Stock Ideas 
Stock Ideas Top Headlines Market spurts on all round buying momentum
Stock Ideas Top Headlines Market spurts on all round buying momentum 
Market Watch
|
Greetings readers, |
|
| More... |
Most Popular
Login Form
| Market spurts on all round buying momentum |
| Thursday, 19 July 2007 | ||||||||
|
Both the key indices Sensex and Nifty struck all time highs. Today’s rally was broad based with buying across various sectors and market capitalisation. Auto, capital goods, IT, oil & gas, logged smart gains. However real estate stocks cooled off on profit booking. Positive cues from the global markets boosted the sentiment further. The BSE 30-share Sensex surged 271.02 points or 1.77% to 15,572.19, as per provisional closing. It opened higher at 15,357.38 and kept on hitting all time highs on regular interval, with the last being 15,593.31 at 15:27 IST. The barometer index’s previous all-time high was 15,440.20, struck just about two days ago: Tuesday, 17 July 2007. The S&P CNX Nifty also struck an all-time high of 4573, surpassing its previous all-time high of 4,550.25 hit on 17 July 2007. It settled 62.55 points, or 1.39% higher, at 4,562.10, as per provisional closing The total turnover on BSE surged in last hour of trade to Rs 5,699 crore compared to Rs 4,354 crore at about 14:30 IST The market breadth was strong on BSE with 1,536 shares advancing as compared to 1,157 that declined, while 70 remained unchanged
Among the Sensex pack, 26 advanced while only 4 of them declined. Shares from auto pack dominated the list of gainers, on easing worries of interest rate hike. Auto companies derive 50-75% of their sales from borrowed funds. Tata Motors, India's top auto maker by sales, jumped 6.31% to Rs 790 on reports it is evaluating a bid to buy luxury British car brands Jaguar and Land Rover from struggling US car maker Ford. A successful bid for Jaguar and Land Rover, which have been underperforming ever since Ford acquired them seven years ago, may cost over Rs 6,000 crore. It was the top gainer from Sensex pack, with 3.64 lakh shares changing hands on the counter. India's second largest two-wheeler maker Bajaj Auto surged 5.06% to Rs 2,398 after a domestic brokerage initiated as 'outperformer' rating with target price of Rs 2,725. India's largest private sector company Reliance Industries (RIL) extended gains to strike a fresh an all- time of Rs 1,925. The index heavyweight galloped 4.34% to Rs 1,899, on 11.04 lakh shares. The Bombay High Court on Wednesday, 18 July 2007, refused to stay an interim order barring Reliance Industries (RIL) from selling gas from its KG basin field to any other firm except Anil Ambani's Reliance Natural Resources (RNRL) and state-run NTPC. A division bench of Justices J N Patel and Ahmed Sayed also adjourned by eight weeks the hearing on RIL's appeal against the previous interim order. The court, however, said the government can go ahead with the process of fixing of gas price as per the contract for the field, without any prejudice to either party. Cement stocks, riding on the infrastructure boom, advanced. Grasim, the AV Birla group diversified major deriving major revenue from cement, surged 3.94% to Rs 3,010 after striking an all-time high of Rs 3,024.80 in early trade. Other cement stocks JK Lakshmi Cement (up 4.30% to Rs 143.10) and UltraTech Cement Company (up 1.35% to Rs 969.90) also edged higher. ACC, the second largest cement company according to market captialisation, saw high volatility today on the eve of its results. The stock slipped sharply to a low of Rs 1119, after the company said its net profit fell 13.5% to Rs 351 crore in Q1 June 2007 over Q1 June 2006. However, it rallied sharply from the low to strike a high of Rs 1160 in late trade. It settled with a 2.29% gain at Rs 1159. Engineering & construction major Larsen & Toubro rose 2.25% to Rs 2,382 after it posted 139.83% spurt in net profit for Q1 June 2007 to Rs 376.85 crore over Q1 June 2006. Sales moved up 29.57% to Rs 4,505.21 crore. Telecom pivotals advanced on renewed buying. India's second-largest mobile services firm Reliance Communications advanced 3.14% to Rs 585, after striking an all-time high of Rs 586.90. The company has sold a 5% stake in its telecom tower