Post Session Commentary - June 10 2009

ab Mukherjee said the banks to cut the interest rates and provide cheap credit to the industry to boost the growth. The minister said the reduction in key rates by Reserve Bank is not adequately getting) reflected in the reduction of BPLR (benchmark prime lending rates) of banks.
Tracking the firm global markets, the domestic market opened the session with a positive gap and kept on trading in the positive territory till the final closing of the session. The BSE Sensex cross the psychological 15,400 mark while NSE Nifty crossed the 4,650 mark. The market also gave a boost from the comments from the Prime Minister yesterday that India can achieve a growth of 8% to 9% with a high savings rate. He also said that India will achieve an economic growth of at least 7% this fiscal and on the top of this promised more resources towards infrastructure and public services. Moreover in the global arena, the US Markets closed flat for the second consecutive day on Tuesday. The trading day once again started lackluster amid lack of any specific news. However the semiconductor stocks were in the limelight with a phenomenal gain of 4.5%. The surge came after the Texas instruments increased its second quarter forecast. This announcement surprised investors just after a week when the chief executive from Applied Materials (11.03, +0.17) made pessimistic comments about the semiconductor industry. The materials sector on the other hand inclined by 2.3% as the commodity prices inclined due to 1.4% fall in U.S. dollar. In the domestic front, the investors on-loaded position across almost all the sectors led by Power, Capital Goods, Consumer Durables, Bankex and Health Care index while Realty index remained out of favor .
Among the Sensex pack 23 stocks ended in positive territory while 7 closed in negative. The market breadth indicating the overall health of the market remained weak as 1,553 stocks closed in red while 1,218 stocks closed in green while 60 stocks remained unchanged in BSE.
The BSE Sensex closed higher by 339.81 points or 2.25% at 15,466.81 and NSE Nifty closed up by 104.30 points or 2.29% at 4,655.25. The BSE Mid Caps and Small Caps closed with gains of 83.78 and 20.81 points at 5,359.50 and 6,206.42. The BSE Sensex touched intraday high of 15,580.81 and intraday low of 15,168.18.
Gainers from the BSE Sensex pack are Tata Power (6.43%) followed by Reliance Infra (5.99%), HDFC bank (5.56%), Ranbaxy Labs (5.44%), ACC (5.40%), Reliance Comm (5.30%), Bhel (4.62%) and L&T (3.80%).
Losers from the BSE Sensex pack are Tata Motors (1.95%), DLF (1.71%), Sun Pharma (0.83%) and SBI (0.37%).
On the global markets front the Asian markets which opened before the Indian market, closed in green. Hang Seng, Seoul Composite, Nikkei, and Strait Times closed up by 4.03%, 3.14%, 2.09% and 1.76% at 18,785.66, 1,414.88, 9,991.49 and 2,391.22 respectively..
European markets which opened after the Indian market are trading in positive. In Frankfurt the DAX index is trading higher by 2.46% at 5,120.58 and in London FTSE 100 is trading higher by 2.19% at 4,501.40.
The BSE Power index increased (3.62%) or 107.36 points to close at 3,069.45. Main gainers are Tata Power (6.43%), NTPC (3.08%), Torent Power (3.15%), GVK Power (2.83%) and Reliance Power (1.41%).
The BSE Capital Goods index surged (3.46%) or 449.98 points at 13,466.82. Scrips that mostly gained are Punj Lloyd (6.65%), Siemens (5.36%), BHEL (4.62%), Bharat Bijli (4.64%), Gammon India (3.54%) and SKF India (3.71%).
The BSE Consumer Durables index ended higher by (2.74%) or 82.56 points at 3,100.98. Videocon Industries (9.99%), Titan Industries (2.65%) and Blue Star (0.20%) ended in positive territory.
The BSE Bankex index grew (2.49%) or 200 points to close at 8,240.65. Gainers are Indus Ind Bank (7.67%), HDFC Bank (5.56%), Kotak Bank (5.80%), Bank of Baroda (3.97%) and PNB (3.59%).
The BSE Health Care advanced (2.31%) or 83.68 points at 3,704.96. Gainers are Aurobindo Pharma (8.45%), Ranbaxy Laboratories (5.44%), Piramal Health (4.83%), Dr. Reddy (4.88%) and Lupin Ltd. (4.29%).
The BSE Metal index increased (2.14%) or 243.49 points to close at 11,644.89. Gainers are Jindal Steel (5.92%), JSW Steel (5.02%), SAIL (3.35%), Hindalco Industries (3.18%), Nalco (2.95%) and Sesa Goa (2.80%).
The BSE FMCG improved (2.08%) or 46.28 points at 2,271.21. Gainers are United Spirits (5%), Ruchi Soya (5.97%), HUL (3.14%), Colgate Palmolive (2.55%) and ITC (2.26%).
Infosys inched up 0.43% to close at Rs1,803.25. Infosys Australia on Tuesday announced that it has been chosen by Telstra as a key strategic partner to support its five-year Australian $450 million application development and maintenance contracts.
SBI dipped by 0.37% to close at Rs1,756.75. The State Bank of India is looking at the option to open 129 branches in Andhra Pradesh during the current fiscal, in addition to the existing 1,000.
HDFC closed flat at Rs2,350. The committee of Directors of HDFC on Wednesday approved a proposal to raise Rs 4000 cr. It will raise the money through a combined offering of secured redeemable non-convertible Debentures (NCDs) of up to Rs 4,000 crore along with warrants in accordance with Chapter XIII-A of the SEBI (Disclosure and Investor Protection) Guidelines, 2000 (SEBI DIP Guidelines.
The Indian unit of Japan''s Toyota Motor Corp expects to start the production at its second car plant by 2010 end. Toyota Kirloskar Motor Pvt Ltd hopes to sell more than 50,000 units in the country.