Sensex rebounds into positive terrain

Mumbai, July 30: The Bombay Stock Exchange (BSE) Sensex today settled in the green with a modest gain of 26.34 points at 15,260.91, on account of short-covering at lower levels and positive cues from Asian and European bourses.

''After a whopping loss of around 542 points during the last trading session, the market was strong till late-afternoon trade today, reaching an intra-day high of 15,451.81, following steady buying interest for index pivotals. However, the barometer index came sharply off higher level later on fresh selling. But, short-covering at lower level restricted the fall after the Sensex slipped into the red at 15,135.25 during late trade. Stocks rose in Asia with China's Shanghai Composite hitting an all time high. Most of European indices were trading with small gains, market analysts explained.'' Deviating from the norm, the broader National Stock Exchange (NSE) S&P CNX Nifty settled in the red at 4,440.05 registering a nominal loss of 5.15 from its previous close of 4,445.20, after opening weaker at 4,442.35 and moving between 4,493.05 and 4,403.70 during the day's session.

BSE data showed that the market breadth here was positive with 1,360 shares advancing as compared to 1,267 declining, while 67 remained unchanged. The turnover spiked in the last hour of trade and finally amounted to Rs 5,031 crore. Among the 30-scrip Sensex pack, 17 advanced while the rest declined.

Hindustan Unilever, State Bank of India (SBI), ACC, Ambuja Cements, UltraTech Cement Company, Grasim, Reliance Energy and L&T were the day's leaders, while the laggards included Reliance Industries (RIL), Hindalco Industries, Mahindra &Mahindra, ITC, TCS, BHEL and Tata Steel.

Asian markets recovered, as Japan's Nikkei gained 0.03 per cent at 17,289.30, Seoul Composite surged 1.25 per cent to 1,906.71, Straits Times advanced 0.96 per cent to 3,526.96 and China's benchmark Shanghai Composite Index was up 2.2 per cent at 4,440.77, surpassing its previous all-time closing high of 4,346.46. It also struck an all time high of 4,450.18 today.

However, Wall Street extended its steep decline for the second straight day during the last trading session. The Dow slipped 208.10 points, or 1.54 per cent, to 13,265.47. The broader S&P 500 ended down 23.71 points, or 1.60 per cent, at 1,458.95. The Nasdaq Composite index fell 37.10 points, or 1.43 per cent, to 2,562.24.

Meanwhile, oil prices were lower in the morning today in Singapore, on profit-taking even as key producer Iran expressed opposition to any hikes in OPEC crude output. New York's main contract, light sweet crude for September delivery, was down 35 cents at USD 76.67 a barrel from 77.02 dollars in late US trade on Friday. Brent North Sea crude for September eased 41 cents to USD 75.85, dealers said.

Hindustan Unilever jumped 6.10 per cent to Rs 208.40 on 14.42 lakh shares after its board of directors at its meeting held yesterday approved the buyback at a price not exceeding Rs 230 per share up to an aggregate amount of Rs 630 crore. India's largest fast moving consumer goods (FMCG) player in terms of sales registered a 29.56 per cent growth in net profit to Rs 493.08 crore in first quaterly (Q1) June 2007 over the corresponding period last fiscal. Net sales increased 12.9 per cent to Rs 3,481.40 crore. It was the top gainer from the Sensex pack.

State Bank of India (SBI), the country's biggest commercial bank advanced 5.40 per cent to Rs 1,581. It had earlier posted a 78.6 per cent jump in net profit to Rs 1,425.81 crore in Q1 June 2007 over Q1 June 2006. The bank's consolidated net profit jumped 93.3 per cent to Rs 1,862 crore in Q1 June 2007 over Q1 June 2006. Net interest income was up 15 per cent at Rs 4,497.40 crore in Q1 June 2007 over Q1 June 2006.

Aditya Birla Group diversified company Grasim Industries gained 2.20 per cent to Rs 2925. Grasim on Saturday reported a 64.04 per cent jump in net profit to Rs 511.66 crore in Q1 June 2007 over Q1 June 2006. The total income of the Mumbai-based company increased 30.23 per cent to Rs 2,512.53 crore in Q1 June 2007 over the corresponding period last year.

India's leading utility company Reliance Energy rose 1.95 per cent to Rs 778.25, after hitting a high of Rs 814.90. It has won the revised bid for the Sasan ultra mega power project (UMPP), the government said today. Last week, the government officially disqualified the Lanco Infratech-Globeleq consortium, alleging misrepresentation of financial data and the subsequent withdrawal of Globeleq from the consortium. Lanco had apparently bid Rs 1.19 per unit in the first auction. REL had previously bid Rs 1.29 per unit.

Other suitors in the race for the Sasan project were NTPC and Jaiprakash Associates, analysts tracking the energy sector said.

Among the laggards, India's largest private sector company Reliance Industries (RIL) declined 1.27 per cent to Rs 1,842.70 on media reports that it may suspend its USD 5.2 billion project for producing gas from D6 block in KG basin if the Indian government does not approve its gas price formula by the end of next month.

The stock had hit high of Rs 1,900 in early trade after it reported a forecast-beating 28.1 per cent growth in net profit to Rs 3,264 crore in Q1 June 2007 over the corresponding period last fiscal, on Saturday. Revenue rose 14.4 per cent to Rs 28,056 crore and the gross refining margin (GRM) for the quarter was USD 15.4 per barrel, highest in the company's history, energy experts pointed out.

Aluminium and copper major Hindalco Industries slumped 4.24 per cent to Rs 165.95, on 4.99 lakh shares. It was the top loser from the Sensex pack.

UNI