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Anand Ram

THE markets, seen moving in a see-saw pattern through the week, ended on a definitive downtrend on Friday. The bears finally wrested control and the Bombay Stock Exchange reversed the gains it posted on Thursday and ended lower by 24.10 points on Friday. Market sentiments were stifled by expectations of lower corporate performance for the December quarter. Major indices across exchanges registered a dip in their values.

The 30-share Sensex opened higher at 3424.93 points and rose to its day's high of 3428.02 points. It then steadily declined through the day to peter out at its day's low of 3366.14 points before recovering slightly to close at 3377.05 points. A total of 10,06,09,152 shares changed hands during the course of the trading session.

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The issues-advanced to issues-declined indicator turned contrary with 532 stocks advancing and 523 stocks declining during the day. However, volumes were more indicative of the general downtrend with only 2,16,41,736 shares advancing while 7,65,08,120 shares declined. The depth indicator also turned on its head with 37 stocks scaling new highs while 17 stocks plummeted to yearly lows. This shows that the downtrend on Friday was clearly brought about by superiority in volumes. Most of the volume toppers were shares from the technology counters.

However, select counters in pharma and FMCG industry segments managed to post gains in an otherwise largely bearish market on Friday.

Satyam Computers fell by about six per cent on the back of lower profit expectations for the December quarter. Profits could be lower due to the recession in the US markets (a significant revenue stream) and a concomitant pressure on billing rates. Satyam ended the day at Rs 273.95, over Thursday's close of Rs 291.15. Volumes were high at about 1.6 crore shares changing hands.

HCL Technologies fell by about five per cent. The stock closed by Rs 13.1 lower over Thursday's close to end at Rs 252.2 on Friday. Sentiment in this counter is bound to deteriorate further in the opening hours of Monday as news of a dip in profits (of about 16.5 per cent compared to the corresponding period of the previous year) came towards the closing hours on Friday.

Shares of Reliance Petroleum rose during the trading session after data showed that the consumption of oil products, barring naphtha, rose in December not in the least helped by defence consumption. However, the stock finished lower by Re 0.1, to close at Rs 29.55, probably on account of the unresolved standoff with IOC.

Even though Wipro managed to beat the recession with higher profits at Rs 22.36 crore, it frustrated investors' expectations and share prices fell. Another concern that cramped prices was the sustenance of profits in the days to come. The stock closed the day at Rs 1610.1, shedding about 7.7 per cent in the process.

Auto maker Mahindra & Mahindra gained by about seven per cent while State Bank of India gained two per cent on Friday. Volumes too were heavy at 14.16 lakh and 8.17 lakh shares.

Chemical producer BASF rose 6.1 per cent, buoyed by its quarterly performance while software maker Sierra Optima and tobacco major ITC fell - due to losses in the former and lower-than-expected- profits in the latter.

However, the United Breweries counter took centre stage as the stock rocketed to its maximum permissible intra-day high of 20 per cent at Rs 232.7, after enforcement agencies cleared both the company and its chairman of FERA violations. The counter closed the day at Rs 224.05. Volumes were at 5.

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