Share prices to move in a range: Wednesday Closing Report

Nifty to move between 4,750 and 4,930

The market lost about 1.2% on Wednesday, snapping a two-session gain on global worries that also dampened sentiment in the rest of the Asian markets. Although the Nifty couldn't manage crossing Tuesday's high, the benchmark succeeded in staying above its previous low.

We are in a situation where Thursday's move could determine whether we will see a further fall or a weak upmove may resume. The Nifty is likely to move in a range of 4,750 and 4,930.

While the US markets closed with smart gains overnight, markets in Asia pared early gains on growth concerns in the region after Moody's downgraded Japan's sovereign debt rating by a notch to 'Aa3', citing the large budget deficit and increasing debt.

The downtrend in Asia saw the domestic market opening lower. The Nifty opened at 4,934, down 15 points from its previous close, and the Sensex resumed at 16,491, lower by seven points. IT, metal, auto, oil & gas and banking stocks were weak in early trade.

The market picked up some momentum on select buying, pushing the benchmarks into the green. The indices went on to hit their intra-day highs in the first hour of trade, with the Nifty rising to 4,962 and the Sensex touching 16,533. However, the market struggled to retain the gains amid sharp volatility that dragged the indices back into the red in the next 30 minutes.

Selling pressure resulted in the market touching its intra-day low in the first part of the session itself. At the lows, the Nifty fell to 4,897 and the Sensex was at 16,321. The indices were range-bound in subsequent trade and ended lower with all sectoral gauges in the negative. The Nifty fell 60 points to close at 4,889, while the Sensex settled at 16,285, down 213 points.

The advance-decline ratio on the National Stock Exchange (NSE) was 796:1117.

The broader indices outperformed the Sensex today with the BSE Mid-cap index losing 0.54% and the BSE Small-cap index falling 0.51%.

The top losers in the sectoral space were BSE Auto (down 2.31%), BSE Metal (down 2.26%), BSE Bankex (down 1.64%), BSE Capital Goods (down 1.42%) and BSE PSU (down 1.40%). There were no gainers today.

Hindustan Unilever (up 0.71%), Hindalco Industries (up 0.38%) and HDFC (up 0.12%) were the only gainers on the Sensex. The losers were led by Coal India (down 4.61%), Tata Power (down 4.51%), Tata Steel (down 4.28%), Tata Motors (down 3.90%) and Maruti Suzuki (down 3.69%).

The key gainers on the Nifty were Ranbaxy (up 1.08%), Power Grid Corporation (up 0.79%), Grasim (up 0.59%), GAIL (up 0.53%) and Kotak Bank (up 0.45%). The major losers were Tata Steel (down 4.62%), Tata Motors (down 4.40%), Axis Bank (down 4.39%), SBI (down 3.91%) and IDFC (down 3.84%).

Markets in Asia also ended in the negative, following speculation that the US Federal Reserve would refrain from announcing any new plans to prop up the sagging economy at its meeting next week. Moody's lowering the rating for Japan also weighed on the markets.

The Shanghai Composite fell 0.51%, the Hang Seng tumbled 2.06%, the Jakarta Composite declined 0.89%, the Nikkei 225 slipped 1.07%, the Straits Times tanked 1.64%, the Seoul Composite fell 1.23% and the Taiwan Weighted settled down 0.63%.

Back home, foreign institutional investors were net sellers of shares worth Rs100.34 crore. On the other hand, domestic institutional investors were net buyers of stocks worth Rs302.89 crore.

Bharti Airtel, India's largest private telecom operator paid Rs1,177.48 crore to the government in the April-June quarter towards licence fees and spectrum usage charges, which is more than any other service provider. It paid Rs755.22 crore in licence fees and Rs422.26 crore as spectrum charges for the quarter ended 30th June 2011, according to data compiled by telecom regulator TRAI. The stock fell by 0.46% to Rs399.75 on the NSE.

Kiri Industries, which makes dyes, has bagged a Rs100 crore per annum multi-year export order for supplies to South-East Asia. The order will allow Kiri to penetrate into one of the largest textile producers globally with its entire product range. The stock ended at Rs157, down by 0.82%, on the NSE.

At least 22 mines owned by Coal India face closure over environmental concerns in Jharkhand, potentially suffering an output loss of up to 40,000 tonnes a day, officials said on Wednesday. The mines in Jharkhand, which provide mostly coking coal for state-run Steel Authority of India, have been accused by pollution control authorities of operating without proper forest clearance permission. Coal India tumbled 5.54% to end at Rs370.65 on the NSE. 


Gold extends losses; drops further by Rs350, silver sheds Rs800

Market analysts said profit-booking by stockists at prevailing high levels, driven by reports of a steep fall in global markets, mainly pulled down gold and silver prices

New Delhi: Gold and silver extended their losses in the bullion market here on Wednesday on sustained selling by stockists, triggered by a steep fall in global markets, reports PTI.

Gold fell below the Rs28,000-level by losing Rs350 to Rs27,840 per 10 grams. The metal had lost Rs350 in the previous session. Silver shed Rs800 to Rs64,200 per kg after declining by Rs1,300 yesterday.

Market analysts said profit-booking by stockists at prevailing high levels, driven by reports of a steep fall in global markets, mainly pulled down gold and silver prices.

In addition, sluggish demand at existing levels dampened the trading sentiment to some extent, they said.

Gold prices in New York recorded a steep fall of $68 to $1,830.10 ounce last night. Silver also shed 4.21% to $41.88 an ounce.

