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Maruti Suzuki India scales 52-week high on weak yen

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Last Updated : May 10 2014 | 11:53 PM IST

Key benchmark indices were a tad higher in early afternoon trade. The barometer index, the S&P BSE Sensex, was currently below the psychological 20,000 mark, having alternately moved above and below that level so far during the day. The Sensex was up 26.06 points or 0.13%, off 74.25 points from the day's high and up 56.30 points from the day's low. Index heavyweight and cigarette major ITC edged higher in volatile trade. Another index heavyweight Reliance Industries (RIL) edged lower in volatile trade. The market breadth, indicating the overall health of the market, turned negative from positive in afternoon trade.

Maruti Suzuki India scaled 52-week high as the Japanese yen weakened further against the dollar. Media and entertainment stocks were in demand on renewed buying. Shriram Transport Finance Company surged after Piramal Enterprises acquired almost 10% stake in the company through block deals on BSE.

Key benchmark indices edged higher in early trade as Asian stocks rose. Key benchmark indices extended intraday gains in morning trade. A bout of volatility was seen in mid-morning trade as the key benchmark indices regained positive zone after reversing intraday gains. Key benchmark indices were a tad higher in early afternoon trade.

At 12:23 IST, the S&P BSE Sensex was up 26.06 points or 0.13% to 19,965.10. The index gained 100.31 points at the day's high of 20,039.35 in mid-morning trade. The index fell 30.24 points at the day's low of 19,908.80 in early trade.

The CNX Nifty was up 1.20 points or 0.02% to 6,051.35. The index hit a high of 6,079.80 in intraday trade. The index hit a low of 6,045.60 in intraday trade.

The market breadth, indicating the overall health of the market, turned negative from positive in afternoon trade. On BSE, 1,097 shares declined and 1,075 shares advanced. A total of 143 shares were unchanged.

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The total turnover on BSE amounted to Rs 2459 crore by 12:20 IST compared to Rs 2271 crore by 11:20 IST. The turnover was boosted by massive bulk deals executed on Shriram Transport Finance Company counter.

Among the 30-share Sensex pack, 21 stocks gained while rest of them declined.

Index heavyweight Reliance Industries (RIL) shed 0.46% to Rs 814.35. The stock hit a high of Rs 820.50 and low of Rs 810.60 so far during the day. The stock turned ex-dividend today, 10 May 2013, for dividend of Rs 9 per share for the year ended 31 March 2013 (FY 2013).

Index heavyweight and cigarette major ITC rose 0.04% to Rs 344.60. The stock hit record high of Rs 346.50 in intraday trade today, 10 May 2013. The scrip hit low of Rs 342.10 so far during the day. The Uttar Pradesh state government on Tuesday, 7 May 2013, slashed VAT on cigarette/cigar from existing 50% to 25%. The state government had last year increased VAT on cigarette/cigar and tobacco products from 12.5% to 50%.

The Centre raised the excise duty on cigarettes by about 18% on all cigarettes except cigarettes of length not exceeding 65 mm in Union Budget 2013-14.

Maruti Suzuki India gained 3.32% to Rs 1,715 after striking a 52-week high of Rs 1,721 in intraday trade today, 10 May 2013. The stock rose as the Japanese yen weakened beyond 100 per dollar for the first time in four years. Weak yen could boost earnings of Maruti Suzuki as it imports raw materials from its Japanese parent Suzuki Motor Corporation. It also pays annual royalty on sales to the Japanese parent.

Shares of Maruti Suzuki India also rose as parent Suzuki Motor Corporation on Thursday, 9 May 2013, reported a record profit for the year ended 31 March 2013.

Shriram Transport Finance Company jumped 4.65% to Rs 768.25 after two massive bulk deals of 1.13 crore shares each were executed on the counter in opening trade on BSE. One of the two deals was executed at Rs 723 per share. Another deal was executed at Rs 725 per share. The bulk deals amounted to a staggering 9.96% stake of Shriram Transport Finance Company changing hands.

Media and entertainment stocks were in demand on renewed buying. New Delhi Television (NDTV) jumped 18.5% to Rs 89.05 after the company reported turnaround Q4 results after market hours on Thursday, 9 May 2013. The stock hit a high of Rs 90.15 so far during the day, which is a 52-week high for the counter. NDTV reported consolidated net profit of Rs 27.81 crore in Q4 March 2013, as against net loss of Rs 41.33 crore in Q4 March 2012. The company announced the Q4 results after market hours on Thursday, 9 May 2013.

