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Fears of delay in PSUs’ disinvestment process and nervous sentiments in the US market prevented the winning streak to continue in the fifth consecutive week. The bombing of Iraq’s territory by the US and British planes further aggravated the situation. Week-on-week basis, the S&P CNX Nifty fell by almost 1.5 per cent to close below the crucial 1,000 mark on Friday. MTNL, IPCL, VSNL, Zee Telefilms and ITC were the major losers during the week among the Nifty shares, while the old economy shares like Hero Honda, Reliance Petroleum, Reliance Industries, Asian Paints and Britannia Industries bucked the trend. Overall, out of 50 shares in Nifty index, 34 registered fall as against 16 witnessing rise. The derivative market witnessed reasonable level of trading interest as the positions continued to build up during the week. The rollover trades drove the majority of volumes in this market. The average daily turnover was nearly Rs 1,500 crore and stock futures contributed to around 64 per cent of the total turnover. Index FuturesThis segment witnessed high volumes with a total of 41,337 contracts traded during the week, a marginal increase as compared to the previous week. The outstanding positions continued to build up as the week progressed. The volatility in these contracts remained lower than the Nifty index. Despite the Nifty index remaining above the crucial 1,000 mark for most part of the week, the Nifty futures traded at discount to the cash market value, i.e. negative cost of carry. Specially, the difference was high on Thursday as compared to the other trading days. This indicates the bearish undertone prevailing in the Nifty futures market. Index OptionsThis segment witnessed substantial trading interest with a total of 8,459 contracts traded during the week, a rise of almost 21 per cent as compared to the previous week. This indicates that investors resorted to Nifty options amid rising uncertainty in the cash market. The outstanding positions built up around 1,000 level for both call and put options. Further, the implied volatility as on Friday remained around 10 per cent for Nifty call options while the same rose above 16 per cent for the put options. The put-call ratio also rose consistently during the week. This indicates that investors have rushed to buy put options to protect their investments that resulted in the firming up of the put option premium. Like the Nifty futures this segment also hints at weak market undertone. Options On Individual SharesThough the volume declined as compared to the last week, it was substantially high given the fact that the last week witnessed the expiration of August contracts. Satyam, BPCL, Reliance, Infosys and HPCL were the top traded contracts while the PSU counters, including BPCL, HPCL and MTNL, were the major volume gainers during the week. The put-call ratio, both for outstanding positions and the number of contracts traded, rose for most of the shares which indicates downward bias in the share prices. The implied volatility for put options remained high as compared to call options specially, for Satyam, HPCL and Infosys. This indicates that put options are costlier at present moment because of prevailing uncertainty. Futures On Individual SharesApart from the topline shares like Satyam, Reliance, Infosys and Digital, PSUs made their presence felt in this segment too. MTNL, HPCL and BPCL remained the major volume gainers registering a growth of more than 100 per cent in number of contracts traded. Like Nifty futures, the cost of carry remained negative for the topline shares like Satyam, Reliance, Infosys, Digital, MTNL and ITC. This indicates that there prevailed a bearish undertone for these shares in the market. This fact can also be seen in the price movement of the shares of these companies wherein except for Reliance all others have experienced a fall in the share price. The concentration of trading in few shares continues to be a concerning feature that hints at high speculation in stock futures market. The top five shares contributed to more than 70 per cent of the volumes in this segment. Outlook For FutureThe market could not sustain the gains registered in the past one month. Though political arm-twisting on PSU disinvestment is partly responsible, the main reason has been the lack of consistent support from the institutional investors. More often than not, market is remaining range bound as fence sitters pitch in as soon as the market moves either way. In the present circumstances the market would look towards the outcome of tussle between the US and Iraq and the developments at disinvestment front. It would move in a narrow range, however, a steep fall may not be ruled out in case of any adverse development on aforementioned issues. The rise from this level would be driven by the stock-specific movements. Investors in the derivative market should avoid writing options as the uncertainty level is high. Overall, the market would strive to find direction in the coming week.
Tags: asian paints, economy shares, hero honda, marginal increase, market index, nifty options, old economy, reliance industries, stock futures, undertone, zee telefilms |
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Jamshedpur: The Indian women?s archery team was off to a good start at the first world championships in Croatia that started from May 9 and would continue till Saturday. he team has bagged several silvers along the way. The team, comprising Jhanu Hansda, Sakro Besra and Manjudha Soy from Jharkhand, defeated the world champions, USA, in the semi-final. France put a stop to their winning streak in the final on Thursday night.
