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Heavyweight stocks lift Sensex by 50 points

The market bounced back on Thursday on renewed institutional buying in heavyweight stocks, after a recent fall from the higher levels.

After remaining in the positive zone for the entire trading session, the BSE 30-share Sensitive Index (Sensex) settled with a gain of 49.56 points at 3,520.11.

The NSE S&P CNX Nifty Index rose by 26.07 points to close at 1,149.60.

Contrary to expectations of subdued trading, the market, in fact, spurted on renewed institutional support to heavyweight stocks. A slew of adverse developments like the unabated violence in Gujarat, a sustained fall on tech-heavy Nasdaq and the rising global crude oil price following the tension in the Middle East failed to bog down the sentiment.

Hopes of renewed buying by foreign institutional investors (FIIs) triggered the recovery. FIIs stepped up their purchases on Tuesday, putting in a net Rs 51.40 crore, as compared to their net inflow of a meagre Rs 0.30 crore on Monday. Institutions indulged in bargain hunting in blue chips, after their recent slide from the higher levels.

Hindustan Lever (HLL) (up 5% to Rs 228.85) recovered on renewed institutional buying, after recent fall from the higher levels. Over 15.57 lakh HLL shares were traded on the BSE.

Infosys Technologies (up 4.25% to Rs 3,670) rose on fresh institutional support, after a recent fall from the higher levels. Infy, the company's American Depository Share (ADS), rose by $0.75 on Wednesday to $63.90, despite a further fall on the Nasdaq.

Reliance Industries (RIL) (up 2.18% to Rs 305) rose after the company announced that it has raised the prices of all its polyester, polymer and fibre intermediate products by 4.9 to 16.3%, effective from 1 April 2002. RIL topped volumes on the BSE, with over 72.57 lakh shares being traded.

Colgate (down 9.77% to Rs 150.50) lost ground after the company denied any move to come out with a share buy-back programme. Close to 4 lakh Colgate shares were traded on the BSE.

Dr Reddy's Laboratories (down 2.84% to Rs 1,098) slipped after France's Sanofi-Synthelabo SA said on Wednesday that it would take legal action against the Indian pharma major over its plans to produce a version of its blockbuster blood-clot drug, Plavix.

KPIT Infosystems (up 16.15% to Rs 176.20) jumped further on rumours of the Pune-based tech company having bagged a major overseas order.

Wipro bounced back from a low of Rs 1,620 to Rs 1,798 before settling at Rs 1,785, up 9.12% over its previous close, on renewed buying.

Subex Systems (up 8.02% to Rs 159.55) gained ground after the Bangalore-based telecom software company announced that it has won a contract from BPL Mobile to deploy its Fraud Management System (FMS), Ranger.

Stocks of IT-enabled service providers like Mphasis BFL (up 9.75% to Rs 582), e-Serve International (up 7.68% to Rs 520) and Hinduja TMT (up 8.68% to Rs 269.85) rose on renewed buying.

Blue Star Information (up 5.83% to Rs 184.25) ended with modest gains, coming off from the its 52-week high of Rs 208.90. The stock had hit 20% upper limit of the circuit breaker earlier in the session, after the company announced on Wednesday the signing of a $9-million application outsourcing contract with Micro Warehouse, a leader in the provision of computer solutions.

Bharti Tele-Ventures (up 6.06% to Rs 38.50) rose after the company said it expects to double its FY 2003 revenue to Rs 3,200 crore. The company launched its fixed-line telephone service in Karnataka, after launching similar service in Tamil Nadu on Wednesday.

Kodak India (up 11% to Rs 267) firmed up on reports that the company will export cameras produced at its Bangalore plant to the emerging markets of South East Asia and Latin America. There have been rumours that the company's parent may buy out the holding of 25% minority shareholders.

IPCL (up 5.99% to Rs 92) rose, touching its 52-week high of Rs 93.80 in intra-day trades, as the disinvestment ministry allowed Reliance Industries to participate in the bidding process of the petrochemicals PSU.

