Sensex, Nifty strong; United Bank up 10%, Polaris down 17%

Bull remained in full control of Dalal Street. The Sensex shot up 306.79 points or 1.17 percent to 26553.58 and the Nifty rose 89.95 points or 1.15 percent to 7932.65 while the BSE Midcap and Smallcap indices gained 1.4 percent and 1.5 percent, respectively. 

About 1795 shares have advanced, 522 shares declined, and 64 shares are unchanged on the Bombay Stock Exchange. 

Shares of ICICI Bank, HDFC, SBI, L&T, Reliance Industries, Tata Motors, Sun Pharma, ONGC, Hindalco, Axis Bank, Bharti Airtel, Cipla, BHEL, Dr Reddy's Labs, Sesa Sterlite and Maruti Suzuki gained 1-5 percent while ITC and Mahindra & Mahindra were only losers. 

United Bank of India gained 10 percent as media report suggested that financial services secretary says the bank is likely candidate for merger this fiscal. 

Polaris Financial Technology tanked 17 percent on demerger of Intellect Design Arena. The company has fixed the record date as October 10, 2014 for the purpose of determining the list of shareholders who are entitled to receive the shares in Intellect Design Arena, the resulting company after the demerger. More information please visit this site www.bigprofitbuzz.com

Sensex up 300 pts, Nifty reclaims 7900; Hindalco, BHEL zoom

Equity benchmarks rebounded in early trade on Thursday with the Sensex rising 294.82 points or 1.12 percent at 26541.61. The Nifty reclaimed 7900, up 84.50 points or 1.08 percent at 7927.20 post positive US cues. 

The broader markets too saw buying interest with the BSE Midcap and Smallcap indices gaining 1 percent each. About five shares advanced for every share declining on the Bombay Stock Exchange. 

Hindalco topped the buying list, up 4 percent post Alcoa earnings. BHEL surged 3.5 percent on getting Rs 7800 crore EPC order from Tamil Nadu Generation & Distribution Corporation.

 Dr Reddys Labs, ICICI Bank, SBI and DLF were other gainers, up 1.5-2 percent.

The Indian rupee gained in early trade. It has opened higher by 27 paise at 61.13 per dollar against previous close 61.40. 

Mohan Shenoi of Kotak Mahindra Bank said, "Dollar gave back its gains due to reference to dollar strength and its impact on inflation in the FOMC minutes released overnight. This is expected to strengthen rupee today. USD-INR is expected to trade today in a range of 61.10-61.45/dollar.

On the global front, Asian equity markets rose after US indices posted their biggest one-day gain of 2014. Hang Seng, Nikkei, Straits Times and Taiwan Weighted gained 0.2-0.8 percent while Shanghai and Kospi fell 0.4-0.6 percent. 

In the US, stocks ended about 2 percent higher as markets extended gains on the FOMC minutes and recovered from Tuesday's selloff, closing 274.8 points higher; the Dow Jones industrial average had its best day since December 18, 2013. The S&P 500 and the Nasdaq had their best day since nearly a year ago on October 10, 2013.

 And in Europe, shares closed mostly lower, as fears over global growth and the Ebola virus spooked investors. Peripheral markets like Russia, Portugal and Irish markets were all under pressure and ended with cuts of 1.5 percent to 2 percent. 

In the currency space, dollar slipped to near 2-week lows against the euro after minutes of the Federal Reserve policy meet suggested the Central Bank could take its time in raising interest rates. 

In commodities, Brent crude held on the USD 91 level as global growth forecasts have raised new concerns about oil demand. And that too, at a time when US crude inventory levels continue to rise. More information please visit this site www.bigprofitbuzz.com

Sensex, Nifty close flat; IT & pharma tank, banks gain

03:30pm Market Closing

 

The market closed marginally lower amid consolidation with the Sensex falling 25.18 points to 26246.79 and the Nifty losing 9.70 points to 7842.70. 

02:55pm Interview

Maxwell Industries has been in the limelight on the news that the company, which is engaged in manufacturing and marketing of innerware, has decided to sell their non-operative unit in Navi Mumbai. The stock succumbed to some profit booking today post a stellar rally on Tuesday. 

In an interview to CNBC-TV18, R Venkatraman, CFO & COO, Maxwell Industries, said the deal is for Rs 9 crore and the company is in the process of liquidating all its non-core businesses. He said the company will now be focusing more on the garmenting business and brand-building. 

