BOMBAY, 8 June 2003 — On Monday the BSE closed at 3,206.38.
Infosys gained despite unconfirmed reports of the postponement of the ADS issue. Bajaj Auto ended flat. The company announced a 5.9 percent fall in total sales of two-and three-wheelers in May 2003.
On Tuesday, the BSE closed at 3,181.97. IT stocks were sold across the board after reports came in that global tech major IBM is being probed by the Securities and Exchange Commission of the US. The strengthening of the rupee on the back of easing of the month-end demand for the dollar further aggravated the situation.
After negative growth in April 2003, largely due to the truckers’ strike, cement manufacturers expect industry volumes to grow by 10 percent in May this year.
On Wednesday the BSE closed at 3,216.49. There is a general perception in the market that most of the bad news is all over and now only good things will flow. They also expect the foreign inflows to increase substantially. Foreign funds, which have $16.7 billion already invested in the Indian equity and debt markets, increased their equity holdings by nearly $160 million in the past six sessions ending Monday, according to the latest data from the Securities and Exchange Board of India. Syndicate Bank surged on rumors that the bank proposes to return equity of Rs.1,500 million to the Union Government. On Thursday, the BSE closed at 3,262. Reliance Industries gained ground to a new 52-week high of Rs.316.90 on reports that the company has made its second large gas discovery after the Krishna Godavari basin in the coal bed methane exploration block at Shahdol in Madhya Pradesh.
And on Friday, the BSE closed at 3,303.24. Colgate Palmolive surged to touch a new 52-week high of Rs.153.80 amid rumor that parent Colgate Palmolive US (which owns 51 percent stake in the company) may buy out minority holders at premium to the current market price. Indian Oil Corporation rallied on reports that the company has recommended a 1:2 bonus issue of equity shares to its shareholders.Gold was at Rs.5,630/- per 10 gms and silver was at Rs.7,695/- per Kg.
US dollar was at Rs.46.88, pound sterling at Rs.77.93, euro at Rs.55.26, UAE dirham at Rs. 12.74, Kuwait dinar at Rs.156.74, Bahraini dinar at Rs.124.11, Saudi riyal at Rs.12.48, Qatari riyal at Rs.12.86 and Omani riyal at Rs.121.54.