Market @ 1430: Sensex holds on to gains; techs advance

The market held on to its gain in afternoon trades on sustained buying in heavyweight stocks.

At 14:00 IST, the Sensex was up by 53.06 points at 3,516.05.

The NSE S & P CNX Nifty Index was also up by 18.99 points at 1,142.45.

Buying support was seen almost across-the-board despite adverse developments like the continued violence in Gujarat, a further fall on the US markets and rising the tension in the Middle East. Players feel that hopes of renewed buying by foreign institutional investors (FIIs) could have triggered the recovery. FIIs stepped up their purchases on the bourses on Tuesday, putting in a net Rs 51.40 crore, as compared to their inflow of a meagre Rs 0.30 crore on Monday.

Stocks of public sector undertakings (PSUs) were again in the limelight after the Divestment Minister Arun Shourie promised to accelerate the government's privatisation drive.

Hindustan Lever (up 4.24% to Rs 227.20) led the gains in Sensex stocks on sustained buying, after a recent fall from the higher levels. Over 10.29 lakh HLL shares were traded on the BSE.

Reliance Petroleum (up 3.47% to Rs 26.85) and Reliance Industries (up 3.18% to Rs 308) held on to their gains on sustained buying.

Buying was seen in tech pivotals like Infosys Technologies (up 3.35% to Rs 3,638.10), HCL Technologies (up 2.22% to Rs 257.55) and Satyam Computer (up 1.65% to Rs 258.50).

Old Economy pivotals like Hindalco (up 1.77% to Rs 740), State Bank of India (up 1.24% to Rs 233.50), Castrol India (up 1% to Rs 187), L & T (up 0.99% to Rs 184), Tata Iron & Steel (up 0.55% to Rs 99.80), ICICI (up 0.32% to Rs 63.50) and Telco (up 0.08% to Rs 125.10) recorded gains.

PSU pivotals like Bhel (up 0.71% to Rs 190.25), MTNL (up 0.40% to Rs 152) and HPCL (up 0.35% to Rs 297.50) were flat.

GlaxoSmithKline (up 0.32% to Rs 366) bounced back into the positive zone, recovering from the day's low of Rs 361 on renewed buying.

On the other hand, Colgate (down 7.97% to Rs 153.50) remained subdued on sustained selling pressure, after the oral care major denied any move to buy-out the Indian shareholding. Close to 3 lakh Colgate shares were traded on the BSE.

Domestic pharma pivotals like Dr Reddy's Laboratories (down 1.81% to Rs 1,109.70), Ranbaxy (down 1.20% to Rs 882) and Cipla (down 0.84% to Rs 1,032.20) were also in the negative territory.

Cement pivotals like Gujarat Ambuja Cements (down 1.23% to Rs 209.25), ACC (down 0.58% to Rs 155) and Grasim (down 0.40% to Rs 286.75) were in the red on selling pressure.

Other pivotals like Hero Honda Motors, Zee Telefilms, ITC and Nestle remained in the negative territory.

KPIT Infosystems (up 16.68% to Rs 177) and Blue Star Information (up 9.94% to Rs 191.40) remained firm on selective buying.

Subex Systems (up 3.66% to Rs 153.10) held on to its gain on selective buying, after the Bangalore-based telecom software company announced that it has won a contract from BPL Mobile to deploy its software, Fraud Management System, Ranger.

Other second-line tech stocks like Tata Infotech, Infotech Enterprises, Zensar, Tata Elxsi, Geometric Software, Orient Information, Nucleus Software, PSI Data Systems, Mascon Global, Fortune Info, Sonata Software, DSQ Software, Ramco Systems, Aftek Infosys, Financial Technologies and Mastek held on to their gains.

Dredging Corporation (up 13.45% to Rs 304) remained firm, after touching a new 52-week high of Rs 312 in early trades. From its recent low of Rs 173.10 touched on 28 February 2002, the stock of the PSU has risen by 75.62% on sustained buying following the hopes of divestment of the government's stake in the company.

