It’s like a final before the finals

It's the big showdown at Mohali today as sub-continent heavyweights India and Pakistan take on each other at the cricket pitch. Pakistan relies on its agile bowling line up with the likes of Umar Gul and Shahid Afridi, while India’s strength lies in its colossal batting line up.

It is easily the biggest match of the World Cup (WC) with unbelievable amount of pressure on both the teams.

It’s like a final before the finals, says ace cricket commentator Ayaz Memon. "One of these two teams, India or Pakistan, is going into the finals but for the entire sub-continent, perhaps the entire cricketing world, this is the match most coveted, most looked forward too."

Memon said on paper India looks the clear favourites to win. “India with its strong batting line up, depth of experience, there has to be a skew in favour India. Having said that, Pakistan hasn’t reached this far in good grace from the other teams. They fought hard they played exceptionally well. They bowled exceptionally well and that I think is becoming the key in this tournament. Teams that have bowled well have succeeded. India is perhaps the only team where the batting has bettered their bowling.” He feels India's bowling has a lot of catching up to do.

Don't short the market now

Global markets have been subjected to unpredictable events in the past one month. Do the technicals suggest that the worst has been priced in? Well, Philip Roth chief technical analyst at Miller Tabak believes so. Though he doesn't see a big sustained move without preparation but a slight new high is possible according to him.

"Resistance for S&P 500 is seen at 1,330-1,340. For the Dow industrial average has resistance between 12,300 and 12,400. I think both these resistance areas can be bettered by a bit by maybe 3-5% but I think we should view this cyclical bull market as in the very mature stages," he told CNBC-TV18 in an exclusive interview.

The commodity outlook

Extremely positive on the metal space, Roth said though he doesn’t see a big move up right now, the long-term patterns seem favourable. "Probably the best-looking stock of all the metals is the least sensitive of all—gold,"

Two nations, One dream

India and Pakistan will come to an absolute standstill when 22 men - carrying the hopes of two emotionally charged-up nations - will put themselves in the line of fire for a place in the World Cup final.

All roads will lead to the northern part of India, where the city of Mohali will host the second semifinal of the 2011 World Cup and the match-up couldn't have been more even.

While expectations soar on both sides of the border, tempers are sure to reach a crescendo and emotions set to drool over when the two teams line up for their national anthems before an epic.

The journey for the two estranged neighbours though hasn't been without a few bumps before and during the World Cup.

Bloodshed in the Pakistan heartland during Sri Lanka's tour there had devastating consequences. The ICC snatched the World Cup holding rights from Pakistan as a penalty and cricket deprivation in terror-infested Pakistan deepened.

Pakistan bit the bullet by dropping the likes of Mohammad Yousuf and Shoaib Malik coming into the mega event after surfing over tsunamic tides of match-ixing in England.

Indecisiveness over naming the captain made the PCB look inept at handling team affairs. Only a turnaround in New Zealand helped restore sanity and Shahid Afridi was handed over the reins.

Unexpectedly, Pakistan took the blows on its chin, only to turn back and land a few in the World Cup. Wins over Sri Lanka and Australia lifted the gloom in the Pakistani dressing room. But the unpredictability of Pakistan did raise its head in the close shave against Canada and a hammering at the hands of New Zealand. However, in the quarterfinal, they demolished Caribbean dreams of a revival. And now, they have an Indian mountain to climb in the semifinals.

India's build-up, though more settled, had its fair share of problems. Piyush Chawla's inclusion didn't go down well with the fans, followed by a setback in the form of Praveen Kumar's elbow injury that ruled him out and gave S Sreesanth a new lease of life.

India's ride into the semifinals was far from one associated with tournament favourites. If the tie against England after scoring 338 was a heartbreak, unable to defend 14 runs in the last over against South Africa was depressing. A win in the final league game against West Indies brought back some confidence, which got a boost after Yuvraj Singh and Suresh Raina held their nerves to beat Australia in the quarterfinals.

And when India's semifinal against Pakistan was confirmed, the whole nation joined a bandwagon where everyone, while getting charged up, started to cash in.

India and Pakistan are not new to the hype that their face-offs generate. However, Indian skipper MS Dhoni downplayed that and urged his teammates to concentrate on the job at hand.

"Well, we know the kind of media hype India-Pakistan matches generate. We are not getting involved in all this. We need to know what we are expected to do and focus on that.

"It is not really affecting us. We all know it is a big tournament and we have prepared a lot. Our preparations have been the same like what we have done in the past few days," said Dhoni.

Commenting on the Pakistan team, Dhoni said they have a balanced bowling attack, which is also in good form.

"They have a good bowling attack. Their seamers and spinners are doing a good job; the part-timers are also doing well. In sub-continental conditions, these players play a role. All-rounders like Abdul Razzak and (Shahid) Afridi give them the liberty to play extra bowlers," he said.

Afridi sounded pretty composed and said the pressure was squarely on India.

"There is no pressure on us and that's why we are enjoying our cricket. We weren't the favourites coming into the tournament. But we have played above expectations. India were always the favourites and certainly the pressure will be on them," said Afridi.

About whether Shoaib Akhtar will play Wednesday's semifinal, Afridi said, "Shoaib is not 100 per cent fit but he is trying his best. We will take a decision on his inclusion this evening."

The occasion will also be graced by the Prime Ministers of the two estranged neighbours, after Yusuf Raza Gilani accepted Manmohan Singh's invitation to watch the match with him.

While politics has once again found cricket as an opportunity for diplomacy, the game will take centrestage on Wednesday when a charged-up Mohali will witness an epic unfold in the middle of the PCA stadium.

Asian markets trading higher

At 7: 48 am (IST), Asian markets were trading higher. Hong Kong's Hang Seng gained 1.19% or 273.40 poinst at 23,333.76. Japan's Nikkei surged 1.20% or 113.38 points at 9,572.46.
Singapore's Straits Times added 0.73% or 22.44 poinst at 3,079.39. South Korea's Seoul Composite rose 0.59% or 12.24 points at 2,084.37. Taiwan's Taiwan Weighted advanced 0.61% or 52.56 points at 8,649.13.China's Shanghai Composite was flat at 2,956.21.

Sensex Fly around 19K

Indian equity benchmarks were mildly positive in opening trade amid a choppy trade. Indices were hovering just around their key psychological levels - the Nifty was around the 5700 level and the Sensex around the 19,000 mark.

Auto, telecom, select technology, Anil Dhirubhai Ambani Group and select financial companies' shares were quite supportive. However, cement, realty and select metal stocks were down.

Among frontliners, Hero Honda, Reliance Infrastructure, Reliance Communications, Bajaj Auto, Suzlon Energy, ONGC, L&T, SBI, Wipro, HCL Tech and Bharti Airtel were pushing the markets higher.

However, ACC, Axis Bank, Hindalco, SAIL, Sterlite Industries, Jaiprakash Associates, ICICI Bank, Infosys, Cairn India and NTPC were under selling pressure.

The 50-share NSE Nifty was trading at 5,698, up 11 points and the 30-share BSE Sensex gained 58 points to 19,001.

The CNX Midcap rose 12 points to 7,878. About 506 shares advanced as against 338 shares declined on National Stock Exchange.

Nifty consolidates

The benchmark Nifty was positive in opening trade in the first session of the week, but amid mild gains amid extreme volatility, as the index rallied smartly in previous four sessions following an upmove in global markets.

Almost all asset classes heaved a sigh of relief and perked up during the week on news of slight containment of the nuclear disaster in Japan, says Nandan Chakraborty of ENAM.

