The document provides a market commentary and analysis for May 23, 2011. It summarizes the performance of key Indian and global market indices, sectors, commodities, and currencies. The Indian market declined over 1% due to concerns over the fiscal conditions in Greece and other eurozone nations. Corporate earnings and news from various companies like BHEL, Tata Chemicals, and Dish TV are also mentioned. The outlook for monsoon and various economic policy developments in India are discussed.

1. May 24, 2011
Volume: 1 | Issue: 389| November 1, 2010
INDIAN MARKET 23-May 20-May % Change COMMENTARY
BSE Sensex 17,993 18,326 (1.82) INDIA
NSE Nifty 5,387 5,485 (1.79) After managing a smart pull back in the previous trading session, the Indian market was greeted with a fresh
BSE Midcap 6,661 6,757 (1.41) bout of selling pressure on Monday with heavy offloading seen in index heavyweights like BHEL, ICICI Bank,
SBI, L&T, RIL, Tata Motors and Tata Steel. So, the last week of the month started off on a negative note as
BSE Smallcap 8,057 8,185 (1.56)
investors mull their strategy for the upcoming derivative settlement. The key indices opened with a gap
Nifty Junior 10,888 10,998 (1.00)
down and remained under pressure throughout the trading session amid lingering worries over the
CNX Midcap 7,774 7,877 (1.30) precarious fiscal conditions of Greece and other peripheral eurozone nations. Selling was not restricted to
India alone as all Asian markets witnessed deep cuts, with the Chinese market down nearly 3%. The onset of
monsoon will be a key event to keep an eye on. The BSE Sensex ended at 17,993, down 333 points or 1.8%
GLOBAL MARKETS 23-May 20-May % Change over the last close. The NSE Nifty closed at 5,387, losing 100 points or 1.8%. In the broader markets, the
Dow Jones Ind (USA) 12,381 12,512 (1.05) midcap index lost 1.4% to close at 6,661 while the smallcap index shed 1.5% to end at 8,057.
Nasdaq Composite(USA) 2,759 2,803 (1.57) The market breadth was very negative. Of the total 3,289 stocks traded on the BSE, 1,973 stocks declined
S&P 500 (USA) 1,317 1,334 (1.22) while 801 advanced.
FTSE 100 (UK) 5,836 5,948 (1.89)
GLOBAL MARKETS
DAX (Germany) 7,122 7,267 (2.00)
Concerted selling sent stocks down sharply to their lowest level in a month this session. The effort came
Nikkei 225 (Tokyo) 9,461 9,607 (1.52) amid renewed concern about global economic growth, the fiscal condition of countries in the eurozone
Hang Seng (Hong Kong) 22,711 23,199 (2.11) periphery and a stronger dollar. Weakness was largely rooted in the negative reaction to news that eurozone
Shanghai Comp (China) 2,776 2,858 (2.90) linchpins Greece and France both saw their latest PMI Manufacturing readings make marked pullbacks to
KOSPI (South Korea) 2,056 2,112 (2.64) 58.2 and 55.0, respectively, from the prior month. A downwardly revised forecast for Italy's debt and a cut to
STI (Singapore) 3,110 3,168 (1.83) Greece's rating during the weekend offered another reminder to traders about the tenuous conditions of the
MSCI Emerging Market 436 437 (0.17) eurozone economy as DJIA closed at 12,381, down 1.05% while S%P closed at 1,317, down 1.22%.
MSCI Frontier Market 554 554 (0.07) Asian stocks are trading mixed as Nikkei is up 0.11%, Hang Seng is down 0.14%, Shanghai is down 0.24% and
Strait Times is up 0.24%.
BOND MARKETS 23-May 20-May Change
10yr G-Sec Yield 8.44 8.35 0.09 CORPORATE/ ECONOMY NEWS
1yr G-Sec Yield 8.29 8.29 (0.00) BHEL’s FY11 profit came at Rs 6053 crore versus provisional of Rs 6,021 crore. The company clocked
LIBOR (6m) 0.46 0.46 0.00 consolidated turnover of Rs 43,691 crore versus provisional of Rs 43,451 crore. BHEL registered net
LIBOR (1m) 0.25 0.26 (0.01) profit of Rs 2,798 crore versus provisional of Rs 2,807.8 crore in fourth quarter. Net sales stood at Rs
Interbank Call rate 7.4 7.5 (0.07) 18623 crore versus provisional of Rs 18694.5 crore. The change in accounting policy led to revenue
gain of Rs 2772.8 crore in FY11.The board has approved stock split in the ratio of 5:1 and 5%
divestment of government stake. The company is to reserve 10% of FPO for employees.
