Nifty, Sensex trying to find a footing: Monday Closing Report

If the Nifty is able to rally from this level, it may head for 5,960

The market continued its losing streak into the new week on lack of cues from Asia and on concerns about the nation’s economic growth. However, if the Nifty is able to rally from this level, it may head for 5,960. The National Stock Exchange (NSE) reported a volume of 51.46 crore shares and advance-decline ratio of 622:897.


The market opened with minor gains on cautiousness ahead of the release of key macro-economic indicators this week. In global trade, most markets across are shut for the Chinese Lunar New Year holiday, and that which was open was up. The US markets witnessed a strong close on Friday on positive economic indicators.


The Nifty opened 16 points higher at 5,920 and the Sensex started off at 19,518, a rise of 33 points over its previous close. Early gains helped the market hit its intraday high, wherein the Nifty touched 5,924 and the Sensex went up to 19,543.


However, the gains were short-lived as profit booking soon saw the benchmarks trending down. The market was range-bound with the key indicators hovering on both sides of their previous closing levels in subsequent trade.


Meanwhile, MCX Stock Exchange’s (MCX-SX) benchmark index SX40 went live with its equity trading platform on both the equities and equity derivatives today. MCX-SX became India’s third full-fledged equity bourse after the BSE and the NSE.


The market dipped to its lows shortly after 11.00am with the Nifty falling to 5,879 and the Sensex moving back to 19,417. Buying in select sectors in non trade lifted the benchmarks into the green, lack of cues from its Asian peers kept a cap on the gains.


Adding to the economic fears, Reserve Bank of India governor Duvvuri Subbarao today cautioned the country was headed for the highest ever current account deficit (CAD) this fiscal, after it rose to 5.3% of GDP in the second quarter. He also expressed concern over the way the CAD, which is the gap between forex gained and forex spent, is being financed by volatile inflows instead of more foreign direct investments.


Lacklustre trade continued in the late session as the benchmarks once again gave up their gains. The market witnessed another of subdued trade with the Nifty closing six points (0.10%) down at 5,898 and the Sensex falling 24 points (0.12%) to 19,461.


Among the broader indices, the BSE Mid-cap index fell 0.18% and the BSE Small-cap index declined 0.31%.


The top sectoral gainers were BSE Realty (up 0.91%); BSE Healthcare (up 0.74%); BSE PSU (up 0.47%); BSE Bankex (up 0.34%) and BSE Power (up 0.29%). The main losers were BSE Capital Goods (down 0.81%); BSE TECk (down 0.43%); BSE IT (down 0.33%); BSE Fast Moving Consumer Goods (down 0.31%) and BSE Oil & Gas (down 0.18%).


Thirteen of the 30 stocks on the Sensex closed in the positive. The chief gainers were Cipla (up 3.62%); Dr Reddy’s Laboratories (up 2.45%); Hindalco Industries (up 2.14%); Sterlite Industries (up 2.07%) and Hindustan Unilever (up 1.88%). The major losers were Maruti Suzuki (down 1.64%); ONGC (down 1.61%); Jindal Steel & Power (down 1.60%); Bharti Airtel (down 1.57%) and HDC (down 1.27%).


The top two A Group gainers on the BSE were—MMTC (up 18.96%) and Hindustan Copper (up 10.48%);

The top two A Group losers on the BSE were—Cadila Healthcare (down 6.43%) and AstraZeneca Pharma India (down 6.36%).


The top two B Group gainers on the BSE were—State Trading Corporation (up 19.98%) and Panama Petrochem (up 17.37%).

The top two B Group losers on the BSE were—Cochin Minerals & Rutile (down 19.98%) and Crest Animation Studios (down 19.98%).


Out of the 50 stocks listed on the Nifty, 23 stocks settled in the positive. The major gainers were Cipla (up 3.66%); Axis Bank (up 3.04%); Hindalco Ind (up 2.60%); Tata Motors (up 2.40%) and Dr Reddy’s (up 2.24%).  The key losers were ACC (down 3.70%); JSPL (down 2.57%); IDFC (down 2.26%); Maruti Suzuki (down 1.99%) and ONGC (down 1.91%).


In Asia, the Jakarta Composite gained 0.27% Markets in Japan, South Korea, China, Hong Kong, Singapore and Malaysia were closed for national holidays.


At the time of writing, the key European indices were up between 0.18% and 0.54% and the US stock futures were trading in the positive, an indication of a green opening for US stocks.


Back home, foreign institutional investors were net buyers of equities totalling Rs1,490.82 crore on Friday and domestic institutional investors were net sellers of shares aggregating Rs709.36 crore.


Provident Housing, the wholly-owned subsidiary of real estate developer Puravankara Projects, is planning to enter the Mangalore market. The Bangalore-based company is set to launch a property at Derebail, near Konchady in Mangalore. The realty major is also planning to similar initiatives in Mumbai, Delhi, Hyderabad, Coimbatore, Mysore, Pune, Baroda, Ahmadabad, Kolkata, Nagpur and Jaipur. Puravankara dropped 3.08% to close at Rs96 on the NSE.


Shree Renuka Sugars has signed an agreement with Sri Lanka’s state investment arm, Board of Investment, for setting up a $220-million sugar refinery complex at Hambantota in the South. The proposed project plans to bring inedible raw sugar from Brazil in bulk and add value locally by refining it in the complex. The stock declined 1.57% to close at Rs28.20 on the NSE.


Reliance Communications has awarded a $1 billion outsourcing contract to Swedish telecom equipment maker Ericsson to manage its networks across the northern and western states. Under the eight-year contract, Ericsson will operate and manage both the wireline and wireless networks in the northern and western States of India. Reliance Communications fell 0.47% to close at Rs74.90 on the NSE.


