Sensex rallies 208 points; banking stocks surge
24 Apr 2007
Under arrangement with Thomas White International*
The unexpected decision by the Reserve Bank of India to keep interest rates steady helped the frontline Indian indexes to rally ahead today. The key Sensex went past the 14000 mark soon after the announcement as banking stocks gained substantially. Auto and telecom stocks provided very good support to the up trend.
Sensex closed with gains of 208 points at 14137 and the Nifty gained 67 points to end at 4142. Nifty April futures closed at a premium of 1 point to the spot index while May futures closed at a discount of 3 points.
Banking stocks surged ahead following the RBI policy announcement. SBI led the pack and ended 6.88 per cent higher, followed by PNB with gains of 6.81 per cent. ICICI Bank gained 3.55 per cent. HDFC Bank added 2.73 per cent and HDFC closed 2.62 per cent higher.
Among smaller banks, Canara Bank surged 9.85 per cent. Syndicate Bank, Bank of India, Bank of Baroda, IDBI, IDFC and Corporation Bank were the other major gainers.
Zee Entertainment resumed its strong up trend and ended 7.81 per cent higher.
Siemens, which announced a domestic acquisition, added 5.11 per cent.
Tata Steel sustained its rally and added another 4.07 per cent.
Among autos, Maruti gained 3.79 per cent and Tata Motors closed 3.27 per cent higher.
Bharti Airtel gained ground in the afternoon and closed 3.75 per cent higher while Reliance Communications added 2.02 per cent.
Gujarat Ambuja also continued its rally and gained 3.74 per cent.
Reliance Industries gained 1.84 per cent and ONGC closed 1.33 per cent higher.
Technology stocks were under pressure today. Wipro lost 2.26 per cent and TCS ended 1.84 per cent lower. Satyam declined 1.16 per cent.
MTNL was the worst performer among Nifty constituents, with losses of 5.87 per cent. VSNL ended 1.38 per cent lower.
BHEL remained weak throughout the session and ended 1.69 per cent lower.
Among metals, SAIL corrected 1.51 per cent.
Glaxo, Grasim and Gail were the other major losers.
Global markets / crude oil
US markets saw a modest correction yesterday, following the sustained rally during the previous week. Though announcement of the Barclays-ABN Amro-Bank of America deal generated some interest, higher interest rates acted as a dampener.
The Dow closed with losses of nearly 0.35 per cent while the S&P 500 index gave up close to 0.25 per cent. NASDAQ ended more than 0.1 per cent lower.
Many Asian markets ended lower as stocks corrected after the sustained rally over the last few sessions and the decline in US indices yesterday. Singapore lost 0.4 per cent while Malaysia ended 0.3 per cent lower. Indonesia declined 0.25 per cent while Thailand and Japan ended with modest losses.
Korea sustained the up trend and added 0.8 per cent while Shanghai added 0.35 per cent. Hong Kong ended with modest gains.
European markets opened lower and have slipped further as the session progressed. Major European indexes are trading with losses of between 0.3 per cent and 0.65 per cent each in afternoon trading.
Crude oil prices surged to nearly $66 per barrel yesterday on concerns about supply disruptions in Nigeria. Near month NYMEX futures ended around 2.5 per cent higher $65.89 per barrel yesterday and has corrected modestly in European trading today.
Large-cap news flow
- Wockhardt has received marketing approval from US FDA for a hyper-tension drug. The company said current market in the US for the drug is $375 million annually
Mid-Cap Action
Mid-caps and small caps also gained ground today. The CNX Mid-cap index gained 51 points, or 0.98 per cent, to end at 5216. The BSE mid-cap index gained 0.75 per cent and the BSE small cap index closed 0.47 per cent higher.
Hinduja TMT got listed after the de-merger of the BPO division. The stock opened at Rs880 per share on the NSE, but declined and settled at Rs598.7.
Momentum buying was visible in a large number of mid-cap stocks. Ramco Systems ended at 20 per cent upper circuit. Trigyn, STI India, Garware Wall Ropes, Somany Ceramics, Cyber Media, Peninsula Land, Autoline India, Eicher Motors and Tulip IT were all locked in 10 per cent upper circuits.
ARO Granite, JBM Auto, Hanung Toys, Educomp, Wendt India, Quintegra, Macmillan India and Advanta were the major losers among mid-cap and small-cap stocks.
Mid-cap news flow
- Hinduja TMT has completed the de-merger of its BPO and technology solutions division into a separate company called HTMT Global Solutions.
