Learn2trade and Gain BSE / NSE

Ingeniouis Investor –
Investment Advisory Division of Ravina Consulting.
Intelligent Investment Ideas for Indian Investors has been helping Investors for the last 2 decades having extensive knowledge about the Indian Capital markets.

Ravina Consulting
Ravina Consulting is a Management Consulting firm engaged in providing professional advise to the clients. Intelligent Investor is a Division of Ravina Consulting exclusively focused on providing research based support to enable Intelligent Investors to make wealth from the Financial markets in India. This program is designed with a view to help the Indian investor keen on making money in the market

The operations have started since the boom of 1984 and with our experience of more than 25 years we have perfected the art of giving the best Portfolio Management / Investment Advisory Services.

www.ingeniousinvestor.blogspot.com
Follow us – www.twitter.com/SmartInvestor

COURSE TITLE : ABCs of Stock Market Investing

OBJECTIVES
• Understanding Indian Financial Markets
• BSE – How it functions
• NSE – How it functions
• Commodities Exchange – How it functions
• Foreign Exchange - Basics
• Sectoral Indices
• Global Indices to track
• Technical Analysis
• Long term / Short term investing
• Day traders delight how to win and time the market 1
. Portfolio - Creating & tracking

PROGRAMME CONTENTS
The course has 1 modules consisting of 30 sessions each conducted online of 30 lectures / sessions followed by an assessment. Out of which 15 are theoretical in nature and 15 are practical applications.

TOOLS & TECHNIQUES :
We provide you with tools and explain the techniques to track the market and make money. We have the following investment options :
1. Long term investment – with holding of more than 12 Months
2. Short term investment – with holding of more than 1 month
3. Weekly investment – mostly BTST with holding of 1 week
4. Day trading – how to trade and make money


PARTICIPANTS' PROFILE
This program is designed for everyone who is keen to enter the Indian Stock
markets – B S E or N S E

Qualification :
A candidate wishing to undergo this program should be conversant with English and able to understand the program contents. Candidate should have basic knowledge of working on computers and is work with MS office and familiar with internet browsing.

Method of Delivery
Web-based / Online / telephone one hour for each session. The online sessions will be based on the presentations / study material sent to the candidates at
the time of registration.

Study Material
A well researched and informative set of study material is given to the students. A simple and easy to understand style of reports makes it easy even for the novices to know about the nuances of the Indian Share Market. The Study Material will be sent by hard copy / soft copy.

Bought to you by

Ingenious Investor
Equity Research Division

Ravina Consulting
No.429 Mahavir Tuscan
Near Hoodi Circle, Whitefield
Mahadevapura Post
BANGALORE 560048

For Stock Advise + Ideas
sowmya@ravinaconsulting.com
Talk / SMS 08105737966

Read - www.ingeniousinvestor.blogspot.com
Follow us - www.twitter.com/smartinvestor

Learn2trade and Gain BSE / NSE

Ravina Consulting
Ravina Consulting is a Management Consulting firm engaged in providing professional advise to the clients. Intelligent Investor is a Division of Ravina Consulting exclusively focused on providing research based support to enable Intelligent Investors to make wealth from the Financial markets in India. This program is designed with a view to help the Indian investor keen on making money
in the markets

Intelligent Investor –
Investment Advisory Division of Ravina Consulting.
Intelligent Investment Ideas for Indian Investors has been helping Investors for the last 2 decades having extensive knowledge about the Indian Capital markets.

The operations have started since the boom of 1984 and with our experience of more than 25 years we have perfected the art of giving the best Portfolio Management / Investment Advisory Services.

www.intelligentinvestor1.blogspot.com
Follow us – www.twitter.com/SmartInvestor

COURSE TITLE : ABCs of Stock Market Investing

OBJECTIVES
• Understanding Indian Financial Markets
• BSE – How it functions
• NSE – How it functions
• Commodities Exchange – How it functions
• Foreign Exchange - Basics
• Sectoral Indices
• Global Indices to track
• Technical Analysis
• Long term / Short term investing
• Day traders delight how to win and time the market 1
. Portfolio - Creating & tracking

PROGRAMME CONTENTS
The course has 1 modules consisting of 30 sessions each conducted online of 30 lectures / sessions followed by an assessment. Out of which 15 are theoretical in nature and 15 are practical applications.

TOOLS & TECHNIQUES :
We provide you with tools and explain the techniques to track the market and make money. We have the following investment options :
1. Long term investment – with holding of more than 12 Months
2. Short term investment – with holding of more than 1 month
3. Weekly investment – mostly BTST with holding of 1 week
4. Day trading – how to trade and make money


PARTICIPANTS' PROFILE
This program is designed for everyone who is keen to enter the Indian Stock
markets – B S E or N S E

Qualification :
A candidate wishing to undergo this program should be conversant with English and able to understand the program contents. Candidate should have basic knowledge of working on computers and is work with MS office and familiar with internet browsing.

Method of Delivery
Web-based / Online / telephone one hour for each session. The online sessions will be based on the presentations / study material sent to the candidates at
the time of registration.

Study Material
A well researched and informative set of study material is given to the students. A simple and easy to understand style of reports makes it easy even for the novices to know about the nuances of the Indian Share Market. The Study Material will be sent by hard copy / soft copy.

For a Demo Class contact us now !

Bought to you by

Ingenious Investor

Equity Research Division

Ravina Consulting

No.429 Mahavir Tuscan

Near Hoodi Circle, Whitefield

Mahadevapura Post

BANGALORE 560048

For Stock Advise + Ideas

sowmya@ravinaconsulting.com

Talk / SMS 08105737966

Read - www.ingeniousinvestor.blogspot.com

Follow us - www.twitter.com/smartinvestor

Learn2trade and Gain BSE / NSE

Ingenioius Investor – Investment Advisory Division of Ravina Consulting. Intelligent Investment Ideas for Indian Investors has been helping Investors for the last 2 decades having extensive knowledge about the Indian Capital markets. Ravina Consulting is a Management Consulting firm engaged in providing professional advise to the clients. Intelligent Investor is a Division of Ravina Consulting exclusively focused on providing research based support to enable Intelligent Investors to make wealth from the Financial markets in India. This program is designed with a view to help the Indian investor keen on making money in the markets The operations have started since the boom of 1984 and with our experience of more than 25 years we have perfected the art of giving the best Portfolio Management / Investment Advisory Services. www.ingeniousinvestor.blogspot.com Follow us – www.twitter.com/SmartInvestor COURSE TITLE : Learn2trade and Earn / ABCs of Stock Market Investing OBJECTIVES • Understanding Indian Financial Markets • BSE – How it functions • NSE – How it functions • Commodities Exchange – How it functions • Foreign Exchange - Basics • Sectoral Indices • Global Indices to track • Technical Analysis • Long term / Short term investing • Day traders delight how to win and time the market 1 . Portfolio - Creating & tracking PROGRAMME CONTENTS The course has 1 modules consisting of 30 sessions each conducted online of 30 lectures / sessions followed by an assessment. Out of which 15 are theoretical in nature and 15 are practical applications. TOOLS & TECHNIQUES : We provide you with tools and explain the techniques to track the market and make money. We have the following investment options : 1. Long term investment – with holding of more than 12 Months 2. Short term investment – with holding of more than 1 month 3. Weekly investment – mostly BTST with holding of 1 week 4. Day trading – how to trade and make money PARTICIPANTS' PROFILE This program is designed for everyone who is keen to enter the Indian Stock markets – B S E or N S E Qualification : A candidate wishing to undergo this program should be conversant with English and able to understand the program contents. Candidate should have basic knowledge of working on computers and is work with MS office and familiar with internet browsing. Method of Delivery Web-based / Online / telephone one hour for each session. The online sessions will be based on the presentations / study material sent to the candidates at the time of registration. Study Material A well researched and informative set of study material is given to the students. A simple and easy to understand style of reports makes it easy even for the novices to know about the nuances of the Indian Share Market. The Study Material will be sent by hard copy / soft copy. For a Demo Class contact us now ! Ravina Consulting B-429 Mahaveer Tuscan Hoodi Circle, Whitefield Mahadevapura Post BANGALORE 560084 www.ingeniousinvestor.blogspot.com intellinvestor@gmail.com or call 08105737966

Closing Bell 22 July 2009

Closing Bell 22 July 2009

The BSE-Sensex closed below the 15,000 level today as selling pressure emerged in heavyweights from the engineering and software sectors. The overall market breadth at close though, was equally poised for there was one loser for every gainer on the BSE. India was in fact the leading loser from among Asian markets, and was followed by Hong Kong (down 1.3%), and Singapore (marginally down). Key gainers in Asia included China (up 2.6%) and Japan (up 0.7%). Stocks in Europe have opened in the red today.

The BSE-Sensex and NSE-Nifty closed down by around 220 points (1.5%) and 70 points (1.5%) respectively. The BSE-Midcap and the BSE-Smallcap indices lost lesser as these were down by about 0.9% and 0.4% respectively. At the time of writing, the rupee was trading at 48.60 to the US dollar.

Key losers from the BSE-A group included India Cements, LIC Housing Finance, and IDFC. Stocks that bucked the trend today were Moser Baer, Lupin, and Gujarat NRE Coke.

HDFC, which announced its 1QFY10 results just a short while ago, emerged as the biggest loser among the Sensex and Nifty stocks. The company - among India's largest home finance lenders - has seen its net profits grow by around 21% YoY during the quarter. This has been on the back of an almost equivalent growth in interest income. More details are still awaited from the company.

Carrying on from where they had left yesterday, IT stocks emerged among the biggest losers today. HCL Tech, Tech Mahindra, and TCS saw significant selling pressure. Wipro, which announced its 1QFY10 results early today morning, was also at the receiving end. While the company's performance could be termed fair in a poor environment like now, the management has also sounded caution for the short to medium term future. It sees its clients remaining slow in their decisions with respect to discretionary spending on technology. However, the management is confident about retaining Wipro's market position on account of strong deal pipeline which is spread across geographies and industry verticals. To propel growth in the medium to long-term, the company will revamp investment in newer technologies like cloud-computing, renewable energy and environment sector, where it sees a lot of traction building. We see the dark clouds of slowdown in tech spending to still take some time to recede on the horizon, especially given that the biggest tech spenders in the US and Europe are still reeling under significant financial constraints.

Engineering stocks were also amongst the key losers today. Except stocks like Punj Lloyd and Welspun Gujarat that were amongst the gainers, others like Thermax and Voltas ended deep in the red. BHEL, which announced its June quarter results a short while ago, also closed weak. The company, India's largest public sector unit in the engineering industry, clocked a strong sales growth of 29% YoY during 1QFY10. This was helped by a 30% YoY growth in sales of the power division, which provides generation equipments to electricity utilities like NTPC in India. Importantly, the company managed to improve its operating margins to 9.2% thereby aiding a 22% YoY growth in net profits. Such results from BHEL come at a time when the capital goods sector is reeling under demand constraint led by economic slowdown and liquidity crisis. Though we still need to hear the management today evening as to what's their take on the macro environment in general, and BHEL's future in particular.

The Indian markets nosedived into the red during the previous two hours of trade on account of heavy selling activity across sectors. Stocks from the IT, engineering and auto sectors were at the receiving end, while select stocks from the realty and energy sectors are trading firm. The overall market breadth is positive, with total gainers outnumbering losers in a ratio of 2.3 to 1 on the BSE.

