Market ends with hefty gains; Bankex up nearly 4%

Markets closed with hefty gains. It showed no signs of weakness during the day and also ignored the higher inflation number. Inflation for the week-ended April 19 is at 7.57% versus 7.33%, at a 42-month high. On the sectoral front, the BSE bankex has outperformed the other sectoral indices; it was up nearly 4%.

The Sensex was up 312.81 points or 1.81% at 17600.12, and the Nifty up 62.30 points or 1.21% at 5228.20.

About 1480 shares have advanced, 1393 shares declined, and 209 shares are unchanged.

The BSE bankex was up 322.50 points or 3.66% at 9,142.18. Stocks like ICICI Bank, Federal Bank, Bank of India, Kotak Mahindra and Karnataka Bank surged.

The BSE auto index was up 135.15 points or 2.86% at 4,861.15. Stocks like Escorts, Maruti Suzuki, Punj Tractors, TVS Motor and Ashok Leyland flared up.

The BSE realty index was up 213.20 points or 2.51% at 8,718.69. Stocks like HDIL, Ansal Properties, Indiabulls Real, Unitech and DLF moved up.

The BSE IT index was up 96.65 points or 2.27% at 4,358.58. Stocks like Financial Tech,Tech Mahindra,HCL Tech, Wipro and Satyam spurted up.

The BSE capital good index was up 313.62 points or 2.25% at 14,244.87. Stocks like L&T, Rel Ind Infra, Greaves Cotton, Praj Industries and Carborundum closed in green.

The BSE oil & gas index was up 209.58 points or 1.82% at 11,715.37. Stocks like IOC, Petronet LNG, HPCL, Reliance, and Essar Oil ended positive.

The BSE FMCG index was up 13.07 points or 0.53% at 2,474.45. Stocks like Colgate, Godrej Consumer,Marico,Tata Tea, and United Spirits advanced.

The NSE cash turnover was at Rs 15284.57 crore and the NSE F&O turnover was at Rs 36304.41crore. The BSE cash turnover was Rs 6582.12 crore. Total market wide turnover was at Rs 58171.1 crore.

Markets Snapshot

Markets end strong shrugging off infltaion data which came at 42-mth high

Inflation for week wnded April 19 at 7.57% Vs 7.33%; CNBC-TV18 Poll Saw 7.27%

Sensex ends up 313 pts at 17600; Nifty up 62.3 pts at 5228.2

CNX Midcap Index up 1.2%, BSE Small-cap Index up 0.55%

All BSE Sectoral indices end in the green barirng metal index

Index gainers; REL up 6.7%, L&T up 4.4%, HCL Tech up 3%

BSE Bank Index up 3.6%; ICICI Bank up 6.5%, SBI up 2.7% on better than expected results

Auto stock gain after release of monthly auto numbers; BSE Auto Index up 2.8%; MUL up 6.2%, Tata Mot up 4%, M&M up 3.14%

BSE Metal Index down 1.5%; Sterlite down 4.2%, Hindalco down 4%, Tata Steel down 2.5%

HDIL up nearly 10% as the co gets govt nod for airport slum rehabilitation project

Reliance Power: acquires 3 coal mines in South Sumatra, Indonesia

Buzzers: IndusInd Bank up 13.2%, Graphite India up 20%, Mt Everest Mineral up 10%, SREI Infra up 16.2%

NSE Advance Declian ratio at 7:5

Total market turnover at Rs 58171 cr Vs Rs 57266 cr on Wednesday

Nifty futures turnover at Rs 36304 cr Vs Rs 33950 cr on Wednesday

FNO SNAPSHOT

Nifty shuts above 5200 mark for the first time since Feb 29th

Nifty Adds 15 lakh shares in OI; May premium shoots up over 20 points

Nifty 5000 Put Adds 6.3 shares in OI; 5400 Call adds 6.9 lakh shares

Nifty 5200 Call Adds 4.7 lakh sharse; Nifty 5200 Put Adds 4.5 lakh shares in OI

Banks, Power see strong OI buildup with a long bias

Metals see short buildup

Reliance Power sees significant June Buildup; rollover at 32%

Fresh Longs:

Momentum Stocks: IFCI, RNRL

Power: NTPC, R Power, REL

Banks: DCB, Indus Ind Bank, SBI

Mid Caps: Petronet LNG, Arvind Mills, Escorts, Finan Tech

Realty: HDIL, Ansal Prop

Fresh Shorts:

