Friday, August 7, 2009

Post Session Stock Market Headline

Indian stock market concluded its journey for the week on weak note on account of sustained selling over the ground. Cues from the market all over the world were unfavorable, which contributed to the downward journey of the domestic bourses. Consequently, lower US index futures and weak European markets took beating on the bourses. Poor monsoon also played a key role to add to the gloom. However, market tried to recover during initial trading after the report that IPO of state-run NHPC was fully bid. NHPC is planning to raise Rs 6,040 crore at the upper end of the issue price band of Rs 36. The government has kick started the divestment process by selling shares in NHPC. Meanwhile, the recovery was momentary and stocks slipped again. The BSE Sensex ended below 15,200 level and NSE Nifty closed below 4,500 mark.

Market extended yesterday’s losses and opened sharply lower backed by negative cues from the global markets. The US stocks markets ended on downbeat note on Thursday for the second straight session after a solid start. The major indices opened higher following smaller-than-expected weekly initial jobless claims, even though continuing claims were more-than-expected. Further, benchmark indices were trading with volatility and managed to lessen some of the losses. However, market was unable to hold the same momentum and slipped again as profit booking continued across the sectorial indices. Further, the weak cues across the Asian markets also fueled the sentiments today. Market continued to extend losses and slipped sharply during final trading to end the day with huge losses. From the sectoral front, all indices closed in red. Among those, Consumer Durables, Auto, Realty, Bank, Power, Capital Goods, FMCG and Metal stocks were major draggers, which pulled down the market. Continuous selling also pulled down the border market indices as BSE Midcap and Smallcap indices ended lower.

Among the Sensex pack 27 stocks ended in red territory and 3 in green. The market breadth indicating the overall health of the market remained negative as 1922 stocks closed in red while 748 stocks closed in green and 78 stocks remained unchanged in BSE.

The BSE Sensex closed lower by 353.79 points or (2.28%) at 15,160.24 and NSE Nifty ended down by 104.10 points or (2.27%) at 4,481.40. BSE Mid Caps and Small Caps closed with losses of 126.01 and 121.03 points at 5,433.25 and 6,193.76 respectively. The BSE Sensex touched intraday high of 15,501.94 and intraday low of 15,104.

Losers from the BSE Sensex pack are RCom (5.79%), JP Associates (5.46%), M&M Ltd (5.41%), Maruit Suzuki (5.33%), Tata Power (4.78%), BHEL (4.11%), Bharti Airtel (3.88%), ICICI Bank (3.62%), HUL (3.35%), SBI (3.08%), DLF Ltd (3.05%), Sterlite Industries (2.96%), Herohonda Motors (2.51%), Reliance Infra (2.48%), Reliance (2.47%), Hindalco (2.27%), TCS Ltd (1.82%), ITC Ltd (1.56%), HDFC Bank (1.50%) and ACC Ltd (1.45%).

Gainers from the BSE Sensex pack are NTPC Ltd (0.71%), Tata Steel (0.31%) and Wipro Ltd (0.13%).

On the global markets front the Asian markets that opened before the Indian market, ended mostly lower. Shanghai Composite, Hang Seng and Straits Times ended down by 95.64, 523.87 and 52.15 points at 3,260.69, 20,375.37 and 2,549.35 respectively. However, Nikkei 225 and Seoul Composite gained 24 and 10.96 points at 10,412.09 and 1,576 respectively.

European markets, which opened after the Indian market, are trading in red. In Frankfurt the DAX index is trading down by 34.70 points at 5,354.28 and in London FTSE 100 is trading lower by 50.55 points at 4,639.98.

The BSE Consumer Durables index closed lower by (3.92%) or 122.85 points at 3,013.23. Losers are Videocon Ind (5.44%), Rajesh Export (4.80%), Titan Ind (4.11%), Gitanjali GE (3.93%) and Blue Star L (2.14%).

The BSE Auto index dropped by (3.87%) or 219.86 points at 5,457.09 on profit booking. Scrips that lost are Bajaj Auto (7.10%), M&M Ltd (5.41%), Maruti Suzuki (5.33%), Apollo Tyre (4.18%) and MRF Ltd (3.78%).

The BSE Realty index plunged (3.29%) or 125.25 points at 3,676.95. Losers are Anant Raj (8.08%), Ansal Infra (6.68%), Unitech Ltd (5.70%), Parsvnath (4.36%) and Mahindra Life (4.17%).

The BSE Bank index ended down by (2.96%) or 247.3 points at 8,110.98. As IDBI Bank (6.38%), Canara Bank (5.38%), Indian Overseas Bank (4.69%), Yes Bank (4.20%) and Punjab National Bank (3.68%) ended in red.

The BSE Power index lost (2.65%) or 77.52 points at 2,848.15. Main losers are Suzlon Energy (5.95%), Tata Power (4.78%), BHEL (4.11%), Torrent Power (4.09%) and Siemens Ltd (3.43%).

The BSE Capital Goods index dropped by (2.39%) or 297.35 points at 12,157.02. Losers are Suzlon Energy (5.95%), Walchand In (5.21%), Praj Industries (5.06%), Jyoti Sturct (4.95%) and SKF India (4.64%).

Indiabulls Financial Services Ltd sunk 5.27% after a block deal of 62.50 lakh shares was executed on NSE at Rs. 187.95 per share.

Ashok Leyland Ltd plunged 3.41% on poor sales in July 2009.

Dewan Housing Finance Corporation Ltd slipped 1.65% on reports a unit of the company will float a private equity fund in joint venture with a US firm.

Jagran Prakashan fell 2.38% after a block deal of 9.50 lakh shares was executed on NSE at Rs. 89.05 per share.

Aurobindo Pharma Limited dropped by 0.19%. The company announced that it has received the final approval for Carisoprodol Tablets USP 350mg (ANDA 40-792) from the US Food & Drug Administration (USFDA). Aurobindo now has a total of 100 ANDA approvals (71 Final approvals and 29 Tentative approvals) from USFDA.

Tata Power plunged 4.78%. The company is eyeing big as it has lined up capital expenditure plan of Rs 29,300 crore for the next three years. Out of this, Rs 9,800 crore would come from internal accruals and the company would raise about Rs 18,000 crore debt, said the Chairman, Mr Ratan Tata, addressing shareholders at the company''s annual general meeting on Thursday.

Tata Steel increased by 0.31%. The company witnessed an 18% increase in its net sales during July to 4.78 lakh tones while last year its sales stood at 4.05 lakh tones due to the strong demand from the auto and construction sectors. Additionally, steel production increased by 24% to 5.39 lakh tonnes last month as against 4.35 tonnes in July 2008 whereas Tata''s hot metal production too went up to 5.97 lakh tones as compared to 4.82 lakh tonnes produced in 2008, rising by 24%.

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