Markets end with marginal gains amid extreme volatility

07 August 2008

Markets closed with marginal gains amid extreme volatility. Good buying interest was seen in auto, IT, metal, bank, and realty stocks. The BSE midcap and small cap indices closed with mild gains. However, capital goods and power indices closed in red. Inflation numbers for the week ended July 26, 2008 is going to be declared today. An inflation poll conducted by CNBC –TV18 saw inflation for the week ended July 26 at 12.01%.

In telecom space, major development seen in BSNL IPO plan wherein Telecom Minister, A Raja has clarified that BSNL employee would get 500 shares at Rs 10 each. The company's IPO to be listed between Rs 300 and 400 per share. The company sees revenues of Rs 45,000-50,000 in FY09.

In primary market there was news that recently issue opened company Austral has dragged listed Gujarat NRE's name as a peer seeking to cash-in on Gujarat NRE's brand name. Its claim of 3.75 lakh tpa capacity is misleading as it has only two chimneys that can produce only 60,000-70,000 tonne of coke. Austral promoters are not original promoters of Gujarat NRE Coke.

The Sensex closed up 43.71 points or 0.29% at 15117.25, and the Nifty up 6.30 points or 0.14% at 4523.85.

Market breadth was positive, about 1534 shares have advanced, 1407 shares declined, and 217 shares are unchanged.

The BSE auto index closed up 1.21% or 47.39 points at 3967.03. Tata Motors, Mah and Mah, Maruti Suzuki, Apollo Tyres and Ashok Leyland gained 1.53 - 4.29%.