Sensex up 48 points

The Bombay Stock Exchange benchmark Sensex today registered a moderate gain of 48 points after erasing early losses suffered on IT major Infosys' poor first quarter numbers.

The 30-share index opened on a weak note and touched an intra-day low of 17,855.85 following Infosys' announcement of an over 2 per cent decline in its first quarter profit.

The key index, however, bounced back to close 48.70 points up at 17,985.90 on the back of strong activity at the Reliance Industry counter, which gained Rs 19 to Rs 1,074.75 on some favourable reports.

Similarly, the broad-based National Stock Exchange index Nifty gained 17.65 points to 5,400.65, its highest closing level in the last one year.

The IT bellwether Infosys Technologies reported a fall of 2.4 per cent in its June quarter net profit. The company's consolidated net profit declined to Rs 1,488 crore against Rs 1,525 crore in the same quarter last year. The IT firm's stock lost Rs 99.65 or 3.44 per cent to Rs 2,795.30.

European markets opening higher also helped revive buying activity, marketmen said.

The recovery was supported by realty, consumer durables and refinery stocks. In the Sensex, 17 advanced and 12 ended with losses, while Hero Honda remained unchanged.

With the buying activity was spread over a wide front, small cap and mid cap segment indices ended higher by 0.72 per cent each at 9,393.70 and 7,380.25 respectively.

Monday market looks Bullish

2 feb 2010
Market looks Bullish and may go upside, Nifty is expected to go 4920 level, other stocks to watch for rise is Ambuja Cement, Cipla, ONGC, Reliance industries.

Indian Stock Market gains due to central bank action

Friday 29/Jan/2010

Sensex of the Bombay Stock Exchange ,which opened at 16,253.82 points, shut shop at 16,357.96 points, up 51.09 points or 0.31 percent from its previous close at 16,306.87 points.

It had earlier fallen over 325 points or nearly 2 percent to 15,982.08 points below its previous close, soon after the Reserve Bank of India announced a 75 basis points hike in the cash reserve ratio as fears spread it would result in industry facing a crunch to raise credit.

At the National Stock Exchange (NSE), the broader 50-share S&P CNX Nifty closed at 4,882.05 points against the previous close at 4,867.25 points -- a gain of 0.3 percent.

Broader markets also witnessed a change in sentiments with buying resulting in the BSE midcap index closing 1.01 percent up and the BSE small cap index ending 1.2 percent higher.

Banking stocks, realty and consumer goods scrips saw buying interest, while FMCG, metal and telecom stocks came under selling pressure.

The market breadth was positive with 1,471 stocks advancing against 1,354 scrips declining and 62 remaining unchanged.

Among gainers on the Sensex were ICICI Bank, up 5.29 percent at Rs.830.40; BHEL, up 3.1 percent at Rs.2,406.45; SBI, up 2.37 percent at Rs.2,058; and DLF, up 2.54 percent at Rs.332.80.

Top losers included Hindustan Unilever, down 4.44 percent at Rs.244.10; Wipro, down 3.8 percent at Rs.647.40; Tata Motors, down 2.92 percent at Rs.694.35; and Tata Steel, down 2.83 percent at Rs.569.

