FIRST LIGHT HEADINGS
SAIL invite bids to raise upto Rs 2,250 crore Omkar Speciality Chemicals to enter into MoU with Shree Sai Bhakti Enterprises Forex reserves decreased $2401 million to $310.503 billion Indian economy to grow by 7.8% in 2012: IMF Cadila Healthcare’s US arm to acquire assets of Nesher Pharmaceuticals Essel Propack inaugurates new facility in Goa AXIS Bank gets approval for raising funds
MARKET INSIGHT
On friday17 June 2011, Local Bourses were in control of the bears for the third straight session as jittery investors continued to book profits on concern that the Reserve Bank of India’s anti-inflationary stand would impact growth. A worsening global economic landscape was another factor that kept the markets on the edge, while continuing to dent investors’ confidence. Also, weaknesses in frontline stocks led to the subdued sentiments on the Dalal Street on Friday. Market bellwether Reliance Industries declined over 2%, followed by Infosys Technologies which lost over 1%, while TCS declined over 3%. Decline in oil prices too was unable to give any comfort to the traders, oil prices in New York tumbling to more than a month were on track for its worst weekly decline amid mounting speculation that Greece won’t be able to secure another bailout and will eventually default on its debt. On the global front, US stocks rose in volatile trade on Thursday, on the back of technical factors and options expirations; however the raging uncertainty about Greece prevented investors from committing money to the market. Moreover, the Asian stock markets ended mostly lower on Friday, as sentiment remained fragile with Europe’s debt troubles and uncertainty on the progress of the US economic recovery. Meanwhile, the European markets slid to a three-month closing low on Thursday, with investors’ risk appetite waning further as political discord and uncertainty over a second Greek bailout package hurt market sentiment.
The BSE Sensex lost 133.32 points or 0.74% and settled at 17,852.56. The index touched a high and a low of 18,064.76 and 17,844.09 respectively. 11 stocks advanced against 18 declining ones while 1 stock remain unchanged on the index. The BSE Mid-cap index lost 1.00% while Small-cap index shed 1.03%. On the BSE Sectoral front, Consumer Durables up 0.77% and Power up 0.09% were the only gainers. On the flip side, IT down 2.02%, Oil & Gas down 1.66%, Teck down 1.39%, Auto down 1.25% and Health Care down by 1.12% were the losers.
India VIX, a gauge for market’s short term expectation of volatility gained 3.10% at 20.27 from its previous close of 19.66 on Thursday. The S&P CNX Nifty lost 34.05 points or 0.63% to settle at 5,362.70. The index touched a high and low of 5,421.15 and 5,355.85 respectively. 16 stocks advanced against 33 declining ones and 1 stock remain unchanged on the index. (Provisional)
The gloom continued in the Asian region; barring KLSE Composite all other markets closed in red with Hang Seng suffering the most. Europe’s debt troubles and worries on the progress of the US economic recovery continued affecting the markets for yet another day. Some recovery was seen in the region in early trade on news that Greece is likely to get funding through the summer as the International Monetary Fund said it would support Greece.
Read more about Indian Equity Research Report By Mansukh
