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Sensex ends flat amid mixed trends

The market closed almost flat on Wednesday after a surprise rally on Tuesday.

After a volatile start and intra-day movement of 56 points, the Bombay Stock Exchange (BSE) 30-share Sensitive Index (Sensex) settled with a modest gain of 4.32 points at 3,411.64.

Mixed trends were observed in New as well as Old Economy stocks. Tech stocks, which gained substantially on Tuesday, shed some of their gains on profit-booking at higher levels. Buying support was seen in select Old Economy stocks. Defensive stocks displayed mixed trends.

While the institutional investors were active in select New as well as Old Economy stocks, the market turned cautious ahead of the fast approaching 2 July 2001 deadline banning carry-forward trading.

The BSE Sensex opened almost flat at 3,408. It swinged between positive and negative zones during the trading session, touching an intra-day low of 3,378.53 and a high of 3,434.13. The Sensex finally closed at 3,411.64, gaining 4.32 points or 0.13% over its previous close.

The National Stock Exchange's S & P CNX Nifty Index also gained 1.25 points to 1,095.35.

Turnover on BSE declined to Rs 1,593.24 crore (Rs 1,593.35 crore on 26 June 2001) from 8.24 crore shares traded. Of the 1,332 issues traded, advances outnumbered advances marginally with 599 gainers and 592 losers. 141 issues remained unchanged.

Pivotal stocks

Pivotals displayed mixed trends.

Software training major NIIT, after gaining 16% on Tuesday, posted another rise of 8.07% to Rs 374.20 on institutional buying. The stock, however, came off from its intra-day high of Rs 397.50. Over 13.85 lakh NIIT shares were traded on BSE.

Petrochemicals major Reliance Industries (RIL) recovered from a low of Rs 343.15 to Rs 359.80 before settling at Rs 358.45, gaining 3.30%, on renewed institutional buying support. Over 22 lakh RIL shares were traded on BSE.

Buying continued in pharma major Ranbaxy Laboratories, which closed with a gain of 3.79% to Rs 488.90.

Cement majors like ACC (up 2.86% to Rs 136.70), L & T (up 1.27% to Rs 219.45) and Gujarat Ambuja Cements (up 0.80% to Rs 189.05) also posted gains on hopes that the industry would show a grow rate between 7-8% during the year. Local institutions were believed to have been active on these counters.

On the other hand, M & M (down 6.97% to Rs 81.40) slipped on continued profit- booking. The stock touched its 8-year low of Rs 81 in intra-day trades.

Dr Reddy's Laboratories (down 5.69% to Rs 1,592.35) declined on profit-booking, after recent gains. The interest on the counter was on expectations that the Danish drug maker Novo Nordisk may take one of the two diabetes drugs licensed from the company into phase III trials.

Tech stocks lost ground on profit- booking after a firm start.

Satyam Computer came off from an intra-day high of Rs 180.35 to Rs 168.50 before settling at Rs 170.15, losing 3.63% from its previous close. Satyam topped volumes on BSE with over 92 lakh shares being traded.

Infosys Technologies declined from a high of Rs 3,600 to Rs 3,460 before settling at Rs 3,537.95, down 0.79% from its previous close.

Media major Zee Telefilms (down 2.81% to Rs 112.55) slipped sharply from an intra-day high of Rs 120.75 on profit- booking at higher levels.

Bhel (down 2.62% to Rs 169.15) came off sharply from an intra-day high of Rs 184 on profit-booking at higher levels. The state-run electrical equipment major gained ground initially following reports that the company had bagged a Rs 285-crore order for supply of gas turbines for a power project in Gujarat. However, it erased all of its gains towards the close of the session.

Cigarette major ITC (down 1.73% to Rs 784.90) slipped on profit-booking at higher levels.

Stocks like Hindalco, Bajaj Auto, HPCL, State Bank of India and BSES settled in the red.

Tech stocks

Non-Sensex tech stocks displayed mixed trends.

DSQ Software (up 10.17% to Rs 60.10) hit 8% upper limit of the circuit breaker.

Buying was seen in other stocks like Soffia Software, Silverline Technologies, SSI, Wipro, Nucleus Software, Infotech Enterprises, Hughes Software, Aftek Infosys, Trigyn Technologies, Ramco Systems, Mastek and Mindteck.