BSE Turnover Rs Cr('000) Sensex
Tata chemcials has posted 7% dip in its net profit to Rs 408.4 crore for the year ended March 31, 2011
18400 3.0 as compared to Rs 434.7 crore previous year. Total income for the fiscal 2011 increased to Rs 6,440.8
crore from Rs. 5,669.2 crore, up by 13.61%.
18300 2.5
18200 2.0 Direct-to-Home (DTH) operator Dish TV reduced its net losses for the March quarter aided by an
18100 increase in its average revenue per user and better product mix. The company reported a net loss of Rs
1.5 37 crore for the latest quarter as against a net loss of Rs 60.5 crore in the corresponding quarter last
18000
1.0 year while revenues increased to Rs 451.7 crore from Rs Rs 319.5 crore.
17900
17800 0.5
Bajaj Electricals have posted a 53.4% growth in its net profit at Rs 57.46 crore for the quarter ended
17700 0.0 March 31, as against the year-ago period. The company, which makes fans and other appliances, had a
17-May 18-May 19-May 20-May 23-May net profit of Rs 37.46 crore in the quarter ended March 31, 2010. Additionally it announced that it is
eyeing Rs 1,000 crore from its engineering and projects business.
IT firm Mahindra Satyam posted a consolidated net loss of Rs 327 crore for the quarter ended March
31, 2011, on account of exceptional expenditure, including payments made to settle SEC and Upaid
5500 NSE Turnover Rs Cr('000) Nifty 11 lawsuits in the US.
5480
11
5460 Hospitality firm Hotel Leelaventure posted a 7.84% decline in consolidated net profit for the quarter
5440 88.38 10
#DIV/0! ended March 31 at Rs 37.82 crore. In the same period last fiscal, the company's net profit stood at Rs
5420 41.04 crore.
10
5400
5380 9
The Hinduja Group said that they are keen to venture into the aerospace business and will make an
5360
9 announcement over the next three months.
5340
5320 8
17-May 18-May 19-May 20-May 23-May The country's third-largest software exporter Wipro said that it has got a scrutiny notice from the
Income Tax (I-T) Department for the assessment year 2008-09.

2. May 24, 2011
Volume: 1 | Issue: 389| November 1, 2010
SECTOR 23-May 20-May % Change CORPORATE NEWS
FMCG 3,784 3,762 0.59% Pratibha Industries and China Rall First Group JV bags Rs4.67bn order from DMRC.
CD 6,306 6,275 0.49%
IT 6,013 6,064 -0.84% Jubilant Life Sciences reportedly said it has repayed US$202 mn (nearly Rs. 900 crore)
for redemption of outstanding overseas bonds.
TECk 3,605 3,641 -0.97%
OIL&GAS 9,200 9,317 -1.26%
Aurobindo Pharma plunged 9.36% to Rs. 175.30 on BSE, after the company said it has
AUTO 8,944 9,113 -1.85% received a warning letter from the US drug regulator with regard to a manufacturing
PSU 8,252 8,412 -1.90% unit in Hyderabad.
HC 6,031 6,153 -1.98%
METAL 14,724 15,121 -2.62% Hindustan National Glass & Industries (HNG) said that its consolidated net profit
REALTY 2,028 2,087 -2.79% declined by 61.87% to Rs 58.78 crore for the year ended March 31, 2011.The company
BANKEX 11,813 12,159 -2.85% had a net profit of Rs 154.17 crore in previous fiscal.
POWER 2,499 2,574 -2.91%
CG 12,806 13,195 -2.95% Gujarat NRE Coke's Australian subsidiary, Gujarat NRE Coking Coal will increase
production to 2.5 million tonne by March 2012 from the current 1.5 million tonne.
Mining major Sesa Goa said that it is yet to receive an investigation report from
corporate fraud probe body SFIO and promised that once it does, all matters would be
dealt with in a transparent manner.