The BSE-Sensex and NSE-Nifty are trading weak, down by around 170 points and 60 points respectively. The BSE-Midcap and the BSE-Smallcap indices are also trading lower, down by around 0.6% and 0.3% respectively. The Rupee is trading at 48.53 to the Dollar.

As per a leading business daily, State Bank of India has received the government's nod to make a public offer of additional shares in order to raise capital. The bank would raise Rs 170 bn by way of sale of additional shares. The proposed offering would bring down the government's stake in the bank to 51% from 59.4%. The bank's capital adequacy ratio at the end of FY09 stood at 14.25%. SBI's management had earlier indicated that the bank will raise capital in FY10 to prop up its capital adequacy, as it is targeting a loan growth of 25% for the fiscal. The move is expected to enable the bank to cater to its targeted growth. The stock, along with its peers PNB and IDBI Bank, is trading weak.

Pharma stocks are trading mixed. While Piramal Healthcare is trading firm, Dr. Reddy's and Cipla are in the red. Dr. Reddy's announced its 1QFY10 results yesterday. The company's topline reported an impressive growth of 20% YoY, driven by the drug 'Imitrex' ('Sumatriptan') and higher revenues from the key markets of North America and India. A sharp fall in raw material costs, R&D and other expenses (as percentage of sales) led to the substantial 9.8% improvement in operating margins during the quarter. The net profit recorded a splendid 160% YoY growth mainly due to the strong performance at the operating level, and reduction in interest costs and depreciation charges. The German company Betapharm and Russia did not do too well during the quarter and for the full year, Dr.Reddy's expects the US, India, the semi-regulated markets and the custom manufacturing business to be the key growth drivers.

Persistent buying activity across sectors during the previous two hours of trade led the Indian markets to gain ground. Currently, stocks from the realty, metal and banking sectors are leading the pack of gainers, while select pharma and telecom stocks are trading weak. The overall market breadth is positive, with total gainers outnumbering losers in a ratio of 2.3 to 1 on the BSE.

The BSE-Sensex and NSE-Nifty are trading firm, up by around 200 points and 50 points respectively. The BSE-Midcap and the BSE-Smallcap indices are also trading higher, up by around 1.4% and 1.7% respectively. The Rupee is trading at 48.38 to the Dollar.

Pharma stocks are trading mixed. While Sun Pharma and Biocon are trading firm, Glenmark Pharma and Cipla are in the red. As per a leading business daily, Ranbaxy has received the final approval from the Canadian drug regulator, Therapeutic Products Directorate (TPD) for manufacturing and marketing its cholesterol lowering drug in the Canadian markets. As such, the company will market its cholesterol lowering drug, 'Ran-Simvastatin' in strengths of 5, 10, 20 and 40 mg. The product will be priced at an affordable rate, thus garnering higher volumes in the process. The total generic market size of the drug is CAD$ 152 m (about Rs 6,660 m) in the Canadian market. During 1QCY09, the North American market (including the US) contributed around 26% to the company's total revenues. This development will help Ranbaxy bolster its sales from the North American market, which is already under strain due to the issues Ranbaxy is facing there. The stock is trading marginally higher.

UltraTech Cements announced its 1QFY10 results yesterday. The company reported nearly 31% YoY growth in the topline on account of sustained demand for the commodity. The same was the result of government initiatives to boost rural development, infrastructure and housing. The operating margins expanded by 6.9% as costs grew at a slower pace as compared to the topline. The company had set up captive power plants to contain energy costs. This captive power generation and softening of coal prices led to the 7% YoY fall in variable costs. Net profits reported a 58% YoY growth. The board has approved an additional capex of Rs 6 bn and with this, the total capital outlay for the company would be Rs 20 bn. The same will be spent over the next two years to set up a captive power plant, waste heat recovery system and a grinding facility. These moves are beneficial from a long term perspective as it will enable the company to keep a check on rising costs of operation. At the same time, in the medium term, the additional upcoming capacities are likely to pressurize realisations and hence, profitability. The stock is currently trading higher.

The Indian markets began the day on a strong note today as buying activity was witnessed in stocks across sectors with realty, metals and banking leading the pack. On the other hand, stocks from the FMCG and IT space are amongst the lowest gainers. The overall decline to advance ratio stood at 3.3: 1 on the BSE. As regards global markets, the US and the European markets ended higher yesterday. The Asian markets are currently trading firm.

The BSE Sensex is trading higher by around 190 points, while the NSE Nifty is currently trading higher by about 50 points. The BSE Midcap and the BSE Smallcap indices are trading firm, higher by 1.6% and 1.7% respectively. The Rupee is trading at 48.32 to the Dollar.

Software stocks are currently trading firm led by Patni Computers, Satyam and Infosys. IT major Wipro announced its results this morning. The company witnessed a 3% QoQ decline in topline during 1QFY10. The reason behind the same was the slowdown in its IT services business, which contributed to about 77% of the company's revenues. However, it was able to expand its operating margin by 0.5% QoQ to 21.3% during the quarter. As per the company, this was manageable due to dedicated cost containment measures. As for profitability, the company was able to record a marginal 0.5% QoQ growth in the bottomline. This was on the back of decreased interest and depreciation charges as compared to the preceding quarter. During the quarter, the company added 26 clients in its IT services business. Its employee strength stood at 98,521 (IT services) at the end of 1QFY10, as against 95,675 in the corresponding quarter last year.

Steel stocks are currently trading firm led by Tata Steel and JSW Steel. As per a leading business daily, steel major SAIL has decided to further delay its expansion plans by about two years. As per the company's earlier targets, it was expected to increase its capacity to 26.2 m tonnes (hot metal) by 2012. SAIL now intends to have an installed capacity of 23.4 m tonnes by FY12 and the balance will be set up by 2014. The reason behind the same is the economic slowdown coupled with a slower than expected growth in domestic steel demand. It may be noted that the company had originally proposed to increase its capacity to 26.2 m tonnes by FY12. However, it brought forward its capacity addition plan to 2010 due to pressure from the steel ministry. Subsequently, the company had revised its plan due to the economic slowdown.

He may have received flak from some full-blooded capitalists but if a survey by Bloomberg is to be believed, Ben Bernanke, the US Fed Chairman has received top marks for combating the worst financial crisis since the Great Depression. And it wasn't a marginal verdict in favour of the 55-year old Bernanke. As many as 75% of those who were polled had said they were impressed with Bernanke. What more, he was ranked higher than his counterparts at other major central banks, including European Central Bank President, Jean-Claude Trichet. Indeed, ever since the crisis broke out Bernanke has moved with lightening speed, reducing interest rates to near zero levels and in no time, doubling the Fed's balance sheet by injecting trillions of dollars into the economy, a move that many believe has helped avoid a repeat of the Great Depression and has helped stoke chances of recovery sooner than expected.

However, not everyone has appreciated the move. There are some like Jim Rogers who have taken an extremely critical view of things, saying that by doing what Bernanke has done, we have set ourselves up for an even bigger crisis down the road. There is of course a lot of merit in his argument. By flooding the system with unprecedented liquidity, Bernanke has raised the threat of runaway inflation manifold and his biggest challenge would be to rein in the same without causing adverse effects on the economy. If he indeed manages to do the same, he might get top marks in our books as well.

Thank God for China, says US Inc.

At nearly US$ 600 bn, China's stimulus package is a lot less than that unveiled by the US, which stands at US$ 800 bn. But that's not the full story. If one were to compare on the basis of percentage of GDP, then China's stimulus far exceeds that of the US and this perhaps explains why a lot of US companies seem to be going ga-ga over China while announcing their most recent quarterly results. As per a leading daily, China seems to be proving one of the few bright spots during the US earnings season as the dragon nation's huge stimulus package is supporting demand for a variety of products, ranging from computers to construction equipment. Although the earnings season is far from over, the list of companies that have already mentioned China as a positive has already reached notable proportions. In fact, the number of China admirers is only likely to grow in the second half of the result season as investment in the country picks up and the multiplier effect of the stimulus further kicks in. Little wonder, people are expecting the country to recover the fastest from the global financial crisis. India isn't in a very bad position either. Although Planning Commission Deputy Chairman Montek Ahluwalia has stated that there could be no further fiscal stimulus packages for India, successful implementation of the ones that have already been approved is likely to see us through a decent enough economic growth. Furthermore, if the monsoon holds up well, we might end up with a GDP growth in the region of 6%-7%, which given the circumstances elsewhere, we would happily accept.

BSE / NSE Market Voices 22 July 2009

Market Voices 22 July 2009

Equities opened on a bright note on strong global cues and moved up further in morning trade but plunged deep down into the red as profit taking took centre stage again. A weak start in European markets and lower US index futures also contributed to the decline. Recording losses for the second successive session, the Sensex and Nifty ended sharply lower today.

The Sensex, which was up by over 300 points at one stage, ended the day at 14,840.63 (provisional) with a loss of around 222 points or 1.47%. The Nifty closed at 4402.35 with a loss of 66.75 points or 1.49%. The Sensex and Nifty plunged to 14,786 and 4380 respectively.

Capital goods, information technology, auto, power and pharma stocks declined sharply. Realty and PSU outperformed the market. After trading firm in the morning, midcap and smallcap stocks turned subdued as the session progressed. The market breadth was marginally negative at close.

ONGC moved up by over 4%. DLF ended 1.3% up. HDFC went down by over 5.5%. BHEL, Grasim, JP Associates, Tata Steel, TCS Reliance Infra, Maruti, M&M, RIL, Hindalco, ACC, L&T, RComm and Infosys also closed on a weak note. HCL Tech, Cipla, Cairn, ABB, SAIL and Tata Comm were among the major losers in the Nifty. GAIL India ended on a firm note.

Hold Yes Bank, says VK Sharma of Anagram Stock Broking

Tata Steel can give 5-10% return, says VK Sharma, of Anagram Stock Broking, on CNBCTV18

With more results to hit the market over the next few sessions, investors have turned cautious and are looking to book profits after recent sharp gains.

The Sensex is down by over 200 points at 14,855 and the Nifty is down by around 65 points at 4405.

Cipla touched an intraday high of Rs 284.90 and an intraday low of Rs 268.50. At 2:52 pm, the share was quoting at Rs 270.30, down Rs 12.25, or 4.34% on the NSE. It was trading with volumes of 1,418,103 shares. Yesterday the share closed down 0.21% or Rs 0.60 at Rs 282.55.

Drug maker Piramal Healthcare Limited has reported strong earnings. The company has posted a net profit of Rs 741.10 million for the quarter ended June 30, 2009 as compared to Rs 509.40 million for the quarter ended June 30, 2008. Total income has increased from Rs 4892.20 million for the quarter ended June 30, 2008 to Rs 5697.60 million for the quarter ended June 30, 2009. The stock has gained 3.3% to Rs 332.50. Ahead of announcement of results, the stock had drifted down to around Rs 322 earlier this afternoon.

Thermax Limited has signed technology agreements with two global leaders for advanced wastewater treatment. The company has announced that it has signed agreements with GE Water, USA and Wehrle Umwelt GmbH, Germany, for advanced solutions in sewage treatment and for treatment of hard-to-treat industrial effluents respectively. The Thermax stock, down 5.7% at Rs 428, is a good one for long term. However, fresh buying can be avoided for now. Small quantities can be picked up at sharp falls.