Neyveli Lignite (up 7.56% to Rs 24.90) advanced, touching a new 52-week high of Rs 25.90 in early trades. Over 10.20 lakh Neyveli shares were traded on the BSE.

IPCL (up 6.62% to Rs 92.55) held on to its gain after touching its 52-week high of Rs 93.80 on sustained buying, as the Disinvestment ministry has allowed Reliance Industries (RIL) to participate in the bidding process of the petrochemicals PSU. Over 10.30 lakh IPCL shares were traded on the BSE.

Nalco (up 3.93% to Rs 86) was steady on selective buying, after the state-run aluminium major announced on Wednesday that it produced a record 2,32,130 tonne of aluminium in FY 2002 as compared to 2,30,516 tonne in the previous year.

Engineers India (up 3.55% to Rs 310.50) advanced on selective buying. The stock has been in the limelight of late, after the Cabinet Committee on Divestment (CCD) last week approved a plan to sell 51% equity stake in the PSU to a strategic investor.

Other PSU stocks like Container Corporation, RCF, NFL, Kochi Refineries, Sail, Shipping Corporation of India, Gail, Bharat Earth Movers and IBP also posted gains.

On the other hand, Indian Oil (down 2.21% to Rs 216.35), ONGC (down 2.30% to Rs 337.70), BPCL (down 0.57% to Rs 321.75) and Chennai Petroleum (down 1.60% to Rs 37) slipped into the red on selling pressure, after the international oil price shot up above $ 27 per barrel.

Bharat Electronics (BEL) (down 1.56% to Rs 145.50) also slipped into the red, coming off from the day's high of Rs 152.90 on profit-booking, after recent gains. Over 1.90 lakh BEL shares were traded on the BSE.

HLL firms up; pharma pivotals slip

Helped by sustained buying in heavyweight pivotals, the market remained firm in afternoon trades. Heavyweight pivotals RIL, HLL, RPL and Infosys Tech attracted renewed buying interest from operators as well as institutions.

Players feel that the renewed buying interest could be due to bargain hunting in blue chips after a recent fall from the higher levels. Buying interest was observed in New as well as Old Economy stocks.

Stock-specific buying was seen on select side counters.

The BSE Sensex, meanwhile, held gains as trading progressed. At 13:00 IST, the Sensex was up 55.33 points to 3,518.32.

The NSE S & P CNX Nifty Index was up 18.09 points to 1,141.60.

Reliance Industries (up 3.85% to Rs 310) held gains after the company announced that it had raised the prices of all its polyester, polymer and fibre intermediate products by 4.9 to 16.3% effective from 1 April. Over 42 lakh RIL shares were traded on BSE so far.

Hindustan Lever (up 4.01% to Rs 228.75) held gains on sustained buying interest. Prior to today's recovery, the stock of the FMCG heavyweight had shed over 18% to Rs 217.95 on 3 April from its 52-week high of Rs 266 touched on 1 March. Close to 10 lakh HLL shares were traded on BSE so far.

Reliance Petroleum (up 3.47% to Rs 26.85) was steady on sustained buying interest with over 21 lakh shares traded on the counter so far.

Tech pivotals Infosys Tech (up 3.26% to Rs 3,635), Satyam Computer (up 1.51% to Rs 258.15) and HCL Tech (up 0.91% to Rs 254.25) held gains.

Old Economy pivotals State Bank of India (up 1.63% to Rs 234.40), Hindalco (up 1.50% to Rs 738), Castrol India (up 1.50% to Rs 738), L & T (up 0.91% to Rs 183.85), Tata Steel (up 0.60% to Rs 99.85), HPCL (up 0.34% to Rs 297.45) and ICICI (up 0.32% to Rs 63.50) proved stable.

Colgate (down 7.52% to Rs 154.24) remained subdued on selling pressure after the company denied rumours that it planned to buy-out the Indian shareholding. 2.90 lakh Colgate shares were traded on BSE.

