Kingfisher a market hero today, Sensex closes 119 points up

The markets ended on a cheerful note as the Sensex closed at 17,585 points, up 107 points or 0.6 percent while the Nifty rose by 40.6 points to 5258.

The BSE small cap index outperformed the Sensex as it rose by 1.19 percent while the midcap index was up by 0.9 percent. Of the 13 sectoral indices, nine were in the green. The BSE Consumer Durables segment (2.04 percent), Capital Goods (1.59 percent), Oil & Gas (1.41 percent) were some of the top performers, while Healthcare (-0.56 percent), auto (-0.22 percent) were the losers.

Among Nifty scrips, 1020 scrips advanced, 500 declined while 55 remained the same.

Amongst scrips, Nalco (11.2 percent), Manappuram Finance (9.9 percent), Essar Oil (9.6 percent), Pantaloon Retail (9.6 percent) were some of the top gainer.

Cash starved Kingfisher closed up 11.6 percent at Rs 16.8 per share after its staff decided to defer the strike.

United Spirits soared 5.5 percent. The company’s FCCB plans have been postponed till June/July.

Pantaloon Retail closed up 9.6 percent after the management told CNBC TV 18 that they were planning to reduce the debt by Rs 5,000 crore.

Aviation steals limelight, Nifty to remain volatile till June

2:30 pm Aviation stocks seem to be flying high today as is seen in the stocks of Kingfisher (11.3 percent), Jet Airways (3.6 percent) and SpiceJet (6.8 percent). While Kingfisher moved up as the staff decided to defer the strike, SpiceJet was up because of its plans to import jet fuel.

United Spirits also gained 6.18 percent after its FCCB got postponed to June/July.

Other gainers include Gammon India (12.8 percent), Essar Oil (9.7 percent), Cairn India (4.5 percent).

Pantaloon is also another stock that is the star performed as it is up by 10 percent. The management had told CNBC TV18 that it is looking to reduce its debt by Rs 5,000 crore.

Sensex has gained 122 points to 17600 while the Nifty is up 40 points to 5358.

Overall, experts believe that markets will continue to remain volatile and Nifty could touch 5600 by June/July. However, this would also depend on the foreign investors inflow in to the markets.

2:00 Kingfisher ’s stock jumped 10.6 percent to Rs 16.75 per share as the staff decided to defer the strike after a fruitful meeting with chairman Vijay Mallya.

Sensex is up 170 points to 17649 while the Nifty has gained 55 points to 5372. 10 of the 13 sectoral indices are in the green. BSE Consumer Durables, Oil & Gas and Consumer Goods were up by two percent each. In the Consumer Durables space, Whirlpool and VIP Inds were up by 2.6 percent and 5 percent.

Among the 30 Sensex scrips, 21 had gained while nine have declined. The biggest gainer amongst them were metal scrips like Hindalco (3.25 percent ) and Sterlite Inds (2.6 percent). ICICI Bank was also up by two percent.

Auto stocks were the losers in this space as Hero Moto and Maruti Suzuki stocks fell by two percent and 1.7 percent, respectively.

United Spirits FCCB issue delayed, stock up 6%

1:00 United Spirits stock has gained 6 percent to Rs 675 per share. The company’s Foreign Currency Convertible Bond (FCCB) issue has been postponed to June/July according to CNBC TV-18. The issue was to close in March.

Other group companies have also moved up. United Breweries is up almost three percent to Rs 561.7 per share while United Breweries Holding has gained ten percent to Rs73.75 per share.

Sensex is up 155 points to 17634 while Nifty is up 47 points to 5365. In Nifty, 1047 stocks have gained, 422 have declined while 62 are at the same level.

Bajaj Auto stock moved up marginally 0.63 percent to Rs 1664 per share. The company announced its auto sales data which has grown by 14 percent to 4.34 million. Of this, exports have grown by 31 percent to 1.57 million. Commenting on the recent hike in import duty by Sri Lanka, Rajiv Bajaj, MD, said that the increase is so much that we cannot absorb it and will be passed on to the customers. He also said that news of such sort is nothing new as disruptions like this have been happening and that does not mean we should rethink our views on Sri Lanka. Overall, he is looking at 15 percent volume growth for 2013.

Tata Global surges on merger buzz, BHEL up on positve Q4 results

12:30 BHEL is up 2.9 percent to Rs 267 per share after it announced its results for the year ended March 2012. Net profit was higher at Rs6868 crore against Rs 6011 crore in financial 2010-11.

Suven Life sciences gained 10.4 percent to Rs 15 per share after the company announced on BSE that it has secured 4 product patents for their NCEs in China and Korea.

Aditya Birla Nuvo touched a 52 week high to Rs 995 per share.

Tata Global is up 2.95 percent to Rs 118.75 per share over reports that Tata Coffee may merge with it.

Voltas continues to attract investors as the stock is up 2.7 percent to Rs116.45 per share. While the company could benefit because of slackening commodity prices, Bank of America Merril Lynch is unsure of the company’s outlook and has given it an under perform rating. According to BoFML, Voltas is likely to be affected by the ongoing slowdown in commercial and real estate construction. Also, rising interest rates are likely to hurt consumer demand for room ACs.