- IndiaBulls Financial is planning to raise additional capital from global markets
- Sun TV would issue bonus shares in the ratio of one share for every share held
- Elder Pharma is planning to raise up to $50 million from a FCCB issue
- UCO Bank has redeemed the Tier-II bonds which matured this month
- Pyramid Saimira has added 18 new multiplex theatre screens to its network this month
- Balkrishna Industries is planning to transfer its paper and textile businesses to subsidiary companies
- Parsvnath Developers has signed an agreement with Delhi Metro to build a shopping mall and metro station at a cost of Rs160 crore. Parsvnath would receive concession for the mall for a period of 30 years
- Phoenix Mills is planning to raise funds from the QIP route or through preferential allotment
- Suprajit Engineering has tied up with a Korean company to manufacture gear shifter systems, cables and springs for the domestic market
- Pioneer Embroideries would appoint an agency to advice on the optimum usage of land owned by the company at various locations
- Radha Madhav Corp would issue 25 lakh warrants and 10 lakh equity shares on a preferential basis to promoters and other investors
- Sakthi Finance would raise Rs10 crore from a rights issue of equity shares in the ratio of one share for every 2 shares held
- GV Films is planning to promote an integrated shopping and entertainment complex in China, in association with local partner
- Ramkrishna Forgings may consider additional borrowings to fund acquisitions
- XPro India would issue 4.25 lakh equity shares and 5 lakh convertible warrants to promoters
- The board of Nova Petro has approved the draft scheme of de-merger
- Prime Focus has opened its fourth development facility in Mumbai with a capacity for 150 employees
- Ankur Drugs is planning to raise up to $30 million from a FCCB issue
- Allcargo Global has opened new container freight stations in Chennai and Mundra
- Gujarat Flourochemicals has commissioned its 23.1 MW wind power project, set up at a cost of Rs160 crore
- Atlanta Limited has received a new order worth Rs15.75 crore
Thomas White Global Research, part of the Thomas White International Group, publishes capital market research for global institutions and investment banks.
*Disclaimer: Thomas White International may have recommended some of the stocks specifically mentioned in this report to our clients. Lord Asset Management Trust, our mutual fund management associate, and our asset management division may also have positions in some of the stocks specifically mentioned in this report. As a policy, employees of Thomas White International are not allowed to invest or trade in common stocks and common stock derivatives. This report is only for the purpose of information and is not an investment advice. Readers are advised to consult a certified financial advisor before taking any investment decisions. While efforts have been made to ensure the accuracy of the information provided in the content, the author or publisher shall not be held responsible for any loss caused to any person whatsoever.Market Counters
Figures in Rupees
BSE 30
Scrip Name | Open | High | Low | Last Price |
ACC | 790.00 | 823.45 | 790.00 | 817.10 |
Bajaj Auto | 2,419.95 | 2,475.00 | 2,375.00 | 2,449.00 |
Bharti Airtel | 836.00 | 882.00 | 836.00 | 873.70 |
