Positive start, negative end

BILAL HUSSAIN
Srinagar, July 27: The markets this week saw the bulls gain the upper hand over the dominant bears. During the week three out of the five trading sessions witnessed firm closer of indices. The falling crude prices and improved domestic political scenario after the government victory over the trust vote lent optimism to the markets.
The sharp decline in global markets and the serial blasts in Bangalore also rendered the markets from taking up fresh positions.
Foreign Institutional Investors turned net buyers on the bourses and contributed to the market's rise. Domestic mutual funds also made some purchases in a couple of sessions.
Market wrap:
On Monday, the markets started on a volatile note and remained range bound till penultimate hour of trade. The markets scaled higher on the back of sustained buying activity in the heavyweights in the final trading hour to close well above breakeven.
The sensex touched an intraday high of 13,878.88 and low of 13,581.19 before closing the day at 13,850.04, up by 214.64 pts. Nifty ended with a gain of 67.25 pts at 4159.50 after hitting a high and low of 4168.15 and 4072.75, respectively.
The up beat mood continued the next day although political uncertainty kept the benchmark indices volatile. Sensex closed with a gain of 254.16 pts at 14,104.20 after hitting an intraday high of 14,206.13 and low of 13,798.18. Nifty surged 80.6 pts to settle at 4240.10.
On Wednesday the markets open on strong note aided by lower crude oil prices and the Indian government surviving the trust vote. The markets moved from strength to strength on the back of sustained buying activity in the heavyweights till the final trading hour to close well above dotted line. The BSE sensex closed 838.08 pts higher on that day and the nifty was up by 236.70 pts managed to close at 4476.80.
But this optimism could not be sustained during the last two days of the week. In a tussle between the bulls and the bears, bears took the charge. On Thursday the sensex was down by 165.27 pts and closed at 14777.01. The nifty was down by 43.25 pts and settled at 4433.55 on account of profit booking in index heavyweights. The downturn journey continued on Friday, weak global cues and serial blasts in Bangalore dampened the investors' sentiment and spooked the markets. The BSE sensex was down by 502.07 pts settled at 14274.94. The nifty saw a downturn of 121.70 pts and closed at 4311.85.
Institutional Front:
On the institutional front, for the week ended July 25, 2008, mutual funds emerged as net seller to the tune of Rs 1 billion, while the Foreign Institutional Investors emerged as net buyer to the tune of Rs 5 billion.
Expert's opinion:
At current level of 14K market is expected to move up provided the major parameter remains favorable. The investors at these levels could think of buying the stock with sound fundamentals.

Trust vote doesn't break trust of investors

Trust vote doesn't break trust of investors


Markets upbeat in political uncertainty Valley investors rejoice over market uptrend

BILAL HUSSAIN


Srinagar, July 22: Bulls dominated trading at Indian bourses throughout the day ahead of the trust vote on hopes that UPA government would win on Tuesday. The BSE 30-share sensitive index, sensex, added 254 pts to close at 14,104 and NSE nifty advanced by 80 pts to settle at 4240. In intra-day trades today, the nifty touched a low of 4137.95 and a high of 4262.45. Most investors from the Valley booked profits and some showed sustained confidence in the market and picked select stocks.
Capital market experts here believe that upward journey of the indices won't continue for long as the market position depend on other parameters as well, which at present are not favorable for the markets.
Meanwhile, the Valley investors rejoiced over the recent upward journey of the sensex and nifty. "I did lose huge amount of money in the markets during past few months. However, few pushups that came of late in the markets was a big relief," said local investors Mustaq Ahmad.
The markets showed uptrend despite the weak global cues, rising crude prices and spiraling inflation with heavy weights leading the way. However, quarterly results from some blue chip companies turned out to be quite encouraging. Heavy buying was seen in sectors like steel, power, infra and banking stocks among the major gainers. Buying was also seen in mid-cap and small-cap stocks.
The BSE FMCG shot up by 4.35 per cent today. PSU, information technology and consumer durables stocks rallied sharply. Oil, pharma and realty stocks had a mixed run. Out of total of 2657 stocks traded on BSE, 1850 stocks closed with gains, 733 stocks finished on a weak note and 74 stocks ended flat.
The top contributors in the gain of indices were BHEL, Reliance Communications, ITC, SAIL, SBI, Wipro, ICICI Bank, Tata Steel and ONGC.
Today's turnover market traded at Rs 72,687 crore, it includes Rs 13,076.42 crore from NSE cash segment, Rs 54,100.84 crore from NSE F&O and the balance Rs 5,509.74 crore from BSE cash segment.
On the global front, Asian markets ended mixed. Nikkei rose 2.98 percent and Jakarta Composite up 0.81 per cent. However, Shanghai fell 0.53 per cent, Hang Seng -0.02 per cent, Straits Times 0.98 per cent, Kospi 0.11 per cent and Taiwan Weighted 0.28 per cent.
European markets were trading sharply lower, at the time of writing market report. FTSE 100 was down 1.4 per cent, CAC fell nearly 1 per cent and DAX down 0.64 per cent.

