Market Daily Report May30,2007

TWENTYFIRST CENTURY SHARES AND SECURITIES LTD.
DAILY REPORT May 30, 2007
Anticipating the future
GLOBAL CUES
• China's stocks dropped from a record after the government tripled the tax on securities transactions, halting a rally that's made the shares Asia's most expensive.
• The CSI 300 Index fell 110.61, or 2.7 percent, to 4057.68 as of 10:30 a.m. in Shanghai, after initially tumbling as much as 6.3 percent
• Asian stocks fell for the first time in three days after China tripled the tax on securities transactions to cool a boom in the world's best performing market.
• Citic Securities Co. declined by the most in four months, leading a plunge of 6.4 percent in the CSI 300 Index. The Chinese benchmark has almost doubled this year, recovering from a Feb. 27 slump that sparked a global rout and wiped about $3.3 trillion off the value of equities worldwide
• India became the third emerging stock market after China and Russia to surpass $1 trillion in value, helped by the fastest economic growth in 60 years, a strengthening currency and overseas investment.
May29 Stock Market Summary
• Market opened on a positive note & continued to stage a solid performance remaining firm and improving further during the mid session moving into a broad range. The strength in the midcaps and pivotals rallied the index northwards displaying a very positive sentiment in the market to close well above its previous close. The S&P CNX Nifty closed at 4293.25; up by 36.70 points.
• Index Movement :
Index
Previous Close
Open
High
Low
Close
Gain/Loss
S&P CNX Nifty
4256.55
4257.60
4298.85
4248.90
4293.25
36.70
CNX IT
5274.80
5256.35
5287.00
5231.85
5275.70
0.90
CNX Nifty Junior
8029.95
8052.55
8113.65
8029.15
8105.65
75.70
S&P CNX Defty
3639.35
3645.45
3677.90
3638.95
3673.00
33.65
BANK Nifty
6283.95
6288.35
6316.95
6257.50
6302.10
18.15
CNX Midcap
5651.85
5660.75
5683.35
5645.65
5680.60
28.75
S&P CNX 500
3545.85
3552.70
3574.55
3543.35
3571.80
25.95
C
NX 100
4148.40
4149.60
4189.00
4142.20
4184.60
36.20
Advances
587
Declines
470
Unchanged
44
• Top 25 Securities Today :
Securities
Prev. Close
Close Price
% Var.
Value (Rs.crs.)
Securities
Prev. Close
Close Price
% Var.
Value (Rs.crs.)
UNITECH
595.85
604.30
1.42
433.91
SBIN
1308.55
1322.55
1.07
137.70
RELIANCE
1723.90
1756.90
1.91
403.93
RELCAPITAL
986.60
981.10
-0.56
134.50
BHEL
2728.00
2857.45
4.75
315.91
BHARTIARTL
828.45
836.25
0.94
123.58
LT
1783.65
1856.15
4.06
280.92
TATAMOTORS
732.75
740.85
1.11
116.86
RCOM
510.60
521.35
2.11
274.75
DIVISLAB
4923.10
5013.80
1.84
109.04
INDIAINFO
571.10
602.25
5.45
258.23
M&M
739.50
765.85
3.56
106.59
ORBITCORP
220.50
253.75
15.08
236.44
SATYAMCOMP
469.45
474.05
0.98
105.94
IFCI
46.80
48.60
3.85
169.33
TATASTEEL
626.45
630.70
0.68
105.80
INFOSYSTCH
1971.55
1953.70
-0.91
163.04
ONGC
911.70
918.90
0.79
101.25
ADVANTA
1003.95
1001.95
-0.20
158.83
IBREALEST
373.90
384.50
2.83
95.75
RNRL
36.35
37.15
2.20
157.10
DISHTV
134.15
134.05
-0.07
93.42
RPL
100.95
102.40
1.44
148.41
TCS
1225.50
1231.15
0.46
91.20
S
UZLON
1284.60
1297.10
0.97
147.44
• Top Five S&P CNX Nifty Gainers / Losers :
Gainers
Close Price
Prev. Close
% Change
Losers
Close Price
Prev. Close
% Change
CIPLA
218.50
208.50
4.80
VSNL
448.60
460.65
-2.62
BHEL
2857.45
2728.00
4.75
HDFC
1812.80
1845.85
-1.79
LT
1856.15
1783.65
4.06
GLAXO
1258.15
1278.40
-1.58
SUNPHARMA
1106.75
1068.60
3.57
BPCL
357.55
362.90
-1.47
M
&M
765.85
739.50
3.56
PNB
530.00
537.60
-1.41
Politics & Economy:
• The central government has given a commitment of Rs 25,000 crores for state-specific farm strategies over the next four years. (BL)
• India is likely to sign a free trade agreement with the Gulf nations
Industry& Company:
• Satyam and Oracle have forged a strategic alliance to help companies in the Asia Pacific region implement business intelligence solutions. (ET)
• IVRCL and Nagarjuna constructions have reported a stellar performance for the Q4 FY07 by posting a PAT growth of 68% and 40% respectively. (BL)
• Pharma major, Ranbaxy has announced that the Norwegian appeals court has ruled in its favour in its case against Pfizer’s drug, Lipitor. (ET)
