbers to take a broader call. Since valuations are not cheap, exercise some restraint. Even if earnings season turns out to be a strong one, spend some time weighing the risk-reward ratio. Expect volatility with a positive bias.
IT stocks will remain in the spotlight due to a 12% gain in the Indian Rupee since March. Infosys will come out with its Q2 earnings tomorrow. What the Infy management says on the IT business environment will be eagerly followed. The market will also look for an update on the company’s annual guidance.
NTPC is likely to attract attention as the Government might go for a stake sale in the public sector power utility through the follow-on offer route in January.
Inflation will be announced today and is expected to gain further ground as prices are set to firm up across segments. To make the matters worse, the high base effect of last year has started ebbing. A higher than expected spike in inflation could force the hands of the RBI. The central bank could at least signal a change in its stance later this month.
Meanwhile, bank credit growth remains sluggish at 13% year-on-year as against the RBI’s annual target of 20%.
FIIs turned net buyers in the cash segment on Wednesday at Rs6.34bn on a provisional basis. The local funds were also net buyers of Rs3.02bn, according to figures published on the NSE's web site. In the F&O segment, the foreign funds were net buyers at Rs8.02bn. On Tuesday, FIIs were net buyers of Rs314mn in the cash segment. The net FII investments in Indian stocks this year have crossed $12.6bn.
The Bank of England (BOE) and the European Central Bank (ECB) will review their monetary policy later today.
US stocks closed nearly unchanged on Wednesday after a choppy session, with blue chips weaker and technology a bit higher as a two-day advance petered out amid a mixed dollar, lower oil prices and some jitters at the start of the quarterly financial reporting period.
The Dow Jones Industrial Average fell 6 points, or 0.1%, to 9,725.58. The S&P 500 index rose 3 points, or 0.3%, to 1,057.58 and the Nasdaq Composite index gained 7 points, or 0.7%, to 2,110.33.
Banks climbed on an analyst upgrade of Bank of America and Wells Fargo’s plan to boost credit-card rates. Goldman Sachs upgraded the biggest US banks to "attractive" from "neutral" on Oct. 5, saying that share prices don’t reflect prospects for earnings growth.
US stocks had risen on Monday and Tuesday, with the broad S&P 500 gaining just short of 3%, recovering most of what it had lost in the previous two weeks. But the rally ran into some resistance on Wednesday as the dollar turned mixed and investors looked to the start of the third-quarter financial reporting period.
Analysts expect third-quarter profits to have fallen around 24% versus a year ago, with the heaviest percentage losses expected in the materials, energy and industrials' sectors.
Dow component Alcoa kicked off the quarterly earnings season after the close, reporting quarterly earnings and revenue that fell from a year ago but surpassed analysts' estimates. While it was a positive omen, investors are likely going to remain on edge until the end of the month.
Alcoa shares had jumped before beginning the third-quarter earnings season.
Financials are expected to post the best results of any sector, as they had suffered heavily in the third quarter of 2008. The sector is expected to see earnings growth of 59%. The broad S&P 500 is expected to see a drop in profits for the ninth quarter in a row.
Any small selloff will be greeted with renewed buying interest. Also, as the end of the year draws nearer, hedge funds and portfolio managers will have to turn more cash into investments. That could give the market a year-end boost.
Since bottoming at a 12-year low on March 9, the S&P 500 has gained 56%, and the Dow has gained 49% as of Tuesday's close. After hitting a six-year low, the Nasdaq has gained nearly 68%.
Gold prices extended their record-breaking run for a second session as the dollar remained under pressure while crude oil prices rose ahead of the latest US weekly inventories data. COMEX gold for December delivery rose $4.70 to settle at $1,044.40 an ounce after ending the previous session at a record $1,039.70. The previous record close of $1,020.20 was set two weeks ago.
The dollar gained versus the euro and fell against the yen, reversing its recent slide against a basket of currencies.
US light crude oil for November delivery fell $1.31 to settle at $69.57 a barrel on the New York Mercantile Exchange.
Treasury prices rallied, lowering the yield on the 10-year note to 3.19% from 3.25% late on Tuesday.
European shares struggled to build on sharp gains made in the previous session. After shooting up 2.2% on Tuesday, the pan-European Dow Jones Stoxx 600 index closed 0.3% lower at 240.35. The UK's FTSE 100 index fell 0.6% to 5,108.90, while Germany's DAX index slipped 0.3% to 5,640.75 and the French CAC-40 index slipped 0.4% to 3,756.41.