From this fund, the debt will get released, said Venkatraman adding that the company does not have any long-term debt on books, except the working capital borrowing. He expects to book profit of Rs 7 crore from the deal. 

02:25pm Stake sale

 

India plans to raise around Rs 5,000 (USD 813.4 million) this fiscal year by selling stakes in companies including ITC, Larsen & Toubro and Axis Bank, a senior official with knowledge of policymakers' discussions said. 

The sales could be made through an exchange traded fund that could be launched before the end of March, the official told Reuters, requesting anonymity as he is not authorised to speak to the media. 

The ETF would be made up of the government's stakeholdings in up to ten companies, including stakes in companies held through an offshoot of the Unit Trust of India known as SUUTI. 

The government holds 11.27 percent in ITC, 8.18 percent in L&T and 11.66 percent in Axis Bank through SUUTI. 

SUUTI, which stands for Specified Undertaking of The Unit Trust of India, said in a statement that it has invited bids from asset management companies to help it set up the ETF. 

02:00pm Market Check

 The market remained marginally under pressure amid volatility. The Sensex fell 51.11 points to 26220.86 and the Nifty declined 15.95 points to 7836.45. 

The broader markets declined too with the BSE Midcap and Smallcap indices losing 0.2-0.4 percent. 

Declining shares outnumbered advancing ones by a ratio of 1505 to 1233 on the Bombay Stock Exchange.

India looks extremely favourable moving into FY15, says Adrian Mowat of JPMorgan. He expects India to outperform even in FY16, saying India is likely to get disproportionate flows this year and next. 

The rupee traded marginally higher as sentiment improved after positive growth forecast from the IMF. However, weakness in equities limited the upmove.

Oil marketing stocks like BPCL, HPCL and IOC surged 3-5% on hopes that diesel profitability will rise as Brent crude prices are almost 20 percent lower from their 2014 highs. Analysts say that every rise of 50 paise per litre in the diesel margin for the full year will improve FY15 earnings per share for OMCs between 19 to 43 percent.

Infosys, Tata Steel, Force Motors, SBI, Larsen and Toubro, Tech Mahindra and Apollo Tyres were most active shares on exchanges. More Information Please visit this site www.bigprofitbuzz.com

Stock Market Trend analysis for the week starting from 7thoct 2014

Description –As after RBI policy declaration and then a bear attack in second half. It has hit a low at 7924 which was just on dot on our mentioned support of 7925. So far, we think Nifty showed the movement as we thought. Technically, charts are still weak and I believe that it can break 7840 levels too.

 Nifty forecast for week 7th October 2014 - 10th October 2014 

HI Traders We want to tell you as the last week almost selling pressure has been seen in the market and for the next week we are also expecting the low consolidation phase. As Market  is going to open after a long holidays. It may be possible that Nifty is likely to remain in bull grip for next week. It can touch 8400 & go even go beyond this. Avoid selling at lower levels make a sell only on high levels with strict stop loss. 

7940 is again crucial. Break below 7940 should give us levels of 7890 and the test towards 7850 too. We may get levels of 7950 in initial minutes itself. We have some 7900 put form good levels which we hold overnight. On higher side 7990-8000 levels will offer stiff resistance. Cross above 8000 will give levels of 8030.  

The writer is a contributor of share market related articles to financial newspapers. His tips are regarded as the best equity tips on Indian share trading.  More Information Please visit this site www.bigprofitbuzz.com

Nifty rangebound; oil & gas, banks, FMCG stocks lead

1:30pm Coal India divestment

 

Coal India divestment process should begin immediately after the Diwali festival on October 23, Manoj Joshi, joint secretary of financial markets in the Finance Ministry, said.

India's federal government wants to sell a 10 percent stake in the state-owned company this fiscal year ending March 31 as part of many divestments aimed at bolstering its stressed finances, reports Reuters. 

01:00pm Market Check

 

Equity benchmarks remained directionless as technology and healthcare stocks were under pressure while capital goods, oil & gas, FMCG, power and banks supported the market. 

The Sensex declined 11.48 points to 26260.49 and the Nifty fell 4.80 points to 7847.60. About 1241 shares have advanced while 1377 shares declined on the Bombay Stock Exchange. 