Preventive Health check-up – I: Is the Rs5,000 tax deduction enough?

It is a debatable topic whether a healthy person really needs a preventive health check-up. If you want to avail of a preventive health check-up, the government is giving you an incentive of tax deductions up to Rs5000. Is the amount fair?

Got your preventive health check-up done? If you are in the highest tax bracket and spend Rs5000 on these tests, you will effectively be spending only Rs3,500 due to tax savings. Just ensure that you are not crossing the Section 80D limit of Rs15,000. So, if your health insurance premium is less than Rs10,000, you can get full benefit with the Rs5,000 limit for a preventive health program (PHP). The question is whether you really need it? If so, is Rs5,000 enough for a preventive health check-up?

PHP is often hard-sold to people. The fact that the finance ministry has made PHP eligible for tax savings has spelt happy days for medical marketers in a segment that is already galloping at 13% every year. People buy PHP as insurance. If they are found to be healthy, then the money 'wasted' on PHP is good news. Is it correct? According to Prof Dr BM Hegde, cardiologist and former vice chancellor of Manipal University, "If there is no symptom, never ever see a doctor. PHP is very dangerous. When there are symptoms (can even include headache), then see a doctor. Prevention in true sense is about promoting your health, improving your immune system."

PHP is an emotional-sell that began in the West and is now spreading like wildfire among India's newly affluent with high-paying corporate jobs. The argument that something may be wrong inside your body which you may not know, makes PHP an easy sell. Dr Hegde, says, "Going for screening when one is healthy could be very, very dangerous. Medicine is not a hard science. It is a statistical science where averages are equated with normality. We have no definition of 'normal' in medical science. When average is normal, false positives and false negatives are 50%. Now imagine your position when you go for a heart check-up. You will certainly end up on the angiogram table if not on the bypass table!"

Companies involved in PHP business obviously communicate a different message Amol Naikwadi, joint managing director, Indus Health Plus, says, "Considering the rising incidence of non-communicable diseases (NCDs) and deaths caused by NCDs, the government must give greater incentive to people to go for preventive screening. We wish to have a separate category (not club it under Sec 80D limit) for preventive health check-ups so that people get a precise and clear incentive to go for a preventive health check-up."

However, there is concurrence of view from Hinduja Hospital. According to Deepak Samant, director finance, PDHinduja National Hospital & Medical Research Centre, Mumbai, "At present the limit of Rs5,000 for PHP is clubbed within the limit of Rs15,000 applicable under Sec 80D. The necessity of Mediclaim and PHP is increasing day by day. It is a well-known fact that the most effective remedy on ever swelling healthcare spends is to encourage preventive healthcare. Thus the deduction for PHP (must) be in addition to the limit of Rs15,000 under Sec 80D."

Every doctor will have a different opinion about when to start PHPs-it can range from age 30 years to never. But ideally, it is best to listen to your body for signals. Ignorance is not bliss in matters of health and there is a fine line between bravado and stupidity; it is important to know the difference.

According to Dr Sadanand Nadkarni, former dean of LTM Medical College, Mumbai, "Regular check-up was needed for those over 60. Today, annual check-ups after 65 can be physical check-up and a few simple tests. They are: blood CBC, blood sugar, serum creatinine (kidney), serum protein and bilirubin (liver), X-ray of chest (lung) ECG, stress test (heart) and vision."

If you really need to do only basic tests then the Rs5,000 tax deduction may be enough. But, does the PHP industry think the same? The argument is that Rs5,000 tax deduction for the whole family is not enough. We will find it out in the second part of the article where we will give the rates of some PHPs available in the market. Why are PHPs including high-tech tests like whole body CT scan?




3 years ago

According to Prof Dr BM Hegde, cardiologist and former vice chancellor of Manipal University. "Going for screening when one is healthy could be very, very dangerous"

Is the above statement true. Can anybody throw light on this

nagesh kini

4 years ago

Can any hospital come out with the names of each essential/basic test and cost thereof for "a complete preventive check up" ?

Pope Benedict to resign on 28th February due to fragile health

In recent months, the 85-year-old German-born Pope, hailed as a hero by conservative Catholics and viewed with suspicion by liberals, has looked increasingly frail in public sometimes being helped to walk

Pope Benedict XVI on Monday announced that he would resign on 28th February. The 85-year-old pope announced his decision in Latin during a meeting of Vatican cardinals this morning, thus becoming the first pontiff to do so in nearly 600 years.


In a statement, the pope said in order to govern “...both strength of mind and body are necessary, strength which in the last few months, has deteriorated in me to the extent that I have had to recognize my incapacity to adequately fulfil the ministry entrusted to me.


“For this reason, and well aware of the seriousness of this act, with full freedom I declare that I renounce the ministry of Bishop of Rome, Successor of Saint Peter.”


The decision sets the stage for a conclave to elect a new pope before the end of March.


According to media reports, the Pope’s leadership of 1.2 billion Catholics has been beset by a child sexual abuse crisis that tarnished the church, one address in which he upset Muslims and a scandal over the leaking of his private papers by his personal butler.


We are listening!

Solve the equation and enter in the Captcha field.

To continue

Sign Up or Sign In


To continue

Sign Up or Sign In



The Scam
24 Year Of The Scam: The Perennial Bestseller, reads like a Thriller!
Moneylife Magazine
Fiercely independent and pro-consumer information on personal finance
Stockletters in 3 Flavours
Outstanding research that beats mutual funds year after year
MAS: Complete Online Financial Advisory
(Includes Moneylife Magazine and Lion Stockletter)