Nifty in narrow range; NTPC, Cairn, Bharti dip

The benchmark Nifty was trading in a narrow range of 5500-5540 since the last couple of hours following quiet trade in Asian and European markets.

All global markets were closely watching crude oil price movement. Brent crude oil stabilised around USD 113 a barrel at 14 hours after falling from USD 115 a barrel and crude was hovering around USD 104-105 a barrel on the NYMEX as Libyan tensions eased for the time being.

OPEC members reassured on ample spare capacity and discussions were on for a possible emergency meet. Saudi Oil Ministry said has enough spare capacity for oil markets. 

Michael Spencer, chief economist and head of global markets research, Asia Pacific at Deutche Bank tells CNBC-TV18 that tensions in West Asia have pushed crude oil prices to elevated levels.

"We will need to see prices probably, in terms of Brent up around USD 140-USD 150 per barrel and stay there for a number of months before we get worried about a growth outlook. At this point, it just adds a little bit more to the anxiety about inflation and a concern about maybe central banks need to do a little bit more on rates. It is more of an inflation problem at this point than it is a concern about growth."

Even the truce between UPA allies DMK and Congress for seat-sharing issue in the forthcoming Tamil Nadu election came to end yesterday. DMK chief M Karunanidhi said Congress would get 63 seats and DMK would contest 121 for the forthcoming Tamil Nadu election, reports CNBC-TV18 quoting PTI. PMK and IUML part with one seat each will give Congress the 63 seats.

The 30-share BSE Sensex was trading 18,459, up 19 points and the 50-share NSE Nifty gained just 3.5 points at 5,524. On the global front, European and Asian markets were flat in trade.

Buying continued in Reliance Industries, TCS, ICICI Bank, SAIL & DLF along with auto, capital goods and cement companies' shares. However, Cairn, Infosys, NTPC, Bharti Airtel & ONGC along with FMCG, select financial and healthcare companies' shares were witnessing selling pressure.

In midcap space, Shree Global surged 19%. Mcleod Russel, Bajaj Finserv, Techno Electric and Cox & Kings gained 7-10% while Glenmark, Sadbhav Engg, Alfa Laval, Monnet Ispat and Kalpataru Power fell 2-3.5%.

In smallcap space, Entegra shot up 20%. Tata Coffee, Bhagwati Banque, Talwalkars Fitness and Bombay Burmah went up 12-17% whereas Urja Global, Greenply Inds, Shasun Pharma, Lloyds Metals and R M Mohite lost 5-10%.

About 1550 shares advanced as against 1205 shares declined on the Bombay Stock Exchange.

_PAGEBREAK_

Sensex choppy; RIL, ICICI Bank, DLF, TCS up

Equity benchmarks were extremely volatile in trade today at 12:33 hours. Heavyweight Reliance Industries was quite supportive; gained over 1.5% after DGH report. RIL gas output may touch 67 mmscmd by April and RIL will have 22 gas producing wells in April versus 18 now, says Directorate General of Hydrocarbons (DGH).

Auto, capital goods, realty and Anil Dhirubhai Ambani Group companies' shares too gained. TCS, ICICI Bank, Kotak Mahindra Bank and SAIL were trading higher as well.

However, healthcare, steel (barring SAIL) and FMCG companies' shares were witnessing selling pressure. Even Infosys, Bharti, HDFC, Cairn, ONGC, NTPC, SBI and Axis Bank were putting pressure on the markets.

The 30-share BSE Sensex was trading at 18,421, down 19 points and the 50-share NSE Nifty fell just 9 points to 5,511. However, the broader indices were marginally in green.

Currently global markets too were consolidating as they were closely watching the crude oil prices movement. Asian markets were flat to positive in trade.

London Brent crude cooled off to USD 112.3 a barrel from USD 115 a barrel in previous trade as Libya tensions eased for the time being and OPEC members reassured on ample spare capacity and discussions were on for a possible emergency meet. Saudi Oil Ministry said has enough spare capacity for oil markets.

In the midcap space, Bajaj Finserv, Shree Global, Mcleod Russel, Cox & Kings and S Kumars Nationwide 6-8% while Glenmark, Kalpataru Power, Monnet Ispat, Nava Bharat Ventures and India Infoline lost 2-4%.

In smallcap space, Entegra surged 20% as board approved equity raising upto Rs 1500 crore. Bhagwati Banquet, Tata Coffee, Midfield Inds and Talwalkars Fitness gained 9-13% whereas Urja Global, Shasun Pharma, R M Mohite, Lloyds Metals and Shree Nath Comm fell 4-10%.

Munish Varma, head of global markets at Deutsche Bank India said investors generally have been consciously optimistic on India. "There is very little debate and it is almost the consensus view that the structural growth story of India remains intact. However, people are concerned in the near-term on a couple of different trances, I know it is a well flat concern, oil prices leading to higher inflation, some concerns on the current account deficit and then some concerns regarding fiscal consolidation. But overall mood continues to be positive, optimistic but that is for the longer-term. In the short-term, there are these headwinds and there are these challenges that the market has to deal with."

