After the high volatility of previous two weeks, indices soared today and ended with excellent gains. The rally was highly broad-based and led by frontline technology stocks. Banking stocks and ONGC also contributed handsomely today.
Sensex closed with gains of 237 points at 13708 and the Nifty gained 70 points to end at 3941. Nifty December futures closed at a premium of 3 points to the spot index.
Technology stocks did well today in anticipation of good quarterly results. Wipro was the best performer in the sector, gaining 4 per cent. TCS ended 3.25 per cent higher and Satyam added 3.08 per cent. Infosys ended 2.1 per cent higher
Zee Entertainment surged ahead and was the best performer among index stocks with gains of 5.17 per cent.
ONGC was firm throughout the session and closed 2.36 per cent higher
SAIL rallied in afternoon trades and closed 4.26 per cent higher
Sun Pharma added 3.5 per cent and Cipla closed 2.69 per cent
Tata Motors sustained its up trend and added 2.84 per cent
SBI was the best performer among bank stocks, rallying 2.63 per cent. HDFC Bank gained 2.49 per cent and ICICI Bank ended 1.87 per cent higher.
There were only 5 losers among Nifty stocks. BPCL ended 0.81 per cent lower and was the worst performer among index stocks.
Reliance Communications corrected modestly and lost 0.26 per cent.
Hero Honda recovered from its early lows and ended 0.25 per cent lower.
Among other losers, Dr Reddy's lost 0.2 per cent and Tata Steel ended 0.18 per cent lower.
Global markets / crude oil
Asian markets were mixed through the session, but some of them recovered later in the day. Shanghai rallied 1.8 per cent while Thailand ended 0.65 per cent higher. Japan closed 0.45 per cent higher while Singapore ended flat.
South Korea lost 0.25 per cent while Malaysia lost 0.15 per cent and Indonesia ended 0.1 per cent lower.
Crude oil prices have recovered today after the decline towards the end of previous week. Near month NYMEX futures is trading nearly a per cent higher at close to $63 per barrel in European trades today.
Large-cap news flow
- ONGC and Reliance Industries may get a price of $4.5 per million BTU for natural gas produced from KG basin, according to unconfirmed reports.
- Shareholders of Reliance Communications would meet next month to consider the scheme of arrangement between the company, Reliance Telecom and Reliance Telecom Infrastructure
- SBI has hiked its prime lending rate by 50 basis points from 11 per cent to 11.5 per cent per annum
- The rights issue of Aditya Birla Nuvo has opened today
- ITC has tied up with Japanese trading company Marubeni for trading in soya meal, according to unconfirmed media reports.
Mid-caps and small caps also rallied ahead and outperformed the large caps in the morning session. But the rally in smaller stocks was not as strong as in the large caps in afternoon trades.
The CNX Mid-Cap index ended with gains of 60 points, or 1.2 per cent, at 5077. BSE mid-cap index gained 0.87 per cent and the BSE small cap index ended with gains of 1.25 per cent.
Compulink Systems was locked in the 20 per cent upper today as well. MRO-Tek was also locked in 20 per cent upper circuit.
Gujarat Sidhee Cement, KEC Infrastructure, Pritish Nandi Communications and Surya Roshni all ended at 10 per cent upper circuits
SPL Industries, Solar Explosives, GTN Textiles and Essar Oils were the other major gainers among mid-caps
Orient Info, Lakshmi Vilas Bank, Kopran, Trigyn, Atlanta, Goldstone Technologies, Eicher and LT Overseas were among the major mid-cap losers.
Mid-cap news flow
- Simplex Infrastructure has received new orders worth Rs825 crore. More than 50 per cent of the new orders are from overseas markets
- The board of Bartronics would meet early next month to consider the Rs262 crore expansion project to manufacture smart cards and RFID related products. The meeting would also consider raising additional funds.
- Sri Lakshmi Cotsyn has formed a JV with a UK-based company to manufacture armoured vehicles and related safety equipment. The company would hold a 49 per cent stake in the venture.
- Vardhman Industries would change its MoA to possibly enter real estate business
- The board of Kew Industries would meet early next month to consider raising additional funds
- The board of Rama Newsprint would meet early next month to consider expansion plans
- Mid-Day Multimedia has acquired the Delhi rights of afternoon daily Mid-Day
- Biocon has completed phase-IV clinical trials of an insulin product
- Rayban Sun Optics said the Supreme Court has directed the company's foreign promoters to pay the open offer price to shareholders along with interest at the rate of 10 per cent per annum
- Deccan Aviation would issue 19.63 lakh equity shares to a foreign investor at a price of Rs150 per share
- Havells India is planning to raise up to $150 million from an overseas issue
- Faze Three has completed its $8 million FCCB issue
- Surana Strips is planning to sell its closed manufacturing units in Andhra Pradesh
- IT People India has tied up with a group in the Middle East to provide staffing solutions.
- Geojit Financial Services said its Saudi Arabian JV has received the license to start broking operation
- Genus Overseas has secured orders worth Rs75 crore for supplying electronic energy metres.
- Gateway Distriparks has won the bid to operate a container freight station near Mumbai. The company would pay Rs35 crore up-front and Rs10 crore annually
- Binani Industries said its subsidiary Binani Zinc has been allowed to re-start commercial operations by the Kerala pollution control authorities
- Micro Technologies has launched a new product for internet security.
- Sesa Goa has extended the merger between the company and Sesa Industries till 31 March 2007
- Marg Constructions would raise up to Rs300 crore from an overseas issue or preferential issue to domestic institutions. The company said it has received approvals for setting up 2 SEZ projects in Tamil Nadu. The company's subsidiary, which is setting up a Rs303 crore port project, has achieved financial closure.
- Atlanta would acquire a 50-per cent stake in a company setting up a 1,000-acre SEZ.
- Shriram City Union Finance has issued 40 lakh equity shares on a preferential basis at a price of Rs160 per share
- KS Oils would issue up to 32.92 lakh equity shares and 17.08 lakh convertible warrants to various investors at a price of Rs180 per share. The company would issue 23 lakh convertible warrants to promoters at Rs180 per share
- The board of Flex Industries is meeting tomorrow to consider additional fund raising plans
- Sobha Developers has received an order worth Rs23 crore from Dell India to construct a manufacturing plant
- Aviva Industries would raise Rs30 crore from a rights issue of equity shares
- Country Club India has completed its $25 million FCCB issue
- Kirloskar Ferrous has signed the agreement to acquire castings division of Kirloskar Oil Engines for Rs21 crore