On the domestic front, gold of 99.9% and 99.5% purity plunged by Rs350 each to Rs27,840 and Rs27,690 per 10 grams, respectively.

Sovereigns continued to be traded at the previous level of Rs22,500 per piece of eight grams.

Similarly, silver ready fell by Rs800 to Rs64,200 per kg and weekly-based delivery lost Rs985 to Rs63,615 per kg.

Silver coins followed suit and tumbled by Rs1,000 to Rs71,000 for buying and Rs72,000 for selling of 100 pieces.


On a morning round at the Ramlila Maidan: It’s quite messy here, but a devoted group is working hard to keep it all together

It’s not been easy for Anna Hazare’s troops to manage the buildup at the principal venue of the anti-corruption protest in the national capital. But they’ve done pretty well

The easiest way to head for Ramlila Maidan in Delhi is to get there by bus, if you are familiar with the routes, or by the Delhi Metro train to New Delhi Railway Station if you are not. Either way you can follow your nose, as you will weave your way through tonnes of garbage as well as open air toilets to reach the site of Anna Hazare's fast. This is through Kamla Market and the transport godowns there, as you enter the Ramlila grounds from the garbage dump end (the north end of the parking lot) through the entry gate for the public, and you are at once struck by the fact that you have never seen the Delhi Police being so polite and people friendly as they are now.

However, even they cannot do everything, and we all wade through the garbage and slush of overnight rain. As a matter of simple observation, it is a miracle that the increasingly weaker Anna Hazare is not succumbing to cholera or other water-borne diseases spread by insanitary conditions, so filthy are the environs at a location which could have been kept in pristine condition with just a little bit of co-operation from all parties concerned.

Either a senior dignitary of some sort-any sort-should announce a visit, or the Army should seek permission to look after one of their own, and clean up the place. The Municipal Corporation of Delhi, in its wisdom, has obviously given up.

This morning was no different. It has been like this from the start. However, evolution of such events is marked by the fact that in addition to a separate gate for VIPs, there is now also a gate for VVIPs. The access from that side, closer to Hamdard and Asaf Ali Road and the original Chor Bizarre, is spanking clean and full of sanitation workers wearing day-glo jackets.

It is a mark of pride to be allowed in from that gate, and the new-generation volunteers there appear to be of a different breed from the ground level volunteers, and in their best form too, strutting around and being rude to non-VVIPs, while the cops look on bemused, happier that somebody else will now take the blame in the forthcoming days for being, well, like police in an occupied state.

As I watch, box-loads of breakfast from a branded fast-food chain are unloaded, and despatched somewhere, probably towards the VVIP parking lot for VVIP drivers and VVIP hangers-on.

On another side, closer to the now blocked main road called JLN Marg, are the vast technological marvels called OB vans. These are, apparently, excused and forgiven from all pollution and emission control regulations-the sound and smoke is deafening. A busybody camera assistant-type gets upset when he sees me taking photos and tells me that it is not allowed. The next moment, another TV news channel person asks me if I want to make a video of my visit there.

From these OB vans (outside broadcasting vans) and their accompanying mobile gen sets, a wild tangle of wires of all sorts move through the slush and chaos, all mixed-high voltage, low voltage, and media. There is not a single fire engine to be seen.

The crowds are in the centre, suitably kept behind the VVIP arena, the VIP arena, the arena where people come to give bytes to the TV crew and the media arena. This is also where the real volunteers move around, eagerly distributing packets of water (in plastic), packets of biscuits (also in plastic) and bananas (thankfully, not in plastic).

On one side is the area where people are supposed to be fasting in support. But it is empty, after all, it is hardly 8:30 in the morning and the TV crews are just about stretching their jimmy jibs and launching their first smokes.

At another end, call it the north-west end of Ramlila grounds, are the catering tents. A smell of deep fried bread pakoras fills the area and the lines are very quick to form. There is no let-up from the slush and filth here, too, and since the pakodas are served in laminated paper plates, the area is soon afloat with more neo-plastic garbage.

Mini truckloads of victuals are unloaded in the open space nearby. Not too far away, are what can only be overflowing mobile toilets. Nearby are the medical assistance counters. Life and support comes full circle here in the same area.

But despite all this, and probably made all the more resolute because of these adverse conditions, there is a core of volunteers and protestors who keep the momentum going. They are, to an extreme, well behaved and going about their work diligently.

One of Parivartan's old timers recognises me and summons me over towards the VVIP gate, I politely refuse and tell him that I would rather go walkabout, and he nods back wryly. The backbone of Anna Hazare's protest is still in the capable hands of this lot. That, as well as the fact that at random places all over the city and on the Metro train network which I use to return home, are people wearing the Anna caps or other symbols of the "India Against Corruption" protest.
As I head to leave Ramlila grounds for New Delhi Railway Station to take the train back home, while Anna Hazare is still in his chambers, the crowd starts swelling. It is now closer to 9am, the streets are full of people heading for various offices in the area, jumping and avoiding the mess on the roads since the pavements are all taken over by other activities, and in the distance, patriotic songs blaring out of Ramlila grounds get consumed by the howl of pressure horns and roaring engines. A television OB van going the wrong way in a one-way street completes the picture. The police, of course, are everywhere, and watching.




5 years ago

Thanks for this post card from the edge - look forward to more pictures and stories from the ground. Would like to know more about the volunteers, for instance.

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