He feels that, however, the West Asian crisis may continue to dictate the market direction in the near-term. "The bias is definitely going to be on large caps from here on as the structural story remains intact."

Among frontliners, Tata Motors, Maruti, M&M, Hero Honda, Bajaj Auto, HUL, Reliance Industries, ITC, Kotak Mahindra Bank, SAIL, IDFC, SBI, L&T and Ranbaxy Labs were leading the markets higher in early trade.

However, Infosys, Reliance Communications, Jaiprakash Associates, Sesa Goa, ONGC, NTPC and ICICI Bank were under selling pressure.

At 9:18 hours IST, the 30-share BSE Sensex was trading at 18,893, up 77 points and the 50-share NSE Nifty rose 20 points to 5,674. The CNX Midcap gained 22 points to 7,845.

Jaishree Industries plans Rs 57 crore IPO

Granite tiles producer Jaishree Industries has filed draft red herring prospectus with the market regulator SEBI for initial public offering of Rs 56.86 crore worth of equity shares.

Jaishree Industries (erstwhile Jaishree Granites Private Limited) is engaged in the business of production of granite tiles and slabs in India with an annual installed capacity of 200,000 square meters. Company also manufactures counter tops for export purposes. Other products of company include cobbles and curb stones.

Company is also engaged in the trading of agri-commodities (food grains & pulses). It intends to expand operations by entering into manufacturing of refined oil from soybean seeds and other soybean products.

Issue proceeds (excluding general corporate and issue expenses) are proposed to be used for expanding the agri commodity business by setting up soybean solvent extraction plant & ancillary units (with the cost of Rs 28.65 crore) and working capital requirement for the proposed expansion project (marble & soybean oil extraction) (with Rs 20.96 crore).

For the period of six months ended on September 30, 2010, it has reported a profit after tax of Rs 1.97 crore and net sales of Rs 24.96 crore.

Sensex surges 450 points

Equity benchmarks extended gains in the afternoon trade - the Sensex added around 450 points and the Nifty was just shy of 5650 level at 14:48 hours. About 45 stocks out of Nifty 50 were in green - Infosys, TCS, NTPC, L&T, Reliance Industries, ICICI Bank, HDFC Bank, Wipro, ONGC, SBI, L&T, ITC and HDFC were the frontrunners, with gaining 1-5%.

The 50-share NSE Nifty added 125 points to 5,648 and the 30-share BSE Sensex surged 447 points to 18,798, outperforming the broader indices.

The BSE Midcap & Smallcap indices rose 1% each. Even the Nifty March futures were trading at 30 points premium ahead of expiry next week.

The BSE IT Index was heading the markets from front, with shooting up 4% followed by Realty, Bank, Capital Goods, FMCG, Power, Oil & Gas and Auto, which were up 1-2.5%.

Sensex Flow

The benchmark Sensex added nearly 200 points in trade today at 12 hours, supported by heavyweights like Infosys, TCS, Wipro, L&T, NTPC, ONGC, ITC, HDFC, HDFC Bank, ICICI Bank and Bharti Airtel. However, indices were seeing some profit booking at higher levels.

Most of the negatives were already there in the price, says Abhijit Chakraborty, Fortune Financial.

"The recent firmness in the market is because on ground the corporate earnings, for this quarter, are looking up for some of the sectors which have not done too well in the past. Large sectors like banking, which contributes about 23-24% of the Nifty weightage, are likely to see improvement in earnings because of high credit growth. The NIMs could be also maintained at this level," he explained.

However on the upside, he said, the cap would definitely be there because of the high oil prices and the fear of interest rate hikes as inflation is not showing signs of moderating soon. "RBI policies will be watched. There is a likelihood that interest rates would go up. Oil and interest rates are the reasons that could keep the market capped around 5,650-5,700."

The 30-share BSE Sensex gained 182 points at 18,532 and the 50-share NSE Nifty went up 52 points to 5,574. The Nifty April futures were trading at 15 points premium.

Asian markets remained in a positive terrain on rally in US markets yesterday, which was quite supportive for Indian markets. Shanghai, Hang Seng, Nikkei, Straits Times and Kospi were up around 1%. Taiwan gained just 0.4%.

Among largecaps, Infosys, Wipro, L&T, DLF, TCS and Axis Bank were the top gainers on exchanges, with gaining 2-3%.

However, Cipla, Maruti Suzuki, GAIL, Ranbaxy Labs, Power Grid Corp and Siemens were only top losers.

Lovable Lingerie, Tata Coffee, Fineotex Chemical, LIC Housing Finance, Infosys, ICICI Bank, L&T and SBI were the most active shares on exchanges.

Yuvraj powers India to dream semis

Australia shed sweat and even blood in a desperate bid to prolong their 12-year reign as world champions but Yuvraj Singh's Midas touch sustained India's billion dreams in Thursday's see-saw quarter-final.

The 29-year-old southpaw claimed 2-44 and returned to smash an unbeaten 57 to script India's five-wicket victory that set up a blockbuster World Cup semi-final against arch-rivals Pakistan on Wednesday.

He collected his fourth man-of-the-match trophy in the tournament and the left-hander reckoned he probably is going through the best phase of his career.

"I think so," Yuvraj told a news conference after receiving a standing ovation from the assembled media.

"Earlier, whatever I was touching was turning into mud. Definitely things have changed," he said, referring to his bad patch prior to the tournament.

Yuvraj said he was playing the tournament for a "special person".

"That I will tell you if we reach the final," he said, refusing to reveal the identity of the mystery person.

Ricky Ponting's 30th one-day international century in what was probably his last World Cup match powered the four-times champions to 260-6 and India initially produced a fumbling response despite half-centuries from Sachin Tendulkar (53) and Gautam Gambhir (50).

Brett Lee's dive to save a boundary that left him with a nasty cut near his eyebrow and a bloodied cheek symbolised Australia's desperation but Yuvraj's unbeaten 74-run partnership with Suresh Raina ended a glorious Australian era.

Ponting, however, disagreed.

"I don't think so. I think it's premature to say that it was an era in cricket. It was a brilliant game tonight... against a very good Indian side on their home soil," he said.

"We are still a very competitive side... we are probably a better game than we showed in the last two games."

Around 48,000 crowd that included India's richest man Mukesh Ambani had thronged the Sardar Patel Stadium to see Tendulkar score his 100th international century.

Instead, they witnessed the resurgence of a beleaguered Australian skipper who spent considerable time during his team's build-up to the match denying retirement rumours and ignoring demands for his removal.

Ponting added 70 runs with Brad Haddin (53) and 55 with David Hussey (38 not out) to defy the seven bowlers India used, including Tendulkar who last rolled his bowling arm back in 2009 against the same opponents.

India's reply got off to a strong start but Virender Sehwag fluffed his pull shot and Tendulkar reached one milestone -- of 18,000 ODI runs -- but fell short of another.

Gambhir (50) grafted his way to his 24th ODI fifty before running himself out and India looked in dire straits after Indian captain Mahendra Singh Dhoni's exit in the 38th over but Yuvraj batted till the end to see them through.

Lift Nifty above 5550

Indian equity benchmarks rallied smartly in opening trade, with the Nifty inching up gradually towards the 5600 level, supported by strong global cues. Infrastructure, banking, oil & gas, technology, realty and metal companies' shares were pushing up the markets.

Rahul Mohindar, viratechindia.com says that there would be lots conviction in the trading if the market manages to break its resistance at 5600. Mohindar is optimistic that the Nifty is likely to head to 5800.

