BOMBAY, 7 July — On Monday the BSE closed at 3,288.71. While Old Economy stocks led the gains following the improved Gross Domestic Product (GDP) growth rate. According to data released by the government last week, India’s GDP grew by 5.4 percent in the financial year ended 31 March 2002 as compared to 4 percent a year earlier. ITC was one of the major gainers of the day on reports of Unit Trust of India (UTI) willing to sell its 11 percent stake in ITC at a huge premium.
Dhirubhai Ambani’s condition continues to be critical but Reliance Industries and Reliance Petroleum ended in the positive zone. Padmalaya Telefilms ended lower, even after posting a 91 percent rise in net profit to Rs. 2.41 crore for the quarter ended March 31. PSU Shipping Corporation was up after Disinvestment Minister Arun Shourie said there would be no delay in the government’s plans to privatize the company.
On Tuesday the BSE closed at 3,285.04. Bajaj Auto was a big loser of the day despite an increase in motorcycle sales in June. ICICI Bank was a big gainer when it announced the acquisition of Standard Chartered Bank’s branches in Simla and Darjeeling.
After a long time, pharma company Orchid Chem was in the news after it announced a joint venture with unlisted California-based Bexel Biotechnology Inc for drug research. PSU watch maker HMT, which a few years back was the undisputed leader in watches saw buying after its advertisements were noticed in leading newspapers, inviting preliminary bids for the sale of a 74 percent stake in its four subsidiaries.
On Wednesday the BSE closed at 3,310.19. PSU MTNL gained ground on hopes that the government may continue with its divestment program, after the Cabinet reshuffle carried out on Monday.
Gujarat Ambuja Cements, L & T and ACC ended lower on selling pressure, following the reports of a fall in cement prices in Bombay due to the slowdown in construction activity, after the beginning of the monsoon season.
VSNL saw selling despite assurances coming from troubled US telecom major WorldCom, that it would clear up the payment of Rs. 400 crore.
Mahindra & Mahindra was down following rumors that a snag was been detected in the gear box of the company’s new sports utility vehicle Scorpio though M&M denied these reports.
On Thursday the BSE closed at 3316.77. The gains would have been higher had it not been for the selling in select heavyweights that offset most gains.
Bajaj Auto, premier scooter makers, touched a new 52-week high of Rs. 551.75, on hopes of an improved performance for the quarter ended June 31 on the back of rising motorcycle sales.
Dr. Reddy’s Labs advanced after the US Food and Drug Administration issued final approval for the company’s new drug. This led to a surge on the other pharma counters like Ranbaxy Labs, GlaxoSmithKline and Cipla. Classic Diamonds strengthened after the company announced issue of bonus shares in the ratio of 1:1 and was also considering buy back of shares at a price up to Rs. 150 per share.
On Friday the BSE Sensex closed at 3,330.61. Of a total of 2,140 shares that changed hands, 1374 shares gained while 646 shares declined and 120 shares remained unchanged.
Market leader in paints, Asian Paints was in the limelight as the industry is expected to grow at around 10 percent in FY03 as against 8 per cent in FY02 on the back of better agricultural output. Goodlass, ICI and Berger, Asian Paints’ main competitors, were also up.
Hero Honda raced up on the news of Hero Motors, a group company, possibly taking over an Italian company.
Gold was at Rs. 5150/- per 10 gms and Silver was at Rs. 8320/- per Kg.
US$ was at Rs. 48.81, Pound Sterling at Rs. 75.25, Euro at Rs. 48.15, UAE Dirhams at Rs. 13.27, Kuwaiti Dinar at Rs. 161.31, Bahraini Dinar at Rs. 129.33, Saudi Riyal at Rs. 13.00, Qatari Riyal at Rs. 13.39 and Omani Riyal at Rs. 126.65.