IDBI records 39% jump in Q3 net profit

A jump in non-interest income helped IDBI record a 39% rise in net profit to Rs 176 crore for the third quarter of 2007-08 against Rs 127 crore for the corresponding period last year. Non-interest income for the reporting quarter rose 54% to Rs 394 crore from Rs 180 crore. While the operating profit for the reporting quarter showed a 48% growth to Rs 392 crore from Rs 203 crore. For nine months ended December 2007, the bank reported a 13% rise in net profit to Rs 484 crore from Rs 417 for the comparable period of last year. In the third quarter, total income stood at Rs 2,471 crore, up 24% from last year’s Rs 1,877 crore. Of this, interest income stood at Rs 2,077 crore, up 18% from Rs 1,697 crore over the corresponding period last year. Total expenses stood at Rs 2,079 crore, up 19% over the corresponding quarter. Of this, bank’s interest expenses were at Rs 1,864 crore, up 20% from Rs 1,485 crore last year. Bank’s deposits stood at Rs 56,889 crore 51% on a year-on-year basis (Rs 37,591 crore) while advances went up by 13% on Y-o-Y basis to Rs 68,443 crore (Rs 60,466 crore) for December 2007. During the period under review, cost of funds stood at 8.02%, up from 7.2%, and its yield on assets improved to 9.33% (7.99%). IDBI provided Rs 195 crore for bad loans, up 75% from last year’s Rs 49 crore. During the period, the bank has not made any provisions for AS-15 norms, but has said that it will make the required provisions in the last quarter of this fiscal. As per the rules, every bank has to provide for employees’ pension benefits either in one go or phase it out over five years. The share of gross non-performing assets to gross advances came down to 2.24% for the reporting quarter from last year’s 2.37% while the amount of net NPA declined to 1.19% (1.55%). Its capital adequacy ratio stood at 13.3% at the end of the reporting quarter. IDBI’s share price on the BSE Sensex fell 35 paise on Thursday and was trading at Rs 59 at the end of the day. IDBI said that its life-insurance joint venture with Fortis and Federal Bank is expected to start operations in February this year, following IRDA approval for a couple of insurance products.

Sensex closes 687

The crack on Dalal Street widened as selling pressure intensified pulling the key indices down over 3 per cent. Oil & gas and realty shares were the worst hit. Bombay Stock Exchange’s Sensex nose-dived 687.12 points or 3.49 per cent to close at 19,013.70. It touched a high of 19,715.78 and low of 18,930.42. National Stock Exchange’s Nifty plunged 3.52 per cent or 207.9 points to close at 5,705.30. It touched a high of 5908.75 and low of 5677. BSE Smallcap Index and BSE Midcap Index ended 4.55 per cent and 4.78 per cent lower respectively. Al lthe sectoral indices ended in the red. The worst hit were oil& gas and realty stocks. The BSE Oil&Gas Index fell 5.88 per cent and BSE Realty Index plummeted 5.81 per cent. DLF (down 7.37%) took the biggest knock. Reliance Industries (6.57%), NTPC (6.3%), ICICI Bank (5.78%) and HDFC Bank (4.33%) were under pressure. Ranbaxy Laboratories (up 5.10%), Grasim Industries (1.03%), Ambuja Cements (0.88%), ACC (0.48%) and Bharti Airtel (0.24%) posted gains. Across BSE, 2508 shares declined against 359 advances.

Rel Power subscribed 47 times over

The public offering of Reliance Power has been subscribed a staggering 47.2 times over, in the final stages on the fourth and final day of issue, despite the unimpressive secondary market trends. The Rs 11,700-crore IPO, the country’s biggest ever so far, has already set a few benchmarks as far as bids, number of applications and value of shares are concerned, receiving bids for 1,076.06 crore shares as against the 22.8 crore shares on offer. The previous record for the highest IPO in terms of funds raised was held by the real estate firm DLF, which had mopped up over Rs 9,000 crore, while the public issue of ADANI`s Mundra Port and SEZ Ltd had generated a demand of shares worth more than Rs 200,000 crore. Reliance Power IPO has so far attracted bids worth Rs 5,00,000 crore. The retail portion has been subscribed 9 times over, while the QIBs constituting 90% of the book have been subscribed over by a whopping 65 times. The issue, till third day, had deposited about Rs 2,45,000 crore by way of application money. Reliance ADAG officials have expressed happiness over the overwhelming response from qualified institutional buyers and retail investors despite the steep losses in the Sensex this week.

FII may keep Indian Stock Market Positive

Equities are expected to sustain their positive momentum as investors are betting on foreign funds to loosen their purse strings as a result of the US Federal Reserve’s decision last week to cut the interest rate. Though there is a feeling that prices of most frontline stocks have run ahead of fundamentals for the time being, many analysts and fund managers believe that the rush of money flow can drive prices to even higher levels. Analysts advise investors to stick to sectors that reflect India’s economic growth such as capital goods, banks, power and telecom, rather than those driven by exports such as software and pharma, at least in the near term. This is because the rupee is expected to strengthen further against the dollar in the long run, driven by strong foreign institutional inflows. On Thursday, the rupee closed beyond the 40-mark against the dollar for the first time in nine years.