After enjoying a classic turnaround on Tuesday, Indian markets yet again lost ground with the BSE Sensex closing below the 17,000 and the NSE Nifty ending below the 5,000 levels. As expected, markets started off on a promising note on Wednesday tracking overnight gains in the US and the Asian markets.
However, a sudden bout of selling in IT and the telecom stocks dragged the markets lower. Technically, an important aspect which comes to notice is that the NSE Nifty has closed below the 13DMA for the first time since September 3, 2009. However, unless the index closes above the 4960-70 levels long position would not be a problem.
On Wednesday, the BSE Sensex slipped 151 points at 16,806 after touching a high of 17,120 and a low of 16,764. The index opened at 17,069 against the previous close of 17,958. The NSE Nifty lost 41 points to shut shop at 4,985.
Post market hours on Wednesday, Reliance Industries announced issue of Bonus shares in the ratio of one equity share of Rs. 10/- each fully paid up for every one equity share of Rs. 10/- each of the Company.
In Asia, the Nikkei in Japan was up 1.1%, while Australia's S&P/ASX ended higher by 2.2% at 4,695. Shanghai SE Composite in China gained 1% and Hang Seng index in Hong Kong was up 2.1%.
In Europe, stocks were in the positive terrain. The FTSE in the UK was up 0.2%, The DAX in Germany was up 0.3% and the CAC 40 index in France was up 0.3%.
Coming back to India, among the BSE sectoral indices, the IT index was the top loser, shedding 2.6%, followed by the Teck index that was down 2% and the BSE Oil & gas index was down 2%.
Among the major gainers were, BSE Consumer Durable index gained 4.5%, BSE Metal index up 2.3% and BSE Pharma index gained 1.4%.
The BSE Mid-Cap index gained 1.5% and the BSE Small-Cap index was up 0.4%.
Among the 30-components of Sensex, 20 stocks ended in the red and 10 ended in the positive terrain. Among the major laggards were Wipro, Maruti, TCS, SBI and Infosys.
On the other hand, Sterlite, JP Associates, Hindalco, BHEL and Tata Steel were among the major gainers.
Outside the frontline indices, the big losers in the broader market were Mphasis, Rolta, HCL Tech, Sun TV and Godrej Industries. On the other hand, gainers included Piramal Healthcare, Yes Bank, Titan and Canara Bank.
Shares of Aban Offshore ended lower by 0.5% to Rs1610. The stock rose to hit an intra-day high of Rs1659 after media reports stated that the company is looking to raise Rs20-25bn through a QIP which is reportedly to open in the month of November.
Reports also stated that the promoters are willing to dilute 20-22% equity stake at Rs1900-1950 per share.
The stock opened at Rs1645 and made an intra-day low of Rs1594. Total traded volumes stood at 0.5mn shares.
Shares of ABG Shipyard fell by 3.5% to Rs212 after reports stated that the IT department has raided the company on possibility of tax evasions. The Income Tax dept began raiding ABG Shipyard in Mumbai and Surat.
The stock opened at Rs229 and made an intra-day high of Rs229 and a low of Rs201. Total traded volumes stood at 0.44mn shares.
Shares of Omnitech Solutions shot up by over 3% to Rs143 after media reports stated that the company is exploring various options for fund raising. Further, the Omnitech is also looking for acquiring a company in the US and UK.
The stock opened at Rs144 and made an intra-day high of Rs154 and a low of Rs140. Total traded volumes stood at 1.2mn shares.
Shares of KS Oils edged higher by 0.2% to Rs68 after the company announced that it has acquired an additional 53,000 acres of land for development of Palm Oil Plantations in Indonesia through its Wholly owned Subsidiary at Singapore K S Natural Resources Pte. Ltd.
The Funding will be through internal accruals and debt at subsidiary level. The total funds required for the new project would be around Rs3.8bn over the next three years.
Shares Raymond gained by 0.4% to Rs196 after the company plans to spend Rs1bn on 300 new retail stores along with its franchise partners.
The company plans to increase the number of outlets to 800 by March 2011 from 500 by tapping smaller towns and cities, Chairman Gautam Singhania was quoted as saying.
