Sensex falls over 100 points on capital outflows, global cues

Besides, a widening trade deficit to 18-month high in September influenced market sentiments.
  
The 30-share barometer, which had lost 34.74 points in the previous session on Tuesday, lost another 100.86 points, or 0.38 percent, to 26,248.47 with metal, oil & gas, capital goods, power and consumer durables sectors, leading the fall.
  
Markets remained closed on Wednesday on account of Assembly elections in Maharashtra.
  
Similarly, the National Stock Exchange index Nifty fell by 27.55 points, or 0.35 percent, to 7,836.45.
  
Brokers said apart from continued capital outflows by foreign funds, a weak trend at other Asian markets in line with overnight losses in European and US markets due to worries over the global economy, mainly dampened the trading sentiments here.
  
Meanwhile, India's exports grew marginally by 2.73 percent in September, but a surge in gold imports pushed the trade deficit to about 18-months high of USD 14.2 billion.
  
Among other Asian markets, Japan's Nikkei was down 2.35 percent, while Hong Kong's Hang Seng shed 0.98 percent in Morning trade.
  
The US Dow Jones Industrial Average ended 1.06 percent down in Wednesday's trade.

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Sensex gains most in two weeks, up 321 points as banks, infra companies rise

After a higher start at 25,322.17, the Sensex touched day's high of 25,602.78 and closing at 25,549.72 – up 321.07 points, or 1.27 percent. This is the best single-day rise since the 325-point spurt on July 2.
  
Among lenders, IDFC jumped 8.70 percent, ICICI Bank 4.70 percent, Axis Bank 3.57 percent, SBI 2.26 percent and HDFC Bank 1.16 percent. Stocks saw heavy buying after the RBI on Tuesday evening exempted long term bonds from mandatory regulatory norms like CRR and SLR if the money raised is used for funding of such projects.
  
The market sentiment remained firm after government data showed India's exports grew by 10.22 percent to USD 26.4 billion in June this year while imports stood at USD 38.24 billion, up by 8.33 percent.
  
The Sensex had gained 221.67 points on Tuesday after retail inflation eased to a 30-month low of 7.31 percent in June. WPI inflation has already softened and factory output is getting stronger, data has showed.
  
Brokers said easing crude oil prices, a mixed trend on the other Asian bourses and a higher opening in the European markets also influenced domestic market sentiments.
  
On similar lines, the 50-share National Stock Exchange index Nifty regained the 7,600-mark by rising 97.75 points, or 1.30 percent, at 7,624.40 after touching a high of 7,640.10.
  
The real estate sector witnessed solid demand and its sectoral index notched up the best gain (4,28 pc) among peers. Shares of DLF Ltd rose by 5.82 percent, Unitech 6.82 percent, DB Realty 5.09 percent, HDIL 3.17 percent, Indiabulls Real Estate 3.65 percent, Anant Raj 4.12 percent, Oberoi Realty 5.37 percent and Sobha Developers 1.89 percent.
  
The BSE Banking index rose 2.50 percent, Metal index 2.20 percent, Capital Goods index 1.51 percent and Auto index 1.44 percent, among others.
  
Small-cap Index (2.04 percent) and Mid-cap index (1.34 percent) also gained as retail investors joined the rally.

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Rail budget fails to cheer market; Sensex down 202 points

Besides a weak Asian trend and lower opening in Europe further influenced the trading sentiment, brokers said.

   

The BSE 30-share Sensex after hitting a new record high of 26,190.44 points in opening trade, retreated to 25,897.33, showing a fall of 202.75 points, or 0.77 percent.

   

Similarly, the broad-based National Stock Exchange index Nifty lost 42.25 points, or 0.54 percent, to 7,744.90 after hitting its life-time high of 7,808.85.

   

Share prices of companies that cater to the railway sector came under pressure and tanked up to 12.15 percent despite important announcements made by Railway Minister Sadananda Gowda in his maiden rail budget.

   

Major losers were Texmaco Rail, Titagarh Wagons, Kalindee Rail Nirman, Kernex Micro, Commercial Eng., BEML, Stone India and Bartronics.