BSE Upper Circuit Breakers GAIL (India) Ltd saw a 14% dip in its net profit for the fourth quarter of financial year
Company Name 23-May 20-May % Change 2010-11 at Rs 783 crore against Rs 910.8 crore in the same period previous year. Total
SHALIMAR PAINTS LTD 569.5 517.7 10.00 Income for the January -March quarter increased to Rs 8961.4 crore from Rs 6670.6
APOLLO FINVEST (INDIA) 10.9 9.9 10.00 crore.
J.L.MORISON (INDIA) 315.0 300.0 5.00
Leading Network and Application services provider Net 4 India has posted results for
PARENTERAL DRUGS (INDIA) 117.8 112.2 5.00 0
the year ended March 31, 2011 with the consolidated sales of Rs. 3.04bn (up by 56%),
INTELLIVATE CAPITAL VENTURES 98.7 94.0 5.00 a 84% rise in PAT at Rs. 211.3mn and a 63 % growth in EPS to Rs. 10.84. The results for
Q4 were also quite impressive. On a YoY basis Consolidated Revenue grew by 53% from
600mn to 920mn, while the PAT grew by 79% from 3.3cr to 5.9cr.
HCL Infosystems Ltd, India’s premier Hardware, Services and ICT System Integration
Company, announced a special consumer campaign, ‘HCL Grand Computer Carnival’ in
BSE Lower Circuit Breakers association with Intel Corporation. The carnival featuring exciting offers on HCL’s range
Company Name 23-May 20-May % Change of desktops and notebooks is on from May 10 till May 31, 2011.
SAMPADA CHEMICALS 63.7 67.1 (5.00)
Vascon Engineers Ltd has bagged orders worth Rs11.86bn.
BETEX INDIA 212.4 223.5 (5.00)
FARRY INDUSTRIES 22.9 24.1 (5.00) UB Group-controlled Kingfisher Airlines managed to narrow its losses by 38 per cent
LS INDUSTRIES 131.5 138.4 (5.00) to Rs 1,027 crore in 2010-11 from Rs 1,647 crore in the previous year. It posted 23 per
Vertex Securities 277.7 292.3 (5.00) cent growth in top line at Rs 6,496 crore on the back of higher demand, stable yields
and higher aircraft utilisation.
Johnson & Johnson (J&J) will acquire over-the-counter Russian brands of Mumbai-
based JB Chemicals & Pharmaceuticals (JBCPL) for about $260 million.
The Aditya Birla Group, JSW Steel and JSPL have been shortlisted for the second
round of bidding for Australia-based Bandanna Energy's coal mines that could see
valuations for the resource ranging from about $850 million to $1.5 billion.
COMMODITY 23-May 20-May % Change COMMODITY / CURRENCY NEWS
Brent Crude Oil (USD/bbl) 110 112 (2.54)
0.45 Brent Crude Oil closed 2.54% lower at $110 per barrel. Gold closed up by 0.45% at
Gold (Rs/10gm) 22,257 22,158
22,257 and silver closed down by 0.14% at Rs 53,203.
Silver (Rs/kg) 53,203 53,275 (0.14)
CURRENCY 23-May 20-May % Change The Indian Rupee closed lower by 0.49% against the dollar at Rs 45.25 as the Indian
INR / USD 45.25 45.03 0.49 equity benchmarks ended on a negative note.
USD / Euro 1.40 1.42 (1.12)
Yen / USD 81.80 81.90 (0.12)

3. May 24, 2011
Volume: 1 | Issue: 389| November 1, 2010
FUTURES PREMIUM/DISC Cash Futures P/D% ECONOMY / POLICY / GLOBAL NEWS
GTL Infra 33.3 33.7 1.35 The information and broadcasting ministry endorsed the recommendation by the
ConCor 1065.0 1,074.0 0.85 Telecom Regulatory Authority of India (Trai) to enhance foreign direct investment
GTL 412.8 415.8 0.73 (FDI) ceiling for direct to home TV, Internet protocol TV and teleport from 49% to 74%.
