Market Commentary

Market Activity: Key shares indices gave up most gains made at

open on decline in shares of capital goods companies and Tata Steel. Rise in key Asian markets provided support.

At 10.10AM, Sensex was at 15351.43, up 8.58 points or 0.1%. Nifty was at 4653.05, up 5.80 points or 0.1%. The key indices were up 1% at open.

ICICI Bank, Wipro and Ranbaxy Laboratories, up 2% each, were top Nifty gainers. BHEL and ABB shares were down 4% each. Tata Steel fell 2%. Sita Shree Food Products listed at Rs 35 on NSE, against an issue price of Rs 30. The stock was trading at Rs 43.

In the mid trading session, indices extended gains, rising 3%, as Asian markets remained firm and European markers opened nearly 1% up. Information technology and FMCG shares were the top gainers. At 2.10PM, Sensex was at 15772.42 points, up 433.71 points, or 2.9%, from Friday. Nifty was 4776.00 points, up 129.45 points, or 2.8%. ITC, Ranbaxy and NALCO, up 6% each, were the top Nifty gainers. Frontline banks like State Bank of India and ICICI Bank rose 5%. Bharti Airtel was up 5% on reports the company is looking for acquisitions in emerging markets. BHEL, ABB and Maruti Suzuki remained laggards, down 2% each.

Key share indices ended up nearly 3% as investors covered short positions built last week. Firm cues from overseas markets also helped. Sensex ended at 15757.08, up 413.96 points or 2.7%. Nifty ended at 4761.20, up 114.20 points or 2.5%. Banks and FMCG shares were top gainers. ICICI Bank rose over 6% and ITC ended up 5%. Ranbaxy Laboratories gained 6%. Ranbaxy promoters’ group company Solrex Pharma has bought 8% stake in Orchid Chemicals. Orchid Chemicals ended up 23%. Sita Shree Food Products ended at Rs 44 after listing at Rs 35. Siemens down 2%, and Hero Honda Motors down 1%, were the worst hit on Nifty.

Sector Activity :

Tech stocks witnessed up trend: Infosys closed up Rs 1492.05 with volumes of Rs 304.29 crs, Satyam closed up at Rs 432.45 with volumes of Rs 132.37 crs, TCS closed up at Rs 904.10 with volumes of Rs 83.09 crs, and Educomp closed up at Rs 3694.40 with volumes of Rs 60.77 crs.

Pharma stocks showed positivity: Orchid Chemical closed up at Rs 207.20 with volumes of Rs 348.29 crs, Ranbaxy closed up at Rs 484.45 with volumes of Rs 145.34 crs, Sun Pharma closed up at Rs 1276.60 with volumes of Rs 50.83 crs, and Cipla closed up at Rs 215 with volumes of Rs 16.85 crs.

Banking stocks hogged the limelight: In the Public Sector SBI Bank up at Rs 1673.40 with volumes Rs 174.51 crs & Bank of India closed up at Rs 294.80 with volumes Rs 45.23 crs. In the Private sector ICICI Bank closed up at Rs 811.30 with volume of Rs 344.63 crs & Kotak Bank closed up at Rs 629.15 with volumes of Rs 91.15 crs.

Auto Stocks ended positive with exception: Tata Motors closed up at Rs 632.05 with volumes of Rs 67.22 crs & M&M closed up at Rs 615.10 with volumes of Rs 39.80 crs. While in the 2 wheeler segment stocks, Hero Honda closed down at Rs 750.05 with volumes of Rs 12.61 crs, Bajaj Holding closed up at Rs 676.70 with volumes of Rs 1.96 crs.

Cement Stocks showed positive activity with exception: ACC closed up at Rs 832.60 with volumes of Rs 40.55 crs, India Cem closed up at Rs 189.30 with volumes of Rs 22.64 crs, Ambuja Cement closed down at Rs 118.05 with volumes of Rs 13.07 crs and Prism Cement closed up at Rs 42.80 with volumes of Rs 7.7 crs.

Nifty ended at 4761 up by 114 points

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