Bulls propel Sensex, Nifty to new highs

Mumbai, Nov 11 (UNI) Nothwitstanding the mixed trend displayed by global markets and crude oil prices heading north, the market here continued its ascent during the week ended November 10.

The market is expected to consolidate hereafter as profit-booking may emerge at the higher level, brokers said. The barometer index, BSE Sensex, gained 41.50 per cent for the calendar year 2006, but any further increase in crude oil prices may cap the upward trend.

Though foreign institutional investors were net buyers, the inflow from them slowed down a bit and domestic mutual funds were seen pulling out from the market.

Recording their third successive week of gains, Sensex and Nifty raced to their new lifetime highs. While the Sensex, which posted a new all-time high of 13,303.85, ended the week with a gain of 152.12 points (1.16 per cent) at 13,282.91, while the Nifty settled at 3834.75, a few points down from its high of 3842.40, with a 29.40-point (0.77 per cent) gain.

Among the gainers on the Sensex were Cement major Gujarat Ambuja Cements (9.2 per cent), ICICI Bank (7.8 per cent), Hindustan Lever (7.3 per cent), HDFC Bank (4.3 per cent), Infosys Technologies (3.1 per cent) and Cipla (4.7 per cent).

Tata Steel, Reliance Energy, Wipro, HDFC and Dr. Reddy's Laboratories ended higher by one to two per cent. ACC and State Bank of India moved up by 0.8 per cent, while Tata Motors, Tata Consultancy Services, ONGC, Reliance Communications and Larsen&Toubro ended with small gains.

Ironically, Reliance Industries, which played a stellar role in lifting the Sensex past the 13,300 mark, ended in the red with a minor loss at Rs 1286.25. Satyam Computers, Bharti Airtel, ITC, BHEL and NTPC lost between 0.4 to 0.8 per cent.

Automobile majors receded with Bajaj Auto down 8.5 per cent, Maruti Udyog down 6.8 per cent, and Hero Honda down 4.7 per cent.

Grasim Industries slipped 3.8 per cent to Rs 2696.60 and drug maker Ranbaxy Laboratories eased to Rs 398.20.

Nifty component Suzlon Energy powered its way to Rs 1,430.85, notching up an impressive gain of 8.8 per cent in the process.

Mahindra&Mahindra steered ahead by 8.1 per cent to Rs 831.30, while Sun Pharmaceuticals (4.7 per cent), VSNL (4.5 per cent), HCL Technologies (3.3 per cent), GlaxoSmithKline Pharma (2.1 per cent), GAIL India (2 per cent), SAIL (1.9 per cent) and Zee Telefilms (1.3 per cent) also recorded notable gains.

Oil stocks crashed down sharply and BPCL and Hindustan Petroleum Corporation lost as much as 11.7 per cent and 10.4 per cent respectively. Oriental Bank of Commerce eased by 4.7 per cent.

Siemens, ABB, Nalco, Dabur India and Tata Tea lost between 1.3 to 2.25 per cent.

Though a host of small cap stocks failed to retain their gains, the BSE Smallcap index posted a modest rise of around half a per cent. However, thanks to hectic buying on a number of midcap counters, the BSE Midcap finished stronger by 1.86 per cent.

Among other indices on BSE, the Bankex, which rose 3.6 per cent, was the most prominent gainer. The Healthcare index climbed up 2.54 per cent. BSE IT firmed up by 2.08 per cent while the Teck, Metal and FMCG indices grew stronger by 1.5 to 1.75 per cent. Mirroring the erosion in values of key automobile and auto components stocks, the BSE Auto index eased 1.08 per cent. The PSU and Oil&Gas indices lost 1.11 per cent and 0.85 per cent respectively while the Consumer Durables and Capital Goods indices changed little from their previous week's closing levels.

The market sentiment remained strong due to strong FII-inflow and robust Q2 September 2006 corporate results.

Sugar companies Shree Renuka Sugars, Mawana Sugars and Balrampur Chini Mills are announcing September quarterly results next week.

Sterlite Industries, SSI, Thermax and Automotive Axles will also be announcing their results in the same week, brokers added.

UNI AR MAZ AW1747