Among frontliners, Infosys, Sun Pharma, ICICI Bank, Axis Bank, DLF, Wipro, L&T, BHEL, Jaiprakash Associates, ACC, HPCL, Dr Reddy's Labs, Ranbaxy Labs, Reliance Inds, TCS, SBI, Bharti and ONGC were leading the markets higher in early trade.


L&T is likely to be biggest gainer in infrastructure space, according to him. The stock gained over 1%.

Realty, Capital Goods, Tech, Auto, Banks Gain

Indian equity benchmarks remained in a positive terrain for the third consecutive session, with the Nifty holding above the 5500 mark though there was a bit of profit booking at higher levels. Heavyweights like TCS, BHEL, Wipro, ICICI Bank and L&T were leading the market higher, with rising 1.5-2.5%; where value buying could be the reason.

The 50-share NSE Nifty was trading in a tight range of 5505 - 5528 at higher levels; gained 37 points at 5,517 at 12:11 hours. Market veteran Vibhav Kapoor of IL&FS believes the Nifty will continue to trade between 5,200 and 5,600.

"The market continues to stay in that broader range of 5,150 on downside and maybe 5,700-5,750 on the upside and I would expect that range to continue for quite some more time. You would need further negative news on the economy, oil prices and interest rates going up further, inflation not coming under control, de-rating of earnings for FY12, to cause the Nifty to go below 5,200," he said.

The 30-share BSE Sensex went up 134 points to 18,340 followed by the broader indices, with rising around 0.5-0.8%. About 1598 shares advanced as against 1007 shares declined on the Bombay Stock Exchange.

IPO Snapshot for Jan 2011-March 2011

Equity	Issue Price	Current Price	%Gain/Loss
March-2011
Lovable Lingeri	205.00	259.05	26.37
Sudar Garments	77.00	114.70	48.96
Fineotex Chem	70.00	207.05	195.79
Acropetal Tech	90.00	91.70	1.89
February-2011
Omkar Special	98.00	27.00	-72.45
January-2011
Midvalley Enter	70.00	106.00	51.43
C Mahendra Expo	110.00	256.90	133.55
Shekhawati Poly	30.00	32.45	8.17

Nifty above 5500

Indian equity benchmarks gained further in opening trade, with the NSE Nifty bouncing above the 5500 mark, supported by infrastructure, financial, metal and select technology companies' shares. Value buying as well as global markets remain quite supportive.

Jai Bala, Chief Market Technician, Cashthechaos.Com says that the Nifty has key resistance at 5690. “But market is nowhere coming near it. The short term resistances are about 5550 and once market tries to take that out then we can talk about bigger levels,” Bala adds.

Among frontliners, Reliance Industries, TCS, BHEL, Wipro, Bharti, Tata Motors, SBI, ICICI Bank, HDFC Bank, PNB, Ranbaxy Labs, L&T, Jaiprakash Associates and Reliance Power were leading the markets higher in early trade.

However, GAIL, Dr Reddy's Labs, BPCL, Tata Power and HUL were marginally in red.

At 9:18 hours IST - The 30-share BSE Sensex was trading at 18,328, up 122 points and the 50-share NSE Nifty gained 33 points at 5,513.

The CNX Midcap went up 40 points to 7,741. Breadth was also strong; about 597 shares advanced as against 196 shares declined on National Stock Exchange.

New listing - Lovable Lingerie surged 29% to Rs 265 as against issue price of Rs 205 a share.

List of share market holidays in 2011

BSE Holidays 2011 / NSE Holidays 2011

Day	Date	Holiday
Wednesday	26th January, 2011	Republic Day
Wednesday	2nd March, 2011	Mahashivratri
Tuesday	12th April, 2011	Ram Navmi
Thursday	14th April, 2011	Dr. Babasaheb Ambedkar Jayanti
Friday	22nd April, 2011	Good Friday
Monday	15th August, 2011	Independence Day
Wednesday	31st August, 2011	Ramzan Id
Thursday	1st September, 2011	Shri Ganesh Chaturthi
Thursday	6th October, 2011	Dassera
Wednesday	26th October, 2011	Diwali Amavasya (Laxmi Pujan)
Thursday	27th October, 2011	Diwali Balipratipada
Monday	7th November 2011	Bakri-Id
Thursday	10th November, 2011	Gurunanak Jayanti
Tuesday	6th December 2011	Moharum

Cipla, ICICI Bank, JP Associates, BHEL are top gainers

The 30-share BSE Sensex added nearly 200 points in today's trade as well led by strong support from heavyweights like ICICI Bank, Reliance Industries, Infosys, BHEL, Bharti Airtel and ITC, which rallied 1-3% at 14:02 hours.

DLF, HDFC Bank, ONGC, Hindalco, HUL, Sterlite, SBI, Cipla, HDFC, L&T, Jaiprakash Associates, Tata Steel, Tata Power and ACC too were quite supportive.

The Nifty rallied 60 points to 5,474 and the Sensex was trading at 18,182, with gaining 194 points. The BSE Midcap and Smallcap indices gained over 0.5%.

However, experts believe that crude oil remains a big concern for Indian market. Alroy Lobo, Chief Strategist & Global Head- Equity Asset Management, Kotak AMC says crude oil prices continue to be a dominant factor affecting market sentiment.

“If oil prices go below USD 100 a barrel, India will be positively viewed.” Global newsflow, from Japan to the Middle East has also been factored in by the market, he adds. “Given where valuations are, you could see perhaps maybe 5-8% downside to the market.”

London Brent crude was trading around USD 116 a barrel and NYMEX crude future was holding the USD 105 a barrel on rising tensions in Middle East & North Africa.

TCS, M&M, Cairn, Reliance Capital, Bajaj Auto and Tata Motors were only losers on Nifty.

Sensex Flow After Quiet Start

Indian equity benchmarks climbed higher after quiet opening, with the Sensex gaining nearly 200 points at 10:16 hours, supported by 28 stocks out of 30. Financial, infrastructure, oil & gas, metal, FMCG, cement and select technology companies' shares were pushing the markets higher.

Aditya Narain of Citi expects to see further upside in the market with their Sensex target for December at 22,000 with a more aggressive portfolio/market mix, moderately better macro situation, slightly higher valuations and a bias towards large caps over midcaps.

"India has actually outperformed most equity indices over 2008 and it is currently a cheaper and more defensive market than in its heyday," he said.

The 30-share BSE Sensex gained 175 points at 18,164 and the 50-share NSE Nifty was trading at 5,466, with rising another 53 points after yesterday's positive trade.

Market breadth too was looking strong; about 850 shares advanced as against 321 shares declined on National Stock Exchange.

Even the Japan's Nikkei 225 average recovered a bit from day's low, with down just 0.8%. Among other Asian markets, Shanghai, Straits Times, Kospi and Taiwan were up 0.3-0.8%.

ICICI Bank was the leading stock, with gaining over 2%. Among other largecaps, Reliance Industries, Infosys, BHEL, ONGC, ITC, Bharti, HDFC Banbk, NTPC, L&T, SBI and HUL were up 0.5-1.5%.

Cipla, Sun Pharma, Dr Reddy's Labs and Ranbaxy Labs from healthcare space gained 1-2%. SAIL, Sterlite, Hindalco, Sesa Goa and Hindalco from metal space went up 0.5-2%

Mixed global cues Nifty quiet

Indian equity benchmarks were quiet in opening trade despite spike in crude oil prices, tracking mixed global cues. It seems that markets have discounted rising oil prices due to tensions in Middle East & North Africa.

