Sensex closes near one-week high, TCS, Infy lead gains

3:30 pm It was quite a jubilant day for the markets as the Sensex closed near its one-week high at 17131, up 131 points while the Nifty closed up 39 points to 5248. Among the 13 sectoral indices, the BSE IT sector (2.37 percent) was the top gainer led by stocks like Infosys (2.75 percent) and TCS (3.5 percent) which jumped on the exchange. The FMCG and Consumer Durables were the only two indices to fall. The market breath was strong. While 1487 shares advanced, 1261 shares declined and 671 shares remain unchanged on the BSE.

The rally was led by gains in software services exporters on hopes of more stimulus from the Federal Reserve after data showed cooling US growth, making valuations in the sector more attractive after recent falls.

It was also an eventful day in terms of results as many companies announced their fourth quarter earnings. Bank of India jumped by almost 6 percent after it reported a stellar increase in earnings - a jump of 93 percent in net profit for the March quarter.

Among the 30-share Sensex pack, 21 stocks ended in the green while nine closed in the red. Apart from IT stocks, Jindal Steel also closed higher by 3.4 percent to Rs 502 per share.

Markets will be closed tomorrow on account of 1 May and also there are not too many results tomorrow. Hindustan Unilever and Ballarpur Inds are the two results to be announced tomorrow.

1:30 Vijaya Bank is up 4 percent to Rs 59 per share after the company reported a sharp jump in net profit to Rs 181 crore from Rs 54 crore a year-ago.

Exide Inds is up marginally at 0.63 percent to Rs 128 per share after the company reported a net profit of Rs 143 cr vs CNBC poll of Rs 151 cr.

Moody’s reviews ICICI, Axis, HDFC bank for downgrade

12:30 Moody’s reviews ICICI, HDFC and Axis Bank ratings for downgrade. " Moody’s Investors Service has today placed on review for downgrade three banks in India, whose standalone credit assessments are currently positioned above India’s sovereign debt rating.", it said in its release. Read the press release here.

ICICI Bank is trading up 1.5 percent, Axis Bank and HDFC Bank are down by 0.84 percent and 0.36 percent, respectively.

Many companies have come out with their March results -

Bank of India jumped 6.5 percent after it reported a better than expected growth in net profit to Rs 953 crore vs CNBC TV 18 poll of Rs 689 crore.

United Phosphorous Q4 net profit at Rs 202 cr vs Rs 218 cr yoy. Stock up 1.3 percent to Rs 115 per share.

OBC Q4 net profit at Rs 265 cr vs poll of Rs 334 crore. Stock is down 2.3 percent to Rs 236 per share.

Godrej Cons Q4 net profit at Rs 193 crore vs Rs 142 crore year-on-year. Stock is up 1.5 percent to Rs 535 per share.

Alstom T&D has gained 2.87 percent to Rs 162 per share after the company informed BSE that it has won a 400 kV substation contract worth 840 MINR from Chattisgarh State Power Transmission.

Sensex hits day’s high; DLF gains 3%

11:30 am Markets are on an upward trend as the Sensex is trading near the day’s high and is currently up 151 points to 17339 while the Nifty is up 46 points to 5255. DLF is the biggest gainer on the Sensex with a 3.57 percent jump to Rs 188 per share after Goldman Sachs upgraded its rating on the stock to ‘buy’ from ’neutral’ and raised its 12-month target to Rs 264 from Rs 252 earlier, according to Reuters.

Here is a review of some stocks post their earnings from Kotak Securities :

•Have a ‘buy’ rating on ICICI Bank with a price target of Rs1103 as Kotak expects Management’s focus on stable growth with improving structural profitability as a positive indicator and also expects earnings to grow by 18.3 percent during the year ended March 2013.

•Have a ‘accumulate’ rating on Maruti Suzuki with a buy price of Rs 1397 per share as it expects the performance to improve in the coming quarters. Increased availability of diesel engines, strong response to new launches and low last year base will drive volume growth for the company.

