Sensex Down 55.34 Points On Thursday As Profit Booking Erodes Early Gains

Sensex fell 55.34 points or 0.4 to 15411.47
Nifty fell 17.55 points or 0.4% to 4637.70
Mid Cap index fell 0.2%. Small Cap fell 0.9%.
BSE 500 was down 0.4%. Sensex gainers: 12
Of 13 BSE Sectoral indices, 9 posted losses.
Advancers: 969, Decliners: 1766, Unchanged: 57
Advance/Decline ratio: 5:9

Sensex Day’s Range: 15568.74 - 15240.73
Nifty Days Range: 4679.55 - 4586.15
52-Week Range: 15,789.62 - 7697.39
52-week % change: -2.4

Sensex losers included ONGC -4%, JP Associates -4%, ACC -3.8%, BHEL -3.5%, State Bank -3.4% and Infosys -2.9%.

Sensex gainers included Hindalco +7.9%, Mahindra & Mahindra +6.2%, Sterlite Ind +5.8%, Sterlite Ind +5.8%, HDFC Bank +3.9%, Tata Steel +2.9%, NTPC +2.6% and Tata Motors +2.5%.

IT index fell 2.6% helped by Financial Tech -5.6%, Patni Computer -5.3%, Oracle Financial -4.2%, HCL Tech -3.8%, NIIT -3.7% and Rolta -3.5%.

PSU index dipped 1.8% assisted by Canara Bank -5.5%, BPCL -5.1%, STC India -4.7%, ONGC -4% and Neyveli Lignite -3.9%.

Oil & Gas index slipped 1.7% supported by BPCL -5.1%, HPCL -4.4%, ONGC -4%, Aban Offshore -3.3% and GAIL -2.9%.

Capital Goods index tanked 1.2% aided by Kirloskar Oil -4.7%, Lakshmi Machine -4.7%, Kalpataru Power -3.7%, BHEL -3.5%, Jyoti Structure -3.2% and Walchandnagar -3%.

Other sectoal losers were: Power -1.2%, Consumer Durables -1%, Realaty -.8% Teck -.0.4% and Bankex -0.3%.

Metal index advanced 3% led by JSW Steel +8.9%, Hindalco +7.9%, Sesa Goa +6.7%, Sterlite Ind +5.8% and JSL +3.8%.

Other sectoral movers were: Auto +0.8%, FMCG +0.2% and Healthcare +0.03%.

Volume shockers on the BSE:
Unitech 33.09 million shares; Ispat Ind 21.73 mln shares and RNRL 18.22 mln shares

Turnover:
Total traded turnover stood at Rs 94,928.21 crore as against Rs 1, 07,313.51 crore on Wednesday. This included Rs 23,868.34 crore from the NSE cash segment, Rs 63,464.28 crore from the NSE F&O and the balance Rs 7,595.59 crore from the BSE cash segment.

Buzzers:
Spectacle Ind +20% at Rs 60, Investment & Precision +19.9% at Rs 56.55, Henkel +19.8% at Rs 23, Tulip Telecom +11.7% at Rs 774.60, Gateway Distriparks +11% at Rs 101.75 & Mold Teck 10% at Rs 53.90.

Heavy Losers:
Gloster Jute -9.7% at Rs 157, Mount Shivalik -8.9% at Rs 48.95, Satra Properties -8.6% at Rs 21.30, Yuken India -8.5% at Rs 67.45, Hydro S & S -8.4% at Rs 38.05 and Monsanto India -8.3% at Rs 1765.15.

Cement shares under pressure:
Cement stocks were under pressure in today’s trade. ACC and Ambuja Cements slipped over 4%. Binani Cement, Heidelberg Cement, India Cements, JK Cement, JK Lakshmi Cement, Madras Cements, Mangalam Cement and Prism Cement were down 2-8%.

Telecom rings louder:
Another buzzing sector was telecom; wherein Idea gained 5.26%. It added 1.30 million mobile users in May, 2009 as against 1.11 million users in April, 2009. Among the others, Tata Communication, Tata Teleservices, MTNL and Bharti Airtel were up 2.3-9.7%. Tulip Telecom surged 12.35% and Spice Communication gained 8.7%. However, Reliance Communication fell 0.9%.

Sugar sweetening:
Sugar stocks also witnessed huge buying interest; Bajaj Hindusthan was up 8%. Balrampur Chini, Dhampur Sugar, Dwarikesh Sugar, KCP Sugar, Ponni Sugars (E), Rajshree Sugars, Sakthi Sugars, Shree Renuka, Simbhaoli Sugar, Triveni Engg, Upper Ganges Sugar and Uttam Sugar were up 3-6%.

Satyam share price surge spoil Tech Mahindra’s public offer:
Tech Mahindra won an auction in April for control of Satyam. It bought a 31 percent stake of new equity, and on Friday launches an open offer to buy up to 20 percent of shares in the open market at Rs 58 a share to take its stake to 51 percent.

But Satyam shares now stand at Rs 80.85, having risen by their daily 10 percent limit on each of the three days since the firm released financial details on Tuesday that showed it remained profitable despite the fraud. Some analysts have upgraded the share with a outperform rating after the results.

Tech Mahindra can revise the offer price till June 22, but analysts see little reason for it to do so.

If the offer is not fully subscribed, under the auction conditions Tech Mahindra can opt for a second preferential issue from Satyam to raise its stake to not more than 51 percent of the further expanded share capital.

Inflation:
India’s wholesale price index rose 0.13 percent in the 12 months to May 30, lower than previous week’s annual rise of 0.48 percent, government data showed on Thursday.

Annual inflation for the week ended April 4 was revised to 0.83 percent from 0.18 percent.

Asian Markets:
Asian markets ended mixed. Taiwan Weighted gained 1.6% and Seoul Composite rose 0.32%. However, Straits Times, Shanghai Composite and Jakarta declined 0.4-0.9%. Nikkei and Hang Seng were flat.

European Markets:
European markets were quoting: FTSE 100 was +0.4%. The CAC 40 +0.6% and the DAX was up 0.2%.

Crude:
Crude was quoting at $71.98 per barrel.

Concern:
Investors will wait for the budget, to be presented on July 3, to get more clarity on proposed reforms and how they may help or hinder the market.

Subscribe by RSS Subscribe by Email