Indices Close In Positives

The Indian markets saw a sideways move in the mid-session of trade, but recovered all its losses and ended positive. The Nifty closed with gains of 14 points at 5995 and Sensex was 30 points higher at 19722. Both the indices ended with gains of 0.25%-0.16%.

The advance-decline ratio ended on the negative side. On the NSE, 638 shares closed in the green and 740 shares were in the red.

Top 5 NSE Gainers: Ranbaxy ended as the top gainer, up by 3.6%, followed by Sun Pharma, Bank of Baroda, Power Grid and ONGC.

Top 5 NSE Losers: Dr Reddy’s Labs was lower by 2.38%. HCL Tech, Bajaj Auto, BHEL and JP Associates were also in losses.

11 of the sectoral indices ended on a positive note. Only Consumer Durables and Auto ended in the red. Pharma and Banks were the top gainers for the day, up by 0.74% and 0.64%, Heathcare was higher by 0.7%, while Capital Goods and Oil & Gas end with nominal gains.

In the Asian markets, the Hang Seng was the top loser, closing down by 59 points at 22930. The Nikkei was down by 23 points. KOSPI and Shanghai Composite closed marginally positive.

Buzzers: Dr Reddy’s Labs’ fourth quarter consolidated net profits surged 67% to Rs 571 crore on a yearly basis, helped by a sharp increase in its Other Income. The stock closed lower by 2.66% at Rs 2025. It has a good support at the Rs 2000 level. If it does not break this level, we may see a bounceback from where it is currently trading.

United Bank of India announced its Q4FY13 results, in which its net profit plunged 79% YoY to Rs 31 crore. The numbers were squeezed by a spike in provisions, which more than doubled to Rs 759 crore. After the announcement, the stock plunged by 1.3% and made a low of Rs 56.

We had mentioned in our previous update that the Nifty has a support level at 5970. The index has managed to sustain above these levels and may see a further upward move to 6100.