Index Trends And Stocks In Action June 04, 2015

The Indian equity markets extended its losses for the second successive session. Rate sensitive stock witnessed a heavy sell-off as hopes of future rate cuts diminished. The end of the day action has formed a strong bear candle along with huge volumes; this suggests that bear’s are continuing their dominating position. The index also breached its important support as defined by 200-day moving average on closing basis, this adds to the negative sentiments.  Now going forward next one or two trading sessions are important for the market with short-medium term perspective. If the index holds on to its major support range of 8050-7950 in next couple of trading session then chance of retesting level of 8300 will lit up. On the other hand if this support zone is taken out expect a fresh wave of selling which is likely to take the index up to levels of 7700 in the medium term.

JustDial shares will remain active on the bourses, as its board meets on Thursday to consider a buyback of its shares. The decision will be made public after market hours, as the board meets at 6.30 pm. Market analysts will be keen to know the size and price, as JustDial is completing two years of listing on June 5. FIIs and DIIs hold 28.85% and 5.26% stakes respectively, in JustDial. About 16,940 retail investors own 2.89% stake.

Shares of Axis Bank may see buying interest on Thursday as RBI has removed restrictions placed on purchase of the bank’s shares by foreign institutional investors under the portfolio investment scheme. The RBI order takes effect immediately. This follows foreign shareholding in Axis Bank fall below the threshold limit. At end-March, FII holding in the bank stood at 46.64%.

Shares of Rollatainers and Elpro International will turn ex-date for stock split. While the shares of Rollatainers and Elpro International will be split with face value of Rs 2 each from Rs 10 now. That means, the stock of Elpro International will start trading in the range of Rs 180-190 from Thursday, while Rollatainers will be in the Rs 65-75 range.

Bayer CropScience approves buyback proposal to purchase 12.65 lakh shares at a price of Rs 4,000 per share aggregating to Rs 506 crore.