"Instead of people coming to cities to buy our products, we aim to get closer to our consumers," he said.
Shares of Jindal Saw erased early gains and ended up by only 2% at Rs715. The stock rose to an intra-day high of Rs733 after the company announced that the board of directors would meet on October 15, 2009 to consider stock split.
The stock opened at Rs709 and made an intra-day high of Rs734 and a low of Rs706. Total traded volumes stood at 0.4mn shares.
Shares of Zenotech Labs were locked at 20% upper circuit to Rs125.90 after Securities Appellate Tribunal (SAT) asked Daiichi to make Zenotech offer at Rs160 per share, media reports stated.
The open offer was delayed after the SAT requested Daiichi Sankyo to put the offer on hold because of a petition by one or more minority shareholders of Zenotech about the price of the offer. The initial Daiichi Sankyo offer was to buy each Zenotech shares for Rs113.62.The purpose of Daiichi Sankyo's tender offer for Zenotech shares is mainly to meet the regulatory law which requires Daiichi Sankyo to hold an open offer for Zenotech shares after buying the controlling stake in Ranbaxy
A surprise bonus issue announced by India's biggest private sector firm by market capitalisation and oil refiner Reliance Industries (RIL) after trading hours on Wednesday may boost the bourses at the onset of the trading session today, 8 October 2009. Reliance, listed in 1978, has so far issued bonus shares thrice in its history - in 1980, 1983, and 1997. The company maintained its dividend for the fiscal year ended March 2009 at Rs 13 a share. Both the bonus and the dividend are applicable to shareholders of the erstwhile Reliance Petroleum, which has been merged with RIL.
RIL also released restated results for 2008-09 to reflect the absorption of Reliance Petroleum effective from 1 April 2008. Corresponding period figures have been restated, but the numbers are not comparable because of the absorption of Reliance Petroleum in the year, the company said. The consolidated net profit stood at Rs 15,296 crore for the year ended 31 March 2009, while total income was Rs 1,53,138 crore. The company had registered a net profit of Rs 15,324 crore (from ordinary activities) in the FY08, the company stated in a filing to the Bombay Stock Exchange.
Meanwhile, government will announce India's annual inflation for the year to 26 September 2009 today. The India's headline inflation stood at 0.83% during the week ended 19 September 2009 compared with 0.37% during the week ended 12 September 2009.
The finance minister Pranab Mukherjeee said on Wednesday, the government needs more time before deciding on an exit from accommodative policy, amid signs the Reserve Bank of India (RBI) is looking to start winding back some of its extraordinary monetary easings. Pranab Mukherjee also said economic growth may accelerate to 7 % in the fiscal year starting April 2010, from an expected rate of 6.3 % in 2009/10.
On Monday, RBI Governer, D Subbarao said while there was broad agreement India needed to wind back some of its easy policy stance, there were risks if the move was mistimed.
Stock and sector-specific activity may dominate trade in the coming days based on expectations on Q2 September 2009 results. IT bellwether Infosys kickstarts the reporting season on Friday, 9 October 2009. Auto firms are seen reporting strong Q2 results on strong volume growth and on lower input costs. Cement firms too are seen reporting good Q2 numbers on the back of volume growth, higher realisation and decline in costs like imported coal. Metal firms are seen reporting fall in net profit due to a sharp fall in metal prices on year-on-year basis
Fall in volumes in the commercial property segment and lower realisations in both commercial and residential property segments, will pull earnings of realty firms lower. A sharp surge in equity markets may help treasury gains for some banks. As far as IT stocks is concerned the focus in mainly on the guidance from Infosys.
Strong growth in new subscriber additions will aid topline growth of telecom firms. But falling average revenue per user (ARPU) and revenue per minute due to intense competition will cap bottom line growth.
Asian stocks advanced for a third day today after Alcoa Inc. reported earnings that beat analyst estimates. The key benchmark indices in Hong Kong, Japan, South Korea, Singapore and Taiwan rose by between 0.16% to 0.5%.
Chinese markets have been shut since 1 October 2009 for National day and Autumn festival celebrations. Trading will resume on 9 October 2009
The US markets ended mixed on Wednesday, 7 October 2009 as investors took a wait-and-see approach ahead of the start of earnings season. The Dow was down 5.67 points, or 0.1%, to 9,725.58. The S&P 500 index added 2.86 points, or 0.3%, to 1,057.58, while the Nasdaq Composite index rose 6.76 points, or 0.3%, to 2,110.33. Earnings season officially kicked off after the bell in US, with aluminum giant, Alcoa posted a surprise profit on Wednesday through cost cutting and higher aluminum prices after three consecutive quarterly losses.
