|
Markets had an indecisive start in the morning after the
uncertainty over the impact of the Chinese Yuan revaluation.
The decline in the US dollar was expected to affect the
stock prices of technology majors and keep the markets
subdued.
The
US markets had closed lower yesterday and Asian markets
were also undecided the morning after the revaluation.
The unexciting quarterly numbers from technology major
Wipro further weakened the opening sentiment.
After
opening marginally weak, the indices started a day long
surge which took them well past the previous life time
highs. Instead of leading to market weakness, traders
now expect the appreciation in the Rupee to attract more
FII inflows.
Hopes
about improvements in the competitiveness of large Indian
companies as a result of the Yuan revaluation also led
to all round buying.
The
rally was not threatened even once during the entire session
and reports of yet another bomb scare in London towards
the end of the day hardly had any impact on the indices.
Sensex
closed at 7423, a gain of 119 points and the Nifty at
2266, a gain of 35 points. Nifty July futures closed the
day at a premium of 2 points to the spot index.
BHEL,
Bharti and Tata Tea were among the major gainers among
Nifty stocks while Sun Pharma, MTNL and Ranbaxy were the
major losers.
US
markets closed lower yesterday as the US dollar weakened
against most Asian currencies after the revaluation of
Chinese Yuan yesterday. Traders were undecided as to the
real impact of the revaluation, if any. The percentage
of adjustment in the value of the Yuan was much lower
than expectations.
The
Dow and the S&P 500 closed the day with losses of
well over half-a-per cent each. NASDAQ lost half a per
cent despite better than expected results from Google
and Microsoft.
Crude
oil futures for August delivery declined well over a per
cent yesterday on better than expected US inventory of
crude oil and refined products. Crude closed yesterday
on the NYMEX at $56.72 to a barrel.
Except
for Satyam, Infosys and VSNL, most Indian ADR's closed
the day yesterday with losses. Satyam closed more than
3 per cent higher while VSNL gained over 2 per cent. Infosys
closed the day with gains of under a per cent. HDFC Bank
was the most significant loser with a decline of over
4 per cent followed by MTNL which closed 2 per cent lower.
Tata Motors and Dr. Reddy's closed with marginal losses.
Wipro,
the last among the four technology services majors to
come out with quarterly results, reported a 31 per cent
rise in first quarter profits on a 29 per cent increase
in consolidated revenues as compared to the same quarter
of previous year. Profits were however marginally lower
than those reported for the quarter ended March '05, in
line with the company's earlier guidance.
First
quarter IT services revenues were marginally higher than
the earlier guidance. The company has projected IT services
revenues of over $420 million for the second quarter as
against $398 million achieved during the first quarter.
The
company's BPO services subsidiary, Wipro Spectramind,
achieved a revenue growth of 8 per cent during the quarter.
Total workforce in the division declined by over 2,000,
which the company said was due to higher training standards.
The
stock opened weaker by close to 2 per cent in early trades
as the results failed to excite traders. The stock recovered
steadily during the day in line with the rally in the
markets and closed the day with marginal gains.
The
star among the technology pack today was Satyam which
came out with its results yesterday. Though the results
did not have much by way of positive surprises, many analysts
are impressed by the growing strengths of the company.
With
Satyam all set to reach total revenues of over $1 billion
this year, many analysts feel that its current lower valuation
as compared to peers like Infosys and Wipro should improve.
The stock closed the day with gains of 4 per cent.
Infosys
also managed to close the day with gains of well over
a per cent while TCS remained subdued and closed flat.
ONGC
is planning to team up with the Mittal Steel group, the
world's largest steel producer, to acquire oil and gas
assets abroad. Mittal Steel has a presence in many countries
having large oil and gas deposits, especially in Central
Asia.
The
venture would leverage the presence of Mittal Steel in
these countries and the exploration abilities of ONGC.
The petroleum ministry is set to start negotiations with
Mittal Steel tomorrow and the proposed investment outlay
is said to be sizeable.