Metals:Hindalco, Tata Steel, SAIL

Shree Renuka

Short Covering:

Kotak Mah Bank, JP Ass, REl Cap, MTNL

Long Unwinding:

REC, TTML, Lanco Infratech, Aptech

ASIA TODAY

Straits Times up 2.8%, Nikkei up 2%, Hang Seng up 1.9%, Jakarta up 1.7%

Shanghai market is closed on account of Labor Day (gained 4.8% yesterday)

Financials in Sigapore such as DBS Group & United Overseas Bank led

Taiwan Flows

Taiwan: FIIs net buy equities worth $ 36.7 m in today’s trade (Prov)

FIIs sold equities worth $ 903 m during Apr month

Data to Watch

Nonfarm payroll employment

Result: American Tower Corp, The Washington Post Company

Markets This Week

Sensex Up 2.8%, Nifty Up 2.2%

CNX Midcap Index Up 3.5%; BSE Small Cap Index Up 1.5%

Nifty Gainers

HCL Tech Up 14%, REL Up 12%, Satyam Up 11%, M&M Up 9%

Nifty Losers

Grasim, Siemens Down Over 10% Each,~Cipla Down 5%, ACC Down 4%

BSe IT Index Up 7%; Satyam Up 11%,~Wipro Up 8%, Infy, TCS Up 6% Each

BSE Realty Index Up 7%; Unitech Up~10%, DLF Up 8%, HDIL Up 17%

BSE Auto Index Up 5.6%; Tata Mot Up~8%, Maruti Up 7%, Hero Honda Up 5%

BSE Bank Index Up 3.3.%; SBI Up~4%, OBC Up 6%, HDFC Bank Up 2.5%

Mkts surge; Bank, auto, power up over 2%

Markets continue to maintain its upward momentum. Buying interest is seen in bank, auto, power; they are up over 2%. Power, capital goods, IT, oil & gas and reality stocks are also trading with good gain. However metal index is down 1.5%. Inflation for week ended April 19 is at 7.57% versus 7.33%, at a 42-month high.

At 13.50 pm, the Sensex is up 231.09 points or 1.34% at 17518.40, and the Nifty up 50.90 points or 0.99% at 5216.80.

About 1581 shares have advanced, 1287 shares declined, and 214 shares are unchanged.

Maruti Suzuki, Reliance Infra, Jaiprakash Asso and ICICI Bank were among the top gainers on the indices.

However, the top losers on the bourses are Hindalco, Reliance Comm, Tata Steel, Sterlite Ind and Hindalco.

Market flares; Inflation at 42-mth high

Markets continue to trade higher and show no signs of weakness. Even inflation numbers have come out higher than market expectation. Inflation for week ended April 19 is at 7.57% versus 7.33%, at a 42-month high. The BSE bank, auto, IT and power indices are witnessing buying interest and are up over 2% each.

At 12.02 hrs IST, the Sensex is up 228.20 points or 1.32% at 17515.51, and the Nifty up 52.70 points or 1.02% at 5218.60.

About 1669 shares have advanced, 1186 shares declined, and 227 shares are unchanged.

Reliance Infra, Maruti Suzuki, Jaiprakash Asso and M&M are top gainers on the bourses.

However, top losers on the bourses are Hindalco, Reliance Comm, Tata Steel and Sterlite Ind.

Mkts off day’s high; Bank, IT, power, auto surge

Markets are trading in green but off day’s high. The BSE banking index has outperformed the other sectoral indices; it was up over 2% at 9029.

At 10.42 am, the Sensex is up 195.45 points or 1.13% at 17482.76, and the Nifty up 47.80 points or 0.93% at 5213.70.

About 1816 shares have advanced, 1044 shares declined, and 222 shares are unchanged.

Top gainers on the Sensex are Reliance Infra, Wipro and Jaiprakash Asso.

Top losers on the Sensex are Hindalco, Reliance Comm and HDFC.

The BSE IT, power, auto and realty indices are up over 1%.

The most active shares on BSE Reliance Infra, Titagarh Wagons and Rel Capital.

Market opens higher; Nifty above 5200

The markets have opened with smart gains mirrior global peers. Nifty breached 5200 mark. The BSE bankex, realty, power, IT stocks witnessing buying interest.

At 9.56 am, the Sensex is up 302 points at 17590, and the Nifty is up 85 points at 5259.

ICICI Bank, Satyam, DLF, Unitech, Tata Motors are among major gainers.