Wall Street had expected another loss for the aluminum producer but Alcoa said its third-quarter net earnings were $77 million, or 8 cents per share, compared with earnings of $268 million, or 33 cents per share in the same quarter of 2008.
Back home, the BSE 30-share Sensex fell 151.88 points or 0.90% to 16,806.66 on Wednesday, 7 October 2009. As per provisional data on NSE, foreign funds bought shares worth Rs 634.54 crore and domestic funds bought shares worth Rs 301.60 crore on Wednesday.
Meanwhile, a section of the market is concerned that a glut in share sales may suck liquidity from the secondary market. As per reports, 30 companies have filed their draft red herring prospectuses in September 2009 with market regulator Securities & Exchange Board of India (Sebi) for raising funds through initial public offering.
The corporate sector has raised large sums of money through equity and equity related instruments in the past six months or so to either to retire high cost debt or to fund expansion. The supply of paper by Indian firms appear limitless, raising concerns that additional share sales will suck liquidity from the secondary market.
As per one report, companies plan to raise over Rs 50,000 crore through initial public offers (IPOs), follow-up public offers, divestment of stake sale in the second half of the current financial year. Reliance Infratel also announced on 22 September 2009, its intention to raise Rs 5,000 crore from the primary market. A number of companies are also in the fray to raise funds by way of qualified institutional placement (QIP), reports suggest.
Divestment of state-run firms by the government may also increase the supply of paper in the market. As per recent reports, the government is planning to announce a blueprint for selling its stake in state-owned firms in the first week of October 2009. The policy is expected to suggest how the government will eventually bring down its stake in public sector companies to 75% over a period of time.
Some caution may prevail on the bourses ahead of assembly polls in three states viz. Maharashtra, Haryana and Arunachal Pradesh on 13 October 2009. The counting of votes will take place on 22 October 2009. Stock exchanges would remain shut on 13 October 2009 in view of the General Assembly Elections.
Reliance Industries Ltd sprang a pleasant surprise on Wednesday, announcing a 1:1 bonus share issue, the first time in 12 years.
According to a proposal approved by the RIL board on Wednesday, all shareholders will get one free share for every share held by them.
Around 35 lakh shareholders will benefit from, what is being termed a ‘Diwali bonus’. The last bonus issue (also 1:1) by RIL was in 1997.
The RIL board also proposed an interim dividend of Rs 13 per share for 2008-09. The dividend will entail an outgo of Rs 2,219 crore, including Rs 322 crore in taxes, said a senior company official. The board also approved the audited results of RIL for the year ended March 31, 2009.
In a notice to the stock exchanges, RIL said: “The board of directors , at its meeting held on October 7, inter alia, has recommended, subject to the approval of the shareholders, issue of bonus shares in the ratio of one equity share of Rs 10 each fully paid up for every one equity share of Rs 10 each of the company. “
Mr Alok Agarwal, RIL’s Chief Financial Officer, said that shareholders of Reliance Petroleum Ltd, which was recently amalgamated with RIL, will also get the same bonus and interim dividend. Since the demerger of the group, RIL has created value of Rs 2,47,000 crore in market capitalisation. Shareholders have earned a 40-per cent compounded return, he said.
“RIL is now ready to invest for the future. It has a strong balance-sheet, large cash reserves and substantial financial flexibility, owing to its Treasury stock holdings, which have a current value of nearly Rs 40,000 crore,” Mr Agarwal said. The company recently sold 1.5 crore treasury shares worth Rs 3,188 crore.
“It was indeed a big surprise as usually this kind of announcement is made at annual general meetings,” said Mr Prayesh Jain, an analyst at India Infoline. There was no run-up in the stock price in the past few days, which indicates that the announcement was unexpected, he said.
RIL is currently locked in a battle with Reliance Natural Resource Ltd over the pricing of gas from the KG basin.
Analysts expect the RIL bonus issue to put pressure on the Anil Ambani group to make similar announcement.
