The Hindu Business Line : Wanton as youthful goats, wild as young bulls

Jogin was reading worrying reports about the board intrigue in HP. Dakshinamoorthy was wondering what was happening to wheat. And Sridevi was studying the financials of UWB... Till Khan alerted them with an SMS, "Get chatting!" Hop on, fast.

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Kay: Hi. Shall we say 12k beckons?

Sri: Sensex may have some steam left even after that level.

Dax: Book profits, at least on a part of the portfolio, I'd suggest.

Jog: Appropriate strategy to adopt, I agree.

Sri: After 12,000 would there be a fall? That's the big question.

Dax: Those loaded with cash hope the fall will be a big one.

Sri: Or, "Fall somewhat into a slower method," as

in King Richard III.

Kay: Those neck-deep in the market pray there is none at all.

Jog: Heavy selling by FIIs in the F&O segment on Thursday.

Kay: Over Rs 1,000 crore. Directional call being taken.

Sri: Possible by hedge funds? Nifty put call ratio is down to 1.3!

Dax: From over 1.5 levels prevailing a week ago.

Kay: This indicates that participants are getting more bullish.

Dax: "Wanton as youthful goats, wild as young bulls,"

says the Bard!

Jog: Last week numbers: Balram Chini gained 7% last Monday

and Phil Carbon 5%. Tube Inv and Essar Oil 3% on Sep 4, while

Deepak Fert and IPCL earned 1%+. Stocks that ended in +ve last

Monday were Guj Amb Cem, HT Media, Godrej Cons, DCW.

Sri: ONGC may see some strength. Plans to develop

offshore marginal fields.

Kay: Pratibha Ind could see action on water tunnelling plans,

Jog: Phoenix Mills too. It's setting aside a corpus for buy-outs!

Sri: Wildcard picks for the week include Exide, Rain Calcining.

Kay: United Western Bank was the newsmaker.

Jog: Many suitors for a bride in distress! Studying bank stocks.

Sri: Anyone who has not lately been in bank stocks has lost!

Jog: Check out SBI and ICICI Bank, mid-market plays like...

Dax: Andhra Bank, and likes of Yes Bank. Consolidation story?

Kay: Gathering strength, as in the UWB case.

Sri: Guj NRE Coke is languishing. Time to move up?

Dax: Century Text up from Rs 458.75 to Rs 500-plus last week.

Jog: More to come! Ditto for Birla VXL from Rs 70.25...

Kay: To Rs 121 in 4 days. Amazing!

Sri: Aluminium prices have spiked up sharply on the comex.

Dax: Good for Hindalco and Nalco? Crude, kya vichar?

Kay: Prices continue to weaken, helping OMCs and auto cos.

Sri: International Combustion is a small outfit in Kolkata...

Jog: With a set of end-users such as chem, metals and sugar.

Kay: Ambitious expansion plans. Stock gained in recent times.

Jog: Quality products. Export angle too? What about Exide?

Sri: Had sharp run recently. Rs 10 face value broken to Re 1.

Kay: Volumes have been staggering.

Jog: Now quoting at Rs 40-plus after the stock-split.

Dax: Sugar stocks may turn sweet this week.

Kay: Refined sugar prices jumped 14 per cent last week.

Sri: Ban on sugar exports is set to go from Oct. Buyers looking

to book their Oct needs. There are over 18,500 open contracts

on Euronext!

Dax: There will be people looking for physical deliveries.

Kay: So, will the bitterness get over? Sugar price will rise?

Sri: Tata Coffee could be a safe bet and witness some action.

Dax: Because coffee prices are up, particularly robusta.

Jog: It hit a 7 1/2-yr high this week. Robustas make

up 70% of its production.

Sri: Good demand for Indian robustas. With a tight supply

situation in the global market, it will be one of the companies

that will enjoy a good time.

Dax: Means, coffee powder prices are set to rise? Take care!

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Lee with inputs from Nat, Mad, Nil, The, Lok, Sub and Bij.

Blog at http://MarketChat.blogspot.com