Post Market report on 06.08.2008

[B. Karthick]

India Stocks Review: End up but off highs on profit sales
Wednesday, Aug 6

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Bombay Stock Exchange : National Stock Exchange
Sensex: 15073.54, up 112.47 pts (0.8%) : Nifty: 4517.55, up 14.70 pts
(0.3%)
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Key share indices today ended off the 3% highs touched earlier in
the session on profit-booking by investors.
Despite firm European and Asian markets, investors were hesitant
to hold on to their positions amid uncertainty in overseas markets
ahead of earnings announcement from Freddie Mac in the U.S., and also
with global crude oil prices rising again.
Nifty closed at 4517.55, up 14.70 points or 0.3% from Tuesday.
Intra-day, it moved between 4503.90 and 4615.90.
Sensex ended at 15073.54, up 112.47 points or 0.8%. Intra-day, it
moved between 15035.60 and 15422.82.
Turnover on BSE and NSE combined was 258.18 bln rupees, compared
with 242.00 bln rupees Tuesday.
CNX Mid-cap and S&P CNX 500 indices ended nearly flat with
investors resorting to profit-booking in mid-cap stocks, which had
risen over the past two sessions.
Reliance Natural Resources ended 5% down, while Punj Lloyd shed
3%.
Most stocks in the banking and realty sectors erased gains, with
State Bank of India and Unitech shedding 4% and 3%, respectively.
Both stocks had gained around 4% earlier in the session, helped by
a fall in crude oil prices to $118 a barrel on New York Mercantile
Exchange.
However, most automobile shares held on to their gains as crude
oil prices are still below $120 a barrel, leading to hopes that
inflation will also moderate and result in a fall in interest rates.
Maruti Suzuki, up 6% at 652 rupees, was top Nifty gainer, while
Tata Motors advanced 5%.
BSE Metal index dropped 3.1% as heavyweight Tata Steel declined 4%
on profit sales on concerns over falling global steel prices.
Steel Authority of India ended 3% down, while National Aluminium
Co, down 5% at 406 rupees, was worst-hit among Nifty stocks.
HCL Technologies fell 4.7% as investors booked profits after its
16% gain over the past two sessions on the back of strong Apr-Jun
earnings.
Telecom shares rose after Telecom Regulatory Authority of India,
in a recommendation paper, proposed to allow mobile virtual network
operators in India.
Shares of Bharti Airtel ended 3.5% up as it has the widest
network, while Tata Communications also gained 3.5% on hope of
increased capacity requirement with the rise in the number of telecom
players across the country.
Value buying was seen in most other index heavyweights including
Bharat Heavy Electricals, Larsen & Toubro, and Reliance Industries.

KEY MARKET MOVES
* In the Nifty, 25 rose, 24 fell, and one remained unchanged.
* In the Sensex, 20 rose and 10 fell.
* On BSE, there were 1,265 advances and 1,445 declines.
* BSE Metal: Down 3.1%; BSE Realty: Down 0.6%; BSE Auto: Up 2.6%
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Bombay Stock Exchange : National Stock Exchange
Sensex: 15073.54, up 112.47 pts (0.8%) : Nifty: 4517.55, up 14.70 pts
(0.3%)
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B.Karthick,
Research Analyst.