Mr Manish Sonthalia, Fund Manager, Motilal Oswal Financial Securities, said RIL bonus announcement will have a short-term positive impact in the markets. It shows that the company is confident of being able to service its expanded equity capital and give returns to its investors in the long term, said Mr Sonthalia.
Some market participants expect RIL to go in for a buy-back as the ex-bonus share price could turn attractive.
RIL shares closed at Rs 2,099 on BSE on Wednesday, down 1.57 per cent, over the previous close. The bonus announcement came after the market hours.
Mr Agarwal said that during the past four years, a period of significantly higher capital costs, shortage of capital globally and constrained resources for large-scale projects, RIL commissioned the Jamnagar refinery and the Krishna-Godavari Basin D6 upstream gas project. He said the company currently owns nearly 25 per cent of the world’s complex refining capacity. RIL is the only large refining company in the world today that operates its facilities in excess of 100 per cent of rated capacity, he said.
Mr Agarwal said that the KG D6 production ramp-up is on track, with 100 per cent uptime achieved since the facility went on stream on April 1, 2009.
We recommend a sell in HCL Technologies from a short-term perspective. It is apparent from the charts of the stock that after recording a multi-year low of Rs 89 in early-March, it has been on an intermediate-term uptrend. However, the stock encountered significant long-term resistance at Rs 350 in late September and reversed its direction.
The stock’s reversal was triggered by factors such as negative divergence displayed in its daily relative strength index (RSI) as well as moving the average convergence and divergence (MACD) indicator and long-term resistance. Besides, both weekly RSI and MACD were hovering in the overbought territory.
Since then, the stock has been on a short-term downtrend. On October 6, it fell 5 per cent, penetrating the medium-term up trendline that has been in place from a July low of Rs 163. The daily RSI is slipping in the neutral region towards the bearish zone. The daily MACD has signalled a sell. Our short-term forecast on the stock is bearish. We anticipate it to decline until it hits our price target of Rs 280 in the approaching sessions. Traders with a short-term perspective can sell the stock while maintaining a stop-loss at Rs 324.
Asian stocks advanced for a third day, led by banks and mining companies, after Australian employers unexpectedly added workers last month and Alcoa reported earnings that beat analysts` estimates.
Alumina climbed more than 4.5% in Sydney. Mitsui O.S.K. Lines and Nippon Yusen K.K climbed more than 6% after being upgraded by Bank of America-Merrill Lynch.
Japanese benchmark index Nikkei 225 gained 49.81 points, or 0.51%, to trade at 9,849.41.
Hong Kong`s Hang Seng index rose 88.35 points, or 0.42%, to trade at 21,329.94.
Taiwan`s Taiex index climbed 18.31 points, or 0.24%, to trade at 7,626.97.
South Korea`s Kospi index advanced 10.56 points, or 0.66% to trade at 1,608.56.
Singapore`s Straits Times went up 13.46 points, or 0.51%, to trade at 2,648.09. (8.08 a.m., IST)
Chinese markets are not trading today.
Higher investment demand pulls up precious metal prices
Precious metal prices ended higher for fourth straight day on Wednesday, 07 October, 2009. Prices rose despite a relatively steady dollar. Prices shone in the face of higher investment demand.
Generally, a stronger dollar pressures demand for dollar-denominated commodities, such as crude oil and gold, which become more expensive for holders of other currencies and also vice versa.
On Wednesday, gold for December delivery ended at $1,043.3, higher by $4.7 (0.5%) an ounce on the New York Mercantile Exchange. During intra day trading, gold rose to a high of $1,049.7 crossing yesterday's all time high of $1045 reached. Last week, gold ended higher by 1.3%. Year to date, gold prices are higher by 18%.
Gold ended September, 2009 higher by 5.9%. For the third quarter it ended higher by 8.7%. Before this, for the second quarter, gold ended higher by 0.5%. The metal had gained 4.3% in the first quarter of this year.
On Wednesday, Comex silver futures for December delivery rose 20.5 cents (1.2%) to $17.5 an ounce.
Silver ended 11.8% higher for September, 2009. Year to date, silver has climbed 55% this year. For 2008, silver had lost 24%.
In the currency market on Wednesday, the dollar index, which measures the strength of dollar against a basket of other currencies, rose by almost 0.3%.
In 2008, gold prices ended higher by 5.5%. The dollar index had gained 12% that year.
