Market view on 15/5/08 Thursday

Cues for the day
Markets closed near the day’s high led by gains in Metal, IT and Telecom
stocks. Positive cues from the global markets proved to be the
sentiment driver, lifting the Nifty index to close above the crucial 5k
mark. Oil stocks suffered after the government’s move to share lower
subsidy of 50% than indicated earlier. Oil now becomes the latest
causality after steel and cement.
Today, we expect the indices to open in the green. However, strong
resistance at higher levels given the low trading turnover may result in
profit booking. In the coming week, the market will bias towards a
downward trend with no major triggers.
Sensex intra-day Sensex price volume
16,600
16,700
16,800
16,900
17,000
17,100
9:55 11:19 12:43 2:07 3:31
0
20
40
60
80
100
120
Sep-06 Mar-07 Sep-07 Mar-08
Volume
(Rs bn)
11,000
13,000
15,000
17,000
19,000
21,000 Sensex
Source: Bloomberg
Index movements
% change
Last
close 1 day 1 mth 3 mth
Sensex 16,978 1.3 5.1 (6.3)
Nifty 5,012 1.1 2.7 (5.5)
BSE S. Cap 6,798 0.4 4.9 (5.8)
BSE Bankex 8,597 (0.1) 7.4 (21.0)
BSE IT 4,427 3.8 14.6 14.1
BSE Metal 16,435 4.4 17.2 1.7
BSE Oil 10,917 0.1 (3.7) (3.1)
BSE Realty 7,778 0.4 6.0 (25.9)
BSE Auto 4,719 1.0 5.7 (1.0)
Dow Jones 12,898 0.5 4.3 4.5
Nasdaq 2,497 0.1 9.2 7.5
Support/Resistance levels
Close Support Resistance
Nifty 5,012 4,970 5,075
Sensex 16,978 16,500 17,600
Institutional activity
(Rs cr) Cash F&O MTD YTD
FIIs 186.3 (254.9) 9.6 (11,231.5)
MFs (305.4) 7,702.5 15.5
FIIs Prov. 85.1
MFs Prov. 310.4
Daily trade value
(Rs cr) %chg
Cash NSE 12,732 (10.8)
Cash BSE 6,417 (3.1)
Derivatives 32,920 (13.6)
Stock movement
(Nos) Adv Dec Unch
A 140 63 1
B 905 790 59
S 211 222 19
Total 1,102 1,593 51
FII open interest
(Rs cr) %chg
Index futures 18,722 0.1
Index options 18,530 4.4
Stock futures 19,801 1.0
Stock options 949 0.4
Commodity, Currency & Debt
% change
1 day 1 mth 3 mth
Crude ($/Bbl) 123.7 (0.5) 8.7 29.6
Gold ($/OZ) 863.8 (0.3) (6.9) (4.3)
Silver ($/OZ) 16.5 (0.0) (7.4) (3.2)
Re/US$ 42.5 0.0 (5.7) (6.6)
Yen/US$ 105.1 0.0 (3.1) 2.6
10yr G. Bond 7.8 0.0 - -
News snippets
~ Secondary steel makers to cut prices by Rs4,000 per tonne. (BS)
~ Cement firms agree to cut prices ranging between Rs3.5-7 per
bag. (BS)
~ Tata group plans to up stakes in globally active subsidiaries by 3-
4% this year. (BS)
~ Bharti and MTN in talks for 50:50 cash-share deal. (BS)
~ Lafarge buys L&T’s concrete business for Rs1,480cr. (BS)
~ Consortium led by Lanco Infratech wins Rs8,000cr Kerala port
project. (Mint)
~ Kotak Mahindra Bank to raise US$1.2bn. (Mint)
~ Punj Lloyd plans to offer onshore oil rigs to Libya’s National Oil
Corporation. (Mint)
~ Supreme Court stays order against Tata-BEST power pact. (Mint)
~ Satyam loses appeal barring its moves to block the online mobile
payment company Upaid’s fraud and forgery claims against it in
Texas. (Mint)
~ GHCL eyes US furnishing firm Linens ’N Thing. (ET)