Among frontliners, Ranbaxy Labs, ICICI Bank, Cipla, Ranbaxy Labs, Sun Pharma, SAIL, Sterlite Industries, Hero Honda, Kotak Mahindra Bank and Bharti Airtel were witnessing buying interest.

However, BPCL, TCS, ONGC, Reliance Industries, Tata Motors, ITC, Wipro, SBI, L&T, Maruti Suzuki, M&M and Axis Bank were under selling pressure in early trade.

At 9:18 hours IST, the 50-share NSE Nifty fell just 3 points to 5,410 and the 30-share BSE Sensex declined 12 points to 17,976.

About 485 shares advanced as against 321 shares declined on National Stock Exchange.

Midcap & Smallcap space:

Shree Renuka Sugars, Bajaj Hindusthan and Balrampur Chini shot up 2-3%. Triveni Engg, Saikshti Oudh Sugar 7-11%


Global cues:

Asian markets were mixed in trade. Shanghai, Straits Times, Kospi and Taiwan Weighted were up 0.2-0.8%.

Global cues support Market

Indian equity benchmarks bounced back on Tuesday, with surging 149 points on the Sensex led by global support and some short covering after fell in previous three sessions on rate hike fears, Middle East tensions and likely drop in RIL gas production. However, it slipped a bit from day's high in last one hour of trade as there were reports that Libyan Leader Gaddafi's forces attacked Libyan town of Zintan using heavy weapons.

The 50-share NSE Nifty gained 49.10 points or 0.92%, to close at 5,413.85, added support by oil & gas, infrastructure, auto, realty, metal, telecom and select financial companies' shares.

Jyotivardhan Jaipuria head-research with Bank of America Merrill Lynch (BoA-ML) says that the Indian market valuations currently reasonable.

He is bullish on the emerging markets over a period of three to five years while he is bullish on the developed markets in the short run. “Emerging markets will start performing once commodities cool down.” However, he believes inflation pressures continue to remain a concern.

Global markets were seen buying interest after Japan has made progress in its efforts to restore damaged nuclear facilities.

Japan's Nikkei outperformed other markets (it was shut on Monday), with rising 4.4% as there were reports that technicians working at the stricken nuclear plant on Japan's Pacific coast have managed to attach power cables to all six reactors and started a pump at one of them to cool overheating nuclear fuel rods.

Greed and Fear maintains the view that the stock market fallout from the natural disaster constitutes a major buying opportunity in Japanese equities, says Christopher Wood of CLSA. "Japanese corporates have proven they can live with a stronger yen and there are clear indications that Japan has commenced a new property upturn which increases the collateral value of the banking system."

Even the acquisition deal in telecom sector improved the global sentiment; the US markets closed higher by 1.5% yesterday. Deutsche Telekom surged 11% after AT&T acquired T-Mobile from company in USD 39 billion deal on Monday. Bharti Airtel rallied 3%, may be reacted to this deal.

Among other Asian markets - Shanghai, Hang Seng, Straits Times, Kospi and Taiwan were up 0.3-0.8%. European markets were quiet in trade today as they factored in all news in yesterday's upmove.

The 30-share BSE Sensex went up 149.25 points or 0.84%, to settle at 17,988.30 followed by 0.5-0.8% upside in broader indices.

Maruti Suzuki was the top gainer, with rising nearly 4% post management comments. RC Bhargava, chairman of Maruti Suzuki said that its Japan plant was safe and would resume production from tomorrow onwards. He said that the export production will not be impacted due to the Japan crisis.

Among other auto shares - M&M and Tata Motors gained 1-2%; Bajaj Auto and Hero Honda were up 0.5% each.

Heavyweights like Reliance Industries, SBI, HDFC, ITC, BHEL and L&T led the major support - gained about 1-2%. ONGC, Infosys, NTPC and HUL among others went up over 0.5%.

However, the selling in TCS, HDFC Bank, JSPL and ICICI Bank erased some gains in last hour of trade.

In midcap space, WABCO-TVS, Anant Raj Inds, Glodyne Tech, M&M Financial and Amtek Auto gained 6-9% while Shree Global tanked 17%. KGN Industries, Sunteck Realty, Puravankara and Fresenius Kabi fell 4-5%.

In smallcap space, Sequent Scient, Zenith Infotech, Gulf Oil Corp, Commercial Engg and Fame India rallied 10-15%. However, Modern India, Balkrishna Inds, Bheema Cements, Henkel India and Newtime Infra lost 5-8.5%.

About 1553 shares advanced as against 1308 shares declined on the Bombay Stock Exchange.

Crude oil prices remained steady today despite Libyan Leader Gaddafi's forces attacked Libyan town of Zintan using heavy weapons. London Brent crude was trading around USD 114.5 a barrel and the crude oil was around USD 102 a barrel on NYMEX.

Biggset Sensex falls in a single day :

Biggset Sensex falls in a single day :

