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Sensex up 1.5 pct, Tech Mahindra jumps after winning Satyam bid
A rally in global markets today saw the BSE Sensex swing from being briefly negative in early deals to over 11,000 in the last hour of trade, before closing 1.5 percent up at 10,967.
The big news of the day was Tech Mahindra winning the bid for fraud-hit Satyam Computer.
Tech Mahindra will pay $351 million for 31 percent preferential allotment of new shares in the firm.
Shares in Satyam closed 3.6 percent higher at 48.85 rupees. It was the top traded stock on BSE with volumes of over 56 million shares.
Tech Mahindra jumped 12.3 percent, whereas Larsen & Toubro, which has an about 12 pct stake in Satyam, closed 0.5 percent lower.
The other top Sensex stocks included Tata Motors (up 12 percent) and Tata Steel (8.3 percent).
The BSE Metal Index was the best performer amongst sectors, ending 5.5 pct up followed by the Banking index which ended 5 percent higher.
Sensex gains 1.8 pct, Satyam surges
The stock market traded firm today and extended gains by 1.8 percent after an extended weekend.
The Sensex closed 186 points higher at 10,534.8, as strong Asian markets helped boost investor sentiments.
HDFC, L&T and Reliance Communications led the benchmark. Mahindra & Mahindra was the top index gainer, closing 14.2 percent higher.
Among sectors, the BSE Consumer Durables Index led with gains of 5.8 percent, followed by the capital goods index which was up 3.75 percent. All indices, barring the FMCG index, closed in positive territory.
It was a good day for Satyam shareholders, as the scrip surged over 13 percent to close at 45.15 rupees. It was also the top traded stock on the BSE with volumes of over 28 million shares.
There seems to be an improvement in market sentiment – it was the fourth straight session of gains for the benchmark. Do you think the rally is sustainable? Is 11,000 achievable this week?
Sensex continues with its productive run.It is now up 2,909 points(29.09%)since 9 March.It is +199 points(1.92%) over previous 90 days but -1267 points(10.73%) over previous 180 days.It has risen in 14 of last 17 sessions(82.35%).
P/E ratio is 14.78.It appears on higher side and not in line with expectation of lower profits in 2008-2009.RSI is now standing at 71.19.
The market has reached an overbought zone.A bit of correction is now due.
Sensex bounces back, closes 1.47 pct higher
After a sharp drop yesterday, the Sensex managed to climb 1.47 percent, helped by strong Asian markets.
The benchmark also managed to post its first quarterly rise since December 2007.
The rise was led by ITC (up 3.3 percent), SBI (up 4.3 percent) and Infosys (up 2 percent).
The top traded stocks on BSE included Unitech, GVK Power, Reliance Natural Resources and ICICI Bank.
The sectoral picture was bright as all indices closed in positive territory. The capital goods index ended 3.2 percent higher, the healthcare and realty indices closed 2.9 percent higher.
The financial year has ended on a positive note. What’s your Sensex target for the weekend?
Can we now say the correction is over with mondays decline ??
ICICI bank is very unclear with its investments overseas..I think we can anytime expect a buy back offer from ICICI.IF that happens it should easliy reach 500..
Sensex ends 4.8 pct lower; below 10,000
The Sensex started the week on a negative note, closing 4.8 percent lower after a 12 percent rally last week.
The benchmark index ended at 9,568, having struggled throughout trade as investors booked profits. It had dropped over 5 percent just before close.
The fall was led by financial stocks such as ICICI Bank, HDFC and SBI.
Top among the Sensex losers were ICICI Bank, Tata Steel and JP Associates, all dropping over 12 percent.
Most sectoral indices succumbed to selling pressure and ended in negative territory. The banking index ended down 8.5 percent, while the metal and realty indices slipped over 7 percent each.
Satyam Computer slipped over 8 percent and was one of the top traded counters on the BSE.
Most stocks floundered as they tried to sustain the momentum gained in the previous sessions. Do you think we are again headed towards the 8,000 levels in weeks to come?
Sensex sheds 0.4 pct, but gains 2.4 pct on week
The Sensex ended 35 points lower on Friday on profit-booking ahead of the weekend.
The top benchmark losers included Tata Motors, which slipped 6.2 percent, ICICI Bank, which was down 4.5 percent, and L&T which lost 4 percent.