• Aurobindo pharma has received USFDA approval for Cefprozil tablets. The druf ejous a market size of around $100 million. (BL)
• Warburg Picus has acquired Cibernet for $200 million giving the anchor investors, ILabs sizeable returs. Further, ILabs happen to be major investors in Visualsoft which was recently acquired by Megasoft. (ET)
MARKET OUTLOOK
Global Cues are negative today morning with Chinese market in focus after it tripled trading tax . Chinese Index fell by 5%. Asian markets also fell as regional sentiment got affected. We expect to see increased volatility which means more than normal pull back in the market. As market players feel heavy at market tops and new highs, weak opening is bound to happen. With F&O settlement tomorrow we may witness sharp swings in the struggle between bulls & bears. Traders have to be cautious on recently run up stocks like INDIAINFO, SUZLON,UNITECH as they will be most impacted in case of sharp selloff.
___________________________________________________________________________
“All investors should be wary of new issues……New issues have special salesmanship behind them, which calls therefore for a special degree of sales resistance…..Also, most new issues are sold under “favorable market conditions” – which means favorable for the seller and consequently less favorable for the buyer”
- Benjamin Graham in “The Intelligent Investor
______________________________________________________________________
Analyst: Gangineni Dhananjhay
Twentyfirst Century Shares and Securities Limited
Ground Floor, Kamadhenu Complex, Rockdale Compound, Somajiguda
Hyderabad – 500082
DISCLAIMER: This document is not for public distribution and has been furnished to you solely for your information and must not be reproduced or redistributed to any other person. Opinion expressed is our current opinion as of the date appearing on this material only. While we endeavor to update on a reasonable basis the information discussed in this material, there may be regulatory, compliance, or other reasons that prevent us from doing so. Prospective investors and others are cautioned that any forward-looking statements are not predictions and may be subject to change without notice. Our proprietary trading and investment businesses may make investment decisions that are inconsistent with the recommendations expressed herein. The information in this document has been printed on the basis of publicly available information, internal data and other reliable sources believed to be true and are for general guidance only. While every effort is made to ensure the accuracy and completeness of information contained, the company takes no guarantee and assumes no liability for any errors or omissions of the information. No one can use the information as the basis for any claim, demand or cause of action. Recipients of this material should rely on their own investigations and take their own professional advice. Reports based on technical analysis centers on studying charts of a stock’s price movement and trading volume, as opposed to focusing on a company’s fundamentals and as such, may not match with a report on a company’s fundamentals. Prospective investors and others are cautioned that any forward-looking statements are not predictions and may be subject to change without notice. Twentyfirst Shares and Securities and affiliates, including the analyst who has issued this report, may, on the date of this report, and from time to time, have long or short positions in, and buy or sell the securities of the companies mentioned herein or engage in any other transaction involving such securities and earn brokerage or compensation or act as advisor or have other potential conflict of interest with respect to company/ies mentioned herein or inconsistent with any recommendation and related information and opinions. Twentyfirst Shares and Securities and affiliates may seek to provide or have engaged in providing corporate finance, investment banking or other advisory services in a merger or specific transaction to the companies referred to in this report, as on the date of this report or in the past.