Market Outlook—January 29, 2010

Dealer’s Diary

The benchmark indices closed with a small gain, aided by global cues, in a choppy trading session. World stocks rose after US President Obama moderated his tone on bank restrictions. Capital goods stocks fell, while healthcare, banking, realty and metal stocks rose. The BSE Sensex and the NSE Nifty were up by 0.1% and 0.3%, respectively. The BSE Mid-cap index was up by 0.2%, while the Small-cap index was down by 0.2%. Among the front-liners, Tata Steel, Wipro, DLF, Sun Pharma and HDFC were up by 2-5%, while Bharti Airtel, RCOM, L&T, JP Associates and HUL were down by 1-2%. In the Mid cap segment, Oriental Bank, Max India, Gujarat NRE Coke, Pantaloon and Torrent Pharma were up by 5-10%, while Aban Offshore, Deccan Chronicle, Everest Kanto, IOB and Praj Industries were down by 6-8%.

Markets Today

The trend deciding level for the day is 16338/4874 levels. NIFTY trades above this level during the first half-an-hour of trade then we may witness a further rally up to 16494–16680/4923–4979 levels. However, if NIFTY trades below 16338/4874 levels for the first half-an-hour of trade then it may correct up to 16151–15995/4818–4769 levels.

Economic and Political News

DoT awaiting Law Ministry nod for 3G auction

Govt. okays 14 FDI proposals worth Rs 732 cr

New date for GST in April

Corporate News

Tata inks JV with Japan’s Nippon Steel

Mahindra Satyam seeks CLB nod to hive animation division

HPCL plans to set up Rs 25,000 cr refinery

Market Outlook—January 28, 2010

Dealer’s Diary

The benchmark indices suffered a severe setback, as blue-chip stocks collapsed like a pack of cards in what was a highly volatile trading day. The markets extended their five-day losing trend today as they played catch-up with rest of its Asian peers, which had witnessed a sell-off on January 26, 2010. The Sensex and the Nifty were down by 2.9% and 3.1%, respectively. The BSE Mid-cap and Small-cap indices were down by 4.0% and 5.1%, respectively. Among the frontliners, ITC was the lone gainer, up 0.4%, while Tata Steel, DLF, Tata Motors, Wipro and Hindalco Industries were down by 6-8%. In the Mid cap segment, Cadila Health, Torrent Pharma, Cummins India, Infotech Enterprises and Rolta India were up by 1-7%, while Indiabulls Finance, Gujarat NRE Coke, Rashtriya Chemicals & Fertilizers, Jet Air India and Indiabulls Real Estate were down by 11-13%.

Markets Today

The trend deciding level for the day is 16410/4898 levels. NIFTY trades above this level during the first half-an-hour of trade then we may witness a further rally up to 16589–16888/4963–5074 levels. However, if NIFTY trades below 16410/4898 levels for the first half-an-hour of trade then it may correct up to 16111–15932/4788–4723 levels.

Economic and Political News

Govt. clears four port projects worth Rs 4,120 cr.
Andhra Pradesh hikes VAT on jet fuel
Air India, Indian Airlines merger to stay: Govt.

Corporate News

Jaiprakash Power Ventures to raise $300 mn via bonds
Essar Steel to invest $2.5 bn for expansion
PVR, DLF deal postponed to Feb 15
Lanco Infratech bags Rs 5,675 cr contracts

Market Outlook January 27, 2010

Dealer’s Diary

The key benchmark indices extended losses for the fifth straight session with weak global cues playing the spoilsport. Further, selling pressure in late trade derailed a sharp pullback on the bourses. High volatility was the hallmark of the day's trading session. The market breadth was negative after a positive start. The BSE Sensex and NSE Nifty were down by 0.5% and 0.6% respectively. The BSE Mid-cap and Small-cap indices were down by 1.3% and 0.9% respectively. Among the front-liners Bharti Airtel, HUL, ITC, L&T and Sun Pharma were up by 1-3%, while M&M, JP Associates, DLF, Tata Steel and Sterlite Industries were down by 2-5%. In the Mid-cap segment, Jai Corp, Infotech Enterprises, National Fertilisers, Bajaj Hindusthan and Jet Airways were up by 4-12%, while Dish TV, Mcleod Russel, Gujarat Flurochem, AIA Engineering and Andrew Yule were down by 6-8%.

 

Markets Today

The trend deciding level for the day is 16788/5009 levels. NIFTY trades above this level during the first half-an-hour of trade then we may witness a further rally up to 16870–16960/5035 - 5062 levels. However, if NIFTY trades below 16788/5009 levels for the first half-an-hour of trade then it may correct up to 16698–16616/4982–4956 levels.

News Analysis

Crompton Greaves to consider bonus shares

3QFY2010 Result Reviews: Sterlite, Hero Honda, Hindalco, M&M, HCL Tech, Cadila, GCPL, Pantaloon, GSPL, GSK Consumer, Blue Star, India Cements , KEC Int., Jyoti Structures, TV Today

3QFY2010 Result Previews: SAIL, PNB, NALCO, Dabur, Union Bank

Economic and Political News

Centre opposes states’ two rate GST structure

Govt. appends overseas borrowing rules for 3G auction

RBI seen holding rates, raising CRR

India to grow at 9.2% in FY11: CMIE

India-Mexico to discuss FTA feasibility in May

Corporate News

Hotel Leelaventure to raise US $130mn via share sale

Jet to buy 26% stake in JV with Malaysian Airlines

Essar to expand Vadinar refinery to 18mn tonnes

Bajaj Auto gets European patent for ExhausTEC

Videocon to roll out 15 more handsets, eyes 3G phone.

Shree Renuka Sugars board okays 1:1 bonus issue