Copal 900.2 906.0 0.65
Max 161.0 162.0 0.62 The finance ministry is seeking expeditious auction of spectrum in the hope that a
GE Shipping 276.1 277.7 0.60 windfall like last year will bail it out of the difficult fiscal situation it has landed in early
PFC 211.7 203.3 (3.97) on in the financial year.
Triveni 35.9 35.2 (1.95)
Punj Lyod 55.5 54.5 (1.71) Mauritius has agreed to share information on bank accounts under its double taxation
avoidance agreement (DTAA) with India.
Ambuja 131.7 130.0 (1.29)
Titan 4248.0 4,199.0 (1.15)
IBM has signed an agreement with LeasePlan India Pvt. Ltd., one of the leading vehicle
Hero Honda 1802.0 1,785.0 (0.94) leasing and fleet management company, to support and manage their multi-vendor IT
environment. LeasePlan chose IBM for its proven expertise to provide a single
INSTITUTIONAL ACTIVITY (Rs Cr) 16-May 13-May YTD consolidated maintenance services contract for both IBM & Non-IBM hardware
FII Cash Net (242) (3,706) 5,025 products to ensure better vendor management & tracking.
FII Stock Futures (330) 464 (3,814)
FII Index Futures (38) 1,309 (5,066) Toshiba Corporation, a world leader in electronics and social infrastructure systems,
Mutual Fund (76) 15 1,859 have announced that it has entered into a definitive agreement to acquire (US$2.3
billion) the entire equity of Landis+Gyr AG, a company incorporated in Switzerland
VALUATIONS P/E P/B DIV YLD and a global leader in energy management solutions for utilities, from the company's
BSE 19.7 3.5 1.1 shareholders and warrant owners.
NSE 20.4 3.5 1.2
BSE500 Mcap/GDP Ratio 0.63
MOVERS & SHAKERS
4.91
TOP 5 FRONTLINE GAINERS TOP 5 MIDCAP GAINERS TOP 5 SMALLCAP GAINERS
Name Rs % Name Rs % Name Rs %
ITC 190.1 2.29 Shree Global Trd 206.3 4.99 Modern India 72.9 8.17
- - - KGN Inds 69.9 4.96 Magma Fin 75.0 8.00
- - - MVL 28.5 3.83 Shristi Infra 188.2 7.54
- - - Gammon India 106.9 3.74 Nirlon 51.9 7.46
- - - Eclerx Serv 780.9 3.71 Unisys Soft 127.0 7.35
TOP 5 FRONTLINE LOSERS TOP 5 MIDCAP LOSERS TOP 5 SMALLCAP LOSERS
Name Rs % Name Rs % Name Rs %
BHEL 1935.6 -6.69 Aurobindo Pharma 175.6 -9.23 Falcon Tyres 81.2 -17.40
ICICI Bank 1006.6 -3.61 KS Oils 25.9 -7.83 Dunlop India 44.3 -16.59
Reliance Infra 548.2 -3.57 D B REALTY 75.5 -7.76 Meghmani Org 11.0 -8.60
Tata Motors 1129.5 -3.36 PTC India 79.2 -6.77 Kirloskar Oil 294.4 -8.07
Tata Steel 559.3 -3.30 Glodyne Tech 340.0 -6.14 Halonix 83.1 -7.67
BULK DEALS
SCRIPT NAME CLIENT NAME TYPE QTY % PRICE
NSE
Paramount Printpack Ltd Crosseas Capital Services Pvt. Ltd. BUY 0.71% 27.1
Prithvi Information Solut Rajat Gandhi BUY 0.84% 37.4
Ramco Industries Ltd Ramasubrahmaneya Rajha Ramasamy Rajha Poosapadi BUY 0.15% 43.9
Neha International Ltd A3N Holdings SELL 0.58% 161.5
Shalimar Paints Ltd R.M. Share Trading Pvt Ltd SELL 2.29% 498.4
BSE
Asahi Infra Indravarun Trade Impex Pvt Ltd BUY 0.71% 10.9
Paramount Print Crosseas Capital Services Private Limited BUY 2.87% 27.6
SCOPE IND Lakshmanarao Kondaveti BUY 0.75% 63.2
Tata Coffee A K G Securities And Consultancy Ltd SELL 2.01% 820.3
Micro Forge Rekha Garg SELL 1.29% 2.2