Mid Session Market

July 23, 2009

The markets after a smart start to the session has cooled down a bit after inflation number hit the wires. Inflation for week ended July 11 came in at -1.17% vs -1.21% for the previous week ended July 4, 2009, marking a sixth straight week fall. The inflation during the corresponding week July 12, 2008 stood at 12.13%. The Wholesale Price Index for ''All Commodities'' for the week ended 11th July 2009 rose by 0.1% to 236.7 from 236.4 for the previous week.

However the markets are still trading higher as buying continued across the board mainly led by the Consumer Durables, Metal, FMCG, Realty and IT stocks. The broader markets indices also hold on the gains and are trading higher with both the BSE Mid Cap and the BSE Small Cap indices are now trading with a gain of around 1.5% each. The BSE Sensex is now trading above the 15000 mark and the NSE Nifty above the 4450 mark.

Sterlite Industries reported the top gainer from the BSE Sensex pack, as it is trading higher by (4.86%) at Rs.630.50. While Sun Pharmaceuticals reported the top loser from the BSE Sensex pack, as it is trading down by (2.91%) at Rs. 1,218.10.

The overall market breadth is positive as 1525 stocks are advancing while 809 stocks are declining and the 97 stocks remain unchanged on BSE.

At 12.31 pm, BSE Sensex was at 15,088.62 up by 245.50 points and the NSE Nifty was at 4,474.85 up by 75.95 points.

The BSE Mid cap is trading higher by 78.89 points at 5,253.63 and the BSE small Cap grew by 85.05 points to trade at 5,902.41.

Bharti Airtel posted an impressive performance in the first quarter of FY2009-10. Bharti Airtel has posted a 22% growth in its net profit at Rs26.48bn for the quarter ended June 30, 2009 as compared to Rs21.67bn for the quarter ended June 30, 2008 and up by 29.3% from Rs.24.47bn for the quarter ended March 31,2009. The company''s consolidated net sales increased 1.7% to Rs 104.29bn as against Rs 102.55bn, QoQ. The stock is now trading higher by (2.31%) at Rs. 842.05.

HDFC is now trading higher by (2.21%) at Rs.2,455. HDFC has reported a net profit of Rs. 564.92 crore for the quarter ended June 2009 up from Rs. 468 crore in June 2008. Howevcer, HDFC’s net interest margins fell marginally to 2.19%.

Infosys Technologies Ltd. has won a contract to design, develop and support portal for the ministry of commerce and industry. The duration of the contract is 10 years. The stock is up by (0.64%) at Rs.1,955.40.

BSE Realty index increased by 84.50 points to 3,544.43 as Orbit Co (4.97%), Anant Raj Industries (4.42%), Penland Ltd. (3.96%), HDIL (3.20%), Ansal Infra (3.06%), DLF (2.73%) and Unitech (2.12%) are trading higher.

BSE Capital Goods index increased by 153.49 points to 12,294.95. The main gainers are Jyoti Structure (3.38%), Bharat Bijli (2.95%), Alstom Project (2.89%), Reliance Industrial Infra (2.10%), Siemens (2.10%) and Havells India (1.90%).

BSE Bankex index is trading higher by 93.92 points at 8,359.88. The main gainers are Canara Bank (2.90%), PNB (2.50%), AXIS Bank (2.01%), Bank of India (1.97%), Allahabad Bank (1.85%), IDBI Bank (1.79%) and SBI (1.74%).

BSE Oil & Gas index grew by 81.74 points to 9,447.38 as Aban Offshore (3.17%), GAIL India (1.68%), Reliance Industries (1.08%), RNRL (1.03%), Cairn India (1.01%), RPL (0.89%) and BPCL (0.87%) are trading in positive.

BSE Metal index surged by 321.17 points to 11,666.78 as Hindalco Industries (4.91%), Sterlite Industries (4.99%), SAIL (4.69%), Ispat Industries (3.87%), Jindal Steel (3.49%), JSW Steel (3.30%) and Tata Steel (2.91%) are trading higher.

BSE IT index grew by 64.77 points to trade at 3,699.76 as HCL Technologies (2.69%), TCS (2.15%), Rolta Ind (1.68%), Infosys Technologies (1.71%), Oracle Fin (1.16%) and Patni Computer (0.76%) are trading in green.

BSE Auto index is trading higher by 73.82 points at 5,151.72. The major gainers are Tata Motors (2.88%), Maruti Suzuki (1.86%), Mahindra & Mahindra (1.76%), Hero Honda (1.38%) and Ashok Leyland (0.31%).

