Index Trends and Stocks In Action For 15th October 2013

Indian Equity markets ended marginally higher, amid a volatile trading session on Monday. It was mainly led by the IT majors like TCS and Wipro. However profit booking was seen at higher levels as higher than expected headline inflation in month of September continued to weigh on market sentiment. Nifty continues to hold important level of 6000 for four sessions in succession this suggest that market is in hands of bulls. Going ahead Nifty will face resistance around levels of 6145-6170. On downside strong support for nifty is around 6070 and 6010.

Suzlon has bagged an order for setting up a 65 MW project in Uruguay. The company did not disclose the financial details of the order. The project will be developed by Rouar SA, a joint venture between UTE, Uruguay's state-owned utility, and Brazilian utility Eletrobras, the largest in Latin America. Though the company has received an order, we do not expect any movement in the counter as it is already discounted in the price.

Auto major Tata Motors said its global sales, including Jaguar Land Rover, declined by 15.76 per cent to 87,316 units in September, 2013, compared to the year-ago period. The company had sold 1,03,656 units in the corresponding period of 2012. Global sales of all passenger vehicles in September 2013 stood at 49,267 units up marginally from 48,895 units sold in September 2012, Tata Motors said in a statement. However the sales momentum has been good for JLR and we expect the stock to continue its upward momentum.

Oil and Natural Gas Corp announced that its overseas arm ONGC Videsh (OVL) has agreed to purchase additional 12% stake in a Brazilian oil block from Petrobras of Brazil for $529 million. The acquisition will raise OVL's stake in the field to 27%, the company said in a statement. Shell-operated BC-10 block, also known as Parque das Conchas, is located in the Campos basin of Brazil. We expect the scrip of ONGC to witness an up-move in near term. 

Coal India has suffered a production loss of about 1.2 million tonne (MT) in the past three days on account of Cyclone Phailin which has affected the key Coal producing states of Odhisha, Jharkhand and West Bengal. We expect impact on the some power companies also. 

India's apparel exports grew about 15 per cent to $ 1.1 billion in September this year on the back of a rise in demand in American and emerging markets like Latin America, garment exporters' body AEPC stated in its reports. We expect positive impact on the exporters like Gokaldas Exports and Sintex.