_PAGEBREAK_

Nifty tests 5500 amid volatility; RIL, Infy dip

The benchmark Nifty has slipped on profit booking to test the 5500 mark amid a choppy trade at 11:19 hours. The sell-off in oil & gas, healthcare, FMCG, steel and select financial companies' shares weighed on the markets. Infosys, Wipro, Bharti Airtel and NTPC too were down.

Suresh A Mahadevan of UBS believes Indian stocks may remain under pressure in the short-term on the back of rising crude prices & FII outflows. However, he remains positive on a 12-month horizon.

Devang Mehta, vice president and head - equity sales, Anand Rathi Financial Services says, the Nifty may trade in a range around 5,200 to 5,600-5,650.

The 30-share BSE Sensex was trading at 18,324, down 115 points and the 50-share NSE Nifty fell 36 points to 5,484. However, the broader indices were marginally in green.

However, buying in SAIL, ICICI Bank, TCS, DLF, Bajaj Auto, Maruti, BHEL, Hero Honda, Hindalco, M&M and ACC has limited the downtrend.

Tata Coffee, Bajaj Finserv, SBI, Tata Steel, VIP Industries, ICICI Bank and Reliance Industries were the most active shares on exchanges.

In midcap space, Mcleod Russel, Bajaj Finserv, S Kumars Nationwide, Shree Global and Cox & Kings gained 6-8% while Glenmark Pharma, Kalpataru Power, CRISIL, IBN18 Broadcast and Monnet Ispat fell 2-4%.

In smallcap space, Entegra shot up 20% as board approved equity raising upto Rs 1500 crore. Bhagwati Banquet, Tata Coffee, Jayshree Tea and Midfield Inds rallied 8-11%. However, R M Mohite, Shree Nath Comm, Lloyds Metals, Splash Media and Lakshmi Energy lost 3.5-5%.

About 1397 shares advanced as against 1063 shares declined on the Bombay Stock Exchange.

Sensex consolidates; ADAG, infra, auto gain

Indian equity benchmarks were consolidating at previous closing values at 10:23 hours, as it has factored in events like patch up between Congress & UPA allies DMK, and fall in crude oil prices in international markets.

Gaurav Doshi of Morgan Stanley Private Wealth India believes a breakout is on cards. "Lot of domestic concerns have been taken care of. Global cues, especially crude oil, have started to move in our favour. Critically, if the protest in Saudi Arabia planned for Friday goes off peacefully, Brent could slip below USD 109 per barrel, which would bring a lot of joy into Indian equity markets. So crude is going to be the critical factor," he pointed out.

London Brent crude was trading at USD 112.53 a barrel, down USD 0.53/bbl and NYMEX crude oil fell 0.7% to USD 104.3 a barrel.

Going with market consensus, Doshi feels 5,600-5,650 seems to be the resistance levels. However, he adds that if Brent goes below USD 109 per barrel, it is most likely that we will take the 5,600-5,650 level out.

The 30-share BSE Sensex was trading at 18,475, up 36 points and the 50-share NSE Nifty gained just 9 points at 5,530. Breadth was positive - about 847 shares advanced as against 327 shares declined on National Stock Exchange.

The fight between Congress & UPA allies DMK over seat-sharing issue for the forthcoming election in Tamil Nadu came to an end yesterday. DMK chief M Karunanidhi said Congress would get 63 seats and DMK would contest 121 for the forthcoming Tamil Nadu election, reports CNBC-TV18 quoting PTI. PMK and IUML part with one seat each will give Congress the 63 seats.

Financial, Anil Dhirubhai Ambani group (ADAG), financial, infrastructure and auto companies' shares were quite supportive. TCS, SAIL, ONGC, DLF and ITC too were gainers.

However, Reliance Industries, Cairn, Infosys, Wipro and NTPC were witnessing selling pressure, which limited the gains. Healthcare and select metal companies' shares were also on sellers' radar.

In midcap space, S Kumars Nationwide, Bajaj Finserv, Mcleod Russel, Cox & Kings and Shree Global rallied 6-8% while Glenmark, Sadbhav Engg, Monnet Ispat, Kalpataru Power and Nava Bharat Ventures fell 2-4%.

In smallcap space, Entegra surged 20%. Tata Coffee, EIH Associated Hotel, Navin Fluorine and Midfield Inds gained 7-10% whereas R M Mohite, Hinduja Foundries, AGC Networks, Lloyds Metals and Splash Media lost 4-5%.

Nifty gains on cooling off oil, political certainty

The benchmark Nifty started the trade on a positive note following uptrend in US markets yesterday, in reaction to cooling off oil prices in international markets post inventory report. Patch up between UPA allies DMK and Congress too supported the markets.

London Brent crude was trading at USD 112.49 a barrel versus USD 115 a barrel yesterday and crude oil was at USD 104.5 a barrel on NYMEX post inventory report. Kuwait