Volatility On The Cards As Polls Approach

A mixed trend prevailed at the Bombay Stock Exchange(BSE) last week as the Sensex inched towards the 4000 mark.

Though the market opened on a bullish note last week, panic selling was witnessed on Wednesday following Russian leader Boris Yelstin's statements concerning an outbreak of war. The market recovered the next day as a clearer picture emerged.

The 30-scrip BSE Sensex closed last week at 3366.70, up 142.34 points over the previous weeks close of 3224.36.

A mixed trend was witnessed at the National Stock Exchange (NSE) with the NSE-50 closing the week at 977.65, up 14.20 points over the previous week's close of 963.45. According to market sources, foreign institutional investors (FIIs) continued with their selling spree though occasional buys were seen from them, particularly during the last two days.

 

According to market sources, ABB, Asian Paints, Telco and Indian Hotels were among the counters in which FIIs were sellers last week while they bought at Hindustan Lever, Tata Tea and Castrol counters.

Brokers said domestic institutions played an active role in the market last week as call money rates stabilised.

The Castrol scrip experienced a rapid spurt last week. The scrip closed at Rs 370, a gain of Rs 25 over the previous week's close. The lubricant giant announced a jump in its net profit by 67 per cent for the period ending December 1997.

Hindustan Lever also hogged the limelight at the BSE. The company is to announce its yearly results this week. The scrip closed at Rs 1423, a gain of Rs 129 over the previous weeks close.

SmithKline Pharma moved up by Rs 27 to close at Rs 606. The company has called a board meeting to discuss a bonus issue. Tata Tea closed at Rs 408, a gain of Rs 22.

Among the stocks that dipped on the BSE were Grasim, down by Rs 40 to close at Rs 282, Indian Hotels at Rs 489 (-Rs 31), and ABB at Rs 367 (-Rs 77) .

BSE brokers expect volatility in the market, influenced by the approaching election dates. A clearer picture will emerge only after a new government takes office, said a broker.

New Delhi: The benchmark index soared by nearly 3.5 per cent on the Delhi Stock Exchange (DSE) during the week ended February 6 when multinational stocks led the rally on fresh spell of buying by speculators followed by sizeable short-covering recording substantial gains.

Shares of well-managed Indian companies also made fresh headway and buying interest re-emerged at lower levels.

Calcutta: With bull support aiding sentiment, share prices on the Calcutta Stock Exchange (CSE) staged a selective recovery during the past week ended February 6. Earlier, the scrips had suffered a fresh reaction in the wake of selling pressure triggered off by lower Mumbai advises.

The turnover was fair and undertone steady.

The more active counters of the week were ITC, Tata Tea and Castrol. All of them were concerned in hectic dealings and increased volume. Cash-listed shares also attracted fresh support to gain moderate ground by finish.

Tisco finished the week at Rs 124.50 after being marked down earlier against previous Rs 125.00, while Castrol closed at Rs 674.40 against Rs 657.60, ACC at Rs 1,285 against Rs 1,280 and Tata Tea at Rs 410 against Rs 398.80.

ITC settled at Rs 594 against Rs 561.30, Colgate at Rs 240.00 against Rs 233.40, SBI at Rs 241.60 against Rs 243.75, Reliance at Rs 151.50 against Rs 154.10, L&T at Rs 191.50 against Rs 187.20 and Balrampur Chini at Rs 91.50 against Rs 93.40 with Bata pegged at Rs 139.00 against Rs 149.20.