On the other hand, Mascot Systems (Rs 105.25) was frozen at 8% lower limit of the circuit breaker.

Pentasoft Technologies, Subex Systems, Fujitsu ICIM, Geometric Software, Aztec Software, Mphasis BFL, Polaris Software, VisualSoft, Aptech, Tata Infotech, HCL Technologies, PSI Data Systems, Digital Equipment and CMC settled in the red.

Telecom stocks

Among telecom stocks, while Global Tele-Systems (Rs 146.55) hit 16% upper limit of the circuit breaker for the second time in a row on huge pent-up demand, HFCL (up 14.24% to Rs 85.05) rose further amid huge volumes.

Selective buying was seen in other telecom-related stocks like Shyam Telecom, VSNL, Surana Telecom and Sterlite Industries.

Optical fibre makers like Sterlite Optical (down 3.76% to Rs 335.70) and Aksh Optifibre (down 2.44% to Rs 126.10) lost ground, after a steady start.

Stocks like Mobile Telecom, Krone Communications, Finolex Cables, Goldstone Technologies, Punjab Communications, Usha Beltron, Framatome Connectors, Tata Telecom and Vindhya Telelinks settled in the red.

Media stocks

Selling was seen in media stocks like G. V. Films, Cinevista Communications, Tips Industries, Vision Tech, Mukta Arts, Crest Communications, TV 18, Balaji Telefilms and Jain Studios.

On the other hand, Creative Eye, Pentamedia Graphics, Adlabs Films, Sri Adhikari Brothers, Saregama India, Pritish Nandy Communications and Padmalaya Telefilms settled in the positive zone.

Pharmaceutical stocks

Selling pressure was seen in non-Sensex pharmaceutical stocks like Suven Pharma, Sun Pharma, Abbott Laboratories, Wockhardt, Glenmark Pharma, German Remedies, J. B. Chemicals, Parke Davis, Burroughs Wellcome, Hoechst Marion Roussel, Astra IDL, Fulford, Pfizer, Lupin Laboratories and Novartis.

On the other hand, Alembic, Torrent Pharma, Ipca Laboratories, Panacea Biotech, E. Merck, Morepen Laboratories, Rhone Poulenc, Aurobindo Pharma, Wyeth Lederle, Kopran, Nicholas Piramal, SmithKline Beecham Pharma and Knoll Pharma posted gains.

FMCG stocks

Fresh buying was seen in fast moving consumer goods (FMCG) stocks like Dabur India, Archies Greetings, Bata India, Reckitt Benckiser, Tata Tea, Procter & Gamble, SmithKline Beecham Consumer Healthcare, VST Industries and Bausch & Lomb.

On the other hand, United Breweries, Nirma, Britannia Industries, Gillette India and Cadbury ended in the red.

Among side counters, Saw Pipes (Rs 81.70) hit 8% lower limit of the circuit breaker.

Selling was seen in Crompton Greaves, Thermax, Bayer India, Apollo Hospital, Essel Packaging, Hinduja TMT, Adani Exports, Gati Corporation, TVS Electronics, Foseco India, ITW Signode, TVS Suzuki, Crisil, Atlas Copco, BPCL, Max India, EIH, Moser Baer and Ingersoll Rand.

Titan Industries (down 1.23% to Rs 44.20) ended in the red ahead of the announcement of its FY 2001 results. After market hours, the watch and jewellery major posted a 21.78% rise in net profit to Rs 23.48 crore (Rs 19.28 crore) on sales of Rs 638.77 crore (Rs 567.81 crore).

On the other hand, DSQ Biotech (up 15.67% to Rs 32.85) crossed 8% upper limit of the circuit breaker.

Selective buying was also seen on other side counters like Apollo Tyres, Kochi Refineries, Voltas, Aventis CropScience, Bharat Forge, Philips India, Blue Dart Express, Hindustan Inks, Raymond, Ballarpur Industries, Amara Raja Batteries, ICI India, Ashok Leyland, IPCL, Elbee Services, Cummins India, Bharat Electronics and Syngenta India.

Modi Rubber (up 0.95% to Rs 68.80) gained ground following reports that the Securities and Exchange Board of India has validated its open offer for buying shares from its shareholders at Rs 90 per share.

Source: www.capitalmarket.com

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