• January 21, 2008 --- 1,408.35 points

• Oct 24, 2008---1070.63 points

• March 17, 2008 --- 951.03 points

• January 22, 2008 --- 857 points

• February 11, 2008 --- 833.98 points

• May 18, 2006 --- 826 points

• October 10,2008 --- 800.10 points

• March 13, 2008 --- 770.63 points

• December 17, 2007 --- 769.48 points

• March 31, 2007 --- 726.85 points

• October 06, 2008 --- 724.62 points

• October 17, 2007 --- 717.43 points

• September 15, 2008 --- 710.00 points

• January 18, 2007 --- 687.82 points

• November 21, 2007 --- 678.18 points

• August 16, 2007 --- 642.70 points

• June 27, 2008 --- 600.00 points

Nifty listed Company

Company Name	Industry	Symbol
ABB Ltd.	ELECTRICAL EQUIPMENT	ABB
ACC Ltd.	CEMENT AND CEMENT PRODUCTS	ACC
Ambuja Cements Ltd.	CEMENT AND CEMENT PRODUCTS	AMBUJACEM
Bharat Heavy Electricals Ltd.	ELECTRICAL EQUIPMENT	BHEL
Bharat Petroleum Corporation Ltd.	REFINERIES	BPCL
Bharti Airtel Ltd.	TELECOMMUNICATION – SERVICES	BHARTIARTL
Cairn India Ltd.	OIL EXPLORATION/PRODUCTION	CAIRN
Cipla Ltd.	PHARMACEUTICALS	CIPLA
DLF Ltd.	CONSTRUCTION	DLF
GAIL (India) Ltd.	GAS	GAIL
Grasim Industries Ltd.	CEMENT AND CEMENT PRODUCTS	GRASIM
HCL Technologies Ltd.	COMPUTERS – SOFTWARE	HCLTECH
HDFC Bank Ltd.	BANKS	HDFCBANK
Hero Honda Motors Ltd.	AUTOMOBILES – 2 AND 3 WHEELERS	HEROHONDA
Hindalco Industries Ltd.	ALUMINIUM	HINDALCO
Hindustan Unilever Ltd.	DIVERSIFIED	HINDUNILVR
Housing Development Finance Corporation Ltd.	FINANCE – HOUSING	HDFC
I T C Ltd.	CIGARETTES	ITC
ICICI Bank Ltd.	BANKS	ICICIBANK
Idea Cellular Ltd.	TELECOMMUNICATION – SERVICES	IDEA
Infosys Technologies Ltd.	COMPUTERS – SOFTWARE	INFOSYSTCH
Larsen & Toubro Ltd.	ENGINEERING	LT
Mahindra & Mahindra Ltd.	AUTOMOBILES – 4 WHEELERS	M&M
Maruti Suzuki India Ltd.	AUTOMOBILES – 4 WHEELERS	MARUTI
NTPC Ltd.	POWER	NTPC
National Aluminium Co. Ltd.	ALUMINIUM	NATIONALUM
Oil & Natural Gas Corporation Ltd.	OIL EXPLORATION/PRODUCTION	ONGC
Power Grid Corporation of India Ltd.	POWER	POWERGRID
Punjab National Bank	BANKS	PNB
Ranbaxy Laboratories Ltd.	PHARMACEUTICALS	RANBAXY
Reliance Communications Ltd.	TELECOMMUNICATION – SERVICES	RCOM
Reliance Industries Ltd.	REFINERIES	RELIANCE
Reliance Infrastructure Ltd.	POWER	RELINFRA
Reliance Petroleum Ltd.	REFINERIES	RPL
Reliance Power Ltd.	POWER	RPOWER
Satyam Computer Services Ltd.	COMPUTERS – SOFTWARE	SATYAMCOMP
Siemens Ltd.	ELECTRICAL EQUIPMENT	SIEMENS
State Bank of India	BANKS	SBIN
Steel Authority of India Ltd.	STEEL AND STEEL PRODUCTS	SAIL
Sterlite Industries (India) Ltd.	METALS	STER
Sun Pharmaceutical Industries Ltd.	PHARMACEUTICALS	SUNPHARMA
Suzlon Energy Ltd.	ELECTRICAL EQUIPMENT	SUZLON
Tata Communications Ltd.	TELECOMMUNICATION – SERVICES	TATACOMM
Tata Consultancy Services Ltd.	COMPUTERS – SOFTWARE	TCS
Tata Motors Ltd.	AUTOMOBILES – 4 WHEELERS	TATAMOTORS
Tata Power Co. Ltd.	POWER	TATAPOWER
Tata Steel Ltd.	STEEL AND STEEL PRODUCTS	TATASTEEL
Unitech Ltd.	CONSTRUCTION	UNITECH
Wipro Ltd.	COMPUTERS – SOFTWARE	WIPRO
Zee Entertainment Enterprises Ltd.	MEDIA & ENTERTAINMENT	ZEEL

Sensex Hits 18K

The benchmark Sensex added nearly 200 points in the afternoon trade following uptrend in Asian markets, tracking renewed confidence among investors after the technicians were successful in connecting power cables to nuclear reactors.

About 45 shares advanced among the Nifty 50 including oil & gas, infrastructure, auto, realty, FMCG, metal, financial and telecom companies' shares. The 50-share NSE Nifty was trading at 5,421, with gaining 56 points at 11:58 hours.


The 30-share BSE Sensex rallied 178 points to 18,017. The Nifty March futures were trading at 15 points premium.

Japan's Nikkei 225 average shot up 4.36% or 401.57 points to 9,608.32 today, after seeing stabilisation in damaged nuclear plants. Other Asian markets were trading 0.2-0.6% higher.

"The problem of nuclear leakage appears to be moving in the right direction, which is helping shares," said Ryosuke Okazaki, chief investment officer at ITC Investment Partners Corp.

Technicians working at the stricken nuclear plant on Japan's Pacific coast have managed to attach power cables to all six reactors and started a pump at one of them to cool overheating nuclear fuel rods.

All sectoral indices were in green. The BSE Realty, Auto, Capital Goods, Oil & Gas, Power, Metal, Healthcare, FMCG, Bank and IT indices were trading 0.5-1.5% higher.

Maruti Suzuki shares gained 2.5% as RC Bhargava, chairman of Maruti Suzuki said that its Japan plant was safe and would resume production from tomorrow onwards. The export production will not be impacted due to the Japan crisis.

Reliance Industries, Bharti, SBI, ITC, HDFC, NTPC, Infosys, BHEL, DLF, Tata Motors and L&T were supporting the markets, with rising 1-2%.

Nifty opens moderately high

Indian equity benchmarks started the trade on a positive note following strong global cues, reacting to easing Japanese crisis and M&A deal. SBI, Reliance Industries, NTPC, Infosys, Bharti Airtel, L&T and BHEL were leading the markets higher.

Among frontliners, Hero Honda, Reliance Infrastructure, Reliance Power, Reliance Communications, NTPC, Bharti Airtel, SBI, Wipro and Infosys were pushing the markets higher in early trade.

However, ONGC, ITC, HUL, Ranbaxy Labs, Cairn, BPCL and HDFC Bank were witnessing selling pressure.

At 9:17 hours IST, the 50-share NSE Nifty rose 23 points to 5,387 and the 30-share BSE Sensex went up 76 points to 17,915 amid volatility.

The CNX Midcap climbed 31 points higher to 7,614. About 523 shares advanced as against 160 shares declined on National Stock Exchange.

There were reports that the engineers had restored electricity to three reactors at the Fukushima plant and hoped to test water pumps at the damaged facility soon. Tokyo Electric resumes work to restore power at reactors numbers 1-4. Nikkei 225 Average jumped 3%.

Midcap & Smallcap space:

Shree Renuka Sugars, Balrampur Chini, Bajaj Hindusthan and Triveni Engg jumped 1-3%. Sakthi Sugars, Oudh Sugar Mills and Dhampur Sugar rallied 5-6%. Yesterday, there were reports that Sharad Pawar is seeking Finance Minister’s intervention to permit sugar exports soon.

Strong global cues but Nifty ends with flat

Indian equity benchmarks closed the first session of a week on flat note amid a tight range since the beginning of trade. However, the global markets were strong in trade on Monday as the sell-off due to Japan crisis & Middle East concerns was overdone for the time being.

The 50-share NSE Nifty fell 9 points, to settle at 5,365, after witnessing a tight range of 5360-5400. It is likely to see the range bound move around 5300-5500, says Investment Advisor, SP Tulsian.

"I don’t think that there is much weakness but there is neither any enthusiasm as well. We need to play on the cues coming in from the global market. May be 5300 could see the renewed buying interest coming in or short-covering coming in and again whenever it moves to about 5500, we see the renewed selling or the shorts getting created. So, may be till expiry till [March 31] we are likely to see the move range bound move around 5300-5500," Tulsian said.

The 30-share BSE Sensex fell 40 points, to close at 17,839. Dhiraj Agarwal, Director, Institutional Equities at Standard Chartered Capital Markets too said the short-term was very range bound.

Market is trying to make up its mind as to which way to go from a medium-term perspective. The series of events which have been unfolding in the last two weeks is a) difficult to fully understand what the implications are and b) difficult to forecast how these events will take shape in terms of how much incremental damage could there be, either it is Japan or the Middle-East. The market is currently displaying a sort of confused move, choppy on either side without going anywhere.

Nifty quiet

Indian equity benchmarks were hovering around their previous day's closing values at 14:31 hours and remained in a tight range since the beginning of trade today, despite strong global cues.

Investment Advisor, SP Tulsian feels that the market is likely to remain in a range around 5300-5500 till the expiry.

"I don't think that there is much weakness but there is neither any enthusiasm as well. We need to play on the cues coming in from the global market. In that scenario, whenever we see a fall of may be about 50 points on Nifty, the negative perception starts building up. However, I don't think that that kind of weakness really exists in the market. May be 5300 could see the renewed buying interest coming in or short-covering coming in and again whenever it moves to about 5500, we see the renewed selling or the shorts getting created. So, may be till expiry till [March 31] we are likely to see the move range bound move around 5300-5500.

Financial, steel and realty companies' shares were supporting the markets. Heavyweights Reliance Industries and ITC too were on buyers' radar along with Tata Motors, M&M and Sun Pharma.