BHEL | 2,500.00 | 2,540.00 | 2,460.00 | 2,493.90 |
Cipla | 236.00 | 242.25 | 233.00 | 239.30 |
Dr Reddys Lab | 720.50 | 720.50 | 712.00 | 712.00 |
Grasim Indus | 2,375.00 | 2,419.90 | 2,362.00 | 2,380.30 |
Guj Ambuja | 115.50 | 119.90 | 114.00 | 119.35 |
HDFC Bank Ltd | 990.00 | 1,023.00 | 976.05 | 1,013.60 |
HDFC Ltd | 1,667.00 | 1,740.00 | 1,641.55 | 1,710.20 |
Hero Honda | 650.00 | 664.90 | 650.00 | 661.05 |
Hindalco | 148.00 | 149.65 | 146.40 | 148.60 |
HLL | 203.00 | 208.75 | 202.05 | 207.15 |
ICICI Bank | 914.90 | 960.00 | 908.25 | 950.25 |
Infosys | 2,056.00 | 2,073.90 | 2,040.00 | 2,058.15 |
ITC | | | | 156.45 |
L&T | | | | 1,703.20 |
Maruti | 760.00 | 811.00 | 757.00 | 794.40 |
NTPC | 159.00 | 161.25 | 157.50 | 158.35 |
ONGC | 934.00 | 956.00 | 926.00 | 948.60 |
Ranbaxy | 343.00 | 354.40 | 340.50 | 349.15 |
Rel Energy | 526.00 | 533.70 | 522.75 | 525.15 |
Reliance | 1,554.00 | 1,586.00 | 1,545.00 | 1,580.45 |
Satyam | 475.00 | 484.00 | 472.40 | 474.95 |
SBI | 1,060.00 | 1,143.00 | 1,040.10 | 1,132.90 |
Tata Motors | 710.00 | 754.85 | 710.00 | 742.90 |
Reliance Comm Ventures Ltd | 464.95 | 477.85 | 458.10 | 474.80 |
Tata Steel | 559.00 | 585.00 | 551.00 | 579.10 |
TCS | 1,245.00 | 1,259.90 | 1,220.30 | 1,225.80 |
Wipro | 570.00 | 575.00 | 551.25 | 554.35 |
S&P CNX Nifty
Scrip Name | Open | High | Low | Last Price |
TATASTEEL | 557 | 585.95 | 552.5 | 579.75 |
RELIANCE | 1554 | 1589.6 | 1541.05 | 1582.95 |
SBIN | 1030 | 1144 | 1030 | 1133.3 |
INFOSYSTCH | 2025.5 | 2073.8 | 2025 | 2057.9 |
RCOM | 451.25 | 479 | 451.25 | 475.05 |
TCS | 1244 | 1262 | 1219 | 1224.85 |
ICICIBANK | 905 | 959 | 905 | 950.1 |
BHEL | 2472.35 | 2539 | 2461.5 | 2497.55 |
MARUTI | 770 | 810 | 762 | 796 |
SIEMENS | 1047.8 | 1134 | 1021.5 | 1119.2 |
HDFCBANK | 986.8 | 1024.6 | 976.25 | 1013.75 |
TATAMOTORS | 728.8 | 754 | 725.1 | 741.6 |
SAIL | 135.7 | 137.9 | 132.8 | 134.1 |
ONGC | 930 | 955.9 | 925.5 | 948.5 |
SATYAMCOMP | 478.5 | 484 | 472.2 | 474.55 |
ZEEL | 271 | 303.9 | 263.2 | 294.85 |
HDFC | 1654.9 | 1743 | 1640.25 | 1711.2 |
BHARTIARTL | 840 | 882.05 | 835 | 873.3 |
WIPRO | 564.95 | 571 | 551.5 | 554.6 |
ITC | 156.3 | 157.6 | 154.8 | 156.45 |
PNB | 481.8 | 521 | 465 | 505.95 |
MTNL | 162 | 165.45 | 150.25 | 152.35 |
ACC | 796.05 | 823.9 | 788.6 | 816.95 |
GUJAMBCEM | 115.05 | 119.7 | 114.35 | 119.35 |
LT | 1701 | 1720 | 1675.05 | 1705.8 |
SUNPHARMA | 1055 | 1074.95 | 1038.1 | 1061.7 |
STER | 518 | 538.7 | 508 | 533.7 |
RPL | 77.6 | 79.5 | 77.3 | 79.2 |
M&M | 731.3 | 755 | 725.4 | 744.35 |
HCLTECH | 330 | 337.4 | 320 | 335.5 |
HINDLEVER | 201.75 | 209.25 | 201.75 | 208.15 |
RANBAXY | 343.5 | 355 | 340 | 349 |
SUZLON | 1115 | 1180.05 | 1100 | 1168.55 |
IPCL | 306.1 | 319.95 | 306.1 | 316.65 |
ABB | 3895 | 3990 | 3714.85 | 3963.85 |
BAJAJAUTO | 2404 | 2475 | 2375 | 2442.7 |
DRREDDY | 718 | 721 | 706.1 | 713.5 |
HINDALC0 | 147 | 149.9 | 144.9 | 148.6 |
CIPLA | 235 | 244.2 | 233.25 | 238.8 |
REL | 525.5 | 534.05 | 512.25 | 524.7 |
GRASIM | 2390 | 2420 | 2370 | 2378.65 |
HEROHONDA | 650 | 668.55 | 650 | 665.95 |
TATAPOWER | 575 | 583.95 | 562.05 | 581.6 |
VSNL | 447.1 | 454.5 | 440 | 442.75 |
GAIL | 286.1 | 291.9 | 286 | 289.05 |
HINDPETRO | 255 | 262.85 | 253 | 259.85 |
DABUR | 96.95 | 99.4 | 95.15 | 99.05 |
BPCL | 320 | 325.9 | 315.1 | 323.3 |
NATIONALUM | 243.5 | 248 | 239.1 | 246 |
GLAXO | 1180 | 1195 | 1175.1 | 1179.55 |