Mkts end near day's high led by metal, tech, telecom stks

The markets closed the session on a strong note and near day's high on the back of huge buying support from metal, technology, telecom, pharma and auto stocks. News from Steel Secretary's desk and rupee depreciation against dollar have played the key role today. The Sensex has touched 17000 mark during the day. The Nifty closed above 5000. Market breadth remained positive in late trade. Midcap and small cap stocks also joined the party. But the PSU Index traded weak due to downtrend in government oil companies' shares on the news that oil companies will get 50% of revenue loss as bonds in FY08.

On the global front, Asian markets have recovered in late trade and closed in positive barring modest loss in Hang Seng and Straits Times. European markets were trading mixed at the time of writing market report.

The Sensex ended at 16,978.35, up 1.35% or 225.49 points after touching an intraday high/low of 17,014.94 and 16,626.35, respectively. The Nifty went up by 53.95 points or 1.09% to settle at 5011.75. It has hit high/low of 5026.10 and 4932.05. Market breadth was positive, about 1540 shares have advanced, 1348 shares declined, and 200 shares remained unchanged.

Top gainers were TCS, Hindalco, Infosys and Dr Reddy's Labs while losers - ONGC, ACC, Ambuja Cements, GAIL and BPCL.

Metal stocks were outperformers of the day, BSE Metal Index surged by 4.36% or 687.30 points to settle at 16,435.18 on the news from Steel secretary desk that secondary steel companies (like Uttam Galva, Bhushan Steel etc) will cut flat product price by Rs 4000 per tonne. Major steel companies will hold reduced prices for 3 months. Price cut is by major steel companies is Unconditional, they said. Secondary Producers requested government to rollback export duty. price cut is applicable only for domestic market. Major gainers were Hind Zinc (up 17%), Hindalco (+7%), Jindal Steel (+6%), Sterlite Ind (+4.7%), Sesa Goa (+4.4) and Tata Steel (+4%).

Technology stocks rallied as the Indian Rupee has depreciated by 1.2% to 41.63 per dollar during the day. BSE IT Index closed at 4,427.36, up 3.8% or 162 points led by TCS, i-flex Solutions, Infosys, HCL Tech, Tech Mahindra, MphasiS, Patni Computer, Wipro and Satyam.

Pharma stocks also shot up higher, Healthcare Index went up 1.78% to close at 4,252.54 as buying seen in Dr Reddy's Labs, Orchid Chemical, Divis Labs, Lupin, Matrix Labs and Ranbaxy Labs.

Telecom stocks like Bharti Airtel, Idea Cellular, Tata Communication and Reliance Communications witnessed buying interest.

The BSE Auto Index finished at 4,718.89, up 1.05% as Maruti Suzuki, Bharat Forge, Cummins, Hero Honda and Tata Motors were on buying radar.

Power stocks like Reliance Infra, Siemens, CESC, Torrent Power, Suzlon Energy, Tata Power and Reliance Power have charged up, due to which Power Index went up 0.66% at 3,234.52.

Capital Goods Index closed at 13,146.06, up 0.65% due to buying in BEML, Siemens, Praj Industries, Bharat Elec and Thermax.

Realty stocks including Phoenix Mills, Mahindra Life, Peninsula Land, HDIL and DLF also gained. The BSE Realty Index was up 0.39% at 7,777.65. 

The BSE Midcap Index rose 0.47% at 6,989.81. Major midcap gainers like Titan Industries, Electrosteel, Orchid Chemical, Chambal Fert, Lakshmi Energy, ICI India, Deccan Aviation and Dredging Corp were up 5-8%.

Government owned companies especially oil companies' shares lost ground. The BSE PSU Index was up 0.95% at 7,640.54. ONGC, IOC, GAIL, Chennai Petro were major losers on the news that Oil companies will get 50% of revenue loss as bonds in FY08, said government. Total bond issue to Oil companies for FY08 is at Rs 35,300 crore.

Total markets turnover for the day stood at Rs 51837 crore including Rs 12718.07 crore from NSE cash segment, Rs 32919.78 crore from NSE F&O and the balance Rs 6199.15 from BSE cash segment.

Markets Snapshot

• Markets end near day's high led by metal & tech stocks
• Sensex ends up 225 pts at 16978; Nifty ends up 54 pts at 5012
• CNX Midcap Index up 0.9%, BSE Small-cap Index up 0.5%
• Metal Index up 4.36%; base metal prices gain due to earthquake in China
• IT Index up 3.9% as rupee hits 42.665
• Hind Zinc up 17%; Zinc prices was up nearly 6.5% ; China accounts for about 39% of the global zinc production
• Index Gainers; DRL up 8%, TCS up 7.3%, Infy up 4.35%
• Metal pack: Hindalco up 6.8%, Sterlite up 5%, Tata Steel up 4%
• Index losers; ONGC down 6%, GAIL down 3.3% on concerns of oil subsidy burden
• Satyam off days high as the co loses appeal against HC judgement in upaid case
• Buzzers; Chambal Fert up 6%, Orchid Chem up 7.4%, Alok Ind up 9.4%, NIIT Tech up 5.2%, Deccan Aviation up 5.5%
• Lanco Infra up 11%; wins 8000 cr rs Vizhinjam international terminal container project in Kerala
• NSE Advance Decline ratio at 5:4
• Total market turnover at Rs 51837 cr Vs Rs 58431 cr on Tuesday

F&O Snapshot

• Nifty futures end at mild premium; add 16.5 lakh shares in OI
• Some unwiding of long positions seen in later part of the day
• Volumes in FNO remain low; Total NSE F&O turnover at Rs 32919 cr Vs Rs 38108 cr on Tuesday
• Momentum, metal stocks saw addition of long positions
• ONGC, Satyam, IOV witness addition of short posiitons

Long Positions

• IFCI up 3.6%; add 26.4 lakh shares in OI
• Ispat up 4.6%; add 19 lakh shares in OI
• Arvind up 5%; add 14 lakh shares in OI
• RPL up 3.1%; add 13 lakh shares in OI
• Tata Steel up 4.6%; add 11 lakh shares in OI
• Hindalco up 7.6%; add 8.8 lakh shares in OI
• Polaris up 5.9%; add 5.5 lakh shares in OI
• Lanco Infar up 13%; add 2.5 lakh shares in OI

Fresh Shorts

• ONGC down 5.9%; add 11.3 lakh shares in OI
• Satyam down 1%; add 6.5 lakh shares in OI
• IOC down 4.5%; add 2.8 lakh shares in OI

Short Covering

• Sterlite up 4.5%; shed 2.4 lakh shares in OI
• Cairn India up 2.16%; shed 2.8 lakh shares in OI
• TCS up 6.5%; shed 1.2 lakh shares in OI

Asia Today

• Nikkei hits 4-mth high on back of weaker yen and gains in export oriented stocks
• China up 2.7%; bounces back from yesterday low
• Companies from southwest China resumed trading after a halt due to Monday's quake
• Jakarta, Nikkei end up over 1% each

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