India Market Wrap

* INDICES: Sensex +192 at 16644 (1.17%), NIFTY +63 at 5018 (1.26%), CNXMIDCAP +99 at 6746 (1.48%)

* SECTORAL PERFORMANCE: BANKEX 1.85%, AUTO 1.15%, CAPITAL GOODS 1.03%, HEALTHCARE 1.43%, Metal 2.81%, OIL & GAS 1.11%, IT -0.29%, FMCG -0.02%, PSU 1.51%, REALTY 3.54%, Consumer Durables 0.54%, POWER 2.43%

* MARKET BREADTH: 383 Advances, 109 Declines (BSE 500)

* VOLUMES: BSE $0.49bn (0.21%), NSE $2.31bn (-4.46%), F&O $22.67bn (4.94%)

* TODAY'S GAINERS: RELI 9.69%, STLT 6.57%, TPWR 6.18%, JPA 5.66%, DLFU 4.37%

* TODAY'S LOSERS: BHEL -2.89%, MM -1.62%, BHARTI -1.36%, INFO -0.66%, ITC -0.29%

* MARKET COMMENTARY:

Indian Benchmarks continued its jubilation on the street but trimmed marginal gains in the late afternoon session.Indian shares also ended at their 6-week closing highs. The sentiments were optimistic not only on account of positive clues from overseas market but domestic news too helped the market to trade firm. Investors welcomed the weekly food inflation which continued to languish in the negative terrain for the third straight week in the period ended January 7. However, investor were cautious while picking stock on reports that the World Bank expects the Indian economy to grow 6.5% in 2012, much lesser than its earlier estimate of 8.4% in June and even lower than the government’s estimates of 7-7.5% for the current fiscal, mainly on the back of weakening global economic situation. Traders were seen piling up the positions in Realty, Metal and Bankex sector while selling was witnessed in IT, TECH and FMCG sector. Interest rate sensitive counters like high beta realty, banking and automobile remained in demand after the upbeat inflation numbers as investors speculated that the RBI would abstain from its monetary tightening measures and shift its focus to spur economic growth. However, IT pocket continued to face the Fire of investors after IT bellwethers like Infosys and TCS’ earnings disappointed the street amid expectations that slowdown in major software and technology importing regions like Europe and the US will impact future earnings. On the global front, Asian markets traded in green while the European markets were trading on a mix note. The market breadth was in favor of advances.

* NEWS ON TODAYS MOVERS:

- Anant Raj Industries rose close to 2.67% intraday and closed flat near to 1% gains, after the company said it is launching its township project -- Anant Raj Estate at Gurgaon in Haryana.

- Jindal Steel & Power rose almost 1.26% , after consolidated net profit rose 6.5% to Rs 996.68 crore on 37.4% increase in net sales to Rs 4354.51 crore in Q3 December 2011 over Q3 December 2010.

- Bharti Airtel fell close to 1.36% , on reports the income-tax department has slapped a Rs 1067 crore demand notice on the company.

- Bajaj Finserv rose almost 0.23% , after consolidated net profit jumped 59% to Rs 170 crore on 55% growth in total income to Rs 825 crore in Q3 December 2011 over Q3 December 2010.

- Power generation companies rose by 2.04% , after Prime Minister Manmohan Singh on Wednesday, 18 January 2012, pledged help on chronic power shortages in the country.

- Suzlon Energy rose close to 2.48% , after the company said its subsidiary -- REpower Systems SE has secured cumulative orders of 151 megawatts across Europe and North America from 22 October 2011 to 18 January 2012.

- HDFC Bank surged by 1.02% , after net profit rose 31.42% to Rs 1429.66 crore on 35.62% increase in total income to Rs 8622.64 crore in Q3 December 2011 over Q3 December 2010.

- Tata Steel surged by close to 2.58% , after the company said it secured a major contract from Siemens Wind Power to supply 25,000 tonnes of high-quality profiled steel plate for wind towers.

- Bajaj Auto rose almost 0.78%, reversing early losses after net profit rose 19.20% to Rs 795.19 crore on 20.52% increase in total income to Rs 5,153.97 crore in Q3 December 2011 over Q3 December 2010.

* CORPORATE NEWS:

- Punj Lloyd bags order worth Rs1,300 cr

- Hero MotoCorp Q3 net up 43% to Rs 613 cr

- Info Edge Q3 net rises 31% to Rs 29cr

- Hindustan Media Ventures Q3 net down 7% at Rs 11 cr

- Starbucks-Tata Coffee shops expected by month-end

- Oil regulator to fix RIL, GAIL marketing margins

- Dish TV Q3 net loss at Rs42.96 cr

- Sobha Developers forays into Chennai residential Mkt

- HDFC Bank Q3 net profit up 31%

- Godrej Properties cons Q3 net profit jumps 84%

- Bajaj Auto Q3 net profit up by 19%

- DLF in talks to sell wind power biz, assets

- Tata Steel bags wind turbine contract in Europe

- Hong Kong's SC Lowy may put $280 mn in KFA

- Nippon Life to invest Rs1,335 cr in Reliance AMC

- Anant Raj rises on launch of township project

- Cairn gets OK to increase output from Rajasthan block

- RIL subsidiary buys 1.14% stake in DEN networks

- Airlines oppose proposed rise in Delhi airport fees

- Suzlon Group wins 151 MW new orders abroad

- Federal Bank hikes term deposit rates

- Bharti Airtel to challenge in court Rs1067 cr tax demand

- Fiat to supply diesel engines to Maruti Suzuki for 3 yrs

- Jindal Steel cons Q3 net profit up by 6%

* ECONOMIC NEWS:

-Food inflation at -0.42% vs. -2.9%

- Govt mulling cap on ONGC, OIL crude oil price

- Indian shares ended at their 6-week closing highs.

- India's global trade to touch $750 bn in FY12

- Gujarat govt moves SC on Lokayukta decision

Regards

Jatin Padharia
+912261544569
+919867336999