Fertiliser stocks like Chambal Fertilisers and Nagarjuna Fertilisers are trading with over 3% gain.

Asian Markets:

Asian markets were trading higher. Japan’s Nikkei was up 1.80% or 247.54 points at 14,014.40. Hong Kong’s Hang Seng surged 2.15% or 554.65 points at 26,310. Taiwan’s Taiwan Weighted advanced .072% or 64.42 points at 8,984.34. Singapore’s Straits Times rose 2.43% or 76.34 points at 3,224.13.South Korea’s Seoul Composite gained 1.11% or 20.33 points at 1,845.80.

US Markets:

Fed’s 25 basis point cut doesn’t keep Wall Street jittery for too long. Stocks on yesterday rise to the highest level since January after a rally in dollar and strong technology earnings. The Dow gained 189.87 points, or 1.48%, to 13,010. The Standard & Poor’s 500 index advanced 23.75 points, or 1.71%, to 1,409.34. The Nasdaq composite index surged 67.91 points, or 2.81%, to 2,480.71.

Market cues:
Inflation data to be released today
DJ poll indicates inflation at 7.42% for week ended April 19
FIIs net buy $85.6 mn in equity on Apr 29
MFs net buy Rs 381.5 cr in equity on Apr 29
NSE F&O Open Int up by Rs 2318 crore at Rs 63175 crore

F&O cues:
Futures Open Int up by Rs 420 crore and Options Open Int up by Rs 1,898 crore
Nifty Futures add 4 lakh shares in OI, at 24-pt premium
Nifty Open Interest PCR at 1.47 Vs 1.36
Nifty Puts add 25 lakh shares in Open Interest
Nifty Calls add 7 lakh shares in Open Interest
Nifty 5200 Put adds 5.4 lakh shares in Open Interest
Nifty 5000 Put adds 4.3 lakh shares in Open Interest
Nifty 5100 Put adds 4 lakh shares in Open Interest
Nifty 5200 Call adds 2.4 lakh shares in Open Interest
Nifty 5300 Call adds 2.3 lakh shares in Open Interest

Mkts may see 5-10% upside from current levels: Advani OTC

Pashupati Advani of Advani OTC Dealers said there are both bullish and bearish investors in the markets, as seen by low volumes. He told CNBC-TV18 that the US Fed move, gains in China and other markets are adding to the momentum. He expects to see an upside of around 5-10% from current levels.
Advani is bullish from the medium-term and sees more upside than downside. According to him, the interest rate sensitives will not fare very well and overall results are good.

Advani is concerned about the measures taken to curb high commodity prices. He further observed that markets will continue to see flows as long as the primary market does not absorb it. He hopes to see the Sensex go up to 19,000 before it goes back to 16,000.

State Bank of India Profit Beats Analysts' Estimates

State Bank of India,,the nation's biggest by assets, reported a 26 percent increase in fourth- quarter profit, beating analysts' estimates, as record economic growth spurred demand for loans.

Net income climbed to 18.8 billion rupees ($462 million) in the three months ended March 31 from 14.9 billion rupees a year earlier, the state-owned bank said. That beat the 17 billion rupee median estimate of five analysts surveyed by Bloomberg.

State Bank completed its first share sale in a decade in March to boost lending to its 130 million customers, equivalent to the population of Japan. Finance Minister Palaniappan Chidambaram said yesterday interest rates are unlikely to climb from a six-year high, easing concerns that loan growth will slow.

``Banks in India will continue to be a good bet as the economy grows,'' said Mihir Vora, who manages $800 million as the head of equities at HSBC Asset Management (India) Pvt. in Mumbai. ``Banks with good asset-liability balance and credit control will outperform.''

Economic growth that's averaged 8.7 percent annually for four years has spurred companies and individuals to borrow from lenders led by State Bank, which controls more than a fifth of India's banking assets. Chairman Om Prakash Bhatt is required to offer credit to high-risk groups including farmers and artisans and operate branches in less profitable towns and villages.

Fourth-Best Performer

Shares rose 2.7 percent to 1,822.4 rupees in Mumbai trading. The stock was the fourth-best performer on India's equity benchmark Sensitive Index in the past 12 months.

Loans and deposits increased 23.4 percent in the year ended March 31, Bhatt said today. The chairman has previously forecast loan growth to slow this fiscal year as higher interest rates and inflation lead to a reduction in consumer spending.

Credit growth in India slowed to 21.6 percent in the 12 months ended March, from 28.1 percent a year earlier, according to data from the central bank, as consumers deferred purchases of automobiles and homes.