Hans Goetti, Head of Investment - Asia, Banque Internationale À Luxembourg SA doesn’t see the recent softness as an indication that equities are at the start of a bear market. In fact, he recommends market participants to buy the asset class on dips. He sees India as a re-rating candidate in the medium-term.

Speaking about the steep decline seen in global Brent price, which recent hit a 27-month low and is now below USD 91/barrel, he said demand for crude is down on the back of weak macroeconomic trends.

 Shares of TCS, Infosys, Sun Pharma, Wipro, Dr Reddy's Labs and Cipla topped the selling list, down 2-4 percent while L&T, ONGC, Tata Steel and BHEL gained more than 2 percent. 

Reliance Industries, ICICI Bank, SBI, Axis Bank, ITC, Tata Motors and HUL advanced around a percent.

In the midcap space, Punj Lloyd, Jindal Saw, BF Utilities, Rashtriya Chemical and Rallis India climbed 4-6 percent whereas Natco Pharma, Hexaware Tech, Trinity Trade, Va Tech Wabag and Bhushan Steel lost 4-5 percent. More Information Please Visit this site www.bigprofitbuzz.com

Fertiliser stocks rally, SBI and L&T gain; Sensex choppy

The market continued to see volatility due to lack of triggers. The next trigger for the market is second quarter (July-September) earnings season that will be kicked off by Infosys on Friday. 

The Sensex rose 16.73 points to 26288.70 and the Nifty advanced 6.10 points to 7858.50. About 1200 shares have advanced, 1034 shares declined, and 80 shares are unchanged. 

Larsen and Toubro rallied 2 percent after its subsidiary L&T Tech Services said it will acquire Dell's engineering services business. Competition Commission of India has approved the proposed deal. 

SBI climbed over a percent after CLSA said the lender is its top pick in the PSU banking space. It has a target price of Rs 3160 on the stock given bank's strong deposit franchise and focus to improve core performance. 

Fertiliser stocks like RCF and Chambal Fertilizers rose 2-4 percent after CNBC Awaaz's report suggested that the government has notified new urea investment policy, saying plants will continue to receive subsidy for 8 years post commencement of production. 

However, pharma stocks remained under pressure after the US Congress begun investigation into price hikes of 10 select generic drugs involving players like Sun Pharma, Dr Reddy's Labs and Cadila Healthcare. More information please visit this site www.bigprofitbuzz.com

Sensex, Nifty flat; Sun Pharma, Sesa, Infosys slip

09:35am Market Expert

The Indian equity market is going through a cyclical recovery, so one should brace for near-term correction, says Pankaj Murarka, Axis Asset Management. However, the outlook for India remains constructive in the medium-term hence any dip should be seen as an opportunity to buy, he told CNBC-TV18 in an interview.

The market would see some pullback due to global cues, but valuations are reasonable, he added.

On sectors, Murarka is betting on cyclicals. Among financials, he is positive on private banks. The fund house has also started buying public sector lenders in anticipation that economy recovery will help banks to improve their stressed balance sheets. 

He is also bullish on automobile and capital goods sector. 

09:15am Market Check

 Equity benchmarks opened marginally lower on Wednesday following weak global cues. The Sensex slipped 13.61 points to 26258.36 and the Nifty fell 4.75 points to 7847.65. 

About 437 shares have advanced, 315 shares declined, and 28 shares are unchanged. 

Shares of Sesa Sterlite, Infosys, Hindalco Industries, Sun Pharma, Gail India, NMDC and Jindal Steel were down 0.8-1.6 percent while NTPC, ONGC, Bharti Airtel, M&M, HUL and Tata Power gained 0.5-1 percent. 

The Indian rupee opened flat at 61.46 per dollar on Wednesday as against previous day's closing value of 61.43 a dollar. 

Dollar bulls are being forced to temper their enthusiasm post weak German data and IMF cutting its global growth forecast - dollar index eases to 85.664 off its 4-year highs. 

NS Venkatesh of IDBI Bank says the rupee will continue to take the cues from the equity market flows. He expects the rupee to trade in the range of 61.4-61.6/dollar. 

On the global front, Asian markets were trading weak following negative US cues. In the US, stocks fell sharply, extending losses into a second session, as investors fretted slowing economic growth in Europe and the potential impact on coming third-quarter earnings from US corporations. 

And in Europe, shares closed lower with sentiment curbed by weak economic data from Germany and a downturn on Wall Street. More information please visit this site www.bigprofitbuzz.com