Market Closing Session - 5th Dec

After remaining range bound in afternoon trade, the market firmed up in late trade as European markets, which opened after Indian markets, started on a firm note. ICICI bank surged in late trade. Reliance Industries firmed up. Banking, oil & gas and realty stocks were in demand. IT stocks edged lower.

Buying continued in small-cap and mid-cap shares, which have been rising since the past few days. Market breadth was strong. 23 out of 30 stocks from the Sensex pack were in green. Asian markets, which opened before Indian markets, were in green.

The 30-share BSE Sensex rose 208.57 points or 1.07% to 19,738.07. Sensex hit a high of 19,790.92 in late trade. At day's high, Sensex had gained 261.42 points. Sensex hit a low of 19,560.68 in mid-morning trade. At day's low, Sensex had gained 31.18 points for the day.

The broader based S&P CNX Nifty gained 81.65 points or 1.39% to 5940, a record closing high. The previous record closing high of Nifty was 5,937.90 on 14 November 2007. Nifty had struck all-time high of 6011.95 on 1 November 2007. Sensex had hit all-time high of 20238.16 on 30 October 2007.

The BSE Mid-Cap index was up 1.67% to 9,052.83. The BSE Small-Cap index was up 2.88% to 11,271.96. Both the indices outperformed the Sensex.

Market breadth was strong. On BSE, 2164 stocks advanced, 687 stocks declined and 40 stocks remained unchanged.

BSE clocked a turnover of Rs 9340 crore compared to Tuesday (4 December 2007)'s Rs 9163 crore.

Nifty December 2007 futures were at 5980, a premium of 40 points as compared to spot closing of 5940.

NSE’s futures & options (F&O) segment turnover was Rs 57522.12 crore, which was higher than Rs 56330.05 crore on Tuesday, 4 December 2007

India’s largest private sector firm and oil refiner Reliance Industries rose 1.36% to Rs 2902.80, off day’s low of Rs 2863.

The BSE Bankex rose 2.07% to 11,020.60. It outperformed the Sensex. India’s largest private sector bank by assets ICICI Bank rose 1.86% to Rs 1161.65, off day’s low of Rs 1131.

Union Bank of India soared 5.32% to Rs 192.95, Canara Bank jumped 5.21% to Rs 290.55, Karnataka Bank gained 4.87% to Rs 222, State Bank of India rose 2.85% to Rs 2325 and HDFC Bank rose 1.61% to Rs 1730.

The BSE Capital Goods Index rose 1.13% to 20,403.26. It outperformed the Sensex. Alstom Projects gained 4.69% to Rs 1082.10, BEML gained 2.39% to Rs 1792.05, Larsen & Toubro rose 1.90% to Rs 4309.65 and Bharat Heavy Electricals rose 0.25% to Rs 2822.25.

The BSE Metal Index rose 0.93% to 19,044.22. It underperformed the Sensex. Jindal Saw jumped 5.61% to Rs 956.70, Hindalco Industries gained 2.81% to Rs 199.20, National Aluminium Company (Nalco) rose 2.39% to Rs 377.45, Steel Authority of India (Sail) rose 0.93% to Rs 287.55. Sterlite Industries fell 0.20% to Rs 1064.50 and Tata Steel declined 0.87% to Rs 865.35.

The BSE Consumer Durables index rose 2.36% to 6,226.46. It outperformed the Sensex. Blue Star spurted 4.85% to Rs 477.45, Videocon Industries gained 3.94% to Rs 613.25, Lloyd Electric & Engineering gained 3.44% to Rs 183.65 and Titan Industries rose 1.35% to Rs 1590.10.

The BSE Oil & Gas index rose 2.28% to 12,939.99. It outperformed the Sensex. HPCL gained 6.54% to Rs 310.45, Indian Oil Corporation gained 2.82% to Rs 616.20, and BPCL rose 2.64% to Rs 430.10.

The state-run gas transmission and distribution firm GAIL (India) moved up 9.56% to Rs 481.85. The company and Reliance Industries on Tuesday (4 December 2007) signed a memorandum of understanding (MoU) for joint co-operation in petrochemicals. As per the MoU, both companies will explore opportunities for setting up petrochemical complexes outside of India in feedstock rich countries.

India’s top state run oil explorer in terms of market capitalisation ONGC rose 4.29% to Rs 1206.30 on reports that the overseas arm of the company and the Hinduja group were in talks to form a partnership with Switzerland-registered NICO, a unit of National Iranian Oil Company.

The BSE Healthcare index rose 2.40% to 3,950.73. It outperformed the Sensex. Ranbaxy Laboratories gained 1.34% to Rs 393, Divi’s Lab gained 8.74% to Rs 1790.20, Pfizer soared 4.65% to Rs 708.45, Glenmark Pharmaceuticals jumped 4.69% to Rs 484.50, and Cipla rose 2.46% to Rs 189.35.

The BSE IT index fell 0.40% to 4,232.03. It underperformed the Sensex. India's second largest software exporter by sales Infosys Technologies fell 0.70% to Rs 1603.25.

Satyam Computers gave away 0.49% to Rs 438.75. However, TCS gained 0.20% to Rs 1031.60. Wipro gained 0.45% to Rs 499.

The BSE Auto index rose 0.94% to 5,691.81. It underperformed the Sensex. Hindustan Motors surged 17.27% to Rs 50.25, Apollo Tyres soared 7.25% to Rs 44.90, Escorts gained 7.47% to Rs 167.55, Tata Motors spurted 3.95% to Rs 771.75, Maruti Suzuki gained 0.39% to Rs 1032.15 and Mahindra & Mahindra rose 0.24% to Rs 773.70.

North India based cement firm Shree Digvijay Cement Company fell 3.39% to Rs 38.50, off day’s high of Rs 42.70 after Grasim Industries' board of directors approved sale of its 53.63% stake in the company to Portuguese cement maker Cimpor for Rs 322 crore.

Auto ancillaries firm Autoline Industries jumped 6.39% to Rs 172.20 after the company said it has acquired the manufacturing operations of US-based Dura Automotive Systems for $900,000.

Aluminium foil containers and rolls maker Parekh Aluminex rose 3.27% to Rs 284. A clutch of institutional investors from the Middle East — Oman Pension Fund, Emirates Industrial Development, Gulfar, Tawoos and four other institutions — are reportedly picking up an 18% stake in the company.

Nitin Fire Protection Industries (NFPIL), a fire protection and security solutions company, spurted 8.75% to Rs 551.90. The company is reportedly close to acquiring around 40% stake in a UAE-based fire protection company — New Age Company. The deal may be worth over Rs 150 crore, the reports added.

Textiles and apparels firm Alok Industries jumped 1.80% to Rs 82.20. The company is reportedly close to diluting 20% stake in its realty venture — Alok Infrastructure — to private-equity players. Reports sugget that Ernst & Young is advising Alok and the company would seal the private-equity deal by the end of current fiscal.

Infrastructure development firm GMR Infrastructure gained 1.62% to Rs 263.05. The GMR Group is reportedly planning to bid for more airports in Eastern Europe. It is actively considering a bid for the Prague airport project, the report added.

Pharmaceuticals firm Matrix Laboratories gained 0.66% to Rs 220.55 after the company said it has received a tentative approval from US Food and Drug Administration for its abbreviated new drug application or for tenofovir disoproxil fumarate tablets.

Engineering firm Lanxess ABS gained 1.95% to Rs 199 on reports it plans to invest Rs 800 crore to set up a greenfield chemical facility in Gujarat.

Ispat Industries clocked highest turnover of Rs 569 crore on BSE. Essar Oil (Rs 259.12 crore), Videocon Industries (Rs 244.60 crore), Reliance Natural Resources (Rs 214.70 crore), and Mundra Port & Special Economic Zone (Rs 210.89 crore), were the other turnover toppers on BSE in that order.

Ispat Industries registered highest volumes of 8.9 crore shares on BSE. Tata Teleservices (3.72 crore shares), Wire & Wireless India (1.64 crore shares), Hindustan Motors (1.47 crore shares) and Reliance Natural Resources (1.20 crore shares), were the other volume toppers on BSE in that order.

In Europe, key indices in UK, France and Germany were up by between 0.79% to 1.10%.

Asian markets were in positive zone today, 5 December 2007. Key indices in China, Japan, South Korea, Hong Kong, Singapore and Taiwan were up by between 0.30% to 2.58%.

US markets ended lower for second straight day yesterday, 4 December 2007. The Dow Jones industrial average slipped 65.8 points to 13248.73 and Nasdaq Composite index slipped 17.3 points at 2619.83.

Oil was steady on Wednesday, 5 December 2007, as the market kept its eyes on Organization of the Petroleum Exporting Countries (OPEC's) meeting in Abu Dhabi later in the day and the organisation's big Gulf producers left the door open for a possible output increase. US crude inched up 8 cents to $88.40 a barrel. London Brent crude rose 17 cents to $89.70 a barrel.

Source - Capital Markets