Caution ahead of earnings season

STOCK REPORT

The indices swung between gains and losses as investors refrained from buying or selling ahead of earnings announcements starting next week.

"Investors are waiting for the earnings season to start before taking fresh positions,'' said R K Gupta, who manages the equivalent of $100 million of stocks at Credit Capital Asset Management in New Delhi. "The advance tax collections indicate that results are not going to be bad.''

Corporate tax revenue, including advance tax payments, rose 40 per cent to Rs 1.3 trillion ($33 billion) between April and December, the finance ministry said in a statement on Tuesday.

The BSE index closed up by 13.72 points, or 0.1 per cent, to 20,300.71 and the The Nifty added 5.75, or 0.1 per cent, to 6,144.35.

NTPC rose by Rs 6.75, or 2.7 per cent, to Rs 256.80. The nation's largest electricity producer is reportedly planning to bid for seven thermal power projects with a total capacity of 10,000 mw.

Reliance Energy rose by Rs 144.40, or 6.7 per cent, to Rs 2,279.

Infosys Technologies will be among the first companies to announce its quarterly results, on January 11. Its shares fell by Rs 18.70, or 1.1 per cent, to Rs 1,749.70.

The US markets declined yesterday, paring their fifth straight annual advance, after signs of slowing economic growth sent shares of energy companies and miners lower.

Overseas investors bought a net Rs 11.4 billion ($282.8 million) of Indian shares on December 28, taking their total equity purchases last year to $17.2 billion, according to information posted on the Sebi web site.