Moser Baer touched an intraday high of Rs 82.85 and an intraday low of Rs 78. At 2:20 pm, the share was quoting at Rs 81.80, up Rs 4.30, or 5.55%. According to sources, the company does not have to pay Philips any settlement fees. It is exploring acquisitions to augment technology gaps reports CNBC-TV18.

India Cements can move upto Rs 156, says Anu Jain of India Infoline on CNBC-TV18

GTL Limited has posted a net profit Rs 435.769 million for the quarter ended June 30, 2009 as compared to Rs 256.326 million for the quarter ended June 30, 2008. The stock, which had slipped after a positive start, is up just marginally at Rs 300.50 at present. One holding the stock with a long term plan can stay invested for now.

Glenmark Pharma can touch Rs 280, says Anu Jain of India Infoline

Selling has intensifed in mid afternoon trade and reeling under pressure, stocks across the board have declined sharply.

Profit taking is the prime reason for the market's sharp fall this afternoon. A weak start on the European bourses and lower U.S. index futures have also contributed to the fall. The Sensex, up pver 300 points at one stage today, is down with a big loss of 186 points at 14,876 now. The Nifty has tumbled to 4412.50, recording a loss of 56.60 points. IT, capital goods, power and auto stocks are among the major losers.

TCS has resistance at Rs 515, says Anu Jain of India Infoline on CNBC-TV18,

Grasim Industries touched an intraday high of Rs 2,824.90 and an intraday low of Rs 2,679. At 1:14 pm, the share was quoting at Rs 2,702, down Rs 88.25, or 3.16%.

It was trading with volumes of 43,156 shares. Yesterday the share closed up 0.95% or Rs 26.15 at Rs 2,790.25.

Axis Bank (Rs 868) can rise to Rs 910 - 915 where it is likely to face some resistance.

Short term investors can book partial or full profits at those levels and get back into the counter later at declines.

Jindal Steel & Power can rise by 6-7%, says Anu Jain of India Infoline on CNBC-TV18

Keep stop loss at Rs 224 on Punj Lloyd, says Anu Jain of India Infoline on CNBC-TV18

As expected, profit taking has pushed the market down into the red this afternoon.

Though more selling is not ruled out, one holding blue chip stocks can stay invested for now and use sharp dips to add small quantities. The market is likely to see some big rallies and a few equally big, or at times bigger, falls in the near term. Caution still remains the watchword.

Canara Bank's net profit surged to Rs 555.33 crore for the quarter ended June 30, 2009 as compared to Rs 122.68 crore for the quarter ended June 30, 2008. Total Income has increased from Rs 4099.05 crore for the quarter ended June 30, 2008 to Rs 5031.95 crore for the quarter ended June 30, 2009. The stock is up maginally at Rs 270. Investors can continue to hold the stock and pick up more at dips.

Buy MphasiS and Tech Mahindra on decline, says Anu Jain of India Infoline on CNBC-TV18

India Cements touched an intraday high of Rs 154.40 and an intraday low of Rs 144.10. At 12:26 pm, the share was quoting at Rs 144.70, down Rs 6.65, or 4.39%.

India Cements has come out with Q1FY10 numbers. Its revenues were down 2% at Rs 953 crore from Rs 973.69 crore, YoY.

Shares of Super Tannery India Limited are up on unusually large volumes.

The stock has vaulted 20% to Rs 6.86 on the back of an announcement from the company that its board will meet on 31 July 2009 to consider and recommend a bonus issue.

On BSE, around 1.93 lakh shares have changed hands at the counter, far higher than an average daily volume of around 6750 shares.

Vijaya Bank (Rs 43.50) is likely to give very good returns over a short run.

One can consider buying this stock at current levels. More quantities can be added to the portfolio at declines.

A decisive breakout at Rs 48 can result in a surge to Rs 55 - 58.

12:20 PM: Oil and Natural Gas Corporation, ONGC touched an intraday high of Rs 1,110.10 and an intraday low of Rs 1,044. At 12:04 pm, the share was quoting at Rs 1,094.70, up Rs 49.90, or 4.78%.

It was trading with volumes of 276,698 shares. Yesterday the share closed down 1.49% or Rs 15.80 at Rs 1,044.80.

NTPC: Sell below 206.80 with a stop loss of 208.50, ICICIdirect.com

India Cements Limited has posted a net profit of Rs 1442.80 million for the quarter ended June 30, 2009 as compared to Rs 1421.40 million for the quarter ended June 30, 2008. The firm's total income increased from Rs 8763.30 million for the quarter ended June 30, 2008 to Rs 9602.50 million for the quarter ended June 30, 2009. Following the announcement, the stock has declined sharply to Rs 146, recording a loss of nearly 3.5%.

Buy IT stocks on correction, says Sandeep J. Shah of Sampriti Capital on CNBC-TV18

Brahmaputra Infraprojects has bagged two orders worth an aggregate Rs 433 crores from Jaiprakash Associates for the construction of Yamuna Expressway connecting Greater Noida to Agro.

The stock has moved up by 5% to Rs 59.75.

Infosys Technologies touched an intraday high of Rs 1,972.00 and an intraday low of Rs 1,952. At 11:25 am, the share was quoting at Rs 1,962.80, up Rs 19.70, or 1.01%. The company has bagged order for eBiz project from Commerce Ministry, reports CNBC-TV18. It was trading with volumes of 58,069 shares. Yesterday the share closed down 1.50% or Rs 29.60 at Rs 1,943.10.

ITC: Sell below 218.50 with a stop loss of 220.50, ICICIdirect.com

Hotel Leela Ventures : Buy above 32 for the target of 33.30 / 34.50 / higher/ with a stop loss of 31.60, ICICIdirect.com

Tata Steel : Buy above 410 for the target of 418 / 422 / higher/ with a stop loss of 406, ICICIdirect.com

Some solid upside looks likely for infrastructure, cement and steel stocks in over the next 3 - 6 months.

One holding quality stocks in these sectors can stay invested and look at buying more in a staggered way at declines.

Nifty Futures: Sell below 4463 with a stop loss of 4465, ICICIdirect.com

Reasonably strong results and expectations that government will start some disinvestments soon are driving the market up.

Still, with monsoon rains not turning out to be sufficient, there is a possibility of some strong rounds of selling in the near run. However, a few positive surprises from India Inc and strong global markets could cap downside

Dr Reddy's Laboratories has moved up by over 3% to Rs 813 on strong results. The stocks is expected to move up further in the near run. However, a few rounds of selling on profit taking is not ruled out. One holding the stock can stay invested and those with a low appetite for risk can book some profits at rallies.

Welspun Gujarat Stahl Roh touched an intraday high of Rs 201.50 and an intraday low of Rs 193.40. At 10:06 am, the share was quoting at Rs 201.15, up Rs 9.30, or 4.85% on the NSE. It was trading with volumes of 928,852 shares. Yesterday the share closed down 2.81% or Rs 5.55 at Rs 191.85.

Wipro (cmp Rs 462) can be picked up for intra-day. The stock is likely to move on to Rs 472 - 475 or further up if the current momentum at the counter sustains for a while. Investors holding the stock can stay invested and buy more of it at sharp dips. Even over a short to medium run, a good upmove looks very likely.

Thermax touched an intraday high of Rs 440 and an intraday low of Rs 419.25. At 10:06 am, the share was quoting at Rs 425, down Rs 28.95, or 6.38%. it was trading with volumes of 5,661 shares. Yesterday the share closed down 0.23% or Rs 1.05 at Rs 453.95.

Brokerage Recommendations 22 July 2009

Brokerage Recommendations 22 July 2009

Buy Suzlon with a target of Rs 106 and stop loss of Rs 84-76, says Anil Maghnani, technical analyst, on Zee Bsuiness. The stock is currently trading at Rs 91, up 0.55% on the BSE.

Buy Welspun Gujarat with a target of Rs 233 and stop loss of Rs 190, says Mitesh Thakkar, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 200, up 4.3% on the BSE.

Buy HUL with a target of Rs 282 and stop loss of Rs 263, says Akshata Deshmukh, technical analyst, on Zee Business, as closing market strategy.

Buy Indiabulls Real Estate with a target of Rs 234 and stop loss of Rs 212, says Akshata Deshmukh, technical analyst, on Zee Business, as closing market strategy.

Buy Reliance Communications with a target of Rs 230-245 and stop loss of Rs 279, says Hitendra Vasudeo, technical analyst, on CNBC Awaaz, as closing market strategy. » Send to friends

In an F&O call, sell Nifty July futures with a target of 432 and stop loss of 4475, says NIshant Jain, technical analyst, on CNBC Awaaz.

In an F&O call, sell Nifty July futures with a target of 4375-4335 and stop loss of 4490, says Shrikant Chouhan, technical analyst, on CNBC Awaaz.

In an F&O call, sell Nifty July futures with a target of 4300-4250 and stop loss of 4560, says Hitendra Vasudeo, technical analyst, on CNBC Awaaz. He advises sell on rallies.

In an F&O call, buy Nifty July futures with a target of 4600 and stop loss of 4300, says Hardik Jain, technical analyst, on CNBC Awaaz. As long as Nifty trades above 4300, the market will head upwards after short-term weakness, he says.

Buy GMR Infra with a target of Rs 152-155 and stop loss of Rs 135, says Mitesh Thakkar, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 138, up 0.51% on the BSE.

Buy Uttam Galva with a target of Rs 63 and stop loss of Rs 53, says Amarjeet Singh, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 59, up 2.9% on the BSE.

Buy Maruti Suzuki with a target of Rs 1290 and stop loss of Rs 1209, says Amarjeet Singh, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 1230, down 0.80% on the BSE.

Buy JP Hydro around Rs 82.70 with a short-term target of Rs 95, medium-term target of Rs 100 and stop loss of Rs 70, says Simi Bhaumik, technical analyst, on Zee Business. The stock is currently trading at Rs 80, down 0.49% on the BSE.

Buy Punj Lloyd with a target of Rs 249.50 and stop loss of Rs 223.30, says Amarjeet Singh, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 237, up 2.8% on the BSE.

Buy Essar Oil around Rs 138 with a short-term target of Rs 165, medium-term target of Rs 170 and stop loss of Rs 120, says Simi Bhaumik, technical analyst, on Zee Business. The stock is currently trading at Rs 136, down 2.3% on the BSE.

Buy PFC with a target of Rs 239 and stop loss of Rs 218, says Amarjeet Singh, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 219, down 2.88% on the BSE.

Hold Mahindra Holidays as it is looking positive, says MB Singh, technical analyst, on Zee Business. Keep stop loss of Rs 320, he adds. The stock is currently trading at Rs 351, down 0.29% on the BSE.

Buy Tech Mahindra with short-term target of Rs 900, says Prakash Gaba, technical analyst, on CNBC Awaaz. Keep stop loss of Rs 740, he adds. The stock is currently trading at Rs 783, down 3.43% on the BSE.

Hold HUL with a target of Rs 280 and stop loss of Rs 263, says Salil Sharma of Kapoor & Sharma Company on CNBC Awaaz. The stock is currently trading at Rs 267, down 0.85% on the BSE. » Send to friends

Buy Jindal Steel around Rs 2700 with a short-term target of Rs 2850, medium-term target of Rs 3100 and stop loss of Rs 2600, says Rajesh Jain of SMC Global Securities on Zee Business. The stock is currently trading at Rs 2810, up 0.27% on the BSE.