ONGC
has also submitted the proposal for the oil refinery in
Rajasthan. The refinery would have a capacity of 5-million
tonnes per annum and would focus on cooking gas. The stock
closed with gains of almost 2 per cent.
The
oil marketing companies also had a good day on the exchanges
today. BPCL closed over 2 per cent higher while Indian
Oil and HPCL closed the day well over a per cent higher.
Auto
companies made a strong comeback after the lacklustre
show over last week or so. Tata Motors led the pack with
gains of well over 2 per cent. M&M closed well over
2 per cent higher while Maruti gained over a per cent.
Bharti
Televentures was one of the major gainers among index
stocks closing 5 per cent higher. The recent deal in BPL
Mobile has attracted a lot of attention to the telecom
stocks. The valuation at which the BPL deal was concluded
was higher than market expectations and this has led to
buying in Bharti.
Another
significant gainer in today's trade was BHEL. The stock
has been subdued for the last couple of weeks on the strong
left opposition to disinvestment. Today, despite the left
parties reiterating their opposition to disinvestment
in BHEL, strong buying was seen in the counter. The stock
closed well over 5 per cent higher.
Bank
stocks led by ICICI Bank had an excellent day of gains.
ICICI Bank closed well over 3 per cent while Oriental
Bank and Punjab National Bank closed well over 2 per cent
higher. SBI closed with gains of over a per cent while
Bank of Baroda closed 7 per cent higher.
Mid-Cap
Action
Mid-caps
also recovered from yesterday's losses though the overall
gains were lower than frontline stocks today. Opening
firm, the mid-cap index surged to new life time highs
and managed to hold firm and close the day at its highs.
The CNX Mid-Cap 100 index closed the day at 3440, a gain
of 39 points.
Godrej
Consumer Products surged over 6 per cent after the company
announced an over 50 per cent jump in first quarter profits
on a revenue growth of over 23 per cent as compared to
the same quarter of the previous year.
India
Bulls attracted a lot of buying interest after yesterday's
property deal to acquire a large plot of land in Mumbai.
The company's subsidiary had emerged as the highest bidder
at over Rs440 crore. The deal is however subject to the
ruling of the Bombay High Court on a case regarding the
ownership of the land. The stock closed with gains of
over 13 per cent.
Some
of the other retail stock broking companies also saw considerable
action today. Geojit Financial Services, the South- based
retail broking company, closed with gains of over 10 per
cent. India Infoline, which had announced excellent quarterly
results after market close yesterday, could not sustain
the early gains and closed over a per cent higher.
Heavy
buying was seen in stocks of companies with large land
holdings after yesterday's land deals at Mumbai at very
high prices. Bombay Dyeing, which has a couple of defunct
textile mills in Mumbai, surged well over 10 per cent
in intra-day trades.
Siel
Limited, which is seeking a partner to develop a large
plot in the outskirts of Delhi, was closed in the 20 per
cent upper circuit in early trades.
Buying
was seen in select mid-cap technology stocks as well.
Four Soft closed over 12 per cent higher while Kale Consultants
added over 5 per cent. NIIT Limited, Polaris and Visual
Soft were among the losers in the technology pack.
Tata
group company Indian Hotels, which operates the Taj group
of hotels, reported an over 150 per cent increase in first
quarter profits on a revenue growth of over 23 per cent.
The company said tourist traffic is buoyant and room occupancy
rates are high.
Tata
Elxsi reported a 50 per cent increase in first quarter
profits on a revenue growth of over 33 per cent as compared
to the same quarter of the previous year. The stock closed
lower.
3i
Infotech, an associate company of ICICI Bank, reported
excellent results in the first quarter after its IPO.
Consolidated profits were higher by close to 30 per cent
on a revenue growth of close to 10 per cent as compared
to the previous quarter ended March 2005. Figures for
the first quarter of previous year are not available as
this is the company's first quarterly reporting. The stock
closed 2 per cent higher.