At the MCX, gold prices for December delivery closed higher by Rs 44 (0.27%) at Rs 15,812 per 10 grams. Prices rose to a high of Rs 15,898 per 10 grams and fell to a low of Rs 15,758 per 10 grams during the day's trading.
At the MCX, silver prices for December delivery closed Rs 246 (0.91%) higher at Rs 27,101/Kg. Prices opened at Rs 26,885/kg and rose to a high of Rs 27,210/Kg during the day's trading.
Inventory report pulls crude lower
Crude prices ended below the $70 mark at Nymex on Wednesday, 07 October, 2009. Prices fell as energy department reported that build up gasoline inventories was more than expected for last week. The relatively steady dollar also hammered crude prices.
On Wednesday, crude-oil futures for light sweet crude for November delivery closed at $69.57/barrel (lower by $1.31 or 1.8%). During intra day trading, it rose to a high of $71.76. Last week, crude ended higher by 6%.
For the month of September, 2009, crude ended higher by a marginal 0.9%. For the third quarter, crude ended higher by just 1%. Crude prices had rallied 40% and 11.3% in the second and first quarter of 2009 respectively.
Oil prices had reached a high of $147 on 11 July, 2008 but have dropped almost 66.8% since then. Year to date, in 2009, crude prices are higher by 42%.
The EIA reported today that stockpiles of motor gasoline increased by 2.9 million barrels in the week ended 2 October, 2009. Distillate inventories, which include diesel and heating oil, rose by 700,000 barrels on the week.
The EIA also reported a drop of 1 million barrels in crude inventories, as imports fell by 4.5%.
In the currency market on Wednesday, the dollar index, which measures the strength of dollar against a basket of other currencies, rose by almost 0.3%.
In the latest report, EIA also announced an upward revision in its expectations for world oil consumption. The revision amounts to an increase of 200,000 barrels a day for the remainder of 2009 and for 2010, in large part because of improved expectations for Asian growth.
Among other energy products on Wednesday, November reformulated gasoline fell 5.24 cents, or 3%, to $1.7203 a gallon. November heating oil lost 3.31 cents, or 1.8%, to $1.7811 a gallon.
Also on Wednesday, November natural-gas futures rose 2.4 cents, or 0.5%, to $4.904 per million British thermal units.
Crude prices had ended FY 2008 lower by 54%, the largest yearly loss since trading began at Nymex.
At the MCX, crude oil for October delivery closed lower by Rs 82(2.5%) at Rs 3,236/barrel. Natural gas for October delivery closed lower by Rs 0.2 (0.08%) at Rs 226.8/mmbtu.
Rising inventory hammers red metal price
Copper prices fell for the first time in three sessions on Wednesday, 07 October, 2009 at Comex and LME. Prices fell at Comex and LME due to rising inventories and steady dollar.
At USA, copper futures for December delivery ended lower by 0.5 cents (0.2%) to 2.7795 a pound. Copper dropped 2.2% last week. It was the fifth straight weekly drop for copper. Copper ended September, 2009, lower by 0.3%.
On the London Metal Exchange, copper for delivery in three months ended marginally lower by 0.3% at $6,095 a metric ton. On 3 July, 2008, prices had touched an all time intra day high of $8,940.
Before September, it was the eight straight monthly gain for copper. On a year to date basis, prices are higher by 90%.
The U.S. buys about 13% of the 17 million metric tons of copper sold annually and China buys about 20%.
As per latest report, in warehouses monitored by the London Metal Exchange have jumped 35% since mid-July.
In the currency market on Wednesday, the dollar index, which measures the strength of dollar against a basket of other currencies, rose by almost 0.3%.
In FY 2008, copper prices dropped by 54%. Prior to 2008, copper prices ended FY 2007 with a gain of mere 5.5% after a whopping 44% gain in FY 2006. The price of copper gained every year since 2002 as global economic growth boosted demand for the metal used in pipes and wires.
At the MCX, copper for November delivery closed at Rs 286.85/Kg. The closing price was Rs 0.15/Kg (0.05%) lower than previous closing price. Prices rose to a high of Rs 289.6/ Kg and fell to a low of Rs 284.75/Kg during the day's trading.
Among other metals traded in the LME on Wednesday, lead added 0.5% to $2,160 a ton and zinc added 1.9% to end at $1,922 a ton. Nickel added 0.9% to end at $18,300. Aluminium rose 0.6% to $1,832 a ton.