Hold Gujarat Ambuja Export and exit at Rs 25, says Vijay Bhambwani, technical analyst, on CNBC Awaaz. Keep stop loss of Rs 14, he adds. The stock is currently trading at Rs 19, up 3.54% on the BSE.

Hold IFCI with target of Rs 65, says Prakash Gaba, technical analyst, on CNBC Awaaz. Keep stop loss of Rs 46, he adds. The stock is currently trading at Rs 48, down 2.51% on the BSE.

Buy Oracle Finance around Rs 1290 with a short-term target of Rs 1380, medium-term target of Rs 1450 and stop loss of Rs 1230, says Rajesh Jain of SMC Global Securities on Zee Business. The stock is currently trading at Rs 1300, down 1.04% on the BSE.

Buy Axis Bank as it is good for both short and long-term investment, says Ashish Kapur of Invest Shoppe on CNBC Awaaz. The stock is currently trading at Rs 864, down 2.04% on the BSE.

Hold Glenmark Pharma with target of Rs 320 in 15-20 trading sessions, says Mandar Jamsandekar, technical analyst, on NDTV Profit. Keep trailing stop loss of Rs 245, he adds. The stock is currently trading at Rs 247.80, down 6.4% on the BSE.

Hold Satyam with target of Rs 108, says Pradeep Surekha, technical analyst, on Zee Business. Keep stop loss of Rs 85, he adds. The stock is currently trading at Rs 92.90, down 1.6% on the BSE. » Send to friends

Hold Wipro with target of Rs 500-525, says Ashish Maheshwari of Global Capital Market on CNBC Awaaz. The stock is currently trading at Rs 454, down 0.9% on the BSE.

Hold GMR Infrastructure with target of Rs 180, says MB Singh, technical analyst, on Zee Business. Keep stop loss below Rs 110, he adds. The stock is currently trading at Rs 139.10, up 1.1% on the BSE.

Hold DLF with short term target of Rs 400, says Prakash Gaba, technical analyst, on CNBC Awaaz. Keep stop loss of Rs 335, he adds. The stock is currently trading at Rs 360.50, up 5% on the BSE.

Buy Jindal Steel & Power with target of Rs 3530 in 18-20 trading sessions, says Mandar Jamsandekar, technical analyst, on NDTV Profit. Keep stop loss of Rs 2718, he adds. The stock is currently trading at Rs 2870, up 2.4% on the BSE.

Buy Tech Mahindra at current levels with medium target of Rs 1200, says Rajat Bose, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 801, down 1.3% on the BSE.

Hold REC with target of Rs 200, says Prakash Gaba, technical analyst, on CNBC Awaaz. Keep stop loss of Rs 170, he adds. The stock is currently trading at Rs 178.05, up 2.2% on the BSE.

Buy Satyam at current levels with short-to-medium target of Rs 120, says Rajat Bose, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 95.75, up 1.4% on the BSE.

Traders should buy IDBI Bank at Rs 96 with target of Rs 103-105, says Pradeep Surekha, technical analyst, on Zee Business. Keep stop loss of Rs 92, he adds. The stock is currently trading at Rs 103.85, 1.6% on the BSE.

Buy L&T with short-to-medium-term target of Rs 1790-1800, says Rajat Bose, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 1487.10, up 1.1% on the BSE.

Hold Glenmark Pharma with target of Rs 350-360, says MB Singh, technical analyst, on Zee Business. Keep stop loss of Rs 230, he adds. It has resistance at Rs 268, he says. The stock is currently trading at Rs 258.10, down 2.6% on the BSE.

Hold Glenmark Pharma with target of Rs 280, says Anu Jain, technical analyst, on CNBC TV18. Keep stop loss of Rs 257, she adds. The stock is currently trading at Rs 258.90, down 2.3% on the BSE.

Hold Aban Offshore with medium-term target of Rs 1200, says Rajat Bose, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 939, up 2.7% on the BSE.

Hold RIL with target of Rs 2080-2100, says Pradeep Surekha, technical analyst, on Zee Business. Keep stop loss of Rs 1960, he adds. The stock is currently trading at Rs 2044.90, up 1.4% on the BSE.

Hold Welspun Gujarat with medium-term target of Rs 250 by October 31 this year, says Rajat Bose, technical analyst, on CNBC Awaaz. Keep stop loss below Rs 167, he adds. The stock is currently trading at Rs 205, up 6.8% on the BSE.

Buy Dr Reddy's with target of Rs 825 and above, says Salil Sharma of Kapoor & Sharma Company on CNBC Awaaz. It is in a positive uptrend now, he adds. The stock is currently trading at Rs 809.20, up 2.5% on the BSE.

Buy Bhushan Steel with target of Rs 870, says Ashwani Gujral, technical analyst, on CNBC TV18. Keep stop loss of Rs 650, he adds. The stock is currently trading at Rs 730, up 2.5% on the BSE.

Buy Tata Steel with targets of Rs 422-427 and then 445, says Pradeep Surekha, technical analyst, on Zee Business. Keep stop loss of Rs 400, he adds. The stock is currently trading at Rs 419.60, up 1.9% on the BSE.

Buy Deccan Chronicle on dips or above Rs 84, says Rajat Bose, technical analyst, on CNBC Awaaz. It has resistance at Rs 90-95, he adds. The stock is currently trading at Rs 89, up 8.9% on the BSE.

Buy Ranbaxy with target of Rs 300 plus, says Sudarshan Sukhani, technical analyst, on CNBC TV18. Keep stop loss of Rs 250, he adds. The stock is currently trading at Rs 270.90, up 0.5% on the BSE.

Buy SRF with intra-day target of Rs 127, says Anil Singhvi, market expert, on CNBC Awaaz. Keep stop loss of Rs 120, he adds. The stock is currently trading at Rs 123.05, up 0.9% on the BSE.

Buy Zuari Industries with intra-day target of Rs 300, says Anil Singhvi, market expert, on CNBC Awaaz. Keep stop loss of Rs 284, he adds. The stock is currently trading at Rs 296.10, up 2.4% on the BSE.

Sell Glenmark Pharma with intra-day target of Rs 245, says Anil Singhvi, market expert, on CNBC Awaaz. Keep stop loss of Rs 268, he adds. The stock is currently trading at Rs 255.45, down 3.6% on the BSE.

Buy Deccan Chronicle with intra-day target of Rs 88, says Anil Singhvi, market expert, on CNBC Awaaz. Keep stop loss of Rs 78, he adds. The stock is at Rs 81.70, down 1.4% on the BSE.

Sell ICICI Bank at Rs 773 with intra-day target of Rs 756, says Simi Bhaumik, technical analyst, on Zee Business. Keep stop loss of Rs 784, she adds. The stock is at Rs 772, down 1.9% on the BSE.

Sell Kingfisher Airlines with intra-day target of Rs 46, says Anil Singhvi, market expert, on CNBC Awaaz. Keep stop loss of Rs 49.25, he adds. The stock is at Rs 48.40, down 4.9% on the BSE.

Buy Axis Bank at Rs 884 with intra-day target of Rs 899, says Simi Bhaumik, technical analyst, on Zee Business. Keep stop loss of Rs 870, she adds. The stock is at Rs 882.85, down 0.4% on the BSE.

Closing bell 26 June 2009

Closing bell 26 June 2009

Persistent buying activity during the day led the markets to end the week on a strong note. The BSE-Sensex ended higher by around 419 points, while the NSE-Nifty closed up by about 135 points. Stocks from the mid-cap and small-cap spaces ended the day on a positive note, recording gains of 2.4% and 1.9% respectively. Buying activity was witnessed in stocks from the banking, consumer goods and IT spaces, while stocks from healthcare ended on a negative note.

Most of the other Asian markets ended the day on a positive note today. The European indices are currently trading in the green. The Rupee was trading at 48.27 against the US Dollar at the time of writing.

As per a leading business daily, on account of poor natural gas offtake from the power plants, Reliance Industries (RIL) is forced to suppress the production at its D6 block in the KG basin fields. As per management reports, the company is currently producing around 28 m cubic meters a day (mcmd) gas from the above block as against a capacity of 37 mcmd. It may be noted that the government had prioritized consumers for the gas from D6 blocks, wherein the power sector was allocated 18 mcmd and fertilizers was given 15 mcmd. However, on account of lower demand, the fertilizers and power sectors are taking only 12 mcmd and 13.5 mcmd of gas respectively. Despite of all this RIL is targeting to achieve production of 80 mcmd by the end of December 2009.The stock of RIL closed the day in the green.

On the final day of the offer, the IPO of Mahindra Holidays & Resorts got fully subscribed raising a sum of Rs 3 bn for the company. The company will use the proceeds in setting up new projects to fuel its expansion plans. Full subscription of the issue signals a revival in investment appetite in the IPO market, which has lately had a dry spell on account of the credit crunch and risk aversion. The IPO got good response from institutional investors like Qualified Institutional Buyers (QIBs) and Foreign Institutional Investors (FIIs) and also from corporates and individuals. The enthusiasm from retail investors remained a little subdued. The parent company, Mahindra and Mahindra closed the day on a weaker note.

The World Bank is of the view that the emerging economies will see a 14% surge in foreign direct investment (FDI) in the next one year. This year, due to a credit crunch arising out of global recession, the FDI inflows to the emerging world fell by 34% to US $385 bn from US $580 bn in 2008. It is expected to rebound to US $ 440 bn in 2010. Significantly, emerging nations, led by the BRIC countries will increasingly invest in each other. According to Bloomberg, BRIC nations, together hold about US$ 2.8 trillion i.e. 41% of the world’s foreign currency reserves. This figure is all set to increase on account of revised confidence in the fundamentals of these countries and their potential of leading the world out of the recession

We have initiated a new series directed to women investors. The series is titled - Women's Weekly - and will be a conduit through which we will provide our views and recommendations on how should women go about managing their finances and invest for a better financial future. Do share it with your friends and family members! Click here to read the second article of this series.

GAIL to lay more pipelines

Markets continued to move upwards during the previous two hours of trade, on account of sustained buying activity across the index heavyweights. Stocks from the banking, energy and telecom sectors are leading the pack of gainers, while select stocks from the pharma, metal and auto sectors are trading weak. The overall advance to decline ratio is poised at 1.8 to 1 on the BSE.

The BSE-Sensex and NSE-Nifty are trading firm, up by around 240 points and 90 points respectively. The BSE-Midcap and BSE-Smallcap indices are also trading higher, up by around 1.6% and 1.3% respectively. The Rupee is trading at 48.42 to the Dollar.

Except for Tata Steel, majority of the steel stocks are trading higher led by JSW Steel and SAIL. Tata Steel announced its FY09 results last evening. The standalone topline grew by 23.5% YoY backed by both higher volumes and realizations. The operating profits grew by 14% YoY, lower as compared to the topline, mainly on account of higher than proportionate growth in operating costs. Thus, operating margins declined by 3.1% to 37.6% during the fiscal. Net profits grew by 11% YoY in FY09. On a consolidated basis, while the topline grew by 12% YoY, the bottomline declined by 60.6% YoY during the fiscal. It has recommended a dividendof Rs 16 per share (dividend yield of 4%).