   

The government proposed in the rail budget to attract investment from domestic and foreign players in infrastructure.

   

Among BSE-30 shares, Sesa Sterlite fell 3.89 percent, Tata Steel by 1.31 percent, Hindalco by 0.95 percent, Larsen and Toubro by 1.29 percent, SBI 1.15 percent and Reliance Industries 1.31 percent, dragged down the Sensex.

   

Globally Hong Kong's Hang Seng index was down 0.10 percent, while Japan's Nikkei shed 0.14 percent. European markets opened in negative territory.

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Sensex, Nifty rebound to close at record highs ahead of Budget

Expectations the government is prepared to tackle any crisis related to poor rains and strong global cues after better-than-expected US data and easing oil prices also boosted sentiment, traders said.

  

Gains in shares of Sensex heavyweights RIL, HDFC Bank and Infosys alone contributed over 100 points. Overall, 19 constituents in 30-share Sensex ended higher while 11 fell.

  

The BSE 30-share barometer after resuming higher, slipped into negative terrain on profit-booking in heavy-weight stocks to touch the session's low of 25,659.33.

  

However, a flurry of buying helped in bounce back to close at yet another new high of 25,962.06, a rise of 138.31 points, or 0.54 percent. It surpassed previous closing peak of 25,841.2 on July 2.

  

On Thursday, it had fallen by 17.46 points. For the week, Sensex gained 862.14 points -- the first rise in four.   

Blaming hoarders for recent spurt in food prices, Finance Minister Arun Jaitley on Friday said there was no need for panic as country has enough food stocks and promised stern action against black marketeers. Allaying fears of the impact of a delayed monsoon on prices, he said "monsoon has just started, it is a late start and it is too early to create any panic".

  

The NSE's 50-issue Nifty on Friday climbed 36.80 points, or 0.48 percent, to close at a new record high of 7,751.60, breaching previous peak closing of 7,725.15 reached on July 2. Intra-day, it touched a new life-time high of 7,758.00.

  

Oil and gas sector stocks, led by RIL and ONGC, attracted brisk buying support after reports that the Oil Ministry is likely to move the Cabinet Committee on Political Affairs (CCPA) soon with an expert panel recommendations of raising kerosene and cooking gas (LPG) rates.

  

Brokers said the sentiment remained upbeat on continued foreign fund inflows ahead of the first Budget of the Narendra Modi-led government.

  

With the indices hitting record highs, small cap and midcap stocks were also seen back in demand.

  

Meanwhile, Foreign Institutional Investors bought shares worth a net Rs 950.82 crore on Thursday.

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Sensex extends gain, up 210 points in morning trade

The 30-share Sensex shot up by 210.51 points, or 0.84 percent, to trade at 25,230.02 with stocks of oil and gas, realty, capital goods, PSUs and banking sectors rallied. The gauge had climbed nearly 214 points in the previous session.

  

The 50-share NSE Nifty, regained 7,500 mark for the first time since May 16 by gaining 50.10 points, or 0.67 percent, to 7,524.20.

  

Brokers said that buying momentum picked up further on sustained foreign funds inflows amidst a firming trend in the global markets in response to European Central Bank measures to boost the eurozone economy.

   

Stocks of Reliance Industries shot up by 2.93 percent to Rs 1,120 and ONGC gained 3.78 percent to Rs 435.50 after reports that the government is likely to hike natural gas rates from July 1 after a new price formulation is approved by the Cabinet.

  

Other major contributors to the rally were SBI, ICICI Bank, HDFC Bank, Maruti Suzuki, Tata Steel, NTPC, Bharti Airtel, Larsen and Toubro and BHEL.

  

Among other Asian markets, Hong Kong's Hang Seng rose 0.53 percent, while Japan's Nikkei was up by 0.39 percent in the morning trade on Friday.

  

US Dow Jones Industrial Average rose 0.59 percent to close at new high in Thursday's trade.