Markets

Markets remain volatile all through week

BILAL HUSSAIN


Srinagar, July 13: The uncertain clouds continued to appear bulky over the markets in the week. There was no respite from any end. The market showed high volatility throughout the week. Political, economic and corporate news affected the movement of indices. Crude is still perched at the top, Among the other major factors that impacted was highly fluctuating crude oil prices, global sentiment, earnings of IT player like Infosys Technologies, inflation has surged ahead and now the data on industrial production IIP (Index of industrial production) numbers have disappointed. The market remained red in three of the five trading sessions.

Market wrap:
The week started off on a positive note due to firm global trend. However, the mood turned negative during the later part of the trading. The sensex, which was moving towards positive territory, ended the session with a gain of 72 pts.
On Tuesday markets start weak, the market recovered smartly in afternoon session after the left parties decided to withdraw support to the UPA government. However, despite some strong buying in late afternoon trade, the sensex ended with a loss of over 175 pts.
The market remained optimistic throughout Wednesday, strong global markets and short covering and bargain hunting in blue chip stocks lifted the sensex up by a whopping 615 pts in that session.
Remaining highly cautious ahead of release of results from Infosys Technologies and the data on inflation and industrial production, investors refrained from picking up stocks on Thursday. After a choppy ride, the sensex ended with a marginal gain on that day.
After a volatile start and subsequent range-bound movements, the market plunged sharply into the red on Friday afternoon as weak economic data and high crude oil prices dampened the sentiment.
While inflation rose 11.89 per cent, the previous week’s annual rise of 11.63 per cent, Industrial production rose 3.8 per cent in May 2008, much lower than revised 6.2 per cent growth in April 2008.
The fall in prices of blue chip stocks was so sharp that the sensex went down by as much as 456 pts in the session.

Institutional Front:
Foreign institutional investors sold shares worth Rs 1,012.20 crore in the month of July 2008, till 9 July 2008. FIIs sold shares worth Rs 26,477.50 crore in the calendar year 2008. Mutual funds have bought shares worth Rs 712.30 crore in the month of July 2008.

Expert’s opinion:
Capital market observers believe that the investors can take a stand regardless of the noise in the markets. Stand with the current portfolio and wait for market to move up else churn portfolio by picking stocks at lower levels. Fundaments of the company need to be given preferences over all other parameters.

Sensex down for seventh consecutive week

Sensex down for seventh consecutive week

BILAL HUSSAIN


Srinagar, July 6: The markets closed in red for the seventh successive week, bears hold the market for three of the five trading sessions during the week.
The sensex ended the week with a loss of 348 pts closed at 13454, nifty closed shed 120 pts ended at 4016. The markets are losing due to high crude prices, surging inflation, weak global markets, investment pull out by the foreign institutional investors, and the political instability in India.

l Market wrap:
The markets opened positive on Monday, the indices were unable to sustain the initial gains in the ensuing hours and closed well below dotted line. The sensex has hit an intraday low of 13,405.54, before closing the day at 13,461.60, down by 340.62 pts. The nifty fell by 96.1 pts to end at 4021.70 after touching a low of 4021.70.
The markets continued to remain in reds on Tuesday as well and the indices slipped further below dotted line on the account of growing concerns over crude and political uncertainty. The BSE’ benchmark index, sensex, tumbled 500 pts and closed below the 13K levels. The sensex closed below 13,000 for the first time since April 5, 2007 and nifty below 3,900 for first time since April 12, 2007. The sensex closed at 12,961.68 down by 499.92 pts. Nifty lost 143.8 pts to end at 3896.75.
After two days downhill journey of the indices on the bourses, Wednesday came on rescue session of the week. The sensex shot up by 750.63 pts, which was the highest intraday absolute gain for sensex since March 25, 2008. It closed with a gain of 702.94 pts closed at 13,664.62. Nifty has hit a high of 4107.15, up by 196.6 pts to settle at 4093.35.
On Thursday the sensex was down by 570.51 pts ended at 13,094.11, nifty crashed at 3925.75 down by 167.6 pts.
On Friday the markets close the week on an unstable but positive note aided by realty, consumer goods and power sector stocks. The market sentiments were dampened during the mid-session on account of higher inflation numbers of 11.63 per cent against 11.42 per cent a week ago but buying across sectors helped the indices to recover most of the losses and close well above breakeven.
The sensex has touched an intraday high of 13,509.74 and low of 13,027.79, before ending the day at 13,454, up by 359.89 pts. The nifty managed to end above 4000 mark and closed at 4016 up by 90.25 pts.

Institutional Front:
For the week ended July 4, 2008, mutual funds emerged as net buyers to the tune of Rs 6 billion, while the Foreign Institutional Investors emerged as net sellers to the tune of Rs 5 billion.

Experts’ opinion:
Rising crude oil prices is one of the main dampener in Indian stock markets. The investors should be caution while making any fresh investment and should make thorough analysis of the equities of different companies.