business, which it has valued at Rs 27000 crore, Chairman Anil Ambani said on Thursday. The company has placed the 5% stake with a handful of leading investors in the United States, Europe and Asia, for Rs 1400 crore. The company is also evaluating a possible initial public offering or strategic equity placements for the tower business, Ambani said. Top cellular services provider Bharti Airtel gained 1.97% to Rs 900.50, after striking an all-time high of Rs 902. Bharti Enterprises, the parent of Bharti Airtel said on Wednesday, 18 July 2007, one of its group companies had bought a 4.99% in the telecom firm from Vodafone. The purchase took Bharti's voting interest in Bharti Airtel to more than 50%. IT stocks advanced on momentum buying in anticipation of global merger & acquisition (M&A) activity. The second largest IT services provider Infosys Technologies surged 2.46% to Rs 1,995 on market talks that it is close to acquiring the finance and accounting BPO arm of Philips Global. The BPO arm is said to have assured revenues of $200 million spread over five year. Infosys had gained in recent times on market rumors that it has bid for Capgemini, a European IT services provider Wipro, too, recovered from a low of Rs 494, and was up 0.19% to Rs 505.40. The company posted before market hours today, 19 July 2007, a lower-than-expected 16% rise in net profit to Rs 710 crore in Q1 June 2007 over Q1 June 2006. Wipro added 39 clients in the June 2007 quarter. It has forecast its IT services revenue would rise 32% to $777 million in Q2 September 2007, up from $589 million in Q2 September 2006. Wipro’s net profit declined 18% and net sales dipped 2.86% over the March 2007 quarter. India's largest IT service provider TCS rose 0.56% to Rs 1,174, while Satyam Computers, the fourth largest, was up 1.2% to Rs 487.40 The Indian rupee slipped on Thursday, 19 July 2007 as rising oil prices spurred oil companies to buy dollars, though dealers expected capital flows into the fast-growing economy to bolster the local unit. At 9:45 IST, the rupee was at 40.43/44 per dollar, easing from Wednesday's 40.4150/4250, and drifting further from a nine-year peak of 40.28 hit in late May. Reliance Energy, lost 0.69% to Rs 684 and was the top loser from the Sensex pack. About 9.84 lakh shares changed hands on the counter on BSE. Cipla (down 0.56% to Rs 205.15), Hindustan Unilever (down 0.33% to Rs 198.30) and Tata Steel (down 0.09% to Rs 682.10) were the other losers from Sensex pack. Spice Communications settled at Rs 60.65, a premium of 45% over the IPO price of Rs 46. The scrip debuted at Rs 55.75. It touched a high of Rs 67.05 and a low of Rs 48.50 during the day. On BSE, the counter saw huge volume of 11.71 crore shares. Zee Entertainment Enterprises rose 2.57% to Rs 335 on huge volumes of 80.79 lakh shares after three block deals of 23.34 lakh shares each were strcuk in the counter at an average price of Rs 328 per share on BSE in opening trade. As per provisional data, domestic institutions were net sellers of Rs 57-crore equities on Wednesday, 18 July 2007. Asian markets rose today, 19 July 2007, with Japanese shares rebounding on automakers such as Toyota Motor Corp. and Suzuki Motor Corp. despite reports they will temporarily halt production because of a disruption in key parts supplies. Japan's Nikkei rose 0.56% to 18,115.95. Hong Kong's Hang Seng (up 0.76% at 23,016.20) and Singapore's Straits Times (up 0.58% at 3,604.62) gained. Shanghai Composite lost 0.44% to 3,916.06 All the European markets were trading with gains. US stocks fell on Wednesday on deepening concerns that a crisis in lending could spread and a warning from the Federal Reserve chairman Ben Benanke that weakness in housing could hurt economic growth for some time. The Dow Jones Industrial Average lost 53.33 points to 13,918.22. The tech-laden Nasdaq Composite Index shed 12.80 points to 2,699.49. Oil prices jumped more than a dollar on Wednesday, 19 July 2007, after a steep drop in US gasoline stocks fanned concerns the world's top consumer could face a shortfall during the peak summer driving season. Global benchmark London Brent crude settled up $1.23 at $76.76 a barrel on Wednesday. Source: Capital Market
|
||||||||
| < Prev | Next > |
|---|