 Indraprastha
Medical, Salora International and SBI Home Finance were
among the best performing stocks among mid-caps.
Gufic
Bio, BASF and BPL Limited were among the significant mid-cap
losers.
*Disclaimer:
The author does not have any position in the stocks specifically
mentioned
above at the time of writing this article. This analysis
/ 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.
Other
articles by Rex Mathew
List
of general reports on markets List
of general reports on finance
Market:
Indices
National
Markets
Gain (+) / Loss (-)
|
SENSEX
|
7,423.25
|
+118.93
|
| NIFTY
|
2,265.60
|
+
35.10 |
Last
Update : 22 July, 2005, 16:13 PM
Market
Counters
Figures in Rupees
BSE
30
| Scrip
Name |
Open |
High |
Low |
Last
Price |
| BHEL
|
940.00
|
999.95
|
934.00
|
990.55 |
| BHARTI
TELE |
252.10
|
267.00
|
251.00
|
266.70 |
| SATYAM
COMP |
510.00
|
540.00
|
503.00
|
532.80 |
| ICICI
BANK L |
438.40
|
456.00
|
434.00
|
454.75 |
| TATA
IRON AND STEEL CO. LTD. |
368.00
|
380.00
|
368.00
|
379.05 |
| CIPLA
LTD. |
333.00
|
343.45
|
332.30
|
340.30 |
| TATA
MOTORS |
464.00
|
474.00
|
460.55
|
471.50 |
| HINDUSTAN
LEVER LTD. |
159.00
|
162.40
|
157.80
|
161.75 |
| ONG
CORP LTD |
919.90
|
938.80
|
918.00
|
935.20 |
| RELIANCE
ENR |
634.10
|
647.40 |
634.10
|
645.75 |
| ASSOCIATED
CEMENT COMPANIES LT |
435.90
|
448.00
|
433.55
|
443.80 |
| STATE
BANK OF INDIA |
711.40
|
723.00
|
709.00
|
721.05 |
| RELIANCE*
|
673.25
|
691.90
|
673.25
|
689.70 |
| HEROHONDA
M |
610.00
|
619.80
|
608.95
|
616.05 |
| INFOSYS
TECHNOLOGIES LTD.-ORDI |
2,200.00
|
2,247.50
|
2,181.30
|
2,236.40 |
| TATA
POWER |
396.00
|
403.00
|
393.10
|
400.85 |
| DR.REDDY'S
LABORATORIES LTD. |
762.00
|
771.00
|
755.10
|
769.10 |
| HDFC
BANK LT |
639.80
|
649.00
|
626.05
|
648.65 |
| HINDALCO
IN |
1,260.00
|
1,275.00
|
1,250.00
|
1,266.45 |
| LARSEN
& TOUBRO LTD. |
1,256.00
|
1,269.85
|
1,246.25
|
1,256.25 |
| BAJAJ
AUTO |
1,374.15
|
1,381.00
|
1,351.15
|
1,373.30 |
| RANBAXY
LABORATORIES LTD. |
1,023.00
|
1,045.00
|
1,023.00
|
1,039.55 |
| MARUTI
UDYOG |
468.00
|
469.00
|
458.30
|
461.75 |
| GRASIM
INDUSTRIES LTD. |
1,154.00
|
1,167.85
|
1,149.00
|
1,155.00 |
Last
Update : 22 July, 2005, 16:02PM
S&P
CNX Nifty
| Symbol |
Open |
High |
Low |
Last
Price |
| SATYAMCOMP
|
508.00
|
539.90
|
502.40
|
532.75 |
| RELIANCE
|
680.00
|
691.40
|
678.15