New Delhi Television's (NDTV) consolidated revenue jumped 37.06% Rs 196 crore in Q4 March 2013 over Q4 March 2012. Operating profit galloped 425% to Rs 42 crore in Q4 March 2013 over Q4 March 2012.

NDTV reported consolidated net profit of Rs 1.91 crore in the year ended 31 March 2013 (FY 2013), as against net loss of Rs 87.38 crore in the year ended 31 March 2012 (FY 2012). Net sales rose 6.9% to Rs 506.64 crore in FY 2013 over FY 2012.

HT Media spurted 7.96% to Rs 112.60 after the company said its board will meet on 14 May 2013, to consider a proposal for buyback of equity shares of the company. The announcement was made after market hours on Thursday, 9 May 2013.

TV18 Broadcast (up 5.37%), TV Today Network (up 8.94%), Sun TV Networks (up 0.83%), Reliance MediaWorks (up 3.38%) were the other gainers from the media and entertainment pack.

MMTC (up 5.63%), Central Bank of India (up 5.62%), Bharat Electronics (up 5.33%), Tata Communications (up 4.09%) and Muthoot Finance (up 4.06%) were the top gainers from BSE's A group.

The stock exchanges have decided to conduct a special trading session for a short duration tomorrow, 11 May 2013, as the Bombay Stock Exchange (BSE) is testing its disaster recovery software. Trading will start at 11:15 IST and end at 12:45 IST.

The focus of the market is on Q4 results. Bank of Baroda unveils Q4 results on 13 May 2013. Dr Reddy's Laboratories and Reliance Infrastructure unveil Q4 results on 14 May 2013. Bajaj Auto announces Q4 results on 16 May 2013. ITC unveils Q4 results on 17 May 2013. Coal India unveils standalone FY 2013 results on 20 May 2013. L&T unveils Q4 results on 22 May 2013. Bharat Heavy Electricals (Bhel) announces Q4 results on 23 May 2013. Coal India unveils consolidated FY 2013 results on 27 May 2013. GAIL (India) unveils Q4 results on 28 May 2013. BPCL announces Q4 results on 29 May 2013. M&M and Tata Power unveil Q4 results on 30 May 2013.

Industrial production rose 2.5% in March 2013, compared with a revised growth of 0.46% in February 2013, data released by the government today, 10 May 2013, showed. The manufacturing sector recorded a growth of 3.2% and electricity generation rose 3.5%. The production of the mining sector declined 2.9%. As per use-based classification, production of basic goods rose 2.6% and capital goods production rose 6.9%. The production of intermediate goods declined 0.2%. The production of consumer goods rose 1.6%. Within consumer goods sector, the production of consumer non-durables rose 6.5%. Production of consumer durables declined 4.5%. Industrial production rose 1% for the year ended 31 March 2013 (FY 2013).

The RBI on 3 May 2013 cut its key policy rate viz. the repo rate by 25 basis points (bps) to 7.25% and kept the cash reserve ratio (CRR) for banks unchanged at 4% after a monetary policy review. RBI said that the balance of risks stemming from its assessment of the growth-inflation dynamic provides little space for further monetary easing. The central bank said that with upside risks to inflation still significant in the near term in view of sectoral demand supply imbalances, ongoing correction in administered prices and pressures stemming from MSP increases, monetary policy cannot afford to lower its guard against the possibility of resurgence of inflation pressures. The RBI said it will endeavour to condition the evolution of inflation to a level of 5% by March 2014, using all instruments at its command.

The finance ministry in October 2012 announced a five-year plan to cut fiscal deficit. The government hopes to reduce the fiscal deficit to 3% by March 2017.

Asian stocks were mostly lower on Friday, 10 May 2013. Key benchmark indices in Indonesia, Taiwan, South Korea and Hong Kong fell by 0.04% to 1.75%. Key benchmark indices in Singapore and China rose by 0.2% to 0.49%

Japanese stocks rose as the yen weakened against the dollar. The Nikkei 225 Average was up 2.93%

Trading in US index futures indicated that the Dow could gain 23 points at the opening bell on Friday, 10 May 2013. US stocks declined moderately on Thursday, halting Wall Street's record-setting streak, even as data showed that weekly jobless claims fell to a five-year low.

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First Published: May 10 2013 | 12:28 PM IST

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