Stock Market & Business News Highlights – 1 July 2009

• On Positive global cues yesterday, Sensex opened with a positive gap of 45 points at 14,831 and move up to a high of 14,907 in first hour trades. But after initial trading hours, Profit-taking at higher levels saw the index drop to a low of 14,420 an intra-day swing of over 485 points. The Sensex finally closed with a huge loss of 292 points (1.97%) at 14,494 and nifty closed slightly below 4300 mark at 4291. The BSE Realty index dropped 7% with DLF and unitech lost almost 8-10%. Market breadth was extremely bearish out of over 2,670 scrips 1,835 declined.
• Crude Oil prices jumped above $73 a barrel Tuesday in Asia as a weakening U.S. dollar and attacks on oil installations in Nigeria helped push prices to eight-month highs. But in end Crude oil dropped to $70.5 again. – Yahoo Finance
• Indian Oil, Bharat Petroleum and Hindustan Petroleum hiked, 4th times in a 2 months, jet fuel or aviation turbine fuel (ATF) price by more than 6 per cent on international oil prices going above $73 per barrel – BS
• Fringe Benefit Tax (FBT) should be abolished as it’s a wasteful tax. He added that the goods and service tax (GST) will be very good for the economy If the GST is implemented, it will add 1-2% to the GDP – Mr. Adi Godrej, UTVi
• Fiscal deficit of the Union Government shot up to Rs 90,758 crore for the first two months of the current fiscal, already 27.3 per cent of the budget estimate. – BS
• GMR Infrastructure, firm with focus on power generation, highways, airports and urban infrastructure, had to withdraw its $500 million fund raising efforts through the QIP route till volatility ends and market will see some stability. Company stocks price in indian share market dropped by 10% after touching 13% low of 140/share – BSE, Business Standard
• LIC Housing Finance reduced interest rates by 0.5% (2% in lat 6 months) for its existing home loan borrowers – BS
• Life Insurance Corporation of India  (LIC) has increased its stake holdings in Dena Bank to 5.15% by acquiring 1 million fresh shares worth Rs 53.9 million through open market transactions – Financial Express
• Hindalco Industries on consolidated basis posted a drop of 77.87% in  net profit to Rs 4,853.10 million for the year ended Mar. 31, 2009 as compared to Rs 21,933.20 million for the year ended Mar. 31, 2008
• Max India is planning to raise Rs 4 billion via qualified institutional placement (QIP) route – Economic Times
• Titagarh Wagons has recommended dividend at the rate of Rs 5 per share (50%) for the financial year 2008-09 – UTVi

Today’s Sensex & Nifty Trading Calls

• Stock Market Pre-opening Outlook: Sensex was closed 291 point down and nifty was closed below 4300 level to 4291. 4260 was the major support level and nifty made to close above that level. Interesting thing to see is Though Yesterday we have seen heavy selling but in end FIIs and DIIs were the only net buyers. So today we may get some flat or slightly negative opening but after some hours we may see GREEN move if nifty trades above 4320 levels.
• On 30 June 2009 ,  Foreign institutional investors (FIIs) were net buyers of Rs. 107.88 crore and Domestic institutional investors (DIIs) were net buyers of Rs 197.5 crore on Indian Stock market benchmark Bombay Stock Exchange – BSE Data, BS
  
• Nifty Levels: Current: 4291 Support Level 4260, 4220, 4170  Resistance Level 4320, 4350,4390
• Buy IOCL, BPCL, HPCL: Target 2% to 4%
• Sell KingFisher, SpiceJet and Jet Airways: Target 5-7% Down
• Watch  and Buy Everest Kanto:Its not my analysis but one my friend suggested to buy this for 5 days with 24% target
• Buy Graphite India: CMP 46.5 Target 48, 48.9 Stop Loss 45.7
• Sell Omaxe Ltd.: CMP 99.4 Target 96, 94.5 Stop Loss 101
• Buy Welspun Gujarat: CMP 192 Buy Above 195 Target 199, 201 Stop Loss 191
• Buy Electrosteel Casting: CMP 32.75 Target 34, 34.5 Stop Loss 31.7
• Buy Fortis Healthcare: CMP 95.85 Target 98.5 ,100 Stop Loss 92
• Buy Suzlon Energy: CMP 103.5 Target 108, 109 Stop Loss 101
• Sell Aban Offshore: CMP 894 Target 845, 835 Stop Loss 915
• Sell L.T. Foods (Daawat): CMP 40.2 Target 39, 38.6 Stop Loss 40.5
• Past Trading Calls View Here

Mid-Session Updates

• Buy Bata: CMP 151 Short Target 167 (3 Trading SEssion) Stop Loss 146
• We may see recovery after 2:10pm if nifty is trading above 4260 levels.
  
• Tomorrow is the last day for Rail stocks so you should start profit booking today or tomorrow
• Buy Suzlon: TArget 107 (intraday)
• Buy Welspun Gujrat: Target 199, 201 ( 2 Trading Session)
• Buy Navneet Publications: Target 5-10% jump Expected
• Nifty should close above 4320->4350 level to see 4400 level tomorrow otherwise 4150 will be next break out
• Nifty closed above 4320 level. We may see rally till 4390 level tomorrow above that 4440 looks achievable but its too hurry to say.