In your interest.
Online Personal Finance Magazine
No beating about the bush.
Sensex gains 75 points as RIL, ONGC move up; bank stocks decline on continuing concerns of a rate hike
Trading started on a high note on Thursday, triggered by Asian stocks which rebounded after a sharp decline yesterday in a knee-jerk reaction to the increase in the cash reserve ratio for Chinese banks. But after a robust opening, the market was sold off until it firmed up after the European market opened strong. The day ended with a gain of 75 points in the Sensex which closed at 17,585. The index touched a high of 17,628 and a low of 17,525 during the session. The NSE Nifty ended at a provisional 5,259 points, up 0.48% or 25 points. The premarket futures in US are trading higher, as are European markets. Higher prices seem to be the path of least resistance.
Asian stocks were higher following a higher close in US stocks on Wednesday. The Dow Jones Industrial Average hit a fresh 15-month closing high, gaining 53 points. The Standard & Poor's 500 Index gained 9.46 points and the Nasdaq Composite Index was up 25 points, or 1.12%, to 2,307.90.
Among Indian stocks, Punj Lloyd has secured a Rs574 crore offshore EPC contract from PTT Public Company Ltd, a Thailand state-owned oil and gas major, for platform compression facilities in the Gulf of Thailand. The stock was up nearly 2% at Rs216.50.
Infosys was up for the fourth consecutive day while TCS was down. Wipro was up 3.61%.
The market was propped up by a rise in two heavyweights—RIL and ONGC. RIL rose 2.26% after it announced raising $763 million through a block sale of 3.3 crore shares on Monday.
BHEL (up 1.89%) has received a Rs200-crore order from PowerGrid for supplying insulators needed in transmission lines.
Bank stocks were down on continuing concerns of a rate hike.
The surprise of the day was that oil marketing companies (OMCs) did not get sold off and ONGC was actually up 2.94%, despite the petroleum minister Murli Deora stating that the FM has not agreed to the demand of Rs31,800 crore of cash &/or oil bonds to compensate for fuel subsidy. In fact, the finance ministry has clearly re-iterated today that there would be no oil bonds issuance this year.
This was anticipated because government finances are stretched for FY10. In fact, a few days back, the finance secretary had said that the government would be willing to pay cash of only Rs12,000 crore-Rs15,000 crore, leaving a gap of Rs15,000 crore over and above the Rs17000 crore loss suffered by oil firms in upstream operations . After Murli Deora’s comment today, the OMCs should have sold off. But, of course, we are in a bull market.
A M Naik rose to the top slot in Larsen & Toubro, and put it on the path to being a multinational entity.
AM Naik, Executive Chairman of Larsen & Toubro, an engineering and construction giant, has steered the company through some of its most turbulent times. Under him, L&T has recorded probably the most robust performance and the scrip has had the fastest rise in its history. How did...
Sudhakar Prabhu has built the Wankhede Stadium in Mumbai and the Jeejeebhoy Towers that houses the Bombay Stock Exchange.
Frischmann Prabhu -- announces a small board at the start of a dirty lane in Prabhadevi in Mumbai, flanked by tightly-huddled hutments. Down the uneven lane is a massive 16,000 sq ft of refurbished godown, with minimal decoration and a plain jute mat to cover...