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Sensex at 100,000 level by 2020: Karvy Stock Broking

The 30-share Sensex is hovering around 25,000 mark at present. The stock markets have witnessed strong rallies, mainly fuelled by expectations from the Narendra Modi-led BJP government.
  
According to the report, if the infrastructure cycle revives quickly, the earnings growth revival will be faster with even 25 percent compounded annual growth rate (CAGR) looking possible.
  
"A multiple rerating is also possible as cost of equity goes down in the next few years with the decrease in risk free rate. An earnings growth between 20-25 percent and multiple rerating from 15x to 16-17x in the next few years can lead to a 25 percent compounding of Sensex returns, which will take it to 100,000 levels by calendar year 2020!," it said.
  
The key index breached the crucial 25,000-mark for the first time ever on May 16 when election results gave a clear mandate to BJP. The bellwether index yesterday closed at all-time high of 24,858.59 points.
  
FIIs have reaffirmed their commitment towards Indian equities with more than USD 20 billion invested in 2013.
  
"We see 2014 bringing a new bull cycle into existence. A strong export sector, revival in investment activity, continued recovery in US and a stable euro area are significant positives for equity markets. With domestic macro-economic data also on the mend, we are aggressive buyers of Indian equity," it said.
  
For the current fiscal, it expects a Sensex earning per share (EPS) growth of around 15 percent.
  
"Despite so many negatives plaguing the economy, corrective measures by the new government can quickly revive growth. From an equity market stand-point, macro-economic revival in India will open opportunities to make strong returns in the next few years," it said.
  
The report projects a GDP growth of 6 per cent in 2014-15 and economy is expected to see a revival of growth and earnings cycle.
  
Citing past instances, the report said, the Dow experienced its most spectacular rise in history in 1980s. From a meager 777 on August 12, 1982, the index grows more than 1,500 per cent to close at 11,722.98 by January 14, 2000.
  
There is no reason that India can’t see a prolonged economic growth cycle with low inflation, it said, adding, the prolonged economic growth can create similar equity market returns in India as seen in United States in 1980s.

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Bulls take a break; Sensex tanks 476 points after three-week gains

Market sentiment remained weak as overseas investors were net sellers in the first four sessions of the week.
   
The Sensex resumed higher at 24,693.89 and once again crossed 25,000 mark to quote at 25,175.22 on strong initial buying before the swearing-in of Narendra Modi as Prime Minister on Monday.
   
The 30-share index, however, declined afterwards to 24,163.62 on profit-booking before finishing the week at 24,217.34, showing a loss of 476.01 points, or 1.93 percent over the previous week's close.
   

In the last three weeks, the key BSE barometer had gained a whopping 2,289.46 points, or 10.22 percent.
   
The NSE 50-share Nifty tumbled by 137.15 points, or 1.86 percent, to end at 7,229.95. It had gained 672.30 points, or 10.04 percent, in the previous three weeks, which were dominated by election-related developments.
   
"Investors preferred to remain on sidelines ahead of GDP data, which came at 4.7 percent for 2013-14 announced on late Friday (after market hours), and RBI policy review next week," said Jayant Manglik, President-retail distribution, Religare Securities.
   
Going ahead, RBI's monetary policy on June 3 and the first Budget of the Modi Government shall be major triggers for the market, according to Rakesh Goyal, Senior Vice-President, Bonanza Portfolio.

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Sensex, Nifty strike over 4-1/2 week high

 A bout of volatility was witnessed in morning trade as the key benchmark indices trimmed gains after hitting fresh intraday high. The barometer index, the S&P BSE Sensex, and the 50-unit CNX Nifty, both hit their highest level in over 4-1/2 weeks. The S&P BSE Sensex was up 59.52 points or 0.29%, off 27.28 points from the day's high and up 51.97 points from the day's low. The market breadth, indicating the overall health of the market, was positive.