BSE Power index grew by 31.55 points to 2,815.42 as Torent Power (2.76%), Reliance Infra (2.56%), Suzlon Energy (1.69%), Reliance Pwer (1.48%), power Grid (1.19%) and GVK Power (0.83%) are trading higher.

On the global markets front, the Asian markets are trading higher as the Hang Seng, Shanghai Composite, Nikkei 225, Seoul Composite and Straits Times index are trading up by (1.75%), (0.57%), (0.72%), (0.16%) and (0.88%) respectively.

Mid Session Market

The markets have maintained their opening rally and are still trading higher in line with the Asian markets. All the sectorial indices are trading in green mainly led by the Realty index up nearly 6% followed by Metal, Consumer Durables and Banking index up by above 4% each. The boarder market stocks are also attracting significant buying attention today with both the BSE Mid Cap and the BSE Small Cap index are now trading with a gain of more than 3% each. The BSE Sensex is now trading above the 13650 mark and the NSE Nifty above the 4050 mark.

HDFC Bank, the country’s second largest private lender have reported a better than expected results. HDFC Bank first quarter net profit rose 31% from a year earlier, led by a rise in other income. The Net profit for the April-June quarter rose to Rs.606 crore from Rs.464 crore a year earlier. The bank reported other income of Rs.1,044 crore an increase of 76% as against Rs.593 crore in the same period previous year.

AXIS Bank is trading higher by (2.83%) at Rs.776.75. The bank has reported a better than expected 70% jump in net profit. The bank has posted a net profit of Rs.562.04 crore for the quarter ended June 30 from Rs. 330.14 crore in the first quarter of `08-09. The sharp rise in net profit was mainly due to a sharp rise in trading income of Rs. 326.07 crore as against Rs. 57.31 crore in the previous year.

Reliance Infra reported the top gainer from the BSE Sensex pack, as it is trading higher by (7.52%) at Rs. 1,039.35. While Hero Honda reported the top loser from the BSE Sensex pack, as it is trading down by (0.17%) at Rs. 1,395.75.

The overall market breadth is positive as 1730 stocks are advancing while 558 stocks are declining and the 60 stocks remain unchanged on BSE.

At 12.34 pm, BSE Sensex was at 13,665.93 up by 265.61 points and the NSE Nifty was at 4,057 up by 82.95 points.

The BSE Mid cap is trading higher by 140.12 points at 4,724.73 and the BSE small Cap grew by 163.51 points to trade at 5,221.21.

BSE Realty index surged by 165.05 points to 2,903.40 as Akruti City (13.11%), HDIL (6.46%), DLF (6.24%), India Bull Real (6.13%), Unitech Ltd. (5.85%), Parsavnath (5.70%) and Omaxe Ltd. (5.10%) are trading higher.

BSE Capital Goods index advanced by 451.76 points to 11,473.40. The main gainers are Punj Lloyd (7.40%), Reliance Industrial Infra (6.80%), BHEL (4.90%), Havells India (4.705), Bharat Electrical (4.15%) and Alstom Project (4.03%).

BSE Bankex index is trading higher by 302.99 points at 7,613.25. The main gainers are Indus Ind Bank (7.77%), ICICI Bank (6.07%), Bank of India (5.72%), IDBI Bank (5.26%), Bank of Baroda (5.18%) and Union Bank (4.05%).

BSE Oil & Gas index increased by 112.75 points to 8,553.91 as Aban offshore (11.74%), RNRL (4.86%), Essar Oil (3.72%), Cairn India (1.66%), RPL (1.45%) and Reliance Industries (1.44%) are trading in positive.

BSE Metal index grew by 440.84 points to 10,176.52 as JSW Steel (8.24%), SAIL (5.87%), Ispat Industries (5.72%), Jindal Saw (5.58%), Tata Steel (5.31%), Jai Corp (4.99%) and Gujarat NRE (4.74%) are trading higher.

BSE IT index increased by 14.16 points to trade at 3,266.41 as NIIT Ltd. (5.86%), Financial Technologies (4.97%), Rolta Ind (4.34%), Tech Mahindra (3.73%), Oracle Fin (3.71%) and HCL Technologies (2.06%) are trading in green.

BSE Auto index is trading higher by 83.03 points at 4,533. The major gainers are Tata Motors (4.86%), Bajaj Auto (3.80%), Maruti Suzuki (1.86%) and Mahindra & Mahindra (1.27%).

BSE Power index grew by 97.60 points to 2,638.63 as Suzlon Energy (6.11%), Reliance Power (5.65%), Torent Power (5.91%), GVK Power (3.83%) and Power Grid (1.75%) are trading higher.

