1. K E Y N O T E
INSTITUTIONAL RESEARCH
India Morning Note
Wednesday, August 3, 2011
Domestic Markets Snapshot
Name of Index Aug 1 Aug 2 Change (%) Views on markets today
Sensex 18,197.20 18,314.33 0.64% • Indian markets ended lower at 1.12% as fresh worries
CNX Nifty 5,482.00 5,516.80 0.63% over the global growth outlook offset relief over an
BSE Mid-cap 6,915.31 6,913.85 -0.02% 11th-hour deal to raise the US debt ceiling. Weak US
BSE IT 5,835.44 5,885.80 0.86% manufacturing data that grew at its slowest pace in
BSE Banks 12,447.83 12,482.84 0.28%
two years in July mainly ignited the troubled outlook
for the U.S. and global economies majorly sapped the
FII Activity (`Cr) investor’s demand for local equities, while the growth
Date Buy Sell Net concerns on the domestic front, which loomed large
29-Jul 2765 3384 -619 also, added to investor's gloom. The Prime Minister’s
28-Jul 4120 3703 417 Economic Advisory Council (PMEAC) while lowering the
Total July 56836 49426 10091 economic growth projection for the current fiscal to
8.2 per cent from 9 per cent also said that the central
2011 YTD 383585 374853 8732
bank will have to continue with its tight monetary
MF Activity (`Cr) policy, thereby reinforcing expectations that more rate
Date Buy Sell Net hikes are in the offing. All the Asian equity indices
29-Jul 674 565 109 ended the day’s trade in the negative terrain on
Tuesday on the back of weak U.S. manufacturing data.
28-Jul 824 665 159
On the BSE Sectoral front, Oil & Gas up 0.34% and
Total July 11627 10926 1902
Health Care up 0.16% were the only gainers. On the
2011 YTD 79647 76093 4204 flip side, Realty down 2.09%, Metal down 1.83%,
Volume & Advances / Declines Bankex down 1.71%, TECk down 1.7% and IT down
1.50% were the major losers. The gainer on the
NSE BSE
Sensex were NTPC up 2.12%, Cipla up 2.23%, ONGC
Trading Volume (`Cr) 9,568 2,451
up 0.88% whereas on the flip side JP Associates down
Advances 323 863
5.08%, RCOM down 3.46%, SBI down 2.88%, Sterlite
Declines 1,144 2,000
Industries down 2.41%, Wipro down 2.37%, Hindalco
Unchanged 45 102 down 2.22% were the top loser.
Total 1,512 2,965
• Market breadth was very weak at ~0.43x due to high
Global Markets selling pressure. FIIs sold equities worth `201.68 Cr
Index Latest Values Change (%) while domestic institutions bought equities of `139.88
DJIA 11,866.62 -2.1%
Cr.
NASDAQ 2,669.24 -2.7% • Asian markets declined sharply as investors sold
Nikkei * 9,627.12 -2.2% shares on fears about slowing global growth and
Hang Seng * 22,041.87 -1.7%
sovereign-debt threats in the US and Europe. Both the
Nikkei and the Hang Seng are almost 2% down today.
* as of 8.45AM IST
• We expect a weak opening for the Indian markets as
Currencies / Commodities Snapshot
the global cues are negative today. Besides that
Latest Previous uncertainties over mining and metal sectors on
Quote Close
account of Karnataka's political disaster would also
Indian Rupee per $ 44.15 44.28
keep these sectors under check.
Indian Rupee per € 62.64 62.82
NYMEX Crude Oil($/bbl) 93.33 93.79
Gold ($/oz) 1,656.30 1,643.10
Silver ($/oz) 40.72 40.85
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2. K E Y N O T E
INSTITUTIONAL RESEARCH
TOP GAINERS
(BSE A-Group) Economic and Corporate Developments
Previous Current Change • India is expected to receive highest foreign direct
Company Name
Close (`) Price (`) (%) investment (FDI) in 2011-12, Chief Economic
Rashtriya Chem 74.05 80.35 8.51 Adviser at the Ministry of Finance Kaushik Basu
National Fert 85.90 90.95 5.88 said.
Adani Enter 637.80 669.60 4.99
• A Group of Ministers (GoM) headed by Finance
Castrol India 541.20 564.95 4.39
Minister Pranab Mukherjee would meet on August
Container Corp 1109.00 1150.00 3.70 5 to finalise the policy on partially decontrolling
(BSE Mid-Cap) urea prices.
Previous Current Change
Company Name
Close(`) Price(`) (%) Buzzing Stock
Rashtriya Chem 74.05 80.35 8.51
• Danone acquires Wockhardt's nutrition biz for
National Fert 85.90 90.95 5.88
Euros250mn.
Kirloskar Oil Engi 121.80 126.95 4.23
• West Bengal CM has pulled up JSW Steel’s Sajjan
Chambal Fert 89.05 92.05 3.37
Jindal to convey her disapproval over the delay in
Blue Dart 1595.25 1641.00 2.87
the 10mn tonnes project at Salboni in West Bengal.
TOP LOSERS • Tata Metaliks to shut its Goa plant as Iron ore supply
from Bellary district takes a hit in the back of mining
(BSE A-Group)
ban.
Previous Current Change
Company Name • Natco Pharma applies for first compulsory licence to
Close(`) Price(`) (%)
Bharat Forge 315.80 298.45 -5.49 sell a generic version of Bayer’s patented medicine
Jaiprakash Asso 67.90 64.45 -5.08 drug Nexavar.
Indiabul Real Est 100.05 95.30 -4.75 • BEML forays into Thailand for export of mining
GVK Power 17.95 17.15 -4.46 equipments by appointing Paragon machinery as its
Shre Renuka Sug 72.85 69.60 -4.46 distributor for Thailand.
(BSE Mid-Cap) • Government defered Steel Authority of India's follow-
on public offer (FPO), tentatively scheduled for June
Previous Current Change
Company Name this year on account of stock market volatility.
Close(`) Price(`) (%)
TTK Prestige 3002.45 2789.80 -7.08
A2Z Maint & Eng 263.90 247.20 -6.33 US markets
Tata Teleser 22.30 20.90 -6.28
Orchid Chem 211.00 197.85 -6.23 US markets declined sharply overnight, posting their
IVRCL LTD 60.95 57.55 -5.58
longest losing streak since the heart of the 2008
credit crisis, on investor worries about upcoming
federal deficit cuts and a likely stall in the recovery.
The Dow Jones Industrial Average fell 265.87 points,
or 2.2%, to 11,866.62, its worst one-day loss since
June 1. The eight-day losing stretch was the longest
since October 2008, weeks after the collapse of
Lehman Bros. and by some measures, the peak of
the U.S. credit crisis.
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