Energy stocks are trading positive led by RIL, Cairn India and GAIL. As reported by a leading business daily, GAIL, the largest natural gas transmission and marketing company in India, is planning to invest over Rs 75 bn in laying pipelines from Dabhol on the Maharashtra coast to Bengaluru, Kochi and Mangalore. The first project comprising of laying a 1,389 km long, 16 mcmd (million cubic metres per day) pipeline between Dabhol and Bengaluru is expected to be completed by 2013 with an investment of about Rs 45 bn. The second project for laying the 1,114 km long Kochi-Kanjirkkod-Bengaluru-Mangalore pipeline will cost around Rs 30 bn. The two projects will be executed in a phased manner. Government approvals regarding these are underway. These pipelines will go a long way in advancing its capacity and reach to fulfil the ever increasing fuel demand in the country.

Sun Pharma down on US FDA move

The Indian markets continued to trade above the dotted line during the previous two hours of trade as buying activity sustains among stocks. Currently, stocks from the engineering, banking and metals sectors are leading the pack of gainers, while select pharma and auto stocks are trading weak. The overall advance to decline ratio is poised at 1.5 to 1 on the BSE.

The BSE-Sensex and NSE-Nifty are trading firm, up by around 90 points and 40 points respectively. The BSE-Midcap and BSE-Smallcap indices are also trading higher, up by around 1.2% and 1.0% respectively. The Rupee is trading at 48.51 to the Dollar.

Pharma stocks are trading mixed on the bourses currently. While Dr. Reddy's and Glenmark Pharma are trading firm, Sun Pharma is trading deep in the red, riding on the news that the USA FDA has seized drugs manufactured by its US subsidiary, Caraco. It is believed that the US FDA has seized some 30 drugs manufactured from Caraco's Michigan facility on the back of manufacturing deficiencies. However, the company currently is waiting for more clarity from the US FDA on this move. It may be noted that earlier the US FDA had also seized drugs manufactured in the Caraco's Detroit facility, which had led to Sun Pharma's exports formulation business to witness a drop of 57% YoY in 4QFY09.

Power stocks are trading firm led by Reliance Power and Tata Power. As per a leading business daily, Tata Power plans to build a 525 MW power plant at the Tata Steel's Corus facility in the Netherlands. For this, the company is close to signing an MOU with Tata Steel and Corus Steel BV. Under the agreement, Tata Power and Tata Steel will set up a joint venture company that will develop the project on BOO (build, own and operate the power plant) basis. The plant will use most of the excess gas produced in the plant to produce steam and power for the facility. It is expected that the new plant will operate by 2013 and Corus will partly replace its existing power supply arrangements. The development will ensure Tata Power's long term engagement with Corus.

Low growth fear hits FMCG stocks

Mirroring the global markets, the Indian markets have opened the day's proceedings on a positive note today. Barring select pharma stocks, all the stocks on the NSE Nifty are trading higher. Energy, banking and engineering stocks are leading the pack of gainers. As regards global markets, the US markets found momentum yesterday as buying was witnessed at lower levels. The European markets ended in the green yesterday, while the Asian markets are trading mixed.

The BSE Sensex is trading higher by around 80 points. The NSE Nifty is up 40 points. The BSE Midcap and the BSE Smallcap indices are also trading firm. The rupee is trading at 48.53 to the dollar.

As per the latest Nielson report, a slowdown has been witnessed in the FMCG sector growth. The year on year growth in April and May was seen at 16.2%. This is lower than that of April and May 2008, at 19% YoY. Overall growth was broad-based, as all categories, except toothpaste and edible oils, grew over 10% YoY. However, washing powder and detergent cakes continued to witness declining volumes. This is inspite of price cuts taken by the companies during the start of the year. Out of the big FMCG players, only Nestle recorded a good sales growth of 20.1% YoY during the April-May period on the back of strong growth experienced in noodles, milk food and milk powder. Further, as per the report, a sharp volume and market-share dip in key categories for HUL was witnessed. FMCG stocks are trading mixed. FMCG stocks are trading weak currently.

Banking stocks are trading firm. As per a leading business daily, the Reserve Bank of India (RBI) is planning to tighten prudential norms for banks to provide a cushion for financial dependability especially in turbulent times like these. The central bank is considering suggestions to increase the capital adequacy ratio from the present 9%. The additional capital will be used by banks to tide over a financial crisis or other eventualities during an economic downturn. It is also considering the option of making additional provisions during good times. This could mean provisioning of 120% of risk weightage when the actual requirement may be 100%. The RBI may also stipulate a leverage ratio for banks to prevent excess strain on capital. At present there are no leverage ratios. This ratio would be made applicable for internal and external operations of the bank. The move is in line with the recommendations of the G-20 working group on enhancing sound financial regulation and strengthening transparency. While Indian banks are currently safeguarded from the financial crisis being witnessed across global banks, these measures would certainly benefit them.

Change is coming to India...

...or so we can hope, with one of India's most revered corporate citizens getting down to a new role in India's governance. We are talking about Nandan Nilekani, the co-Chairman of India's second largest and among the most respected companies, Infosys. He has quit from the company's board after being appointed the chairperson of the Unique Identification Authority of India, an estimated Rs 20 bn national project to build India's database of her billion-plus population.

This database will comprise a unique permanent identity number assigned to every resident Indian, and will be created over the next 12 to 18 months. The biggest benefit for us citizens will be that we then won't have to produce multiple proofs of identity, while the country is expected to become more secure.

Nilekani, who will now have to shift base to Delhi, has been roped in by Prime Minister Dr. Manmohan Singh himself to lead this project. And while his inclusion is expected to provide a big boost to India's mismanaged governance, it might leave some gaps in the management of Infosys, with which he has been associated for the past three decades. And this is especially at a time when the company is going through a tough phase owing to a global slowdown in technology spending.

When asked by a news channel on the pains of leaving the company he helped create, Nilekani said, "Definitely it was a very big decision, because it was a company which I was the co founder, which I had nurtured for 30 years. Certainly it was a very emotional decision. But at the end of the day when the PM requests you take up a project of national importance and says please take this and do something in five years, that's an offer you can't refuse."

Coming back to the project, we see this presenting Indian IT companies with a big chance to showcase their skills for the Indian market. While the project size in itself is not too big for the kind of work that the large Indian IT companies do for their US and European clients, it certainly will be a game changer in times when these companies are looking to the domestic market for some respite from a global tech slowdown.

As far as Infosys is concerned, Nilekani has indicated that he will ensure that there is no conflict between his new role and the interests of the company. True to what was expected of him, he has said, "I will make sure that we have the highest standards of integrity, openness, transparency and process in all procurement. A slightest issue (and) I will recuse myself from the decision."

Overall, in a country where corporate chieftains have never played any key in the governance (despite many being part of the government), Nilekani's appointment is like a breath of fresh air. It also is a hope that the country's governance will see a change for the better. As for Infosys, we need to hear what they have to say when they come in front of investors with their quarterly results in the second week of July.

Market voices 26 June 2009

Market voices 26 June 2009

The market opened on a firm note on strong global cues, shrugged off a mild setback it suffered around mid morning and gained in strength as the session progressed today.

As stocks almost across the board rallied higher, the Sensex off in style today. The Nifty too finished with a hefty gain. While the Sensex ended at 14,764.89 (provisional) with a huge gain of 419.27 points or 2.92%, the Nifty closed at 4374.40, up 132.55 points or 3.12%. The Sensex rose to 14,781.94 while the Nifty hit a high of 4383.75 today.

Bank, capital goods, IT, realty and telecom stocks posted strong gains. Consumer durables, oil, metal, power and FMCG stocks also ended on a high note. PSU and Auto sectors saw stock specific action.

Pharma stocks were among the ones to lag behind today. Several midcap and smallcap stocks had a good outing today. The market breadth was strong right through the session.

ICICI Bank gained around 9%. L&T and Sterlite moved up by over 5.5%. TCS, RComm, Infosys Technologies, RIL, Maruti, BHEL, HDFC, HUL, Wipro, SBI, ACC, DLF, HDFC Bank, ONGC, Hindalco, Reliance Infra and ITC also closed on a high note today.

Jindal Steel, Ambuja Cements, Axis Bank, Suzlon Energy, Siemens and Reliance Capital moved up sharply. HCL Tech, Power Grid Corporation, ABB, Tata Comm, PNB, GAIL, RPower and SAIL also ended with impressive gains.

Sterlite Technologies has charted out a Rs 250 crore capex outlay to scale its optical fibre capacity from 12 million-km to 20 million-km. The enhanced capacity, which would be functional by 2011, would position Sterlite amongst the top three manufacturers globally.

The Sterlite Technologies stock is locked at the 10% upper circuit at Rs 183.50. Over 3 lakh shares were traded at the counter today, far higher than the average daily volume of around 88,000 shares the counter has been clocking in recent times.

Unitech, is likely to raise nearly Rs 1,000 crore within the next three months by selling stake in its affordable housing projects to private equity players. According to some reports, Unitech is in advance stages of negotiations with some domestic and global private equity firms to raise funds for its affordable housing projects being developed under the brand 'Uni Homes'.

Unitech had last month announced its plans to construct 20,000 affordable houses at a cost of Rs 1,700 crore to become India's numero-uno realty company within a year.

Max India Limited has posted a net loss of Rs 6.76 crore for the quarter ended March 31, 2009 as compared to net profit of Rs 20.22 crore for the quarter ended March 31, 2008. Total Income has decreased from Rs 111.43 crore for the quarter ended March 31, 2008 to Rs 91.42 crore for the quarter ended March 31, 2009. For the year ended 31 March 2009, the company has posted a net profit of Rs 21.84 crore as compared to Rs 61.90 crore for the year ended March 31, 2008. The stock is trading weak at Rs 205, down 2.2% from its previous closing price.

Tech Mahindra has entered into a strategic alliance with Win Plc, a leading provider of interactive mobil information and entertainment services. Under the terms of the initial agreement, Tech Mahindra will work with WIN to develop the company's next generation mobile platform. The two firms will also look to develop jont go-to-market strategies in key territories, notably Tech Mahindra's strong Asian market.

Investors with a medium to long term plan can try Aurobindo Pharma (cmp Rs 501) at current levels. A modest exposure can be had at current levels. More can be added at declines. The stock can move on to Rs 540 - 550. It has support at Rs 450 levels. For now, a stop loss can be placed there.


One can stay invested in fertilizers stocks and pick up more of them at sharp declines for decent returns over a short to medium term. Godavari Fertilizers, RCF, Nagarjuna Fertilizers, Coromandel Fertilizers, MRPL, GNFC and Tata Chemicals can all give fairly solid returns.

GAIL India rose to Rs 284.70 today on reports that it will invest Rs 7,600 crore towards two pipeline projects linking Karnataka to the National Gas Grid. The stock has eased to Rs 280 now, but still holds on in the positive territory with a fairly sharp gain. One holding the stock can stay invested and look at buying more at sharp dips.

Stay invested in IT majors Infosys, TCS, Wipro, Tech Mahindra and Oracle Financial Services.
Though some downside is likely in the near term, all these stocks are likely to rebound and rally higher over the next 12 - 18 months. One can consider sharp dips as opportunities to buy more of these stocks.

One can stay invested in bank stocks for now. Though a few stocks from this space may see some weakness in the near run, most of the stocks in the sector are likely to give fairly strong returns over the next 6 - 12 months. Fresh buying in heavyweights SBI, HDFC Bank, ICICI Bank and PNB can be considered at declines.