Sensex drops to 12K level,shutdown saves Valley investors

Sensex drops to 12K level,shutdown saves Valley investors
BILAL HUSSAIN
Srinagar, June 29: The sensex has lost over 30 per cent of its value in less than six months. The capital market experts believe that the sensex is heading towards 12K level. The market tumbled down for the sixth successive week due to high inflation, rising crude prices, and weak global cues helped the bears throughout this week. The BSE sensitive index plunged 769.07 pts and closed week at 13,802.22, the nifty, index of the NSE was down by 210.90 pts and settled at 4136.65. The markets witnessed volatility throughout the week. Global concerns over rising crude oil prices and inflation continued to weigh heavy on the minds of the investors. In the week gone by the sensex ended in red three out of the five trading sessions. For the week ended June 27, 2008 the sensex lost 5.3 per cent, while the nifty shed 4.9 per cent. Market Wrap: This week markets started on a weak note on the wake of weak trends in US market. Weakness persisted through out Monday till the final trading hour causing the indices to close well below the dotted line. The sensex has recovered nearly 130 pts from day's low of 14,163.45 and closed at 14,293.32, down 277.97 pts. The nifty slipped below 4300 level and ended at 4266.40 down by 81.15 pts. Although on Tuesday, markets opened in the green but by the end of the day the sensex closed 187 pts down. In the process, it fell below the 14,000 mark for the first time since end August 2007. On Wednesday markets began on a passive note but buying activity intensified in the subsequent sessions causing the indices to recoup losses and closed well above break even. The market got off to a negative start following the Reserve Bank of India hiking CRR and Repo rates by 50 basis points each. While the sensex gained nearly 115 points, the nifty shot up by 62 pts that day.The previous day's optimism trickled over to Thursday's trading session as well. The market remained positive throughout the day despite exhibiting high volatility the sensex and nifty ended the session stronger by over 300 pts and 60 pts respectively. Friday saw the markets open on a very weak note influenced by weak global cues. The inflation has reached 11.42 per cent from 11.05 per cent during the previous week further dampened the sentiments of investors and the markets closed deep in the red. The sensex closed lower by 600 pts on Friday. Institutional Front: The week ended June 27, 2008 mutual funds emerged as net buyers to the tune of Rs 10 billion, while the Foreign Institutional Investors emerged as net sellers to the tune of Rs 5 billion. Experts' Opinion: The market is expected the go down further to a level of 12K. On the wake of high inflation, rising crude prices, and weak global cues the bears are expected rule the markets for some more time.

Inflation takes toll on market

Inflation takes toll on

BILAL HUSSAIN
Srinagar, June 22: The double digit inflation figure this week has brought down the BSE benchmark sensitive index down to15 K level. This is the fifth continuous week that goes in the lap of bears, weak global cues, rising inflation, and high oil prices aided market to end in red. Experts believe that monetary tightening measures from the central bank, which took a heavy toll of bank, realty and auto stocks this week. Foreign institutional investors were among major sellers throughout the week resulting in value erosion of stocks across all the sectors. Domestic mutual funds did make some buying but could not make a major impact to arrest the downfall of indices. The sensex ended the week with a loss of 4 per cent and closed at 14,571.29, the nifty lost 3.75 per cent and closed at 4347.55.

Market wrap: On Monday a firm trend on the global bourses managed sensex to crossed 15500 mark and hit an intraday high of 15,553.37 finally closed at 15,395.82 up by 206.20 pts. The nifty has hit 4600 mark and touched a high of 4617.70 and was up by 55.4 pts to settle at 4572.50. Markets had opened on a quiet note and remained flat for first one hour of trade. But after that bulls came in limelight for rest of the day. The nifty closed above 4600 and the sensex above 15500 levels. The sensex on Tuesday shot up by 301.08 pts to settle at 15,696.90, nifty closed the day at 4653 up by 80.5 pts. The sensex on Wednesday touched an intraday low of 15,390.22 and high of 15,789.62, before closing the day at 15,422.31 down by 274.59 pts, nifty plunged 70.6 pts closed at 4582.40. On Thursday the nifty lingered around its psychological mark of 4500 throughout the day but managed to close just above that level. The nifty closed day at 4504.25 down by 78.15 pts, sensex plunged 334.32 pts to finish at 15,087.99, after hitting a low of 15,051.66 pts. The sensex crashed nearly 569 pts and the nifty 171 pts while touching day’s low. The sensex closed at 14,571.29 down by 516.70 pts and the nifty at 4347.55 down by 156.7 pts. All BSE and NSE indices closed in red. ONGC is the only stock, remained strong through the day. The Wholesale Price Index rose 11.05 per cent on YOY (year on year) basis highest since May 1995. Experts say that RBI will have to use monetary tools to contain inflation. They feel that fuel price hike has not fully reflected in inflation numbers. It will see more impact in the next few weeks. They expect that the RBI will hike CRR or Repo rate before Monetary Policy. It will affect growth in infrastructure sectors as capital availability become scare, squeeze banks margin and impact on auto sales.

Institutional Front: On the institutional front, for the week ended June 20, mutual funds emerged as net buyers to the tune of Rs 4 billion while the Foreign Institutional Investors emerged as net sellers to the tune of Rs 9 billion.

Experts’ opinion: Experts believe that investors should take the downward movement of markets for good by churning their portfolios by picking the stocks with good names in markets. Fundamentals of companies should be given preference over all other indicators.