Index Drivers

Hindustan Petroleum

Friday close: Rs 273.4

Previous close: Rs 285.4

Differences within coalition government at the centre over the sale of equity of two large state-run refiners Hindustan Petroleum and Bharat Petroleum had an adverse impact on the oil PSU counters.

In addition to the Petroleum minister, the unexpected opposition to disinvestment of HPCL came from the defence minister leading to the postponement of Cabinet Committee on Divestment (CCD) meeting. Oil PSUs stocks are expected to subdued over the next couple of weeks.

Indian Petrochemical

Friday close: Rs 77.7

Previous close: Rs 124.2

IPCL witnessed a steep fall of over 31 per cent in a single day after the announcement by Reliance Industries that it would return the shares not accepted in the open offer by September 2.

The open offer to acquire 20 per cent stake was over subscribed by 1.76 times, with 87.4 million shares being submitted as against an offer for 49.6 million shares. The scrip is expected to further tumble with large quantity of shares returned to the investors.

Satyam Computers

Friday close: Rs 240.4

Previous close: Rs 221.6

Satyam turned out to be the most actively traded stock in the past week, with the scrip contributing to almost 40 per cent of the volumes on Thursday.

The scrip has been on an upward movement since the announcement of private equity fund Warburg Pincus acquiring 5.33 per cent stake in the company. According to the grapevine the same player is still an aggressive buyer on the Satyam counter. The scrip is expected to stay firm over the next week.

Sun Pharmaceuticals

Friday close: Rs 592.5

Previous close: Rs 557.9

Sun Pharma has been in the limelight with leading research houses giving a buy recommendation on the stock. Apart from this, the company is believed to has fixed October 10 as the record date for the allotment of 6 per cent cumulative redeemable preference shares (CRPS) of rupee one each, as bonus shares, in the ratio of 4:1 i.e. four CRPSs for each equity share of Rs 10. The scrip is expected to remain buoyant over the next few weeks.

Tata Engineering

Friday close: Rs 139.5

Previous close: Rs 133.4

With competition and pricing getting fiercer in the 2-wheeler segment, the market seems to be unsure about the sustainable earnings growth prospects of leading stocks.

And in a scenario wherein real demand continues to come for the commercial vehicle (CV) segment, incremental investments are coming into CV stocks. Tata Engineering witnessed buying from funds last week which is expected to continue.