Alstom T&D India gained 0.56 percent to Rs189 per share. In a press release to BSE, the company has announced that it has won a contract worth around Rs 1500 crore for a 765 kv extra high voltage substation in India.

Jagran Prakashan is up one percent to Rs 100.8 per share. ICICI has a buy rating on the stock with a price target of Rs 125 per share. The stock was in news as it has announced the acquisition of Suvi Info Management (Indore), the owner of Hindi daily Nai Dunia. ICICI believes that Jagran’s entry into the Madhay Pradesh-Chattisgarh (MPCG) market is a positive move over the long term as the MPCG market is an under penetrated market with increasing literacy rate.

SpiceJet gains 8.3% over jet fuel import

11:30 Sensex has gained 152 points to 17631. All the 13 sectoral indices are in green with the exception of the IT index (-0.14 percent). The BSE mid-cap index and the small cap index have outperformed the index as they are up 1.07 percent and 1.3 percent, respectively.

Nifty is also up 47 points to 5366. The overall sentiment is positive as 1070 shares have gained, 331 have declined while 53 remain unchanged.

Some of the stocks that are catching investors attention are Nalco (4.43 percent), Indiainfoline (3 percent), Federal Bank (3.9 percent) and SpiceJet (8.26 percent).

SpiceJet seems to have caught the fancy of investors as the company has applied to Director General of Foreign Trade for allowing it to directly import jet fuel. It may also use the infrastructure of Reliance Industries for importing the fuel.

DLF and Unitech are also up by 0.4 percent and 3.4 percent over news that its lenders Canara Bank and IDBI Bank have slashed home loan rates for new borrowers, sparking hope of increased property sales in the country, said reuters .

Other gainer include Pantaloon Retail (6.8 percent), JP Associates (3.48 percent), Unitech (2.9 percent) while the losers include Godrej Inds (-1.93 percent), Dish TV (-1.6 percent), Opto Circuits (-1.56 percent), Thomas Cook (-3.5 percent), Fortis Health (-2 percent).

Voltas, Crompton jump over falling commodity prices

10:30Voltas gained 3.3 percent to Rs 116.9 per share while Crompton Greaves is up 2 percent to Rs 147 per share. According to PN Vijay, Portfolio Manager, both these stocks could benefit from falling commodity prices over fears that Chinese growth is reducing. Therefore benign commodity prices and better order inflow would support stocks like Voltas, he added.

SpiceJet is up 6.4 percent to Rs 25.75 per share over media reports that the company has applied to Director General of Foreign Trade for allowing it to directly import jet fuel. It may also use the infrastructure of Reliance Industries for importing the fuel.

Sensex gains 100 pts, Pantaloon Retail jumps 7.3%

Pantaloon is up 6-7 percent to Rs 163.7 per share. The company said on CNBC TV 18 that Future Capital stock sales are in the advanced stage and that the company is looking to en cash investments in non-core retail segments.

Rakesh Biyani, Jt MD, Pantaloon Retail had said in an earlier interview to ET that he was planning to divest stake in non-retail business to reduce its debt.

Markets seem to be on an upward trend as the Sensex has gained more than 100 points to 17585 while the Nifty is up 30 points to 5348. According to Rahul Mohindar, viratechindia.com, he feels that 5350 is a very strong resistance and that the markets are going to dwindle sideways if they don’t get above that level.

Sensex jumps 122 points, PFCs cash in on TN tariff hike

9:30 AM A positive start to the markets with the Sensex up over a 100 points to trade at 17,580, while the NSE Nifty was quoting 5,489, up 8 points over the previous close. The main gainers in morning trade are metal, consumer Durables,Bankex,Power, Realty,PSU, IT, Teck, Auto and FMCG stocks.

While JP Associates, Sterlite Industries, Sesa Goa, Tata Steel, IDFC, SBI, ICICI Bank, L&T, BHEL, TCS and Infosys are supporting the market, Bharti Airtel Hero Motocorp and Bajaj Auto are trading down.

Power financing companies like PTC India and REC continued their upmove, rising 2-3 percent after Tamil Nadu hiked the power tariff by 37 percent. The state has not hiked rates in the last nine years.

Metal stocks like Hindalco, Sterlite, Sesa Goa and JSW Steel are all up 0.5 percent to 1 percent as LMEX, a gauge of six metals traded on the London Metal Exchange rose 1.70 percent to $3,642.40 on Monday.

Tata Global Beverage is up 1.5 percent after The Financial Express reported that Tata Coffee may merge with the company.

ONGC says it has no plans to participate for Reliance Gas Transportation stake sale. However other state firms such as Oil India and Gail India are evaluating the prospect. While ONGC is up 0.59 percent at Rs 271.10 , Gail India is up 1.33 percent.

Lenders to classify Lavasa Corp as a non performing asset in the fourth quarter. HCC owned Lavasa Corp’s outstanding debt stands at Rs 900 crore and banks like Union Bank , PNB have exposure to Lavasa Corp. However, the stock has not reacted yet and is marginally up at Rs 26.30