However, selling continued in TCS, Wipro, Ranbaxy Labs, Hindalco, NTPC, HUL, Infosys, Maruti, Cipla, Hero Honda, Ambuja Cements and Reliance Power.

The 30-share BSE Sensex gained 53 points at 17,932 and the 50-share NSE Nifty rose 20 points to 5,393.

On the global front, European markets like France's CAC rallied 2%, Germany's DAX jumped 3% and Britain's FTSE went up 1%. US index futures surged more than 1%.

Pipavav, Acropetal Tech, Fineotex Chemical, Sudar Garments, Tata Coffee, Reliance Industries, SBI, Infosys and Hindalco were the most active shares on exchanges.

HDFC, Sun Pharma, ITC up

The Nifty was extremely volatile in trade at 12:05 hours and was trading in a tight range of 5360-5400 since early trade. Market breadth was too mixed; about 630 shares advanced as against 622 shares declined on the National Stock Exchange.

The short-term is very range bound. "The market is trying to make up its mind as to which way to go from a medium-term perspective. The series of events which have been unfolding in the last two weeks is

• difficult to fully understand what the implications are and
• difficult to forecast how these events will take shape in terms of how much incremental damage could there be, either it is Japan or the Middle-East."

"The market is currently displaying a sort of confused move, choppy on either side without going anywhere. It just might continue like that for a while more," he added.

The 30-share BSE Sensex gained 76 points at 17,955 and the 50-share NSE Nifty went up 25 points to 5,397, supported by oil & gas, financial, capital goods and steel companies' shares.

Jindal Steel, M&M, HDFC, Tata Steel, Sterlite Industries, Sun Pharma, SAIL and Dr Reddy's Labs were top gainers, moving up 1-2%.

However, Ranbaxy Labs was the top loser with 4.6% loss as Mylan is seeking to block Lipitor generic in US. Lipitor was estimated to add USD 500-600 million to Ranbaxy's sales.

Infosys, TCS, HUL, NTPC, Reliance Communications, Cipla, Maruti, Hindalco, PNB and Reliance Capital were other losers in trade.

Crude prices have been on a rise since the past many months now and the unending unrest in the Middle-East is pushing it further up. Brent climbed 1.5% on Monday towards USD 116 per barrel after western forces launched a military campaign against Libya, stoking fears of intensifying violence in North Africa and the Middle-East.

Sensex choppy

The Nifty was trading with moderate losses amid volatility at 10:41 hours, dragged down by oil & gas, technology, Anil Dhirubhai Ambani Group (ADAG), power and realty companies' shares. Ranbaxy, SBI and ICICI Bank too were down. Rising oil prices could be weighed on the markets today; Brent crude was inching closer to USD 116 a barrel.

Crude prices may be buoyant till Libyan tensions continue, says Praveen Kumar of Facts Global Energy. Nymex crude was trading at USD 102.92 a barrel, up 1.83% and London Brent crude jumped 1.17% to USD 115.65 a barrel.

Casey Research sees lot of speculation in crude oil market. "Crude oil can hit USD 150-155/barrel if tensions escalate. Crude oil production is insignificant in Libya."

Praveen Kumar expects prices to cool down once MENA tensions subside. Facts Global said, "Saudi Arabia has already ramped up production, which was up from 8 million to 9.2 million barrels per day. This ramp up covers Libyan decline.


The 30-share BSE Sensex was trading at 17,820, down 58 points and the 50-share NSE Nifty fell 17 points to 5,356. The broader indices too were quite volatile.

However, steel, capital goods and select auto companies' shares were supporting the markets to cut down losses. HDFC, HDFC Bank and Sun Pharma were too on buyers' radar.

Among frontliners, Jindal Steel, HDFC, Sterlite Industries, Tata Motors, Tata Steel, Sun Pharma, Suzlon Energy, Cairn India and Dr Reddy's Labs gained 0.5-1%.

However, Hindalco, Reliance Communications, Tata Power, Infosys, Maruti Suzuki, Sesa Goa and Reliance Power slipped 1-3%.

Ranbaxy Labs tumbled 4.63% as Mylan sued US FDA for Lipitor and is seeking to block Ranbaxy's Lipitor copy. Lipitor was estimated to add USD 500-600 million to Ranbaxy's sales.

Japan quake presents buying opportunity

Billionaire investor Warren Buffett said on Monday that Japanese stocks were good investments after the deadly earthquake that hit the world's third-biggest economy last week.

Buffett said the quake was an "enormous blow," but should not prompt selling of Japanese stocks as it presented a "buying opportunity."

He was speaking to reporters during his second visit to South Korea to attend a ground-breaking ceremony for a factory run by a unit of an Israeli firm owned by his Berkshire hathaway Inc.

Japan's Nikkei share average plunged the past week, hit by the country's worst earthquake on record, followed by a tsunami and nuclear crisis.

Should know about before the opening bell

Ten days after the tsunami and earthquake hit the Fukushima Daiichi nuclear plant, fears about nuclear contamination rise further. Inside the plant, the situation remains grave. Although electricity has now returned to some of the reactors, the crucial number 4 reactor is still without power. Meanwhile, aftershocks continue to rattle Japan, the latest being of 4.5 magnitude.

In the US, markets rallied on Friday but ended lower off the highs of the day amid global uncertainties in West Asia and Japan that continued to keep investors wary.

European stocks settled higher on Friday, although slightly off earlier highs, as investors welcomed the group of seven industrialized nations' intervention to stem the yen's rise and Libya’s move to halt military action.

Oil prices again in the cross-hair have been rising in early Asian trade as traders focus on the situation in Libya. Brent prices are inching closer to the 116 dollar mark.

The dollar has started the week in Asia, marking slight gains on the euro and the yen. The Bank of Japan and other G-7 central banks on Friday intervened in the currency market, with the multi-lateral intervention. This intervention sent the dollar-yen rates at 82.

Libyan leader Muammar Gaddafi went on national TV via telephone, vowing to defend Libya against what he called crusader aggression. Earlier the US fired more than 100 missiles at Gaddafi's air defences as UK and French forces helped to enforce a UN sanctioned no-fly zone over the country. The airstrikes devastated the Libyan tank force near Benghazi while about two main airbases were reportedly hit.

Elsewhere in the region, it's the third day of protests in Syria. Yesterday, thousands took to the streets calling for a revolution. Crowd set fire to the ruling Ba'ath party head quarter in the southern city if Deraa demanding an end to 48-years of emergency law. Protestors say Syrian security forces fired into the crowds killing one person and wounding more than a 100.

And Yemen’s embattled president has sacked his government in face of massive protests demanding his resignation. The move comes as tens of thousands of people turned out in the capital Sanaa for the funeral of 52 people gunned down by snipers at an anti-government rally on Friday.

Bahrain's main opposition groups meanwhile demanded conditions be met before they talk to the government. They have called on the security forces to release demonstrators in the month long protests and the crackdown and ask the Gulf Arab troops to leave before any talks can be held. But the opposition also seems to be softening their stance overnight.

Meanwhile, in Saudi Arabia thousands took to the streets in celebration after King Abdullah announced a fresh stimulus in a bid to ease social tensions, including last month's 37 billion dollars economic package. The king is now offering a total of 93 billion dollars in handouts.

And back home, it was a tough session for our markets on Friday with the Nifty closing down 73 points at 5,373…for the week, the Nifty ended down 1.5%.

Also, check out all the STOCKS IN NEWS.