Gemini Communication Ltd has acquired a 51% stake in M/s. SANAT Technologies providing advanced storage products and solutions based in South India. The company has also announced that it has formed a joint venture with GEOSS Technologies AG for providing fully funded intelligent metering and payment operating solutions for gas, water & electricity utility providers in India. The Gemini Communications stock is up by around 1.5% at Rs 23.10 at present.

Cairn India (Rs 229) can move up sharply in the near to medium term. Scrip in focus: Syndicate Bank One holding the stock can stay invested with a stop loss around Rs 180. Those looking at fresh exposure, can enter the counter at Rs 210 - 215 levels.

Sobha Developers (up 2% at Rs 205.50) can edge higher in the short to medium run. One with a reasonably good appetite for risk can try this stock at current levels or 5% - 10% lower. The company is reported to be in talks with some private equity firms, including JP Morgan, Actis and IL&FS, for selling stakes in some of its projects to raise funds.

Tata Power will put up a 525 MW production gas based power plant to secure energy for Corus IJmuiden in the Netherlands. The company has signed an MoU with Tata Steel and Corus Steel B.V. for the said construction. Tata Power and Tata Steel will set up a JV to build, own and operate the power plant which will use most of the excess production gases of the steel plant and will convert the same into steam and power for the use of the steel plant.

Brokerage Recommendations 26th June 2009

Brokerage Recommendations 26th June 2009

Buy Astra Microwave with a target of Rs 90-115 and stop loss of Rs 75, says Prasad Kushe, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 81, up 3.2% on the BSE.

Buy CMC with a target of Rs 900, says Prakash Gaba, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 790, up 14% on the BSE.

Buy HDIL with a target of Rs 260-272, says Rahul Mohindar,technical analyst, on CNBC TV18. The stock is currently trading at Rs 252, up 11.3% on the BSE. » Send to friends

4:10 PM - Sell Relaince Infrastructure with a target of Rs 1100 and stop loss of Rs 1310, says Anuj Dixit of Gupta Equities, on CNBC Awaaz. The stock is currently trading at Rs 1264, up 2% on the BSE.

Buy Info Edge with a target of Rs 780-790, says Prakash Gaba, technical analyst, on CNBC TV18. The stock is currently trading at Rs 681, up 6.4% on the BSE.

Sell Sterlite Industries with a target of Rs 475 and stop loss of Rs 665, says Anuj Dixit of Gupta Equities, on CNBC Awaaz. The stock is currently trading at Rs 612, up 6.11% on the BSE.

Buy IDFC with a target of Rs 155-160, says Rahul Mohindar, technical analyst, on CNBC TV18. It can be an outperformer in the long term, he adds. The stock is currently trading at Rs 137, up 4.8% on the BSE.

Buy Finolex Industries with a target of Rs 50 and stop loss of Rs 39, says Anuj Dixit of Gupta Equities, on CNBC Awaaz. The stock is currently trading at Rs 46, up 5.8% on the BSE.

The undertone for the market is likely to stay positive leading to the budget on July 6, says Ajay Loganandan of HSBC, on CNBC TV18. Buying has emerged at lower levels in a correction, he adds. India's long-term story is intact, he says.

Hold Sesa Goa with a target of Rs 205 where one can exit and keep stop loss of Rs 180, says Rajesh Jain of SMC Global Securities on Zee Business. The stock is currently trading at Rs 192, up 2.8% on the BSE.

In an F&O call, buy ICICI Bank July futures with a target of 770 and stop loss of 708, says Hardik Jain of ISJ Securities on CNBC Awaaz. The stock is currently trading at Rs 748, up 7.17% on the BSE.
In an F&O call, buy Nifty July futures with a target of 4378 and stop loss of 4310, says Salil Sharma of Kapoor & Sharma Company, on CNBC Awaaz. Nifty is looking firm, he adds.

In an F&O call, buy Nifty July futures with a target of 4387 -4418 and stop loss of 4285, says Rajat Bose, technical analyst, on CNBC Awaaz. Carry on Nifty longs once it crosses 4418 as it has more strength, he adds.

In an F&O call, buy Nifty July futures with a target of 4365 -4390 and stop loss of 4290, says Vijay Bhambwani, technical analyst, on CNBC Awaaz. Hold on to Nifty longs, he adds.

In an F&O call, buy Neyvelli Lignite July futures with a target of 143 and stop loss of 117, says Hemant Thukral, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 125, up 0.15% on the BSE.

Buy HDIL on dips with a target of Rs 250-260 where one can exit, says Rajesh Jain of SMC Global Securities on Zee Business. The stock is currently trading at Rs 236, up 1.16% on the BSE.

Buy Bhushan Steel with a target of Rs 698 and stop loss of Rs 645, says Akshata Deshmukh, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 674, up 1.35% on the BSE.

Buy Suzlon on dips with a target of Rs 130 and stop loss of Rs 110, says Rajesh Jain of SMC Global Securities on Zee Business. The stock is currently trading at Rs 123, up 4.6% on the BSE.

In an F&O call, buy Voltas July futures with a target of 137-140 and stop loss of 115, says Hemant Thukral, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 131, up 1.51% on the BSE.

Buy Aurobindo Pharma with a target of Rs 557 and and stop loss of Rs 475, says Akshata Deshmukh, technical analyst, CNBC Awaaz. The stock is currently trading at Rs 498, down 0.90% on the BSE.

Hold Idea Cellular with a target of Rs 90, says Salil Sharma of Kapoor & Sharma Company, on Zee Business. The stock is currently trading at Rs 78, down 1.19% on the BSE.

Buy Ashok Leyland with a target of Rs 35 and stop loss of Rs 30, says Akshata Deshmukh, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 31.90, up 0.63% on the BSE.

Buy Tulip Telecom with a medium term target of Rs 900, says Srikant Chouhan of Kotak Securities, on CNBC TV18. The stock is currently trading at Rs 747, up 1.54% on the BSE.

Hold TTML with a target of Rs 40-45 after which one can exit and stop loss of Rs 35, says Rajesh Jain of SMC Global Securities on Zee Business. The stock is currently trading at Rs 38, down 1.16% on the BSE.

Hold TTML with a target of Rs 41 after which it could rally further, says Salil Sharma of Kapoor & Sharma Company, on Zee Business. The stock is currently trading at Rs 38, down 1.03% on the BSE.

Hold Dabur with target of Rs 133, says Ashu Bagri, technical analyst, on NDTV Profit. Keep stop loss of Rs 115, he adds. The stock is currently trading at Rs 121, up 0.2% on the BSE

Hold Neyveli Lignite with target of Rs 168, says Gaurang Shah of Geojit BNP Paribas on Zee Business. It has resistance at Rs 145, he adds. The stock is currently trading at Rs 125.60, up 0.6% on the BSE.

Do not buy banking stocks at this level, says Sudarshan Sukhani, technical analyst, on CNBC TV18. This is a small rally which will eventually peter out, he feels. The only trade is for the Nifty, he adds, so one can buy that.

Book partial profits in IRB Infra, says Neera Jain, technical analyst, on CNBC Awaaz. Hold rest with stop loss of Rs 135, she adds. The stock is currently trading at Rs 152.30, up 0.5% on the BSE.

Hold RNRL with stop loss of Rs 82, says Ramesh Arora, technical analyst, on Zee Business. It has resistance at Rs 93 crossing which it can go to Rs 105, he adds. The stock is currently trading at Rs 90.70, up 2.9% on the BSE.

Book partial profits in Renuka Sugars and hold rest with target of Rs 166, says Ashu Bagri, technical analyst, on NDTV Profit. Keep stop loss of Rs 136, he adds. The stock is currently trading at Rs 140, down 1.7% on the BSE. » Send to friends

12:10 PM - Buy Petronet LNG at Rs 66 with target of Rs 85, says Neera Jain, technical analyst, on CNBC Awaaz. Keep stop loss below Rs 65, she adds. The stock is currently trading at Rs 72.35, up 1% on the BSE.

The market at noon is trading flat. Sensex is trading at 14444, up 99 points from its previous close, and Nifty is at 4277, up 35 points. CNX Midcap index is up 1% and BSE Smallcap index is up 1%. The market breadth is positive with advances at 784 against declines of 386 on the NSE.

Buy Suzlon Energy at Rs 112 with target of Rs 220 in 12-18 months, says Gaurang Shah of Geojit BNP Paribas on Zee Business. The stock is currently trading at Rs 120.30, up 2.1% on the BSE.

Buy IDBI Bank with short-term target of Rs 145, says Hardik Jain, technical analyst, on CNBC Awaaz. It has support at Rs 95, he adds. The stock is currently trading at Rs 114.65, up 1.9% on the BSE.

Buy Tata Steel and JSW Steel for returns of 10-15%, says Hemang Jani of Sharekhan on CNBC Awaaz. Tata Motors will show an upside of 15-25%, he adds.

The markets had run up too fast and the large equity issuances sucked up some liquidity, says Manishi Raychaudhuri of BNP Paribas on CNBC TV18. He expects the market to be range-bound in the short-term. He believes that there may be further correction, but it won't be a deep one as there is a lot of money waiting on the sidelines. We maintain our Sensex year-end target of 16500, he adds.

Hold Satyam with stop loss of Rs 65, says Ramesh Arora, technical analyst, on Zee Business. It has resistance at Rs 80 crossing which it can go to Rs 120, he adds. The stock is currently trading at Rs 72.50, down 0.9% on the BSE.

Hold Biocon with target of Rs 245-255, says Gaurang Shah of Geojit BNP Paribas on Zee Business. Keep trailing stop loss of Rs 215, he adds. The stock is currently trading at Rs 225.65, down 0.6% on the BSE.

Buy JP Hydro and Jaiprakash Associates on dips for short-term upmove of 10-15%, says Ashu Madan of Religare on CNBC Awaaz.

Buy India Cements with target of Rs 160, says Hardik Jain, technical analyst, on CNBC Awaaz. It has support at Rs 135, he adds. The stock is currently trading at Rs 141.60, up 0.6% on the BSE.

Do not go short in this market, says Siddharth Bhamre of Angel Broking on CNBC Awaaz. He advises going long with a target of 4500. His focus would be more on largecap stocks instead of the midcaps. Go long on RIL, ONGC, NTPC, RComm, he adds.

Buy ABG Shipyard with intra-day target of Rs 215, says Anil Singhvi, market expert, on CNBC Awaaz. Keep stop loss of Rs 204, he adds. The stock is currently trading at Rs 206.85, up 1.3% on the BSE.

Hold DLF with stop loss of Rs 295, says Ramesh Arora, technical analyst, on Zee Business. It has resistance at Rs 340 crossing which it can go to Rs 390, he adds. The stock is currently trading at Rs 325.20, up 2.3% on the BSE.

Buy Sasken Communications with target of Rs 125, says Ashwani Gujral, technical analyst, on CNBC TV18. Keep stop loss of Rs 90, he adds. The stock is currently trading at Rs 111.30, up 4.8% on the BSE.

Buy Videocon Industries with intra-day target of Rs 175, says Anil Singhvi, market expert, on CNBC Awaaz. Keep stop loss of Rs 167, he adds. The stock is currently trading at Rs 171, up 2.3% on the BSE.

Hold Sun Pharma and exit on next rally, says Deepak Mohoni, technical analyst, on CNBC Awaaz. The stock has plunged after news that US FDA has seized drugs from the Michigan facility of Caraco, which is a subsidiary of Sun Pharma. The stock is currently trading at Rs 1120, down 13.7% on the BSE.

