Monday, April 20, 2009

Market Nudging Ahead After Touching Days Low - April 20, 2009

After a gap up opening and volatility thereon in the key benchmark index, the market is now trading range bound. There has been fresh buying by FIIs that has triggered the index pivotals led by Metal, Realty and Consumer Durables upward. Positive news for the economy is forecast of a near normal monsoon by the Indian Meteorological Department (IMD) on 17th April 2009 which will give some relief to the agriculture sector as cultivation is still dependent on rainfall rather than irrigation.

On the sectoral front, traders on-loaded positions across the sectors except FMCG sector. Auto stocks advanced on hopes lower interest rates would further spur demand for vehicles which are mainly driven by finance. Realty stocks advanced on hopes lower rates will spur housing demand as most of the deals are driven by finance. Metal stocks are back in action as steel industry experienced a smart recovery in 4QFY09 on account of a revival of demand from housing, infrastructure and automobile sectors.

The Market breadth, indicating the overall strength of the market, was strong. On BSE, out of 2,446 stocks traded so far, 1,613 shares advanced while 754 shares declined. Nearly 79 shares are unchanged.

At 1.30PM, the BSE Sensex is trading higher by 97.65 points at 11,120.74 and NSE Nifty is up by 30.40 points at 3,414.80.

The BSE Mid Cap is trading higher by 87.59 points at 3,560.20 and Small cap is trading up by 89.00 points at 4,040.56.

Major gainers from the BSE Sensex pack are Jaiprakash Associates surged 6.45% to Rs. 118.75 along with Reliance Infra advanced 6.43% to Rs.700.95, Tata Motors by 3.47% to Rs. 244.50, Reliance Communication zoomed 3.03% to Rs. 224.70, Larsen & Toubro advanced by 2.70% to Rs. 889.90, Tata Steel by 2.67% to Rs. 265.20, Sterlite Industries Ltd by 2.57% to Rs. 398.40, DLF Ltd by 1.93% to Rs. 235.00, State Bank of India Ltd by 1.66% to Rs. 1,328.00, HDFC Bank Ltd by 1.58% to Rs. 1,085.05 and Bharti Airtel by 1.50% to Rs. 688 among others.

Losers from the BSE Sensex Pack are Sun Pharma declined 2.02% to Rs. 1,181.25 along with, ITC Ltd plunged 1.57% to Rs. 184.90, NTPC Ltd by 1.32% to Rs. 190.50 and Tata Power by 0.83% to Rs. 873.00 among others.

The BSE Metal is higher by 237.51 points or 3.50% at 6,790.76. Stocks trading in green are Jindal Steel extensively by 10.14% to Rs. 1557.05, Gujarat NRE 6.98% to Rs. 27.60, Jai Corp by 5.00% to Rs. 196.35, JSW Steel by 3.97% to Rs. 329.00 and Welspun Gujarat by 3.60% to Rs. 92.05 among others.

Larsen & Toubro advanced by 2.70% to Rs. 889.90 as the company expects its order inflow to grow by 25-35% in the year ending March 2010.

Pennar Industries surged 5% to Rs. 22.05 on the news of buy back.

Cipla Ltd slipped 3.13% to Rs. 222.65 on reports the US Food and Drug Administration has found nine deviations in manufacturing process during a recent inspection of the company''s Bangalore plant.

Seamec surged 5% to Rs. 73.10 after the company said it has bagged two orders aggregating $20.59 million from Dubai-based Dulam International for deployment of a vessel.

Power Finance Corporation zoomed up 6.50% to Rs. 164.65 on strong Q4 March 2009 results.

Bajaj Finserv surged 8.31% to Rs. 215.00 on reports the company and German insurer Allianz are expected to announce the formation of a joint venture asset management company today, 20 April 2009.

Tata Consultancy Services gained 1.07% to Rs. 566.90 ahead of its Q4 March 2009 earnings later today.

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