Index heavyweight and cigarette major ITC edged higher. Reliance Industries was marginally higher in volatile trade after the company in a press release on Tuesday, 25 February 2014 said it strongly denies all allegations made by Aam Admi Party (AAP) against RIL and Mr. Mukesh Ambani in their public meeting recently. State Bank of India (SBI) extended initial gain after the state-run bank said after market hours on Tuesday, 25 February 2014 that a meeting of the board of directors of the bank will be held on 3 March 2014 to consider declaration of interim dividend for the financial year ending 31 March 2014. Capital goods stocks edged higher on renewed buying. Bharat Heavy Electricals (Bhel) rose on reports that the country's largest insurer, Life Insurance Corporation (LIC), may reportedly pick up 5% stake in state-run power equipment maker in a block deal. Sanofi India rose after declaring strong Q4 result after market hours on Tuesday, 25 February 2014.

Key benchmark indices trimmed initial gains triggered by mostly higher Asian stocks. A bout of volatility was witnessed in morning trade as the key benchmark indices trimmed gains after hitting fresh intraday high. The barometer index, the S&P BSE Sensex, and the 50-unit CNX Nifty, both hit their highest level in over 4-1/2 weeks.

Volatility may remain high today, 26 February 2014, as traders roll over positions in the futures and options (F&O) segment from the near-month February 2014 series to March 2014 series. The near month February 2014 F&O contracts expire today, 26 February 2014.

Foreign institutional investors (FIIs) bought shares worth a net Rs 423.41 crore on Tuesday, 25 February 2014, as per provisional data from the stock exchanges.

At 10:15 IST, the S&P BSE Sensex was up 59.52 points or 0.29% to 20,911.99. The index gained 86.80 points at the day's high of 20,939.27 in morning trade, its highest level since 24 January 2014. The index rose 7.55 points at the day's low of 20,860.02 in early trade.

The CNX Nifty was up 13.65 points or 0.22% to 6,213.70. The index hit a high of 6,222.90 in intraday trade, its highest level since 24 January 2014. The index hit a low of 6,202.10 in intraday trade.

The market breadth, indicating the overall health of the market, was positive. On BSE, 966 shares gained and 691 shares fell. A total of 77 shares were unchanged.

The BSE Mid-Cap index rose 7.70 points or 0.12% to 6,470.02, underperforming the Sensex. The BSE Small-Cap index rose 25.14 points or 0.39% to 6,446.84, outperforming the Sensex.

The total turnover on BSE amounted to Rs 402 crore by 10:20 IST compared to Rs 122 crore by 09:25 IST.

Among the 30-share Sensex pack, 21 stocks gained and rest of them declined.

Sesa Sterlite (down 2.09%), Coal India (down 1.5%) and ONGC (down 0.96%) edged lower from the Sensex pack.

Index heavyweight and cigarette major ITC rose 0.96% to Rs 325. The stock hit high of Rs 325.30 and low of Rs 322.40 so far during the day.

Reliance Industries (RIL) rose 0.06% to Rs 811 in volatile trade. The stock hit high of Rs 813.90 and low of Rs 809.50 so far during the day. RIL in a press release on Tuesday, 25 February 2014 said it strongly denies all allegations made by Aam Admi Party (AAP) against RIL and Mr. Mukesh Ambani in their public meeting recently.

As stated earlier it is being reiterated that neither RIL nor Mr. Mukesh Ambani have or had any illegitimate accounts anywhere in the world. RIL has business interests in several countries with turnover of thousands of crores in Rupees. As a part of their normal business, these international subsidiaries of RIL deal with several global banks. These accounts are fully compliant with all regulations and are disclosed in their appropriate jurisdictions and in India. The continued tirade of baseless allegations being made by AAP against us appears to be instigated by vested interests, RIL said.

State Bank of India (SBI) rose 1.08%, with the stock extending initial gain. The state-run bank said after market hours on Tuesday, 25 February 2014 that a meeting of the board of directors of the bank will be held on 3 March 2014, inter alia, to consider, and if thought fit, declare interim dividend for the financial year ending 31 March 2014.