The BSE Realty Index slipped over 4 percent. Shares in Akruti City fell 27.8 percent and DLF ended 1.3 percent lower.
The Capital Goods Index (down 2.5 percent) and the Bankex (down 1.95 percent) were amongst the other sectoral losers.
The BSE Metal index however bucked the trend and rose 1.6 percent
Satyam slipped 1 percent in trade to close at 43.9 rupees. It was the third most traded counter on the BSE.
Despite closing lower today, the Sensex was up 2.4 pct on week. What’s your take on the Sensex target for next week?
Realty sector is surviving on ventilator system.The players are heavily leveraged,and do not have adequate cash=flows for servicing respective debts.Major realtors have have been forced by an adverse market sentiment to bring down prices,and have lately managed to get much needed sales. That dream margin of 50% to 60% have come down to some marginal costing. But that is unlikely to help unless companies are able to monetise their land banks.Prices paid for acquiring land post-December 2005 have actually halved in their valuations.There is an unadmitted asset- bubble in balance sheets.Moreover execution capability of players is a challenge.
The survival depends on how quickly companies are able to effect monetisation.A period post-June 2009 may see a kind of regrouping of existing players or new ownerships unfolding.
In light of an extremely unfavourable sector scenario,it is inexplicable how Akruti City had managed to rise from Rs.881(3 March) to Rs.2,227(19 March).
This company does own some quality land bank in jv with another player.The other partner was seen raising funds lately,and initial indication pointed to a possible monetisation.
Lastly, was there a price rigging?
Sensex ends flat, inflation heads towards zero
The Sensex closed 25 points up on Thursday after paring early gains, as worries about the economy and political uncertainty weighed on investor confidence.
The benchmark gained 1.2 percent in early trade, but lost ground on profit taking and closed at 9,001.
Top Sensex gainers included Sun Pharma, HDFC and Sterlite Industries, which rose in the range of 2.3 to 4.1 percent.
The BSE Realty Index was the best performer amongst sectors, ending 2.4 percent higher.
Among the star performers were Mindtree Ltd, which rose 32 percent, NIIT, which climbed 15.8 percent, and Akruti City which gained 10.7 percent after yesterday’s rise of 27.5 percent.
Data released today showed inflation heading towards zero in early March and analysts tipped it would soon turn negative, opening the way for the RBI to cut rates further to stimulate growth.
Mr Kapoor, as we discussed yesterday..political uncertainty weighed on investor sentiments.. let’s hope tomo is a better day and we end the week on a positive note!!
Sensex rises 1.3 pct, Reliance gains
The BSE Sensex ended 1.3 percent higher on Wednesday as a rally in global markets boosted investor sentiments.
After mid day, the benchmark touched an intra-day high of 9,120 – a rise of over 2 percent – but pared gains later to close at 8,976. It was the index’s highest close in a month.
The rise was led by gains in heavyweight counters like Reliance Industries, ICICI and BHEL.
Buyers focused on Reliance as the country’s largest listed company prepared to begin pumping gas from its huge field off the east coast and commission all secondary units at its new refinery. The scrip closed 2.4 percent higher.
There was a rally in realty stocks which sent the BSE Realty Index 7.6 percent up. Shares in Akruti City jumped 27.5 percent and DLF gained 7.7 percent.
Top traded stocks on the BSE included Vijaya Bank, Suzlon Energy, Satyam and Reliance Natural Resources.
The Sensex did show some strength today, but was unable to sustain gains in the closing hours of trade. Do you think the index will remain volatile in the coming days?
A rise of 112 points(1.3%) in Sensex is quite satisfying.Investors would prefer that rise is gradual and steady rather than sharp or mercurial.A steady movement allows them to evaluate market position on regular basis.There are lesser chances of them getting entrapped.
DIIs are a regular buyers these days.It means that they are shoring up market value of their portfolio as well as helping mutual funds get a higher NAV.
April and May could be cruel months if 4Q 2009 results are disappointing.Then ofcourse we have excitement out of IPL and India’s political league.
Sensex should show mood swings every time it gets a reminder of major happenings.
Nevertheless,this week should end happily.
