Friday, May 9, 2008

Bank shares down after inflation data

The market witnessed a bout of volatility after the latest data showed a surge in inflation to highest level in more than three years. Banking and oil & gas stocks edged lower. The market breadth was positive.

Inflation based on wholesale prices rose 7.61% in the 12 months to 26 April 2008, marginally higher than previous week`s annual rise of 7.5%, government data released in early afternoon trade showed.

Asian markets were trading lower. Key indices in China, Hong Kong, Japan, Singapore, South Korea and Taiwan were down by 0.60% to 2.06%.

At 12:20 IST, the 30-share BSE Sensex was down 31.87 points or 0.19% at 17,048.78. The index lost 106.03 points at day`s low of 16,974.62, hit in early trade. Sensex rose 45.3 points at the day`s high of 17,125.95, hit in early trade.

The broader based S&P CNX Nifty was down 12.85 points or 0.25% at 5068.85.

The market breadth was positive on BSE with 1275 shares advancing as compared to 1177 stocks that declined. 69 stocks remained unchanged.

The BSE Mid-Cap index rose 0.01% to 7,153.80 and BSE Small-Cap index rose 0.39% to 8,723.30.

The top Sensex gainers were, Bharti Airtel (up 3.12% at Rs 853.10), Reliance Communication (up 1.91% at Rs 553.30), Wipro (up 1.38% at Rs 504), Satyam Computer (up 1.15% at Rs 476.50), and Ranbaxy Laboratories (up 1.05% at Rs 475).

Top Sensex losers were, ACC (down 1.94% at Rs 728.50), Bharat Heavy Electricals (down 1.72% at Rs 1729.90), Housing Development Finance Corporation (down 1.57% at Rs 2679.90), Hindalco Industries (down 1.64% at Rs 177.10) and TCS (down 1.24% at Rs 932).

The BSE Bankex was down 0.41% to 8,720.01. HDFC Bank (down 2.12% at Rs 1,476.45), Centurion Bank of Punjab (down 2.01% at Rs 48.80), Axis Bank (down 0.50% at Rs 859), and State Bank of India (down 0.10% at Rs 1,728.15), slipped.

India`s largest private sector bank by assets ICICI Bank rose 0.99% to Rs 900.15.

The BSE Oil & Gas index was down 0.83% to 11,531.42. Reliance Petroleum (down 3.73% at Rs 189.50), Gail India (down 2.41% at Rs 412.40), BPCL (down 0.91% at Rs 381.05), ONGC (down 0.80% at Rs 1,020.10), Indian Oil Corporation (down 0.74% at Rs 446.45), slipped.However, HPCL rose 0.26% to Rs 246.80.

India`s largest private sector firm by market capitalisation and oil refiner Reliance Industries fell 0.65% at Rs 2647.

Among the side counters, Reliance Industrial Infrastructure (down 5% at Rs 1,392.65), Reliance Capital (down 3.24% at Rs 1,340), Nagarjuna Construction Company (down 2.86% at Rs 212.55), Chennai Petroleum (down 2.75% at Rs 370) and Indiabulls Financial Services (down 2.67% at Rs 477.90), dropped.

Side counter stocks that gained were, Max India (up 10% at Rs 163.50), Godrej Industries (up 8.70% at Rs 309.70), United Breweries Holdings (up 7.84% at Rs 755), Rajesh Exports (up .62% at Rs 102), and Videocon Industries (up 4.05% at Rs 381.10).

US markets rebounded from early lows on Thursday, 8 May 2008, led by technology stocks. Retailers` monthly sales reports also helped ease concerns about an economic downturn. The Dow Jones industrial average rose 52.43 points, or 0.41%, to 12,866.78. The Standard & Poor`s 500 index gained 5.11 points, or 0.37%, to 1,397.68, and the Nasdaq Composite index advanced 12.75 points, or 0.52%, to 2,451.24.

Back home, the market succumbed to selling pressure for the forth straight session yesterday, 8 May 2008, as weak global equities and soaring crude oil prices worried investors. The 30-share BSE Sensex fell 258.66 points or 1.49% at 17,080.65 whereas the broader based S&P CNX Nifty slipped 53.8 points or 1.05% at 5081.70 on that day.

As per provisional data, foreign funds sold shares worth a net Rs 724.49 crore yesterday, 8 May 2008. Domestic funds bought shares worth a net Rs 609.51 crore on that day.

Foreign institutional investors (FIIs) were net sellers of Rs 1,368.90 crore in the futures & options segment on Thursday, 8 May 2008. They were net sellers of index futures to the tune of Rs 1,234.72 crore and bought index options worth Rs 129.46 crore. They were net sellers of stock futures to the tune of Rs 227 crore and sold stock options worth Rs 36.63 crore.

No comments: