1. K E Y N O T E
INSTITUTIONAL RESEARCH
India Morning Note
Friday, July 22, 2011
Domestic Markets Snapshot Views on markets today
Name of Index July 20 July 21 Change (%) • Indian markets ended lower for the second straight
Sensex 18,502.38 18,436.19 -0.36%
session yesterday due to lack of buying activity amid
weak global cues. Quarterly earnings mostly indicated
CNX Nifty 5,567.05 5,541.60 -0.46%
companies were facing pressure on profit margins also
BSE Mid-cap 6,988.77 6,958.91 -0.43% hurt investor sentiments. European markets also
BSE IT 5,833.79 5,841.85 0.14% dropped after data from China and Europe pointed to
BSE Banks 12,763.34 12,638.08 -0.98% a sharp slowdown in manufacturing activity. However,
investors overlook the fall in food inflation, which was
FII Activity (`Cr) eased to 7.58% for the week ended July 9 compared to
Date Buy Sell Net 8.31% a week ago. Except IT, all sectoral indices
20-Jul 1880 1911 -31 closed on negative note with consumer durable, real
estate, banks and pharma stocks were major losers.
19-Jul 1981 1564 417
Kotak Mahindra Bank dropped ~3% after its net
Total July 37388 30435 9634
interest margin fell to 5% in the June quarter from
2011 YTD 364137 355862 8275 5.4% in the same period a year ago. Exide Industries
MF Activity (`Cr) fell 9.4% after it reported flat first quarter numbers
that fell short of expectations and said it had seen
Date Buy Sell Net slower demand for automobile batteries and inverters.
20-Jul 634 651 -17 Hero Honda Motors bucked the trend and rallied 1.6%
19-Jul 393 502 -109 after reporting a higher-than-expected 13% rise in
quarterly net profit.
Total July 7126 6851 1476
2011 YTD 75146 72018 3778
• Market breadth was weak at ~0.72x as investors sold
large cap stocks. FIIs sold equities worth `5.77bn while
Volume & Advances / Declines domestic institutions bought equities of `4.08bn.
NSE BSE • Asian shares rallied today morning triggered by news
Trading Volume (`Cr) 10,013 2,717 of a new aid package for Greece and plan to prevent
Advances 481 1,187 sovereign-debt contagion spreading. Both the Nikkei
and the Hang Seng are strong today.
Declines 932 1,643
Unchanged 66 127
• We expect a positive start for the Indian markets
fuelled by the rally in the Asian markets. However, risk
Total 1,479 2,957
averseness of the investors and overall weak
Global Markets sentiments may keep pressure on the markets.
Index Latest Values Change (%) Key events today
DJIA 12,724.41 1.2% • A Closing of IPO of Inventure Growth and Securities
NASDAQ 2,834.43 0.7% Ltd. (subscribed 0.94x as of July 21, 5PM).
Nikkei * 10,096.56 0.9% Economic and Corporate Developments
Hang Seng * 22,373.78 1.8% • The monsoon rains were 7% above normal in the week
* as of 8.45AM IST to July 20, snapping a two-week negative trend, the
weather office said on Thursday, but weak rains in
Currencies / Commodities Snapshot
rice-growing eastern region have dampened the main
Latest Previous summer crop's output prospects.
Quote Close
• The Telecom Regulatory Authority of India (TRAI)
Indian Rupee per $ 44.26 44.46
issued a consultation paper on regulating mobile value
Indian Rupee per € 63.69 63.23 added service (VAS) such as music, news and mobile
NYMEX Crude Oil($/bbl) 99.44 99.13 Internet.
Gold ($/oz) 1,590.60 1,587.00 • Food inflation fell to a three-week low of 7.58% for the
Silver ($/oz) 40.03 40.11 week ended July 9 on the back of cheaper pulse prices
and a high base last year.
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2. K E Y N O T E
INSTITUTIONAL RESEARCH
TOP GAINERS Buzzing Stocks
(BSE A-Group) • GTL Infrastructure Board approved scheme of
Previous Current Change corporate debt restructuring.
Company Name
Close (`) Price (`) (%)
• Indiabulls Power plans to raise about `900Cr to
SKS Microfinance 502.30 548.45 9.19
finance upcoming projects.
Petronet LNG 153.15 167.05 9.08
Zee Entert 124.60 132.20 6.10 • Dr Reddy's Laboratories is looking for partners to
Indiabulls Fin 172.55 180.70 4.72 develop its New Chemical Entity (NCE), an anti-
Suzlon Energy 50.75 52.55 3.55 cholesterol molecule.
(BSE Mid-Cap) • In an interim relief to Aditya Birla group firm Idea
Cellular, the Delhi High Court today directed DoT not
Previous Current Change
Company Name to take any coercive action against the company,
Close(`) Price(`) (%)
Mindtree 359.20 397.60 10.69
which is locked in a legal battle over its merger with
Spice Communications, till next date of hearing.
CRISIL 7210.60 7889.55 9.42
SKS Microfinance 502.30 548.45 9.19 • Bharti Airtel signed a five-year service management
Petronet LNG 153.15 167.05 9.08 agreement with Ericsson for its Africa operations for
Hexaware Tech 74.95 79.40 5.94 an undisclosed amount.
• Punj Lloyd bagged a civil contract worth `210Cr for a
TOP LOSERS thermal power project from NTPC for its power plant
(BSE A-Group) in Assam.
Previous Current Change US markets
Company Name
Close(`) Price(`) (%)
US markets surged Thursday on better-than-
Exide Inds 169.85 154.95 -8.77
expected reports from companies including AT&T
JSW ENERGY 76.05 71.00 -6.64 Inc. and Morgan Stanley and increased optimism as
Lanco Infra 22.40 20.95 -6.47 European leaders reached a deal to resolve Greece’s
Apollo Tyres 78.50 74.50 -5.10 debt crisis. The Dow Jones Industrial Average closed
Reliance Comm 94.45 90.45 -4.24 152.50 points higher, or 1.2%, at 12,724.41.
(BSE Mid-Cap)
Previous Current Change
Company Name
Close(`) Price(`) (%)
Apollo Tyres 78.50 74.50 -5.10
NCC 83.70 79.50 -5.02
Shree Global Trd 297.30 282.45 -4.99
Orchid Chem 240.00 229.15 -4.52
Dish TV India 89.05 85.40 -4.10
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