The Hindu Business Line : Mixed sentiment prevails in market

Mixed sentiment prevailed in the markets on Monday. While the bellwether indices shed value, mid-cap and small-cap indices registered gains. Negative sentiment in the banking and IT sector took its toll on the bellwether indices. The advances-declines ratio reflected the mixed sentiment.

Buzzing Stocks

Stocks such as Malabar Building Products, Pratibha Industries, Bombay Dyeing, Hindustan Motors, National Oxygen and Atlas Capco were among the most actively traded stocks. Each of them closed with gains of more than 17 per cent.

Click here for table

Sector watch

IT and banking stocks caused most of the declines on the bellwether indices. The BSE IT and BSE Bankex shed 2.3 per cent each. Frontline stocks such as Wipro, Infosys, Satyam Computers and Ramco Systems figured among the top 20 losers.

TCS was also subject to bearish sentiment with the stock dipping by Rs 19. Other top losers in the sector included Scandent Solutions, Geodesic Information Systems, Dynamatic Technologies, i-flex Solutions, Mascon Global and PCS Technology.

Both public and private sector banks were subject to selling pressure. Sensex constituents HDFC Bank, ICICI Bank and SBI featured among the top 20 losers on the BSE Bankex.

Media stocks were a mixed bag. Movie screeners PVR and Shringar Cinemas shed value while news channels NDTV and TV Today marched forward. Entertainment Network lost about five per cent. Entertainment companies such as Balaji Telefilms, Creative Eye and Saregama shed value.

Negative sentiment prevailed in plantation stocks, with a large number of tea stocks shedding more than one per cent. Jayshree, Dhunseri, Assam Company and Williamson were among the top losers. McLeod Russel also featured in the list of losers. Tata Coffee and Bombay Burmah, which have interests in both tea and coffee plantations, were among the notable gainers. Buying support appears to have set in on the back of appreciation in global coffee prices.

A moderate positive sentiment could be gauged in the FMCG sector. Footwear stocks Bata and Liberty registered sharp gains. All-round gains was recorded in the cigarettes industry; topping the list was GTC Industries. VST Industries perked up by 2.8 per cent to close a notch below Rs 200. Shaw Wallace was among the top gainers in the alcoholic beverage space.

Caustic soda manufacturers, which have been stuck in a sideways movement for more than a month, failed to make any headway in either direction. Many stock in the sector closed in the red.

Stock-Specific Action

Sun TV, which made its debut, was among the most actively traded stocks. About 53 lakh shares changed hands on the BSE. The stock, which opened on a strong note, touched the Rs 1,500-mark in intra-day trade.

Event-Specific Action

Canara Bank was the only prominent stock to buck the trend in the banking sector. Supported by a sharp rise in volumes the stock gained 3.4 per cent. Buying activity appears to have set in after the bank reported an almost five-fold rise in earnings for the fourth quarter.

Reliance Capital attracted buying activity after the company reported an eight-fold rise in earnings for the fourth quarter. Gains, however, were limited to two per cent.