The Hindu Business Line : VSNL, MTNL in fine tune

DESPITE the dismal economic reports such as weak job data, the US stocks climbed last week. The S&P-500 gained one per cent last week, while the Dow Jones Industrial Average added 0.1 per cent. The Nasdaq Composite Index rose 0.9 per cent, its first weekly advance in almost two months, according to Bloomberg data.

The good response to the Government's disinvestment offer for PSU stocks, particularly ONGC, helped the Indian stocks spurt sharply. The BSE Sensex recovered 3.76 per cent and the NSE's S&P CNX Nifty jumped 3.74 per cent.

On the ADR front, a majority of the Indian counters ended last week on positive note though there was some pressure on the infotech counters following the US Senate's veto on outsourcing of US Government contracts.

While Infosys closed lower at $81.53 against the previous week's close of $84.03, Satyam Computer closed marginally higher at $20.64 ($20.52) and Wipro at $42.5 ($41.1).

Reports that Wipro is in agreement with Adobe Systems, the graphic design software firm, to customise some of Adobe's products and provide services to its customers seemed to have inspired positive sentiment for the counter.

Besides, Wipro's announcement that it has signed an agreement with Brillian Corporation, a developer and manufacturer of high-definition television products, also fuelled optimism.

Dr. Reddy's Laboratories Ltd recovered after the company announced that it began initial clinical trials of its cardiovascular drug in Canada.

However, the top performers during last week were VSNL, MTNL and Rediff.com. VSNL, in fact, registered its 52-week high at $9.2 before settling for the week at $9.02 ($8.83). MTNL rose sharply to $8.17 ($7.14).

Rediff.com announced the launch of Rediff Radio, a subscription-based online service with a free seven-day no-risk, no-obligation trial.

Following this announcement the counter was on song as Rediff jumped to $9.24 ($8.09).

More Stories on : Commentary | ADR Watch

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
How corporate governance rating would help

Mutual funds not keen to disclose average AUMs

Pressure on debt funds may continue

With election round the corner — Players may be on the defensive

`Underlying potential favours equity'

VSNL, MTNL in fine tune

DCA chalks out programmes to protect investors