Sensex closes below 18K

The NSE 50-share Nifty ended the week on a somber note below the 5400-mark. It was a newsflow heavy week for the market with intense global and local cues. While the market showed strength post-budget, the recent global events, like the Mideast turmoil and Japanese crisis, have proved to be its undoing in the last 10 odd trading sessions.

US crude oil futures jumped USD 2 a barrel after Thursday's settlement following a vote by the United Nations Security Council authorizing the imposition of a no-fly zone over Libya.

The Nifty ended below technical support level of 5375 ignoring positive cues from Asian markets, which ended trade on higher note, barring Straits Times. Nikkei topped the list with 2.7% gain. European markets too were trading in positive territory.

The Sensex shut shop at 17878.81 down 271.06 points or 1.49% and the Nifty closed at 5367.5 down 79.25 points or 1.46%. The Advance Decline ratio would also favor bears for the next week. About 1050 shares advanced, 1805 shares declined, and 515 shares remain unchanged.

The shares of Reliance Industries closed down Rs 38 or 3.71% to Rs 998 after the petroleum major told the oil regulator that gas production from its KG Basin block could be lower than earlier estimates, according to a report on indianpetro.com. The website is a news, information and market intelligence provider in the Indian oil & gas, power and fertilizer sectors.

The People's Bank Of China raised reserve requirement ratio for banks by 50 basis points on Friday. The Indian regulator RBI raised key policy rates by 25 basis points each on Thursday in its fight to tame inflation below 8% mark.

Oil & gas sector took the lead in Sensex drubbing followed by auto, realty, IT, banking and telecom stocks. All BSE sectoral indices ended in red indicating the grip of bears on the market. The broader markets ended with marginal losses.

In the F&O space, Nifty futures ended with 15 points premium with addition of 3.7 million shares in open interest. The open interest put call ratio now stands at 1.14. India VIX also ended above 25 mark favoring bears.

Another worrying factor was higher turnover recorded today. The total turnover for the day was Rs 141839 crore. NSE F&O segment clocked turnover of Rs 128391 crore. In the cash segment, NSE Cash segment recorded Rs 10590 crore while BSE Cash segment registered Rs 2857 crore turnover.

Reliance Infra, Mahindra and Mahindra, Reliance Indsutries, Reliance Power, BPCL, HDFC, Hero Honda ended with losses in range of 2-4%. Tata Steel, Tata Power, Ambuja Cements, Ranbaxy Labs, Bharti Airtel and Cairn India shut shop with marginal gains.

Top gainers on the BSE Midcap: MVL, Kansai Nerolac, OnMobile Global, IndiaBulls Power and Motherson Sumi were up 5-9%.

Top losers on the BSE Midcap: KGN Industries, Persistent, Gammon India, Chennai Petro and JM Financial were down 4-5%.

Top gainers on the BSE Smallcap: Piramal Life, Zenith Infotech, Fame India, IFB Industries and Nitesh Estates were up 9-20%.

Top losers on the BSE Smallcap: Kolte-Patil, Prime Focus, PVR, Rossell Tea and Gujarat Apollo were down 5-7%.

RIL down 3%

The shares of Reliance Industries fell Rs 32 or 3% to Rs 998 early Friday after the petroleum major told the oil regulator that gas production from its KG Basin block could be lower than earlier estimates, according to a report on indianpetro.com. The website is a news, information and market intelligence provider in the Indian oil & gas, power and fertilizer sectors.

Reliance is said to have responded to the points raised by the regulator regarding the expansion of production capacity and operational efficiency at the KG Basin block.

A few days back S K Srivastava, the Director-General of the sectoral regulator, the Directorate General of Hydrocarbons, was quoted saying that as per the approved field development plan (FDP), gas production in KG basin should rise to 67 mmscmd in April.

“Both the announcements are contradictory,” said Vivek Mahajan, Head of Research, Aditya Birla Money. “How can 67 become 38 suddenly? I may recommend buying RIL if the stock falls to Rs 955-975. Statements should be made with due care,” he said.

In its replies to the regulator, RIL has said that production of natural gas and crude oil could drop even further, unless radical changes can be implemented at the block. 

“RIL is now more of a trader’s bet. Long term investors should stay away unless the confusion over gas production gets clear,” said Sunil Jain, head of research, Nirmal Bang, adding that the stock was likely to be range bound for a while.”

Nifty Slips

Indian equities opened on a positive note mirroring global cues. However, it soon slipped into the red. Oil & gas, banks trades lower while some buying was seen in auto, metal, banks, capital goods stocks. Brent Crude was trading at USD 116 per barrel.

Among frontliners, Hindalco, Cairn India, HUL, HDFC, ICICI Bank, Tata Steel, Ambuja Cements, Rel Com, Rel Power, Rel Infra, Maruti and ONGC were the top gainers, while losers include heavyweight names like Reliance Industries, TCS and BPCL.

At 09.17 am, the Sensex was up 101.31 points or 0.56% at 18251.18, and the Nifty was up 19.75 points or 0.36% at 5466.40.

About 631 shares advanced, 156 declined, and 2583 shares remained unchanged. Gautam Shah, JM Financial said that, "The mini 'Channel' pattern continues to be applicable on the charts with resistance seen at 5560 and support around 5370 on the Nifty. A breakout in any direction may lead to a 100-point move. Our bias continues to be on the downside. A close above the 5640 on the Nifty and 18800 on the Sensex is required to confirm a trend reversal."

Aditya Narain of Citigroup believes that the unfortunate earthquake in Japan should have a fairly limited impact on Indian market. "India's exports to Japan are small. However, we believe the possible indirect impact on India's nuclear energy policy, the reaction of Japanese businesses regarding Indian operations and investment and Japanese capital flows into India could have a greater bearing over time."


Asian markets were trading higher in the morning. They were up in the range of 0.5-1.5%.
The US markets broke the 3-day losing streak on speculations that Japan will control the nuclear crisis. The CBOE volatility index fell 9% versus 20% on Wednesday. Positive economic data also provided a fresh impetus to the markets.


Dow Jones Industrial Average added 1.39% or 161.29 points at 11774.59. Nasdaq Composite gained 0.73% or 19.23 points at 2636.05. Standard & Poor's 500 rose 1.34% or 16.84 points at 1273.72.


F&O cues:

Total Futures Open Int down Rs 183 cr, Total Options Open Int up Rs 659 crore
Total stock futures Open Int add 75 lakh shares in Open Int
Nifty futures Open Int add 2.34 lakh shares in Open Int, prem at 20 pts versus prem of 12 pts because of massive cash based selling
Nifty Open Int PCR down at 1.25 versus 1.33 -Total Put shed 19.7 lakh shares, call add 26 lakh shares
Highest Open Int outstanding at 5400 put, 5300 put, 5500 call
Nifty 5500 call add 10.5 lakh (16%) shares in Open Int
Nifty 5600 call add 7.4 lakh (12%) shares in Open Int
Nifty 5400 call add 4.2 lakh (13%) shares in Open Int
Nifty 5400 Put shed 14.3 lakh (13%) shares in Open Int
Nifty 5500 put shed 12.5 lakh (22%) shares in Open Int
Nifty 5100 Put shed 3 lakh (5%) shares in Open Int
Nifty 5600 put shed 1.8 lakh (8%) shares in Open Int
Nifty April 5500 Put add 1.88 lakh (21%) shares in Open Int
Nifty April 5800 call add 1.27 lakh (8%) shares in Open Int
India VIX up 1.5% at 25.26; Orchid and Suzlon in FNO Curb 




Market cues:

Global markets recover post G7's Joint Intervention; yen falls nearly 3% against USD. FIIs net sell USD 27.6 million in the cash market on Mar 16. MFs net buy Rs 286 crore in the cash market on Mar 16. NSE F&O Open Int was up Rs 476 cr at Rs 1.39 lakh crore

Banks hike lending rates after RBI rate hike?