State Bank expects to receive government approval to merge with its seven units this month and plans to complete the consolidation by March, Bhatt said. The bank had already started the process of combining with the State Bank of Saurashtra to grow assets and gain more branches.

``If State of Saurashtra goes through, we will decide on the sequence and pace of remaining associate banks,'' Bhatt said. ``We have a sense that before March 2009, we will be able to merge all of them.''

Subprime Losses

State Bank's focus on extending banking services across the world's second-most populous nation has limited its exposure to the collapse in the U.S. subprime market.

The bank set aside about $10 million to cover mark-to-market losses in the year related to the meltdown in the credit markets, it said today.

More than 100 of the world's biggest banks and securities firms have reported $312 billion in asset writedowns and credit losses since the beginning of 2007, including reserves set aside for bad loans.

The lender needs to bridge a gulf in assets with overseas competitors such as Industrial & Commercial Bank of China Ltd. as regulators consider letting foreign financial-services firms take control of India's private banks.

State Bank's market value of $28 billion is less than a tenth of Industrial & Commercial Bank of China Ltd.'s $306 billion. ICBC is the world's biggest by market value.

To help achieve this, State Bank plans to get about 25 percent of profit from overseas within five years, up from about 11 percent now, the bank said.

Sensex at highest close in 2 months

The Bombay Stock Exchange benchmark Sensex on Friday gained 312 points on buying mainly in heavyweight stocks led by bank, auto and realty sectors.

The Sensex, which lost nearly 91.15 points on Wednesday, bounced back to close higher by 312.81 points at 17,600.12, after touching the day's high of 17,621.24 and low of 17,445.93 points.

The market remained closed on Thursday.

The stock market barometer rose 11 per cent in April, its first monthly gain in 2008, paring the decline of 13.6 per cent from January till date.

The wide-based National Stock Exchange index Nifty rose 62.30 points at 5,228.20. It surged close to 5,300 points level by reaching 5,298.85 during the day and experienced a low of 5,197.60 points.

Banking stocks were the best performers as the sectoral index rose the most by 322.50 points at 9,142.18 as Sensex-related ICICI Bank shot up by Rs 56.10 at Rs 1,935.50.

State Bank of India rose by Rs 45.80 at Rs 1,822.15. Auto index rose by 135.15 points at 4,861.15 after the index-linked Maruti Suzuki rose on better sales result in April.

Realty sector index surged by 213.20 points at 8,718.69 as heavy-weight DLF Ltd rose after the country's biggest developer reported fourth-quarter profit gains.

However, metal index fell by 251.23 points at 15,863.17 as stocks of leading metal Companies like Tata Steel, Sterlite, National Alluminium, Jindal Saw, Hindustan Zinc and Bhushan Steel fell sharply

Aban Offshore

Aban Offshore has a target price of Rs 4200, it has resistance at Rs 3424-3604 and support at Rs 3332-3175, says Ashu Kakkar, technical analyst, on NDTV Profit. The stock is currently trading at Rs 3362, down 0.63% on the BSE. Citi has a target price of Rs 4810 for the stock and Macquire has a target price of Rs 5145

Market flares; Inflation at 42-month high

Markets continue to trade higher and show no signs of weakness. Even inflation numbers have come out higher than market expectation. Inflation for week ended April 19 is at 7.57% versus 7.33%, at a 42-month high. The BSE bank, auto, IT and power indices are witnessing buying interest and are up over 2% each.

At 12.02 hrs IST, the Sensex is up 228.20 points or 1.32% at 17515.51, and the Nifty up 52.70 points or 1.02% at 5218.60.

About 1669 shares have advanced, 1186 shares declined, and 227 shares are unchanged.

Reliance Infra, Maruti Suzuki, Jaiprakash Asso and M&M are top gainers on the bourses.

However, top losers on the bourses are Hindalco, Reliance Comm, Tata Steel and Sterlite Ind.

Source : moneycontrol.com

Reliance Communications & Reliance Power

Reliance Communications is a clear buy at current levels for the long term, says Sharmila Joshi of Prabhudas Lilladher, on CNBC TV18. The stock is currently trading at Rs 563, down 2.56% on the BSE.

Reliance Power has acquired 3 coal mines in Indonesia with a total capacity of 2 billion tonnes, reports NDTV Profit. The company plans to invest $1 billion in mine exploration and logistics. The stock is currently trading at Rs 401, up 1.61% on the BSE