|
|
Home Page
-
Stock Markets
Markets
-
Commentary
Markets this week
Weak trend in global markets and selling pressure in metals, autos and infrastructure stocks dragged the stocks lower for the fourth straight session Monday. The Sensex recovered from the day's low of 13,219 and settled at 13,400, down 103 points. On the NSE, the Nifty index lost 29 points, to end at 3,974. Major laggards are auto majors, Maruti Suzuki, Tata Motors, M&M , followed by metal stocks such as Tata Steel and Hindalco.
Asset management companies (AMCs) are paying high commissions to distributors to encourage
them to sell mutual fund equity schemes before the abolishment of entry load on August 1. AMCs are paying distributors commissions as high as 3.5 to 4 per cent of collections on schemes, and 3 to 4 per cent on new fund offerings.
The stocks of shipping companies have sunk between 13 and 25 per cent in the last two weeks with the drop in Baltic Dry Index (BDI) and the recessionary winds blowing across the globe. On Monday, shipping stocks like, Essar Shipping. Mercator Lines, Great Eastern Shipping and Shipping Corporation of India were hammered down.
The benchmark indices surged more than three per cent on Tuesday, the highest they have risen in more than a month owing to strong global markets and short covering by operators. The Sensex rose 453 points to close at 13854 and the Nifty added 137 points to settle at 4111.
The rally was led by the realty scrips, followed by the metal and consumer durables indices. DLF was the top gainer among the Sensex scrips, followed by Reliance Infrastructure, Jaiprakash
Associates.
Religare Mutual Fund has launched a fund, the Religare Business Leaders Fund on Tuesday. The new fund seeks to generate capital appreciation by investing in companies that are leaders in their respective industry said Mr Saurabh Nanavati, CEO of Religare Mutual Fund.
On Wednesday, the Indian bourses spurted sharply and breached the 14,000 mark. The benchmark, Sensex closed higher at 14,253 gained 400 points and the broader Nifty also ended up 122 points to finish at 4,234. Realty, Metal, Power and Capital Goods indices were the major sectoral gainers.
Better than expected results from U.S. firms, Goldman Sachs and Intel boosted investor confidence. Apart from this, encouraging comments by the Finance Minister on rapid economic recovery, a roadmap on disinvestment, and revival of monsoon aided the positive sentiments.
Profit-taking in blue chips, reversed the early gains on Thursday. On a day of narrow trading, the Sensex closed flat 14,250 and the Nifty too sheds 2 points at 4,231. Heavy weights such as Larsen & Toubro and Sterlite Industries were the biggest losers. It seems investors were disappointed with the results and concern on slowdown in order books. Sterlite lost more than six per cent on concerns over equity dilution due to issue of fresh American Depository shares.
Mahindra Holidays & Resorts, made its debut on the National Stock Exchange on Thursday at a premium of 23 per cent at Rs 370 over its issue price of Rs 300. On Bombay Stock Exchange, it was listed at a premium of five per cent at Rs 315.
The scrip saw a high of Rs 374.50 and low of Rs 311.35 before it closed at a premium of 5.8 per cent over its issue price at Rs 317.45 on NSE.
The benchmark Sensex surged over 495 points on the BSE on Friday on heavy buying by funds, with the benchmark witnessing the biggest weekly gain since May on reports that the government is planning financial sector reforms and greater foreign investment in insurance.
The Sensex, which gained over 853 points in two rallies this week, advanced further by 494 points to close at 14,744 . The Nifty too surged to 4,375 added 143 points.
Compiled by S Vasudevan
Podcast by M J Madhavan
S Narayanamurthi
More Stories on :
Stock Markets |
Commentary
Article
E-Mail
::
Comment
::
Syndication
::
Printer Friendly Page
|
|