Buy JP Hydro with intra-day target of Rs 100, says Anil Singhvi, market expert, on CNBC Awaaz. Keep stop loss of Rs 93, he adds. The stock is currently trading at Rs 94.75, up 1.1% on the BSE.
Buy ICICI Bank at Rs 700 with target of Rs 714, says Simi Bhaumik, technical ananlyst, on Zee Business. Keep stop loss of Rs 691, she adds. The stock is at Rs 698.70, up 1.4% on the BSE.

Buy Unitech with intra-day target of Rs 87, says Anil Singhvi, market expert, on CNBC Awaaz. Keep stop loss of Rs 81, he adds. The stock is at Rs 82.05, up 5.2% on the BSE.

The market will remain range-bound till the budget, says Hardik Jain, technical analyst, on CNBC Awaaz. We have seen selling pressure on 4300-4350 levels and 4270 will be the crucial mark for the Nifty, he adds. He believes that if the Nifty closes above 4300 for two days in a row then we will see strength in the market.

Buy Jaiprakash Associates at Rs 217 with target of Rs 223, says Simi Bhaumik, technical ananlyst, on Zee Business. Keep stop loss of Rs 213, she adds. The stock is at Rs 217.75, up 2% on the BSE.

Closing bell 25 June 2009

Closing bell 25 June 2009

Glenmark Generics (GGL), a subsidiary of Glenmark Pharmaceuticals, has received ANDA approval from the US Food and Drug Administration (US FDA) allowing it to sell its new anti-inflammatory drug, Alclometasone Dipropionate cream, in the US market. The product which is a generic equivalent of GSK’s Aclovate is targeted at a niche dermatology segment where the competition is limited. GGL already has ANDA approval for marketing 40 products in the US and 40 more approvals are in the offing. The stocks from healthcare space closed the day on a negative note.

According to a leading business daily, the Switzerland-based banking and wealth management firm, UBS is planning to outsource about 5000 jobs over the period of the next two years, a major chunk of which might come to India. The ailing company aims at getting benefits like improved quality, cost-savings, decreased operational risk through outsourcing. This is a great opportunity for Indian IT companies such as Wipro and Infosys which already have the bank as their client, each getting around US$ 50 m in annual revenues from UBS. The stocks from IT space ended the day in the red.

The US Federal Reserve has signaled its belief that although the recovery is still far, yet the US recession is easing by holding its monetary policy intact. The bank upheld its decision to keep the interest rates very low and buy mortgage related debt and US government bonds so as to infuse the much needed liquidity in the banking sector. The bank was earlier concerned over the possibility of deflation in the US economy as demand remained bleak despite crashing prices. Now, as the prices of energy and other commodities have risen, such fears have diminished.

Tech Mahindra to pay back 10 bn debt

The Indian markets slipped into the red during the previous two hours of trade on account of a sudden surge in selling activity. Stocks from the auto, energy and metal sectors are leading the pack of losers, while select stocks from the banking and construction sectors are trading firm. The overall advance to decline ratio is poised at 1.5 to 1 on the BSE.

The BSE-Sensex and NSE-Nifty are trading lower, down by around 70 points and 35 points respectively. However, the BSE-Midcap and BSE-Smallcap indices are trading firm, up by around 0.5% and 0.4% respectively. The rupee is trading at 48.57 to the dollar.

Software stocks are trading mixed. While Tech Mahindra and TCS are trading lower, Infosys is trading higher. As per a leading business daily, Tech Mahindra is planning to pay back a debt of around Rs 10 bn by raising funds by selling equity shares. The board of the company has approved the issue of around 13.6 m shares by way of private placement or qualified institutional placement. It may be noted that the company has recently acquired Satyam for around Rs 28.8 bn. Tech Mahindra had borrowed around Rs 14.5 bn from various banks, mutual funds, institutions and NBFCs for this acquisition. Funds from the equity sale are likely to be utilised for paying back some of these borrowings.

Steel stocks are trading mixed. While Tata Steel is trading lower, SAIL and JSW Steel are trading higher. As per a leading business daily, World’s largest steel producer, China has reinstated export rebate for its steel producers in order to prop up its steel exports. It is believed that it has given a tax relief of around 9% on the exports of flat rolled steel products. This can be a cause of concern for Indian steel producers who are already reeling under the pressure of lower steel prices and rising imports. It may be noted that the domestic steel industry has lately been requesting the government to impose a safeguard duty on cheaper steel imports. However, no decision has been made on the same. Currently, the difference between the landed cost of imported steel and domestic steel price is on an average Rs 4,000 per tonne. The volume of low-priced products from overseas has surged from 3% of total imports in November 2008 to 62% in February 2009.

ONGC down on poor performance

Although trading in the green, the Indian markets lost ground during the previous two hours of trade on account of selling activity among the index heavyweights. Auto and FMGC stocks are trading in the red, while select realty and banking stocks are leading the pack of gainers. The overall advance to decline ratio is poised at 2.1 to 1 on the BSE.

The BSE-Sensex and NSE-Nifty are trading firm, up by around 80 points and 10 points respectively. The BSE-Midcap and BSE-Smallcap indices are trading higher, up by around 1.3% and 1.4% respectively. The rupee is trading at 48.54 to the dollar.

Energy stocks are trading mixed. ONGC is trading lower on account of its subdued 4QFY09 and FY09 results, while IOC is trading firm. ONGC announced its standalone results yesterday. The company’s topline declined by 12% YoY during 4QFY09, while it increased by around 7% YoY during FY09. The company reported 28 new discoveries during the period. The company’s EBITDA margins declined by 1% to 49% in FY09. The continued subsidies to the oil marketing firms affected both the topline and the bottomline of the company during the fiscal. In fact, its bottomline declined by 3% during FY09, while it declined by 16% during 4QFY09. Higher interest charges were also responsible for the decline in net profits during both the periods under consideration. For the full year, the company paid dividend of Rs 18 per share (dividend yield of 3%).

As per a leading business daily, Suzlon plans to sell part of its stake in the Belgian based subsidiary, Hansen Transmission. It is believed that the company might sell significant minority stake of about 33% in the subsidiary to US based United Technologies Corporation. It may be noted that Suzlon has a debt to equity ratio of over 1:1 and plans to deleverage the same. However, the company has not confirmed the same. Currently, the company hold over 61% stake in Hansen. The stock is currently trading firm on the bourses.

In line with the Asian peers, the Indian markets too have opened the day’s proceedings on a high note. Stocks across sectors are trading firm with construction and engineering stocks leading the pack of gainers. The overall advance to decline ratio stood at 3.7 to 1 on the NSE. As regards global markets, the US after starting on a firm note, lost ground on account of the Federal Reserve keeping the short-term interest rate near zero. The European markets end firm yesterday, while the Asian markets are also witnessing a positive trend currently.

The BSE Sensex is trading higher by around 120 points. The NSE Nifty is up 20 points. The BSE Midcap and the BSE Smallcap indices are trading higher by 1% each. The rupee is trading at 48.44 to the dollar.

FMCG stocks are trading mixed. This situation arrives on the back of the predictions of below normal monsoon rains. Rural India buys more than half the country’s FMCG sales, including feeder supply from wholesalers in urban India to tertiary markets. As per National Council of Applied Economic Research (NCAER), the rural market accounts for 70% of toilet soap consumption. FMCG sector in rural areas is expected to grow by 40% as against 25% in urban areas in the coming quarters. Hence, we can say that if the rain gods do not smile, the growth of the FMCG sector is likely to get affected. Worst hit among the companies would be HUL and Dabur as rural regions account for 50% of sales. Colgate and Marico earn sales from these regions in the range of 20% to 30%.

As per a leading business daily, Tata Motors has put its future product development plans on hold. Several products that were on the drawing board have been delayed by 6 to 8 months. The company has decided to take a call on some of the products depending on the larger economic scenario and its own financial condition. The company saw a tough time last year with a 14% YoY drop in volumes (excl. traded vehicles). Also it has a huge capex plan to the tune of Rs 100 to 120 bn. Further, on account of the recent JLR acquisition, the interest payments rose by nearly 140% YoY. Auto stocks are trading firm.

Once upon a time, the US auto industry was the poster boy of American industrial might. Given the license quota raj, most Indians could not even dream of driving the prized vehicles, let alone compete with their makers. How times change! Today the US auto industry is in shambles and Indian auto major Mahindra & Mahindra's (M&M) small trucks will be available in there by the end of 2009, while Tata Motors' Nano will debut in 2011.

In all likelihood, they will succeed too. According to an article on CNNMoney, the US auto makers are in an all out cost cutting mode, leaving their dealers interested in signing up new car manufacturers. In fact, M&M already has tie ups with 350 dealerships in its kitty. Interestingly, the company already has a strong presence in the US as one of the biggest tractor manufacturers.

Of course, mere presence is not enough. Both M&M and Tata Motors will have to match the high quality standards the US consumers are used to. And they have to do it at an attractive price. But the fact remains that the present situation was unthinkable a couple of years ago. Just goes to show how far some Indian companies have traveled over the years.

Housing and car finance to get cheaper
A couple of days ago, Finance Minister Pranab Mukherjee had urged public sector banks to reduce their lending rates. The largest of them all has responded. As per a leading business daily, the State Bank of India (SBI) has cut its benchmark lending rate (BPLR) by 0.5% to 11.75%. This is likely to have a ripple effect, with other banks and financial institutions also lowering their rates.

It may be noted that the bank had previously cut the BPLR by 0.75% with effect from January 1, 2009. Of course, this means that the bank's NIMs will go down. In order to take care of that, it has also reduced the deposit rates by 0.25% earlier this month.

This move is likely to help people finance housing and car purchases. But we believe the real issue still persists. As Mr. Deepak Parekh has said , "Affordable housing is not about box-sized, budget homes in far-flung places where there is no connectivity to work places and little surrounding infrastructure. Affordable housing has to be able to cut across all income segments and has to make economic sense in terms of proximity to work place."

Brokerage Recommenations 25th Jun 2009

Buy IDBI Bank with a target of Rs 140-165 and stop loss of Rs 95, says Hardik Jain of ISJ Securities, on CNBC Awaaz. The stock is currently trading at Rs 113, down 0.75% on the BSE.

Buy Voltamp Transformers with a medium term target of Rs 900-925, says Srikant Chouhan of Kotak Securities, on CNBC TV18. The stock is currently trading at Rs 753, down 1.36% on the BSE.

Maintain Nifty short with a target of 4210-4170 and stop loss of 4280, says Rahul Mohindar, technical analyst, on CNBC TV18, as closing strategy.

Buy Nifty with a target of 4350 and stop loss of 4150, says Ashwani Gujral, technical analyst, on CNBC TV18, as closing strategy.

Sell SBI with a target of Rs 1660 and stop loss of Rs 1720, says Nishant Jain of Tradeswift, on CNBC Awaaz, as closing strategy.

Sell Nifty Futures with a target of 4200 and stop loss of 4300, says Prakash Gaba, technical analyst, on CNBC Awaaz, as closing strategy.

The market is trading volatile and Nifty is finding it difficult to cross 4450, says Vijay Bhambwani, technical analyst, on CNBC Awaaz. If Nifty breaks down to 4100 then 3850 is possible, he adds. There could be a 5-7% up or down side on Nifty, he feels.