Dr Reddy's Labs (down 1.86% to Rs 1,109.05) fell on sustained selling pressure after France's Sanofi-Synthelabo SA said on Wednesday it would take legal action against the Indian pharma major over its plans to produce a copycat version of its blockbuster blood-clot drug Plavix. Sanofi, Europe's fastest-growing drugs group, said DRL had filed an application to manufacture a generic version of Plavix, hoping to get the green light before Sanofi's patents expire in 2003, 2011 and 2014.

Other pharma pivotals Cipla (down 1.07% to Rs 1,029.85) and Ranbaxy Labs (down 0.98% to Rs 884) also remained subdued.

ITC (down 0.41% to Rs 685.50) came off the day's high of Rs 694.

Other pivotals Gujarat Ambuja Cements, ACC, Bajaj Auto, Hero Honda Motors, Bhel, Zee Telefilms and Nestle India were trading in the red.

Stocks of IT-enabled services providers MphasiS BFL (up 11.07% to Rs 589), Hinduja TMT (up 10% to Rs 263) and e-Serve International (up 7.87% to Rs 520.90) jumped in afternoon trades.

Non-Sensex frontline tech stocks Wipro (up 3.31% to Rs 1,690.50), Hughes Soft (up 1.77% to Rs 272.90), Polaris Soft (up 1.60% to Rs 187.05), NIIT (up 1.40% to Rs 235.85), Mascot Systems (up 1.39% to Rs 219.30), SSI (up 0.50% to Rs 169.75) and Digital GlobalSoft (up 0.99% to Rs 554.55) held gains.

Vashisti Detergents (Rs 16.25) hit the 20% upper limit of the circuit breaker on renewed buying interest. Close to 3 lakh VDL shares were traded on BSE.

Hind Construction (up 13.76% to Rs 52.90) gained further ground on sustained buying interest after the company announced on Tuesday that it has secured a work order for Rs 238 crore from Nuclear Power Corporation of India for construction of main plant (civil works) for Rajasthan atomic power project - 5&6.

Maharashtra Scooters (up 13.05% to Rs 55) rose on renewed buying interest amid talks of an imminent divestment of the Maharashtra government's stake in the company. Over 25,000 MSL shares were traded on BSE.

Jaiprakash Industries (up 8.73% to Rs 28.65) rose on value buying.

Widia India (Rs 64.15) hit the 8% upper limit of the circuit breaker, for the second time in a row, on sustained buying interest.

Other side counters Excel Industries, Ciba Specialty Chemicals, ICI India, Ingersoll Rand, Crompton Greaves, Apollo Hospitals, Bharat Forge, BPL, Supreme Industries, Tata Infomedia, Indo Gulf Corp, Gujarat Gas Company, Basf India, Punjab Tractor, MacMillan India and Sesa Goa gained ground.

Aban Lloyd Chiles, Wartsila India, Ashok Leyland, Mico, Trent, Whirlpool of India, Blue Star, Mirza Tanners, KSB Pumps, Thomas Cook, Colour Chem, M & M, Arvind Mills and Madras Cements were also trading in negative territory.

Market @ 1330: Sensex up 54 points

Sustained buying in heavyweight blue chips kept the market firm in mid-morning trades after a steady opening today. The mood appeared cautiously optimistic despite adverse developments like the unabated violence in Gujarat, a sustained fall in the US markets and tension in the Middle East.

Players feel that the renewed buying interest could be due to bargain hunting in blue chips after a recent fall from the higher levels. While tech and PSU stocks were in the limelight, buying interest was also seen in defensive sector stocks.

The BSE Sensex, as a result, remained firm as trading progressed. By 11:50 IST, the Sensex climbed 53.69 points to 3,516.68.

The NSE S & P CNX Nifty Index rose 17.98 points to 1,141.45.

Reliance Industries (up 4.14% to Rs 310.85) was firm on reports that the company has hiked product prices. According reports, the price of PSF has been hiked by 10.4% and POY by 5.6%. Additionally, the Ministry of Divestment has allowed India's largest private sector enterprise to participate in the bidding process of Indian Petrochemicals Corporation (IPCL). Over 33 lakh RIL shares were traded on BSE so far.