Green drive
Hazaribagh: Regional chief conservator of forest B.R. Rallan has announced that the forest department will be undertaking a greenery drive. s part of the drive, the department will
When it seemed that the market has accepted range-bound trading as its fate, the last trading day of the month witnessed the departure from this monotony. The market continued its winning streak for the fourth consecutive week and S & P CNX Nifty 1010.60 closed on Friday at a level that has been so crucial for an otherwise directionless market. The real action came in on Friday when the technology and market heavyweights counters feelings drove the high and handsome gains it on the back of marketwide rally. Out of the shares in Nifty 50 Index 11 registered the rise
Who are the Snow White and Seven Dwarfs of the corporate world? Ever heard of co-opetition? And how does one term mutual funds that will not cover liquor companies?
Not just the competitors, even the audience had a fun time, guessing answers to these questions at the finals of the business quiz, conducted by the IIM-Ahmedabad Alumni Association's (IIM-AAA), Chennai chapter, here on Sunday.
In the end, when the Bharathidasan Institute of Management, Tiruchi, walked away with the IIM-AAA Anchor Cup 2006, it was a well-earned victory, followed by S.S.N School of Management in the second place and Bangalore's ICFAI Business School
The story of Maj Gopal Mitra's life is a fairy tale rivets a champion, overcoming the terrible inequalities, control of its destiny.
If Mitra lost his eyes in November 2000 following a landmine exploded in his face during a search and destroy Kupwara, J & K, he would have been cast in anger and self-compassion. Instead, he decided to return to Bounce this devastating setback.
The 34-year, a record in the Tata Institute of Social Sciences (TISS), Mumbai, becoming the first blind student up a Post-Graduate Course - MA (Social Welfare). Mitra, who never saw his blindness as an insurmountable barrier, he
Playing down a possible face-off with the Indian Institutes of Management (IIMs), the HRD on Wednesday clarified that it would not interfere in the selection of directors at the top business schools.
The practice of selecting directors through search-cum-selection committees has not been discontinued, the ministry said in a statement.
The clarification followed a newspaper advertisement placed by the ministry inviting applications for the post of director at three IIMs.
More : hindustantimes.com
MBA program returns to SOU
Southern Oregon University is restoring its masters in business administration program, charting a different course from the discontinued version abandoned a decade ago.
The hybrid program aimed at working professionals will be offered in Medford on Saturdays and takes seven quarters, or 21 months, to complete.
This is definitely a trend, says Dave Harris, Dean of the School of Business, who instituted a similar program while he was at the University of Central Oklahomas College of Business Administration. Its a model designed for maximum convenience for students offering both in-class and online components.
More : mailtribune.com
Bill Challenges MBA program
The state Senate passed a bill on Thursday that could place Towson Universitys joint Masters in Business Administration degree in jeopardy.
If passed by the House of Delegates and signed by Gov. Martin OMalley, the bill would require the Maryland Higher Education Commission to review its approval of the MBA, which Towson started offering in partnership with the University of Baltimore last fall. It would also allow for the commissions decision to be reviewed by a circuit court judge. The MBA could potentially be discontinued.
Towson administrators refer to Senate Bill 29 and House Bill 81 as the Morgan
Hugh Mullin is the bet that in three of the largest this year, the acquisitions is to contribute to its Putnam funds for growth and income outperformance of the Standard & Poor's 500 Index for a sixth year right.
Procter & Gamble, Bank of America and Johnson & Johnson 7.6 percent of $ 17 billion Putnam fund's biggest.
Mullin this year on its three plants the company, the purchase of Gillette, MBNA and Guidant, respectively.
"The resumption of mergers and acquisitions shows a little more confidence on the part of Chief Executive and it's good for the market," Mullin said in an interview
NEW DELHI: to the extent that was unsatisfactory for benefits is not altogether new to the Minister of State for supplies and shipping Shatrughan Sinha.
According to the minister, even as a student in Patna, the name used so prominently to the debtor, in his college.
Sinha was the Department of Health in early 2003 amid criticism of its poor performance.
"My name was a feature on the regular (College) Notice of Suspension, week after week," confided-Sinha, Monday, during the first stone of the Asia-Pacific region, the Institute for the management of the new campus.
"I am surprised, she invited
TIPS are ready for business opportunities in the banking sector after the implementation of Basel II in the year 2006 standards.
According to Mr. Ashvin Parekh, Executive Director, Deloitte Touche Tohmatsu, new standards will be implemented presents a great opportunity for the consulting fraternity.
At a seminar organized by the Indian Institute of Foreign Trade, Mr. Parekh said the assurance was also a sign of changes that could do much with advice. It is an uncertainty about the prospects of capital, uneven progress in the interest of bancassurance and again in emerging markets such as China.
In the case of the asset management
MBA Tag Clouds
