makin97 NSETIPS @ RAKESH MAKIN: MARKET ENDED 02.08.2010 MONDAY

Monday, August 2, 2010

MARKET ENDED 02.08.2010 MONDAY

WERE NIFTY GAINERS

MARKET ENDED 02.08.2010 MONDAY

SENSEX 18049.34 +181.05

NIFTY 5431.65 +64.05

NASDAQ 2254.70 +03.01

DJIA 10465.94 -01.22

RS/$ 46.40 +13.00

Indian markets ended near day’s highs on Monday as positive cues from global markets and rise in domestic manufacturing output boosted sentiments. All the sectoral indices ended in the green with banks, metals and FMCG in the lead.
The July HSBC Markit Purchasing Manager’s Index (PMI) rose a notch to 57.6, from 57.3 in June, showing continued expansion.
In our view, domestic demand continues to remain strong. Other activity indicators such as the January-March quarter GDP growth, June core WPI inflation, motor vehicle sales and credit growth continue to signal strength in domestic demand.
Bombay Stock Exchange’s Sensex ended at 18,081.21, up 212.92 points or 1.19 per cent. The index touched a high of 18,104.24 from the opening level of 17,911.31.
National Stock Exchange’s Nifty closed at 5431.65, up 64.05 points or 1.19 per cent. The broader index hit a high of 5438.60 versus a low of 5351.30.
Sustenance of the market above 5350 will keep the hope alive of rebounding from current levels to 5400 again. Sustenance of 5400 in the second half will lift the market to 5440 with a major hurdle at 5420.
On the lower side, the market should sustain the level of 5350 on a closing basis otherwise it may result in liquidation of positional longs and that may pull the market to 5250/5270 levels without any major efforts.
For long-term investors our advice is to invest at least 25% around 5250 in index stocks. For traders they may look for short term trading long opportunity, if indices start recovering from 5200 levels.
The BSE Midcap Index chalked up a gain of 1.15 per cent and BSE Smallcap Index moved higher by 0.92 per cent. Amongst the sectoral indices, BSE Bankex gained 2.40 per cent, BSE Metal Index advanced 1.39 per cent and BSE FMCG Index was up 1.10 per cent.
Nifty gainers included Punjab National Bank (5.10%), ICICI Bank (3.89%), Bharti Airtel (3.81%), State Bank of India (3.76%) and ONGC (2.89%).
ICICI Bank reported profit of Rs 1026 crore for the quarter ended June against Rs 878 crore in the same quarter a year ago. Total income stood at Rs 7493 crore against Rs 9,223 crore.
ABB (-1.29%), Reliance Power (-0.79%), SAIL (-0.54%), TCS (-0.31%) and NTPC (-0.23%) were amongst the losers.
Market breadth was positive on the NSE with 1,911 advances against 1,281 declines.
European markets were in the green led by banking stocks and Wall Street is also seen opening higher. At 4:30 pm IST, Dow Jones Futures was up 1.01 per cent, Nasdaq 100 gained 1.02 per cent and S&P 500 moved 1.15 per cent higher.