Bullish sentiment again in markets
Mumbai: The markets witnessed intense activity spurred mainly by the news of Tata group selling more than seven per cent of its holding in Associated Cement Companies to Gujarat Ambuja Cements. Sustained bull pressure lifted the Bombay Stock Exchange’s Sensex to 4948.54, reflecting a gain of 162.53 points, or more than three per cent. The S&P CNX Nifty also shot up by 60 points to close at 1481.70.

Yet another factor that contributed to the bull run, espeically in infotech stocks, was Wipro’s market capitalisation, which touched Rs 48,651.98 crore, just Rs 2,507 crore short of leader Hindustan Lever’s market capital. The aggregate market capitalisation of the BSE also shot up to an all-time high of Rs 9,25,000 crore. The BSE and the NSE had a combined volume of Rs 8,496 crore on 22 December.

Institutional investors carried the day, contributing to the higher volume. Besides ACC and Gujarat Ambuja, Infosys Technologies also cornered the limelight. The stock reached a new high of Rs 11,955.45 on the BSE. The other stocks that registered gains were Global Telesystems, ITC and SAIL.
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Indian Oil puts off GDR issue
Mumbai: Indian Oil Corporation is understood to have postponed its global depository receipt issue by over a month. It will now take place in early March 2000, instead of January 2000. Indianoil feels that Petro China, another oil company entering the international market around the same time, may mar its chances for a good price.
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Allahabad Bank postpones float
Calcutta: Allahabad Bank is understood to have postponed its initial public offering. The bank’s management feels that it will fetch better returns if it enters the market in financial year 2000-2001, as it will be able to show improved results during 1999-2000.

The government has been insisting that the bank go in for a float in the current financial year as its capital to risk weighted asset ratio is nearly 13 per cent, against the Reserve Bank of India's stipulated rate of 9 per cent. The bank had recently floated a subordinate debt issue, which was over-subscribed, enabling the bank to collect Rs 125 crore.
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