•Recommend ‘reduce’ on Siemens with a price target of Rs750 per share as they remain cautious on the stock and the MNC Electrical Equipment Space due to ongoing competitive scenario coupled with the fact that the stock valuations have run ahead of earnings growth.

RPower gains 6% after govt reprieve on coal use

10:30 am Reliance Power has jumped 6 percent to Rs 107 per share after the company got a reprieve on Saturday as a ministerial panel under finance minister Pranab Mukherjee upheld a decision that allowed the company to use excess coal from Sasan power project’s mines to fuel its Chitrangi generation plant.

Finolex Industries galloped 11.5% to Rs 60.10 after net profit galloped 540.7% to Rs 56.19 crore for the March 2012 quarter.

Markets hit a one week high to 17324 in early trade and are currently trading up 93 points to 17280 while the Nifty is up 30 points to 5238. The market breath is strong as all of the BSE sectoral indices are in the green (barring autos which is down 0.73 percent). The biggest sectoral gainer is Realty (1.5 percent) followed by IT (1.4 percent). Maruti Suzuki India declined after weak Q4 results. On the NSE, 843 gained while 410 have declined and 49 remained unchanged.

Among the 30-share Sensex pack, 21 are trading in the green while nine are in the red. The top gainers are DLF (2 percent), TCS (1.9 percent), Infosys (1.9 percent) while the losers include BHEL (-2.2 percent), Maruti (-2.15 percent), M&M (-1.57 percent).

Investors will be keenly watching the March quarter results earnings as the focus and guidance provided by the management for the year ending March 2013 will give a glimpse of the future outlook.

Sensex flat, BHEL plunges as Rajasthan scraps Rs 12k cr tender

9:30 am The markets open on a flat note with the Sensex gaining 11.77 points or 0.07 percent to reach 17199.11 and the Nifty slipping 7.55 points or 0.14 percent to reach 5201.45. Spain’s credit rating downgrade will keep the traders cautious in trade today.

Investors are, however, likely to draw some encouragement with a survey conducted by the Confederation of Indian Industry showing that India’s business confidence has improved from the previous quarter.However, it also pointed that concerns over stagnancy in reforms and rising cost of finance and raw materials still remain.

Meanwhile, the results to be announced today include Ajmera Realty, Alstom T&D, Bank of India, Dabur India, Exide Industries, Godrej Consumer, JSW Energy, Procter & Gamble, Punj Lloyd, Titan Inds, Vijaya Bank and United Phosphorus, Hinduja Ventures.But the mixed earnings announcement kept the markets in tizzy and turned the trade volatile, while ICICI Bank surprised the street with its better than expected numbers. However, at the same time, Hindustan Construction (HCC) came up with a dismal number, reporting greater than expected net loss for the final quarter.

The power sector is likely to be in focus today as Tata Power has independently secured a favourable legal opinion over the legality of a government decision allowing Reliance Power to divert surplus coal from the captive mines associated with its Sasan ultra mega power project. Tata Power is up 1.1 percent while Reliance Power is up 6 percent today.

On Saturday, Maruti Suzuki beat street expectations as fourth quarter net profit fell lower-than-expected 3 percent from a year ago to Rs 640 crore, helped by a rebound in sales and a surge in other income.The stock is down 1.80 percent at Rs 1373 in opening trade.

Reports have also stated that the Rajasthan government has scrapped tenders worth Rs 12000 crore that were bagged by Bharat Heavy Electricals Ltd (BHEL) more than a year. The stock is down 2 percent today at Rs 223.20. Reports stated that Rajasthan Rajya Vidyut Utpadan Nigam Ltd has scrapped EPC (engineering, procurement and construction) tenders for the upcoming supercritical units of the Suratgarh and Chhabra thermal power stations.

Telenor threatens to shut down India operations, says TRAI recommendations will make it impossible to carry on business.