Markets end marginally higher

Cipla hits record high, stock jumps 4%

Markets ended today's session marginally higher. The Sensex gained 60 points to provisionally close at 18,823 and the Nifty gained 25 points to end at 5,729.
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(Updated at 1440 hours)

Markets continue to trade on a flat note in the late noon deals on the back of subdued global cues ahead of the US Presidential elections due tonight. The Sensex has gained 20 points at 18,783 and the 50-share Nifty is up 11 points at 5,715.

Asian shares and the dollar steadied on Tuesday, with investors' reluctant to place new bets amid uncertainty over the outcome of a tight U.S. presidential election and renewed doubts over Greece's ability to push through severe fiscal reforms.

Risk-aversion underpinned the dollar near a two-month high against a basket of major currencies and bound most asset markets within tight trading ranges, with oil, gold and the euro all barely budged.

The Hang Seng closed lower by 0.4% or 8 points at 2,106, Nikkei closed weaker by 0.3% or 32 points at 8,975 and the Hang Seng ended weaker by 62 points at 21,944.

In Europe as well the markets witnessed a cautious opening. While, uncertainty over Greece's next aid payment kept the euro at a two-month low. CAC, DAX and FTSE were trading flat, up 0.3-0.5% each.

Back home, Cipla is the top Sensex gainer. The stock has jumped 4.2% to Rs 396 also its record high market price, after reporting a better-than-expected 62% year-on-year (yoy) growth in net profit at Rs 500 crore for the second quarter ended September 2012,  buoyed by growth in exports and a reduction in the cost of raw materials. Analysts, on an average, had expected profit of Rs 365 crore from drug maker.

HDFC, Jindal Steel, State Bank of India, GAIL India, Wipro, Tata Power, HDFC Bank, Infosys and BHEL are also among the gainers.

On the other hand, Hindalco is trading weaker by 1.5% at Rs 396 after the company reported that its net profit dropped by Rs 144 crore to Rs 359 crore for the second quarter ended September 30, 2012.

Total revenues for the company stood at Rs 6,164 crore as against Rs 6,272 crore for the same quarter last year. Pure earnings or EBITDA were Rs 515 crore crore versus Rs 660 crore last year. Hindalco blamed rising input prices for the year-on-year drop in its key numbers.

Maruti Suzuki is also trading weaker by 1.5% at Rs 1,457 after a financial daily reported workers are planning a hunger strike and other peaceful protests to force the management to take back the 548 employees sacked after the deadly violence in July that hit production.

Tata Motors, Bajaj Auto, Larsen & Toubro, HUL, Coal India, Hero MotoCorp, TCS, Dr Reddy's Labs, Tata Steel, NTPC, ONGC and Reliance Industries are also trading weaker by 0.3-1% each.

On the sectoral front, the BSE realty index is the top gainer, up 1.6% at 1,839. Healthcare, power, consumer durabnles, bankex, PSU and IT indices are also among the gainers. While, auto, capital goods, oil & gas and metal indices are down 0.1-0.7% each.

Among the individual stocks, Amara Raja Batteries has rallied 9% to Rs 244 after reporting 35% year-on-year (yoy) growth in net profit at Rs 70 crore for the second quarter ended September 2012 on back of higher sales. Net sales grew 28% at Rs 719 crore on y-o-y basis.

Mastek has locked in 5% upper circuit at Rs 142 after the board of directors of information technology (IT) company approved share buyback at a maximum buyback price of Rs 175 per share.

SKS Microfinance has locked in 5% upper circuit of Rs 118 on back of heavy volumes after the company said that it breaks ground with Rs 200 crore securitization transaction post the issuance of revised Reserve Bank of India (RBI) securitization guidelines.

Cinemax India is trading higher by 7% to Rs 126, extending its over 50% rally in past five trading days on report of a possible takeover attempt by one of its rival multiplex chain. The stock has surged 63% since October 29, after Reliance Media & Entertainment Fund had acquired 158,097 Cinemax shares for Rs 1.22 crore.

The broader markets
are trading marginally higher. The BSE mid-cap index is up 0.5% at 6,662 and the small-cap index has advanced 0.2% to 7,071.

The overall breadth is neutral as 1,435 stocks are advancing while 1,336 are declining.