BOMBAY, 20 January — On Monday, the BSE closed at 3,407.84, a gain of 44.96. The overall mood was cautious. Automobile stocks were very much in the limelight following the government’s cut in petrol and diesel prices. This may be the first time that prices which went up have then come down.
State Bank of India (SBI) was up on rumors that the government might raise the investment ceiling for foreign institutional investors (FIIs) from the current 20 percent. Public sector undertaking (PSU) electric equipment maker, Bhel was up on market buzz that its exports division was close to bagging a Rs.4.00 billion order. Bajaj Auto touched a new 52-week high of Rs.437.95 and Telco was also up at Rs.117.70 on hopes of improved third quarterly results.
On Tuesday the BSE closed at 3,352.52. A resurgence of tensions on the border, a fall in the US markets and then a fall in the Asian markets contributed to the weakness. IT stocks, almost all the automobile stocks and pivotals like ITC, State Bank of India, Reliance Petroleum, Hindustan Lever and Reliance Industries fell down sharply. MTNL was down despite the launch of its pre-paid mobile telephone service, namely ‘Trump’. ICICI firmed up after international rating agency Moody’s Investor Service announced an upgrade of its long-term foreign currency rating. HDFC Bank saw a lot of activity after it announced, for Q3, a 42.89 percent rise in net profit to Rs.754.5 million. On Wednesday the BSE closed at 3,348.80. Bajaj Auto posted a 280 percent rise in its Q3 net profit. Telco touched a new 52-week high of Rs.127.60. Hero Honda Motors was in the news following reports that it has attained the distinction of becoming the world’s biggest motorcycle manufacturer. On Thursday the BSE closed at 3,401.15. Zee Telefilms was up after it posted for Q3 a 10 percent rise in net profit to Rs.521.1 million. Bajaj Auto was at a new 52-week high of Rs.448 when for Q3 it recorded a 280 percent rise in net profit to Rs.1,081.7 million. NIIT was also up on reports that its promoters had hiked their holding in the company to 38.4 percent in the December 2001 quarter from 34.5 percent in the September 2001 quarter through the creeping acquisition route.
On Friday the BSE closed at 3,377.05. Though the markets had begun the day on a firm note, Q3 results by Wipro dampened the spirits. It recorded a 17 percent rise in net profit to Rs.2,223 million which was well below market expectations. This dragged other IT stocks like Satyam Computer, HCL Technologies and Infosys. ITC was also down when for Q3 it posted a 16.98 percent rise in net profit. GlaxoSmithkline was up at Rs.324.30 on hopes of relaxation in the Drug Price Control Order (DPCO). Siemens also saw a lot of buying after it posted a 28.96 percent rise in net profit for Q3. For the coming week, sector specific stocks are expected to rise and its best for retail investors to watch the Q3 performances coming in before making any purchases.
Gold was at Rs.4,760/- per 10 gms and silver was at Rs.7,775/- per Kg.
US dollar was at Rs.48.20, pound sterling at Rs.69.17, Deutsche mark at Rs.22.18, euro at Rs.42.49, UAE dirham at Rs.13.12, Kuwaiti dinar at Rs.157.52, Bahraini dinar at Rs.127.84, Saudi riyal at Rs.12.85, Qatari riyal at Rs.13.24 and Omani riyal at Rs.125.19.