On the global markets front, the Asian markets are trading higher as the Shanghai Composite, Hang Seng, Straits Times index, Nikkei 225 and Seoul Composite index are trading up by (1.80%), (3.10%), (1.89%), (2.34%) and (0.54%) respectively.

Mid Session Market

The markets managed to gain some grounds from the early losses and turned into positive territory as traders started buying at lower levels. The significant buying witnessed among the Metal, Oil & Gas, FMCG and Pharma stocks. However, Realty, Capital Goods Consumer Durables and Banking stocks are still reeling under pressure. The boarder market indices are however trading flat in the afternoon trade. India’s inflation fell for the fourth consecutive week as it came in at -1.55% for the week ended June 27, 2009 as compared to -1.30% for the previous week ended June 20, 2009 and 12.03% during the corresponding week ended June 28, 2008 of the previous year. The Wholesale Price Index for the week ended June 27, 2009 rose by 0.04% to 234.7 from 234.6 for the previous week. Jai Prakash Associate reported the top gainer from the BSE Sensex pack, as it is trading higher by (2.60%) at Rs. 199.50. While Mahindra & Mahindra reported the top loser from the BSE Sensex pack, as it is trading down by (2.98%) at Rs. 715. The overall market breadth is negative as 930 stocks are advancing while 1332 stocks are declining and the 72 stocks remain unchanged on BSE. At 12.34 pm, BSE Sensex was at 13,795.49 up by 26.34 points and the NSE Nifty was at 4,088.70 up by 9.80 points. The BSE Mid cap is trading higher by 23.52 points at 4,806.36 and the BSE small Cap fell by 2.19 points to trade at 5,335.16. SBI is trading higher by (1.21%) at Rs. 1,599.90. The bank has approval from the Insurance Regulatory and Development Authority (IRDA) for its proposed non-life joint venture with IAG of Australia. DLF, India’s largest real estate developer has sold its stake in a 50:50 joint venture with Ackruti City for developing a commercial project in Mumbai to a US-based real estate fund for over Rs 200 crore. The stake sale by DLF is a part of the company’s asset sale programme to raise Rs 5,500 crore by the end of this fiscal. DLF shares is now trading lower by (1.18%). BSE Realty index dropped by 74.74 points to 2,837.89 as Sobha Developers (11.94%), Orbit Co (4.31%), Omaxe Ltd. (3.93%), Parsavnath (3.90%), Ansal Infra (3.08%) and HDIL (2.64%) are trading lower. BSE Capital Goods index slipped by 192.28 points to 11,488.04. The main losers are BHEL (2.43%), Everest kanto (2.83%), Reliance Industrial Infra (2.37%), Crompton Greaves (2.01%) and Jyoti Structure (1.75%). BSE Bankex index is trading lower by 78.08 points at 7,407.45. The main losers are AXIS Bank (3.01%), ICICI Bank (2.94%), Kotak Bank (1.64%), Indus Ind Bank (1.26%), Yes Bank (1.04%) and Union Bank (0.51%) are trading lower. BSE Oil & Gas index increased by 97.52 points to 8,840.93 as Gail India (3.42%), Cairn India (2.67%), HPCL (2.01%), Reliance Industries (1.68%), Indian Oil (1%), RPL (0.91%), BPCL (0.74%) and RNRL (0.13%) are trading in positive. BSE Metal index grew by 74.42 points to 10,175.58 as Jindal Steel (4.06%), Hindustan Zinc (4.04%), SAIL (3.43%), Sesa Goa (2.39%), Sterlite Industries (2.24%) and NMDC (1.55%) are trading higher. BSE IT index increased by 7.84 points to trade at 3,156 as NIIT Ltd. (4.54%), Patni Computer (2.42%), Tech Mahindra (2.38%), TCS (1.38%), HCL Technologies (1.46%) and Financial Technologies (1.16%) are trading in green. BSE Auto index is trading lower by 18.17 points at 4,605.95. The major losers are Ashok Leyland (3.08%), Mahindra & Mahindra (2.98%), Tata Motors (2.63%) and Maruti Suzuki (0.09%). BSE Power index fell by 17.13 points to 2,652.64 as Torent Power (1.37%) and Suzlon Energy (0.40%) are trading lower. While GVK Power (1.02%), Power Grid (1.08%) and Tata Power (0.805) are trading higher. On the global markets front, the Asian markets are trading mixed as the Shanghai Composite, Hang Seng and Straits Times index are trading up by (1.21%), (0.22%) and (1.73%) respectively. While, Nikkei 225 and Seoul Composite index are trading down by (1.38%) and (0.01%) respectively.