Reliance Petroleum (up 3.28% to Rs 26.80) also gained ground on renewed buying interest with over 14 lakh shares being traded on the counter.

Infosys Tech (up 3.29% to Rs 3,636) advanced after a recent fall from the higher levels. From a recent high of Rs 4,304 touched on 11 March 2002, the stock of the tech bellwether slipped by over 18% amid fears that the company may issue lower earnings guidance for FY 2002-03 at the time of announcing its Q4 results. Infy, the Infosys Tech ADS, rose $ 0.75 on Wednesday to $ 63.90, despite a further fall in the tech-heavy Nasdaq.

Other tech pivotals Satyam Computer (up 1.45% to Rs 258) and HCL Tech (up 1.21% to Rs 255) remained steady on selective buying.

Heavyweights Hindustan Lever (up 2.71% to Rs 223.85), State Bank of India (up 1.80% to Rs 234.80) and ITC (up 0.42% to Rs 691.25) also contributed to the gains of the Sensex.

Selective buying continued in PSU pivotals HPCL (up 0.79% to Rs 298.80), MTNL (up 0.79% to Rs 152.60) and Bhel (up 0.85% to Rs 190.50).

Old Economy pivotals Hindalco, State Bank of India, Castrol India, Tata Steel, Telco, BSES, ICICI and Grasim held gains.

Colgate Palmolive (down 7.55% to Rs 154.20) was subdued after the company denied rumours that it planned to buy-out the Indian shareholding. Over 2.55 lakh Colgate shares were traded on BSE.

Old Economy pivotals Gujarat Ambuja Cements, Bajaj Auto, ACC and Hero Honda Motors continued to trade in negative territory.

Selling continued in pharma pivotals Ranbaxy Labs (down 0.77% to Rs 885.90), Dr Reddy's Labs (down 0.63% to Rs 1,123) and Glaxo (down 0.48% to Rs 363.10).

Zee Telefilms (down 0.27% to Rs 164.40) came off from the day's high of Rs 166.90.

KPIT Info (up 16.02% to Rs 176) came off slightly after touching its 52-week high of Rs 182 earlier in the day. Over 3.20 lakh KPIT Info shares were traded on BSE so far.

Blue Star Info (up 10.28% to Rs 192) also came off from its 52-week high of Rs 208.90 on profit taking at higher levels.

Stocks of IT-enabled services providers Hinduja TMT (up 5.71% to Rs 252.75), e-Serve International (up 5.61% to Rs 510) and MphasiS BFL (up 2.77% to Rs 545) rose on renewed buying interest.

Alembic (up 8.30% to Rs 107) and Shasun Chemicals (up 6.09% to Rs 77.55) rose on selective buying interest.

Cadila Healthcare (up 3.97% to Rs 137.55) improved on sustained buying interest. From its recent low of Rs 123 touched on 22 March, the stock of the Ahmedabad-based pharma company has risen nearly 12% on fresh buying. Earlier this week, the company announced that it will buy out Banyan Chemicals, a closely held company and USFDA approved unit located in Vadodara district of Gujarat, engaged in the manufacture of active pharmaceutical ingredients, intermediates and finished drugs.

Other non-Sensex pharma stocks Gufic BioScience, Morepen Labs, Aventis Pharma, Ipca Labs, Wyeth Lederele, E Merck, Fulford, Pfizer, Duphar Interfran, FDC, Nicholas Piramal, Aurobindo Pharma, Knoll Pharma, Novartis India and Parke Davis moved up.

Lupin (down 1.11% to Rs 128.50) was slightly weak on profit booking after Wednesday's over 8% gains.

Other pharma stocks Suven Pharma, Abbott Labs, IndSwift, Wockhardt and Sun Pharma were trading in negative territory.

Shaw Wallace (up 16.05% to Rs 60) jumped on renewed buying interest. The stock of the liquor major had risen by nearly 56% from its recent low of Rs 38.50 touched on 28 March on reports that the Dubai-based Jumbo group is keen on buying the remaining 60.93% equity stake in the company.

