Index trend and stocks in action June 02, 2016

The Indian market started with the session on an optimistic note as investors and traders cheered macro-economic indicators such as GDP numbers and core sector growth, which indicated that the country’s economy has gained momentum. On the daily time frame Nifty has formed a ‘Gravestone Doji’ Candlestick pattern as against ‘Bearish Counterattack’ candle as on May 31, 2016. This is indicating bulls are tiring out at higher levels. Now going forward the zone of 8220-8240 will continue to be a big hurdle for the bulls. On the downside, level of 8170 will act as an immediate support level and next support is placed around levels of 8110. Nifty has formed a NR7 pattern as well, which implies it is the narrowest range in the past 7 sessions for Nifty.

TVS Motors: TVS Motors has reported a 10.77 per cent increase in total sales at 2,43,783 units for May. The Chennai-based company had sold 2,20,079 units in the same month last year. Total two-wheeler sales during the month have grown by 13 per cent to 2,38,320 units as against 2,10,843 units in the same month a year ago. Three wheeler sales have witnessed a drop of 40 per cent as compared with same month last year.

Coal India: A difference of opinion with Coal India over share buyback has led the government to form an inter-ministerial group to discuss the pros and cons of the proposal as well as the optimum quantum.

Punj Llyod: A UK Court has asked Infrastructure major Punj Llyod to pay $26 million to International Finance Corporation (IFC) for their claims.

Maruti Suzuki: Maruti Suzuki has seen a sharp improvement in domestic sales even as exports were flat during the month of May. Domestic sales have grown by 10.6 per cent to 1.13 lakh units, while exports have fallen by 21 per cent owing to weak global demand. The overall growth for the month is 7.2 per cent.

Tata Motors: Tata Motors sold 40,071 units of commercial and passenger vehicles including exports in May 2016, a growth of 1 per cent over 39, 496 vehicles sold in the same month last year.

South Indian Bank: Private sector South Indian Bank said it proposes to raise up to Rs 500 crore of bonds for business expansion.

Century Plyboards: Century Plyboards has informed the exchange that the company’s subsidiary Innovation Pacific Singapore Pte., in Singapore has incorporated a step-down subsidiary by the name Vietnam Innovation Pacific JSC in Vietnam. The said subsidiary has been incorporated with the objective of investing in and undertaking Real Estate activities, leasing of office, warehouse, factory spaces, veneer, plywood and other wood products and providing related services.