|
689.55 |
| INFOSYSTCH
|
2212.00
|
2248.00
|
2177.15
|
2238.75 |
| ONGC |
919.00 |
942.00
|
918.15
|
938.45 |
| VSNL
|
368.00
|
377.80
|
358.50
|
373.65 |
| TISCO
|
370.10
|
380.00
|
368.10
|
378.75 |
| ITC
|
1649.95
|
1664.70
|
1631.00
|
1644.10 |
| SBIN
|
715.00
|
722.95
|
710.60
|
721.10 |
| BHARTI
|
253.55
|
267.00
|
251.00
|
266.65 |
| TCS
|
1285.00
|
1297.85
|
1270.40
|
1293.95 |
| BHEL
|
940.55
|
999.00
|
937.00
|
992.20 |
| WIPRO |
715.00 |
718.00
|
690.40
|
715.30 |
| PNB
|
400.00
|
412.00
|
398.10
|
410.05 |
| MARUTI
|
463.90
|
469.00
|
457.65
|
463.20 |
| TATAMOTORS
|
461.75
|
474.00
|
460.50
|
471.55 |
| ICICIBANK
|
439.00
|
457.00
|
433.20
|
454.80 |
| HDFCBANK
|
637.00
|
649.80
|
613.25
|
648.50 |
| ACC
|
435.40
|
448.00
|
433.20
|
443.90 |
| RANBAXY
|
1054.00
|
1054.00
|
1032.10
|
1039.15 |
| ZEETELE
|
170.00
|
173.25
|
167.50
|
171.70 |
| REL
|
631.00
|
647.45
|
631.00
|
645.60 |
| HDFC
|
893.10
|
901.10
|
881.10
|
894.85 |
| IPCL
|
191.10
|
193.40
|
190.90
|
192.25 |
| M&M
|
597.95
|
622.70
|
595.10
|
620.20 |
| TATACHEM
|
192.05
|
193.00
|
189.50
|
191.85 |
| SAIL
|
54.50
|
54.50
|
53.60
|
54.10 |
| ORIENTBANK
|
265.80
|
273.95
|
261.00
|
272.95 |
| MTNL
|
141.90
|
141.90
|
134.35
|
136.65 |
| LT
|
1258.80
|
1269.40
|
1248.05
|
1257.30 |
| HINDLEVER
|
157.10
|
162.55
|
156.10
|
161.70 |
| GUJAMBCEM
|
62.80
|
63.00
|
62.00
|
62.50 |
| BAJAJAUTO
|
1381.05
|
1385.00
|
1362.25
|
1375.60 |
| HINDPETRO
|
298.00
|
303.00
|
292.55
|
299.40 |
| BPCL
|
345.20
|
354.90
|
345.10
|
351.75 |
| NATIONALUM
|
156.60
|
158.80
|
153.25
|
157.90 |
| DABUR
|
158.00
|
160.00
|
149.00
|
150.30 |
| TATAPOWER
|
394.90
|
403.90
|
393.00
|
401.75 |
| CIPLA
|
333.20
|
398.95
|
331.00
|
340.85 |
| TATATEA
|
643.85
|
669.85
|
641.50
|
667.40 |
| HCLTECH
|
389.95
|
396.00
|
385.00
|
393.90 |
| HINDALC0
|
1260.00
|
1275.00
|
1248.00
|
1267.65 |
| GAIL
|
215.10
|
223.90
|
215.10
|
223.20 |
| GRASIM
|
1155.00
|
1170.00
|
1148.40
|
1157.20 |
| HEROHONDA
|
600.00
|
619.95
|
595.00
|
616.60 |
| ABB
|
1495.10
|
1518.70
|
1461.00
|
1485.85 |
| DRREDDY
|
761.50
|
772.00
|
755.50
|
768.55 |
| SUNPHARMA
|
645.85
|
650.00
|
624.00
|
629.35 |
| COLGATE
|
238.10
|
243.35
|
238.10
|
239.95 |
| SCI
|
147.90
|
147.90
|
145.60
|
146.90 |
| GLAXO
|
864.50
|
878.00
|
864.50
|
872.45 |
Last
Update : 22 July, 2005, 16:00PM
| 
