The Indian equity market extended its thumping run to fifth straight trading session on Monday. The NSE Nifty index added another 50 points to its kitty with the index shutting shop above the 5800 mark. The index has rallied nearly 350 points in the past five trading sessions led by the Banking, Realty and the Auto stocks in anticipation that the Reserve Bank of India will go ahead and cut key interest rates in the upcoming policy rates meeting scheduled on May 3, 2013.
Meanwhile, the budget session of Parliament which resumed today was adjourned till Tuesday. The Opposition parties raised their voices against a couple of issues including the rape of a minor.
Among the other major gainers were the BSE Consumer Durables, BSE Capital Goods and BSE Metals up 4%, 3.5% and 2.2% respectively.
The Mid-Cap stocks outperformed the benchmark indices adding 1.5%. While the BSE Small-Cap index added 0.94%.
The BSE IT index was the major dragger, the index lost nearly 2.3% on the back of disappointing quarterly numbers from Wipro. “Wipro dollar revenue performance as well as guidance for Q1 FY14 were below expectations. Weak external demand scenario to further delay volume revival. We remain positive as valuation are undemanding,” says Amar Ambani, Head of Research, IIFL.
Among the other losers in the IT pack were Infosys down 2.2%, HCL Tech down 2.1% and TCS down 1.9%.
Finally, BSE Sensex closed at 19170, up 153 points over the previous close. It had earlier touched a day’s high of 19204 and a day’s low of 18989. It opened at 18989.
The NSE Nifty closed at 5,834, up 51 points over the previous close. It earlier touched a day’s high of 5,844 and a day’s low of 5,789. It opened at 5,789.
RIL, Tata Power, Tata Steel, HDFC Bank, Jindal Steel, L&T, Gail India, Bharti Airtel, Maruti Suzuki, ICICI Bank, BHEL, Hindalco Inds, Hero MotoCorp, NTPC, Tata Motors and Coal India were among gainers in Nifty.
Wipro, TCS, Infosys, ONGC, Dr Reddy’s Lab, M&M and Sterlite Inds were among losers in Nifty.
The advance-decline ratio was in favour of the bulls. On the BSE, 1390 stocks advanced against 1004 declining stocks, while 138 stocks remained unchanged.
The INDIA VIX surged by 6% to close at 16.22. It hit a day’s high of 17.25 and low of 15.36.
Stocks which hit a 52-week high during the week were ITC, Transchem, SHRSHA TEX, Lifeline Drugs and Swadeshi Inds.
Stocks which hit a 52-week low during the week were Best & Crompton, Wyeth, Prag Bosimi, Lords Chloro and Pasupati Acry.
Stocks in News
Wipro fell by 7% to close at 341 after the company failed to enthuse with its Q4 FY 13 results. Wipro posted a net profit after taxes, minority interest and share of profit of associates of Rs. 172.8 billion for the quarter ended March 31, 2013 as compared to Rs. 148.09 billion for the quarter ended March 31, 2012. Total Income has increased from Rs. 875.09 billion for the quarter ended March 31, 2012 to Rs. 992.08 billion for the quarter ended March 31, 2013.
Reliance Communications shot up 13% and touched a 52 week high after the company confirmed that Samena Capital, in a proposed Consortium with certain other global PE funds, is at an advanced stage of the process of due diligence and completion of definitive documents in relation to the acquisition of Reliance Globalcom Ltd. The deal is set to be completed by completion is end of May 2013. RCOM and Samena Capital are no longer in discussions with Batelco for the purposes of the above transaction.
Coal India surged by 4.5% after reports came out that the state run coal miner plans to take up projects to extract 2 billion tonnes of premium quality coal locked up in pillars in underground mines.