The market continues to trade volatile and is trending lower. Sensex is trading at 14293, down 127 points and Nifty is at 4235, down 57 points from the previous close. CNX Midcap index is down 0.40% and BSE Smallcap index is down 0.44%. The market breadth is positive with advances at 632 against declines of 594 on the NSE.

In an F&O call, don't take an intra-day trading call but for a week, buy Nifty July futures with a target of 4450 and stop loss of 4150, says Ashwani Gujral, technical analyst, on CNBC Awaaz.

In an F&O call, buy Punj Lloyd July futures with a target of 226-230 and stop loss of 193, says Hemant Thukral, technical analyst, on CNBC Awaaz.

In an F&O call, sell Nifty July futures with a target of 4235 and stop loss of 4325, says Prsad Kushe, technical analyst, on CNBC Awaaz. If Nifty weakens further to 4210 then it could hit a bottom at 4155, he adds.

In an F&O call, sell Nifty July futures with a target of 4220 and stop loss of 4310, says Nishant Jain of Tradeswift, technical analyst, on CNBC Awaaz.

Buy KS Oils with a target of Rs 65-66 and then it can go to Rs 74-75, says Akshata Deshmukh, technical analyst, on Zee Business. The stock is currently trading at Rs 60, down 1.24% on the BSE.

Buy KS Oils with a target of Rs 70 and stop loss of Rs 58, says Hardik Jain of ISJ Securities, on CNBC Awaaz. The stock is currently trading at Rs 60, down 1.24% on the BSE.

Buy BHEL on dips with a target of Rs 2320 and if that is crossed it will rally further, says Salil Sharma of Kapoor & Sharma Company, on Zee Business. The stock is currently trading at Rs 2177, down 0.75% on the BSE.

Buy Essar Oil with a target of Rs 190 and stop loss of Rs 155, says Hardik Jain of ISJ Securities, on CNBC Awaaz. The stock is currently trading at Rs 163, down 1.5% on the BSE.

Buy Alstom Projects with a target of Rs 1000 in the long term, says Prasad Kushe, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 490, down 0.13% on the BSE.

Sell Kotak Mahindra Bank July Futures with a target of Rs 540 and stop loss of Rs 640, says Hardik Jain of ISJ Securities, on CNBC Awaaz. The stock is currently trading at Rs 626, up 2.9% on the BSE.

Hold Great Offshore with a target of Rs 435 and if it closes above that it can go to Rs 500, says Simi Bhaumik, technical analyst, on Zee Business. The stock is currently trading at Rs 414, up 1.23% on the BSE.

Buy Sintex Industries July Futures with a target of Rs 230 and stop loss of Rs 207, says Hardik Jain of ISJ Securities, on CNBC Awaaz. The stock is currently trading at Rs 210, up 0.36% on the BSE.

The sugar stocks look good for medium term and one can buy Renuka Sugar, Balrampur Chini and Bajaj Hindustan for an 18-20% upside in the next 9-12 months, says Vijay Bhambwani, technical analyst, on CNBC TV18.

Hold Spice Jet with a target of Rs 21-27 then a further upmove and stop loss of Rs 15, says Simi Bhaumik, technical analyst, on Zee Business. The stock is currently trading at Rs 20, up 1.5% on the BSE.

Hold Axis Bank with stop loss of Rs 722, says Vasudeo Kamlakant, technical analyst, on NDTV Profit. It has resistance at Rs 800-850 crossing which it can go to Rs 900, he adds. The stock is currently trading at Rs 787, up 2.5% on the BSE.

Book profits in Punj Lloyd, says DD Sharma of Anand Rathi Securities on CNBC Awaaz. Buy again when it comes to Rs 120-150, he adds. The stock is currently trading at Rs 212, up 1.77% on the BSE.

The market may see a pullback as the rise has been too fast, says Shankar Sharma of First Global on CNBC TV18. Dollar will be the most important cue for the market, he feels. He is bullish on commodities.

The medium-term trend looks positive as corporate results will improve over the next two quarters, says A Murugappan of ICICI Securities on CNBC TV18. He expects a strong government to push through significant reforms over the next few months. I hope budget will give direction to these reforms, he adds. However, he believes that the delay in monsoon remains the key concern for the markets.

The Asian markets are trading in the positive while European markets have opened week. Our market is seeing a choppy session with F&O expiry today. Sensex is trading at 14500, up 78 points and Nifty is at 4300, up 7 points from the previous close. CNX Midcap index is up 0.86% and BSE Smallcap index is up 1.26%. The market breadth is positive with advances at 879 against declines of 338 on the NSE.

Buy Reliance Petroleum at Rs 110-120 with target of Rs 150-160, says Vasudeo Kamlakant, technical analyst, on NDTV Profit. Keep stop loss of Rs 98, he adds. The stock is currently trading at Rs 124.55, up 0.4% on the BSE.

Hold Punj Lloyd with target of Rs 233, says Ashwani Gujral, technical analyst, on CNBC TV18. It has decent support at Rs 180, he adds. The stock is currently trading at Rs 214.10, up 2.4% on the BSE.

Hold Essar Oil with target of Rs 200, says Vasudeo Kamlakant, technical analyst, on NDTV Profit. Keep stop loss of Rs 143, he adds. The stock is currently trading at Rs 165.90, up 0.1% on the BSE.

Hold Ruchi Soya for long term with stop loss of Rs 37, says Raj Kishore Bang, technical analyst, on CNBC Awaaz. Short-term investors should exit, he adds. The stock is currently trading at Rs 43.90, up 1.3% on the BSE.

Hold KS Oil with target of Rs 75, says PK Agarwal of Purpleline Investment on Zee Business. Keep stop loss of Rs 50, he adds. The stock is currently trading at Rs 61.75, up 1.2% on the BSE.

Buy Unitech with targets of Rs 100 and then 130, says Ashwani Gujral, technical analyst, on CNBC TV18. Keep stop loss of Rs 65, he adds. The stock is currently trading at Rs 83.15, up 6.6% on the BSE.

Hold Tata Steel with stop loss of Rs 380, says Vasudeo Kamlakant, technical analyst, on NDTV Profit. It has resistance at Rs 429 and 450 crossing which it can go to Rs 502, he adds. The stock is currently trading at Rs 399.95, down 1.6% on the BSE.

Hold Balrampur Chini with target of Rs 120-125, says Rahul Mohinder, technical analyst, on CNBC Awaaz. The stock is currently trading at Rs 106.60, up 0.4% on the BSE.

The market at noon is trading volatile, on the day of F&O expiry. Asia continues to trade firm. Sensex is trading at 14459, up 37 points from its previous close, and Nifty is at 4295, up 2 points. CNX Midcap index is up 0.8% and BSE Smallcap index is up 1.2%. The market breadth is negative with advances at 854 against declines of 332 on the NSE.

WPI for all commodities is up 0.6% at 234.2(WoW), reports NDTV Profit. Primary Articles Index is up 0.1%, Manufactured Index up 1% and Fuel Index up 0.4%(WoW), it adds.

The inflation figure for the week ended June 13 has been announced at -1.14% versus the earlier figure of -1.61% for week ended June 6, reports NDTV Profit.

Hold ABB with target of Rs 800-1000 in the long term, says PK Agarwal of Purpleline Investment on Zee Business. Keep stop loss of Rs 670, he adds. The stock is currently trading at Rs 758.05, up 0.4% on the BSE.

Hold Tata Teleservices with target of Rs 49, says Ashwani Gujral, technical analyst, on CNBC TV18. It has good support at Rs 34 and resistance at Rs 41, he adds. The stock is currently trading at Rs 40.40, up 5.4% on the BSE.

Hold HCC and exit on rally at Rs 120-125, says MB Singh, technical analyst, on Zee Business. Keep stop loss of Rs 95, he adds. The stock is currently trading at Rs 104, up 1.3% on the BSE.

India and China remain in a bull market, says Robin Griffiths of Cazenove Cap Management on CNBC TV18. However, he feels that with the Sensex rising almost 100% from October lows, one should book some profits. Correction to 12000 would provide the next long-term buying opportunity at which point one should buy and hold, he advises.

Hold Rei Agro with target of Rs 76, says Ashwani Gujral, technical analyst, on CNBC TV18. The stock is currently trading at Rs 72.90, up 4% on the BSE.

Hold Bank of India with medium-term target of Rs 375, says PK Agarwal of Purpleline Investment on Zee Business. Keep stop loss of Rs 300, he adds. The stock is currently trading at Rs 345.75, down 0.2% on the BSE.

Hold Jaiprakash Associates and book partial profits at Rs 235-240, says MB Singh, technical analyst, on Zee Business. Hold the rest with stop loss of Rs 185, he adds. The stock is currently trading at Rs 218.65, up 2.5% on the BSE.

Buy Chambal Fertilisers with target of Rs 70, says Siddharth Bhamre of Angel Broking on CNBC TV18. It has support at Rs 62, he adds. The stock is currently trading at Rs 64.90, up 0.2% on the BSE.

Hold Suzlon Energy with target of Rs 125-130, says Rajesh Jain of SMC Global Securities on CNBC Awaaz. It has strong support at Rs 110, he adds. The stock is currently trading at Rs 120.40, up 3.2% on the BSE.

Hold LIC Housing Finance with target of Rs 650-700, says MB Singh, technical analyst, on Zee Business. Keep stop loss of Rs 590, he adds. The stock is currently trading at Rs 636.80, down 0.3% on the BSE. » Send to friends

Buy Gujarat Alkalis with intra-day target of Rs 125, says Anil Singhvi, market expert, on CNBC Awaaz. Keep stop loss of Rs 106, he adds. The stock is currently trading at Rs 111.75, up 3.6% on the BSE.

Buy Balrampur Chini at above Rs 110 with target of Rs 119, says Rajat Bose, technical analyst, on CNBC TV18. Keep stop loss of Rs 106, he adds. The stock is currently trading at Rs 108.40, up 2.1% on the BSE.

Buy Tata Tele with intra-day target of Rs 47, says Anil Singhvi, market expert, on CNBC Awaaz. Keep stop loss of Rs 38, he adds. The stock is currently trading at Rs 40.25, up 5% on the BSE.

Buy SAIL with target of Rs 175, says Ashwani Gujral, technical analyst, on CNBC Awaaz. Keep stop loss of Rs 141, he adds. The stock is currently trading at Rs 149.50, up 0.5% on the BSE.

Buy Wellspun Gujarat with intra-day target of Rs 220, says Anil Singhvi, market expert, on CNBC Awaaz. Keep stop loss of Rs 208, he adds. The stock is currently trading at Rs 209, down 0.1% on the BSE.

Buy BHEL at Rs 2194 with target of Rs 2250, says Simi Bhaumik, technical analyst, on Zee Business. Keep stop loss of Rs 2170, she adds. The stock is at Rs 2225, up 1.5% on the BSE.

Buy Jaiprakash Associates at Rs 213 with target of Rs 220, says Simi Bhaumik, technical analyst, on Zee Business. Keep stop loss of Rs 209, she adds. The stock is at Rs 213.40, up 6% on the BSE.

Buy Tata Motors at Rs 357 with target of Rs 368, says Simi Bhaumik, technical analyst, on Zee Business. Keep stop loss of Rs 352, she adds. The stock is at Rs 357, up 4.2% on the BSE.