Sensex snaps 3-day rise, ends 0.9 pct lower
The Sensex seesawed and ended down 0.9 percent on Tuesday, snapping a three-day rising streak as investors booked profits and weak European markets dampened sentiments.
Index heavyweight Reliance Industries ended nealry 2 percent lower and SBI slipped 3.8 percent.
The banking index shed 2 percent, followed closely by the IT index which ended 1.7 percent down.
TCS slipped 4.8 percent and Infosys lost 1.8 percent in the session. However, Rolta India bucked the trend and rose over 17 percent. It was the top traded counter on the BSE.
Satyam shares slipped 3.7 percent to close at 43.55 rupees. The Economic Times reported today that L&T was talking to private equity firms to jointly bid for the outsourcer.
Overall, the market traded weak and was unable to sustain the gains of the past few sessions. Do you think today’s fall is an aberration and the benchmark will bounce back tomorrow?
Satyam is not willing to invite inspection of its books of account nor keen to give proof about its client relationships to any prospective bidder.
The exact position about the outsoucer’s health is not clear yet.
It is going to be a game of russian roulette.Wonder who will bite the bullet?
Sensex upswing continues, ends 2 pct higher
After a healthy rise on Friday, the Sensex continued its upswing and ended 2.1 percent higher, helped by a rise in markets across Asia and Europe.
Reliance Industries, ICICI Bank and ITC led the gains in the benchmark index as it traded firm almost throughout the session.
Sectorally, the BSE Realty Index surged 5.3 percent. Mahindra Lifespace ended 22 percent higher, and DLF, India’s top listed realty firm, gained over 6 percent.
The oil & gas and banking indices ended 3.4 percent and 2.8 percent higher respectively.
There was not much action in the Satyam stock today, and it ended 0.5 percent lower at 45.25 rupees.
Reliance Natural, Unitech and Satyam were among the top traded stocks on BSE today.
Investor sentiment seems to have improved with the Sensex extending gains over the past three sessions. But the question remains, will the Sensex be able to sustain this momentum? Is the 10,000 mark in sight now?
This small rally will surely bring relief to many Indian investors.
Sensex falls 2.9 pct to lowest close in 3 years
The Sensex closed 2.9 percent down on Thursday to its lowest close in 3 years, as worries over the economy remained despite rate cuts by the RBI yesterday.
The benchmark closed at 8198, dragged down by index heavyweights Reliance Industries (down 5 percent) and ITC (down 3.5 percent).
Ranbaxy and ICICI Bank were among the top Sensex losers, falling over 9 percent and 5 percent respectively.
The banking sector suffered the most with its index slipping 4.15 percent. Shares in Kotak Mahindra dropped 7.5 pct while SBI slipped 2.4 percent.
Satyam Computer Services, which was the most traded stock on the BSE, fell 7.5 percent to close at 35.1 rupees.
Though RBI’s rate cuts failed to lift investor sentiments today, do you think this move will help in the long run? Or more needs to be done to end this crisis of confidence?
Guess we need a confidence booster than anything else right now.. wonder what can provide for that?!
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- Gold prices pare gains as euro slips lower
- Oil India eyes stakes in overseas assets
- RBI eases banks' term deposit restrictions
- Coal India Q4 net slips 5 pct, lags estimate
- Rupee gains for third session in quiet day
- Apollo, ICICI raising $350 mln for India distress fund: sources
- BSE Sensex rises to over 2-wk high; SBI rallies
- Reliance Comm tower talks await rule clarity
- Rupee fall won't hurt India's ratings: Moody's
- No plan to revise diesel, LPG or kerosene prices: Reddy
The Wall
Sensex gained 163 points(1.51%) to touch 10,967.Sensex has gained 2,807 points (34.39%) since 9 March rally.The star performers over wave- period have been realty sector(63%),metals(61.61%),bankex(45.91% ),oil & gas(43.50%) and power(27.49%).All such sectors would generally rebound in a scenario of an economic revival.
However,fear remains as stocks have rebounded quite rapidly.
Satyam sale went off without alarms.It appears that Satyam fraud is out of our system.Any adverse happening hereafter in this stock is unlikely to create an impact on sensex.
So tomorrow we arrive at first test of earnings season as Infosys is announcing 4Q results.Their guidance shall set the trend in weeks ahead.