Capital goods stocks edged higher on renewed buying. ABB India (up 7.23%), BEML (up 0.54%), Crompton Greaves (up 0.19%), L&T (up 0.43%), Siemens (up 4.29%) and Thermax (up 1.23%) gained.

Bharat Heavy Electricals (Bhel) rose 1.06%. The country's largest insurer, Life Insurance Corporation (LIC), may reportedly pick up 5% stake in state-run power equipment maker Bhel in a block deal. According to a media report, the proposal initiated by the heavy industries & public enterprises ministry is now being processed by the disinvestment and financial services department of the finance ministry.

Sanofi India rose 1.73% after net profit surged 106.92% to Rs 92.70 crore on 15.49% increase in total income from operations to Rs 488.30 crore in Q4 December 2013 over Q4 December 2012. The company announced the results after market hours on Tuesday, 25 February 2014.

Sanofi India's net profit jumped 50.08% to Rs 265.20 crore on 14.99% increase in total income from operations to Rs 1808.90 crore in the year ended December 2013 over the year ended December 2012.

The stock market remains closed tomorrow, 27 February 2014, on account of Mahashivratri.

The Securities and Exchange Board of India (Sebi) on Tuesday, 25 February 2014 proposed in a discussion paper that appointment of an agency to monitor the utilization of funds raised through an initial public offering (IPO) should be made mandatory. Currently, such an appointment is compulsory only if the public issue size exceeds Rs 500 crore. Sebi said the move is aimed at strengthening the monitoring of utilization of all the equity capital raised by selling shares to the public.

In its latest discussion paper, Sebi proposed that the appointed agency will be required to submit its report to the issuer every quarter till the full utilization of the public issue proceeds, as compared to the requirement of submission of such reports on a half-yearly basis at present. Also, such reports will be required to be put out on the stock exchanges' website to keep investors informed.

To curb misuse of money raised through a public issue, Sebi proposed to make it mandatory for the monitoring agency to assign grades to the issuer.

In order to ensure that the monitoring process is carried out effectively, Sebi proposed that a committee of board of directors of the company has to be constituted to oversee the monitoring of utilization of issue proceeds before opening of the public issue. This sub-committee will facilitate monitoring of issue proceeds by monitoring agency. A majority of the members of such a sub-committee will have to be independent directors, Sebi suggested.

Sebi has sought public comments on the proposals till 25 March 2014.

The Reserve Bank of India next undertakes monetary policy review on 1 April 2014. Citing price pressures, the Reserve Bank of India raised its key lending rates by 25 basis points after Third Quarter Review of Monetary Policy for 2013-14 on 28 January 2014.

In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 61.97, compared with its close of 61.9350/9450 on Tuesday, 25 February 2014.

Asian stocks swung between gains and losses as energy shares advanced, countering declines by raw-material producers. Key benchmark indices in China, Hong Kong, South Korea and Taiwan rose by 0.14% to 0.47%. Key benchmark indices in Singapore, Japan and Indonesia fell by 0.34% to 0.58%.

Taiwan's jobless rate nudged lower last month, as the labor force participation rate decreased, the government said today, 26 February 2014.

The island's nominal jobless rate came in at 4.02% in January, down from December's 4.08%, the Directorate-General of Budget, Accounting and Statistics said.

On a seasonally adjusted basis, the jobless rate was 4.07% in January, down from 4.12% in December, the government said.

US stocks finished a choppy trading session lower on Tuesday, 25 February 2014 as gloomy reports on home prices and consumer confidence dampened the mood.

US home prices ticked down 0.1% in December, declining for a second month, with 11 of 20 tracked cities posting drops, according to S&P/Case-Shiller's composite index. After seasonal adjustments, home prices in December rose 0.8%, down a bit from 0.9% in November.

The consumer confidence index fell to 78.1 in February from 79.4 in January, the Conference Board said Tuesday, 25 February 2014.

The Federal Open Market Committee (FOMC) next undertakes monetary policy review on 18-19 March 2014. After a monetary policy review, the FOMC on 29 January 2014 announced it will reduce monthly bond purchases by another $10 billion to $65 billion.

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