India Stocks Review: End up 1% led by IT, metals; Nifty above 5000

[K.Karthik Raja]

India Stocks Review: End up 1% led by IT, metals; Nifty above 5000
Wednesday, May 14
.
MUMBAI - The stock market shrugged off a weak start to end up over
1%,
with National Stock Exchange's 50-share Nifty managing to close above
the
5000-mark as investors lapped up shares of non-ferrous metal and
technology
companies.
Share indices had fallen nearly 1% in early trade tracking the
decline in
key Asian markets. However, Asian markets managed to end off lows.
"The technology pack led the rally today because of a rising
dollar. But
there still remains lack of confidence in the market and this is
unnerving
everyone," said Prakash Rajdev, chief dealer, Khandwala Securities.
Bombay Stock Exchange's 30-share Sensex ended at 16978.35, up
225.49
points, or 1.35%, from Tuesday. It moved between 16626.35 and 17014.94
intraday.
National Stock Exchange's 50-share Nifty closed at 5011.75, up
53.95
points, or 1.09%. Intraday, it moved between 4932.05 and 5026.10.
However, dealers said the upswing in the market was not convincing
on
account of low volumes.
Turnover on BSE and NSE combined was 189 bln rupees, compared with
209
bln rupees in the previous session.
CNX Midcap and S&P CNX 500 ended up around 1% each.
.
GAINERS
Shares of non-ferrous metal companies rose as investors focused on
robust
outlook for aluminium and alumina prices, dealers said.
Hindalco Industries ended up 7% at 192 rupees, Sterlite Industries
added
5% to close at 856 rupees, and National Aluminium Co gained 4% to 499
rupees.
Hindustan Zinc surged over 17% to 733 rupees tracking zinc futures
prices
in the commodity market, dealers said.
Information technology shares rose as rupee continued to weaken,
falling
to a new one-year low of 42.66 per $1 today.
Tata Consultancy Services was up 7% at 971 rupees and HCL
Technologies
gained 5% to 307 rupees.
Satyam Computer Services gave up most gains to end up 0.4% at 500
rupees.
The company has lost an appeal against Upaid case high court
judgement,
reports said.
Dr. Reddy's Laboratories, up 8% at 675 rupees, was the top Nifty
gainer as
the stock played catch up with gains in other stocks in the sector
such as
Ranbaxy, dealers said.
Larsen & Toubro rose 0.5% to 2,828 rupees on a NewsWire18 report
Holcim
is interested "in principle" to buy L&T's ready-mix concrete business,
dealers said.
Aishwarya Telecom was in action for yet another session amid high
volumes. The stock ended up 15% at 124 rupees on BSE.
.
LOSERS
Upstream oil companies were battered on concern net realisations
would be
hit on higher subsidy burden as size of government's oil bond to state-
run
oil marketing companies was lower than what government had committed
earlier,
analysts said.
Oil and Natural Gas Corp, down 6% at 939 rupees, was the worst hit
on
Nifty. GAIL (India) ended down 3% at 395 rupees.
Bharat Petroleum Corp was down nearly 3% at 339 rupees. Government
will
issue fresh bonds worth 150 bln rupees to cover 50% of gross revenue
losses
of state-run oil marketing companies during 2007-08 (Apr-Mar), lower
than the
earlier commitment of 57%.
Shares of cement companies extended their decline for yet another
session
in the backdrop of government's move to keep prices under control,
dealers
said.
ACC and Ambuja Cements ended down 2% each, at 667 rupees and 109
rupees,
respectively.
.
KEY MARKET MOVES
* In the 50-share Nifty, 37 rose and 13 fell.
* In the 30-share Sensex, 22 rose and 8 fell.
* On BSE, there were 1,425 advances and 1,239 declines
* BSE Metal: Up 4.4%, CNX IT: Up 3.9%
------------------------------------------------------------------------------
Bombay Stock Exchange : National Stock Exchange
Sensex: 16978.35, up 225.49 pts (1.35%): Nifty: 5011.75, up 53.95 pts
(1.1%)