Pre-Market Report: 23.09.2009

[B. Karthick]

Sensex on its way to make a new 52 week high

Stocks on Dalal Street are likely to open higher as liquidity
continues to drive the markets. The benchmark index or the Sensex is
likely to gain more than 150 points or nearly 1 percent for the day.
There is a strong possibility of the Sensex test the 17,000 mark
during the day.

On Wall Street, major stock indicators rebounded Tuesday from a drop
the day earlier to end at their highest levels in 11 months.The Dow
Jones industrial average rose 51.01, or 0.5 percent, to 9,829.87, its
highest close since Oct. 6, when it finished at 9,956.The broader
Standard & Poor's 500 index gained 7.00, or 0.7 percent, to 1,071.66,
while the Nasdaq composite index rose 8.26, or 0.4 percent, to
2,146.30. Both indexes are at 11-month highs.

IT and FMCG stocks were in focus yesterday with TCS leading the IT
pack and ITC helping the FMCG space. Drug maker Ranbaxy surged more
than 5 percent to Rs 380 ahead of the quarterly numbers later this
week. HDFC and BPCL were among other gainers among the Nifty fifty
stocks.

New listing, Ludhiana based Jindal Cotex ended the day 16 percent
higher at Rs 87 which 16 percent higher than the offer price of Rs
75.The stock of Kingfisher Airlines might see some pressure after the
company may raise as much as $175 million selling shares and global
depository receipts to repay debt. Also, Reliance Communications might
be under the radar, as the company's subsidiary Reliance Infratel gets
ready for an IPo some time soon.

Among the midcaps, Aarti Ind looks explosive even after a 14 percent
gain at ars 53.50. Natco Pharma is another stock which looks poised to
test the Rs 150 level soon. Inox Lesiure and Vishal Retail also look
good from a trading perspective. Sical Logistics, Amar remedies and
Gokul Refoils are some other midcaps that could see some action ahead
of their board meetings.