The Reserve Bank of India (RBI) hiked its key policy rates by 25 basis points -- the seventh time this financial year 2010-11. Over the last year, the central bank has raised repo rate and reverse repo rates by 175 bps to 6.75% and 225 bps to 5.75% respectively. Repo is the rate at which banks borrow from RBI and reverse repo is the rate at which banks park their surplus money with RBI.

Following the latest hike, bankers expect lending rates to rise once more before the slack season kicks off. But depositor may have little to cheer about as bankers feel deposit rates may have peaked for the time being. Most banks are offering rates between 9.25 and10.25%.

The non-food credit growth of the banking industry has already surpassed RBI’s indicative projection of 20%. It is currently at around 23% for the fortnight ended February 25, 2011.
Here is a synopsis of the existing lending rates of some frontline banks:

Banks	Base rate	BPLR
Allahabad Bank	9.50% (50 bps)	13.75% (25 bps)
Bank of Baroda	9.50% (50 bps)	13.75% (50 bps)
Central Bank of India	9.50% (50 bps)	13.75% (50 bps)
Corporation Bank	9.40% (50 bps)	13.60% (35 bps)
Dena Bank	9.45% (50 bps)	14.50% (75 bps)
Dhanlaxmi	8.75% (50 bps)	17.25% (75 bps)
HDFC Bank	8.70% (50 bps)	17.25% (75 bps)
ICICI Bank	8.75% (50 bps)	17.50% (50 bps)
IDBI Bank	9.50% (50 bps)	14.00% (25 bps)
Indian Bank	9.50% (50 bps)	13. 75% (50 bps)
IOB	9.00% (50 bps)	13.25% (25 bps)
Kotak Mahindra Bank	8.75% (50 bps)	17.50% (50 bps)
PNB	9.50% (50 bps)	13.00% (50 bps)
SBI	8.25% (25 bps)	13.00% (25 bps)

Commercial banks are not permitted to lend below base rate. However, old customers of banks still continue to repay their loan with BPLR. Banks’ efforts are on to convert their old BPLR customers into base rate system.

Sensex Erases yesterday's Gains

The Sensex shaved off yesterday's gains at 13:43 hours on the back of sell-off in Reliance Industries, TCS, HDFC, Infosys, ICICI Bank, NTPC, ITC, SBI and Bharti Airtel. Crude turned back above USD 111.5 a barrel could be another reason behind this fall in the afternoon trade.

"Anything that causes unrest in Saudi Arabia or causes a supply side event in the Middle East will cause a sharp rebound in prices," National Australia Bank commodity economist Ben Westmore said. But Japan continues to weigh on the market after that massive earthquake followed by tsunami and blasts in nuclear plants in northern region devastated Japan.

"There is so much uncertainty in Japan and its ability to drive economic recovery that it's something that is casting a shadow on the outlook for global growth," said Westmore.

But the market remained unaffected by the rate hikes as it already factored in the 25 basis points hike in repo and reverse repo rates by the Reserve Bank of India to control inflation.

"Based on the current and evolving growth and inflation scenario, the Reserve Bank is likely to persist with the current anti-inflationary stance," RBI said in its mid-quarterly review announced today.

Raamdeo Agrawal, Joint MD Motilal Oswal Financial Services Ltd said RBI has acted on expected lines. "Problem of inflation is still on top of RBI’s mind, so they have continued tightening monetary policy even at the cost of growth momentum slackening”.

The 30-share BSE Sensex fell 192 points to 18,166 and the 50-share NSE Nifty slipped 58 points to 5,452 Even the market breadth was in favour of declines; about 500 shares advanced as against 761 shares declined on National Stock Exchange.

RBI raises repo rate

As widely expected the Reserve Bank of India raised repo (rate at which it lends to banks) and reverse repo (rate at which it borrows) rates by 25 basis points each, taking the repo to 6.75% and reverse repo to 5.75%. However, the CRR has been left unchanged at 6%.

The bank also raised March-end inflation forecast to 8% from 7% earlier, leaving GDP growth forecast unchanged at 8.6%. RBI, in its mid-term credit policy said that rising commodity prices was adding to GDP and inflation risk.

A CNBC-TV18 poll of bankers and economists had shown that 70% of those polled expected the RBI to hike the repo rate by 25 bps to 6.75% and 65% expected a 25 bps hike in the reverse repo rate to 5.75%.

Credit Policy: Will RBI pause or raise rates?

Industrial growth is slowing and so is inflation. In circumstances like these should the RBI pause or does it need to raise rates yet again on March 17? CNBC-TV18's Gopika Gopakumar and Vidhi Godiawalla find out what bankers and economists are expecting.

RBI Governor D Subbarao is clearly in a dilemma over inflation management and growth. But Inflation control is expected to remain the central bank's focus in its mid-quarter review on March 17. He said, “For inflation management, we have to raise policy interest rates. For protecting, promoting and preserving recovery, we need to keep interest rates low.”

A CNBC-TV18 poll of bankers and economists shows that 70% of those polled expect the RBI to hike the repo rate by 25 bps to 6.75%. 65% expect a 25 bps hike in the reverse repo rate to 5.75%.

Samiran Chakrabarty, Head of Research at Standard Chartered, said, “RBI till now has clearly communicated the stance that they want to balance between growth and inflation and that's why they want to take a calibrated stance that they want to raise rates. From that perspective 25 bps hike seems to be on the cards.”

The street is more or less convinced that inflation for March-end will come in higher than RBI has forecasted, which is 7%. 80% of the respondents expect March-end inflation to be above 7%; while only 20% see it at 7% or lower.

With the liquidity situation stabilizing, majority believe the RBI will not extend the facility of extra borrowing that banks can do up to 1% of SLR beyond April 8.

So how will actual lending and deposit rates move after the policy?

Majority believe banks will not hike lending or deposit rates immediately even if the RBI moves on policy rates.

Ramnath Pradeep, CMD of Corporation Bank, said “Incase there is an increase in the repo rate and reverse repo rate by may be 25 bps, I think to pass on to the borrowing will be difficult as peak level of the rate has reached on deposit side, so, now to pass on this hike in rate of interest, there could be a question of sustainability.”

Nifty ends with 62 points gains

Indian equity benchmarks rebounded on Wednesday led by short covering after a sharp sell-off seen in previous session on earthquake in Japan. The 50-share NSE Nifty clawed back above the 5500 level, with 62 points gains to close at 5,511, supported by 44 stocks out of 50. But there was some profit booking in late trade while European markets slipped in red, which could be because of rising crude oil prices again, reacting to Middle East tensions.

Huge short covering was seen in Asian markets. The Nikkei 225 Average bounced back with 5.7% gain today to close at 9,094 after consistent fall in previous three sessions - nearly 17% fall – due to massive earthquake & tsunami on Friday followed by blasts in various nuclear plants located in northern region of Japan.

Among other Asian markets Shanghai, Kospi and Taiwan gained 1-1.8%. Straits Times went up 0.9% and Hang Seng up marginally.

The 30-share BSE Sensex rallied 191 points, to end at 18,359. The broader indices too gained 1.3% each. However, European markets slipped in red after initial modest gains - France's CAC, Germany's DAX and Britain's FTSE went down 0.3-1%.