Post Market report on 21.07.2008

[B. Karthick]

India Stocks Review: Up 2% on short covering ahead of trust vote
Monday, Jul 21
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Bombay Stock Exchange : National Stock Exchange
Sensex: 13850.04, up 214.64 pts (1.6%) : Nifty: 4159.50, up 67.25 pts
(1.6%)
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Short covering ahead of the United Progressive Alliance
government's vote of confidence in the Lok Sabha Tuesday lifted share
indices nearly 2% at close today.
Firm cues from key Asian markets also aided sentiment. Markets
across the region ended 3-4% higher.
The firm trend in global markets and perceptions that the
government
may survive this confidence motion triggered short covering. . .if the
UPA is
able to stay in power then it will be good for markets.
Sensex ended at 13850.04, up 214.64 points, or 1.6%, from Friday.
Intraday, it moved between 13581.19 and 13878.88.
Nifty closed at 4159.50, up 67.25 points, or 1.6%. Intraday, it
moved between 4072.75 and 4168.15.
Turnover on BSE and NSE combined was 150.3 bln rupees, compared
with
181.0 bln rupees in the previous session.
CNX Mid-cap ended up 0.5% and S&P CNX 500 rose 1.3%.

LOSERS
Satyam Computer Services, down over 4% at 367 rupees, was the
worst hit
on Nifty.
Cairn India was down 2% at 216 rupees despite global crude oil
prices
rebounding to $130.50 a barrel, while Bharat Petroleum Corp fell 2% to
278
rupees.
IDFC ended plunged 15% to 93 rupees on concerns about equity
dilution. The company may need to raise $375 mln and the fund raising
could lead to dilution of 9.5%-13.7% of the company's equity.

GAINERS
Pharmaceutical shares were top gainers on defensive buying in an
uncertain market.
Ranbaxy Laboratories gained 5% to 458 rupees after having lost 18%
since
Jul 14, while Dr. Reddy's Laboratories rose 2% to 678 rupees after net
profit
fell 26% from a year ago, largely in line with estimates.
Bank shares extended gains on short covering. ICICI Bank and State
Bank of India rose 4% each, to 643 rupees and 1,353 rupees,
respectively.
National Aluminium Co, up 8% at 386 rupees, was the top Nifty
gainer as
traders covered short positions.
Tata Power Co rose 3% to 1,043 rupees after the company said it
bought
26% stake in Bhutan government's upcoming 114 MW hydro electric power
project
over river Dagachhu.
Steel Authority of India gained 1.5% after Apr-Jun net profit grew
20%
to 18.35 bln rupees. Net sales rose 37% to 110.29 bln rupees.
Housing Development & Infrastructure surged 8% to 465 rupees after
reporting a 57% year-on-year rise in Apr-Jun net profit to 3.2 bln
rupees.

KEY MARKET MOVES
* In the Nifty, 37 rose and 13 fell.
* In the Sensex, 24 rose and 6 fell.
* On BSE, there were 1,169 advances and 1,362 declines
* CNX Bank Nifty: Up 3.9%; BSE Healthcare: Up 3%
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Bombay Stock Exchange : National Stock Exchange
Sensex: 13850.04, up 214.64 pts (1.6%) : Nifty: 4159.50, up 67.25 pts
(1.6%)
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B.Karthick,
Research Analyst.