Kodak India (up 9.54% to Rs 263.50) advanced on reports that the company will export cameras produced at its Bangalore plant to the emerging markets of South East Asia and Latin America. Apart from India, the company also expects demand to come from these emerging markets.

Other FMCG stocks Henkel Spic, McDowell & Co, Tata Tea, Gillette India, Britannia Industries, Godrej Consumer Products, Dabur India, Bata India, Rayban Sun Optics, Nirma, P & G and SmithKline Beecham Consumer Healthcare gained ground.

Market @ 1100: Sensex up 38 points

Contrary to expectations of a subdued opening, the market commenced firm on Thursday following renewed buying in select blue chip heavyweights.

The BSE 30-share Sensitive Index (Sensex) began steady at 3,463.29 and gained further ground as trading progressed. By 10:20 IST, the Sensex rose 38.15 points to 3,501.14.

The NSE S & P CNX Nifty Index moved up 12 points to 1,137.

The market displayed strength despite a slew of adverse developments. Unabated violence in Gujarat, a sustained fall in the tech-heavy Nasdaq and rising tension in the Middle East failed to dampen the sentiment in opening trades.

Hindustan Lever (up 2.09% to Rs 222.50) rose on renewed buying interest after a recent fall from the higher levels.

Reliance Industries (up 1.42% to Rs 302.75) gained ground after the Ministry of Divestment allowed India’s largest private sector enterprise to participate in the bidding process of Indian Petrochemicals Corporation (IPCL).

Reliance Petroleum (up 1.16% to Rs 26.25) and State Bank of India (up 1.02% to Rs 233) also recovered on renewed buying interest.

Infosys Tech (up 0.96% to Rs 3,554) recovered on renewed buying after a recent fall. From a recent high of Rs 4,304 touched on 11 March 2002, the stock of the tech bellwether has slipped by over 18% amid fears that the company may issue lower earnings guidance for FY 2002-03 at the time of announcing its Q4 results. Infy, the Infosys Tech ADS, rose $ 0.75 on Wednesday to $ 63.90, despite a further fall in the tech-heavy Nasdaq.

Tech pivotals Satyam Computer (up 0.94% to Rs 256.70) and HCL Tech (up 0.42% to Rs 253) attracted fresh buying interest.

ITC (up 0.52% to Rs 691.90) rose on renewed buying after a recent fall from higher levels.

PSU pivotals MTNL (up 0.69% to Rs 152.45) and HPCL (up 0.83% to Rs 298.90) recovered marginally.

Other Old Economy pivotals Castrol India, Hindalco, ICICI, Telco and L & T moved up.

Colgate (down 6.56% to Rs 155.85) was subdued on selling pressure after the stock gained 10% on Wednesday amid rumours that the company’s MNC parent may consider buying out the Indian shareholding in the oral care major at a price above Rs 200 per share.

Blue Star Info (up 13.15% to Rs 197) touched a new 52-week high of Rs 208.90 after the company announced on Wednesday the signing of a multi-year, $9-million application outsourcing contract with Micro Warehouse, a leader in the provision of computer solutions. As per this deal, BSIL has entered into an initial five-year contract with Micro Warehouse’s European HQ wherein the latter’s entire application development and maintenance requirements will be outsourced to BSIL.

Tata Infotech (up 7.66% to Rs 281) and Tata Elxsi (up 5.72% to Rs 87.75) advanced on rumours of a possible merger of Tata group infotech companies.

Subex Systems (up 2.57% to Rs 151.50) rose after the Bangalore-based telecom software company announced that it has won a contract from BPL Mobile to deploy its Fraud Management System (FMS), Ranger. Ranger will be deployed in all BPL Mobile networks.

Tata Telecom (up 4.68% to Rs 191.25) firmed up further to touch a new 52-week high of Rs 194.40 on sustained buying interest.

ICI India (up 17.73% to Rs 84) firmed up amid thin volumes of 427 shares.

IPCL (up 6.57% to Rs 92.50) ascended after the Ministry of Divestment allowed RIL to participate in the bidding process of the PSU.

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