X

Sign up for Equitymaster's free daily newsletter, The 5 Minute WrapUp and get access to our latest Multibagger guide (2017 Edition) on picking money-making stocks.

This is an entirely free service. No payments are to be made.


Download Now Subscribe to our free daily e-letter, The 5 Minute WrapUp and get this complimentary report.
We hate spam as much as you do. Check out our Privacy Policy and Terms Of Use.
PSUs in the reckoning… - Views on News from Equitymaster
 
 
  • PRINT
  • E-MAIL
  • FEEDBACK
  • A  A  A
  • Feb 3, 2001

    PSUs in the reckoning…

    Although the markets closed the week in positive territory they were made to work for it as they lost ground on three days out of five. Consequently, the week saw only marginal gains. The BSE and NSE rose by 22.1 points (0.5%) and 8.8 points (0.6%) respectively.

    The markets opened on the back foot as the devastating earthquake in the state of Gujarat rocked the sentiment on the bourses. The sentiments, however, were lifted as corporates issued notices of little or no damages to their plants. Further, the sharp drop whetted the appetite of bargain hunters resulting in the markets making a strong comeback.

    Allan Greenspan, Chairman of the Federal Bank (U.S), this time around failed to enthuse the bourses. The surprise rate cut of 50 basis points on January 3rd of this year had resulted in a global rally. However, with American economic indicators weakening, the markets expected a monetary expansion policy. Consequently, we did not see the same reaction on the current round rate cuts.

    On the domestic front the cement sector continued its run on the bourses. The enhanced realizations have worked their way to improved results for most of the companies in the third quarter. Consequently, keeping interest alive in the sector. Further, the rebuilding in the state of Gujarat will lift demand and possibly realizations in the Western region.

    However, the week belonged to the public sector unit stocks. News on disinvestments set these counters on fire. The week started with activity in Engineers India. The government has decided to privatise the company and the petroleum ministry has been directed to prepare a cabinet note for divestment. Indian Oil Corporation has expressed its desire to purchase 26% in the company. Further, the news of disinvestment in Videsh Sanchar Nigam Ltd. (VSNL) lifted the PSU counters primarily in the telecom and oil sector.

    In the weeks ahead the focus will zero down to the budget. Markets await what the Finance Minister has to offer this time around.

     

     

    Equitymaster requests your view! Post a comment on "PSUs in the reckoning…". Click here!

      
     

    Copyright © Equitymaster Agora Research Private Limited. All rights reserved.
    Any act of copying, reproducing or distributing this newsletter whether wholly or in part, for any purpose without the permission of Equitymaster is strictly prohibited and shall be deemed to be copyright infringement.

    LEGAL DISCLAIMER: Equitymaster Agora Research Private Limited (hereinafter referred as 'Equitymaster') is an independent equity research Company. Equitymaster is not an Investment Adviser. Information herein should be regarded as a resource only and should be used at one's own risk. This is not an offer to sell or solicitation to buy any securities and Equitymaster will not be liable for any losses incurred or investment(s) made or decisions taken/or not taken based on the information provided herein. Information contained herein does not constitute investment advice or a personal recommendation or take into account the particular investment objectives, financial situations, or needs of individual subscribers. Before acting on any recommendation, subscribers should consider whether it is suitable for their particular circumstances and, if necessary, seek an independent professional advice. This is not directed for access or use by anyone in a country, especially, USA or Canada, where such use or access is unlawful or which may subject Equitymaster or its affiliates to any registration or licensing requirement. All content and information is provided on an 'As Is' basis by Equitymaster. Information herein is believed to be reliable but Equitymaster does not warrant its completeness or accuracy and expressly disclaims all warranties and conditions of any kind, whether express or implied. Equitymaster may hold shares in the company/ies discussed herein. As a condition to accessing Equitymaster content and website, you agree to our Terms and Conditions of Use, available here. The performance data quoted represents past performance and does not guarantee future results.

    SEBI (Research Analysts) Regulations 2014, Registration No. INH000000537.

    Equitymaster Agora Research Private Limited. 103, Regent Chambers, Above Status Restaurant, Nariman Point, Mumbai - 400 021. India.
    Telephone: +91-22-61434055. Fax: +91-22-22028550. Email: info@equitymaster.com. Website: www.equitymaster.com. CIN:U74999MH2007PTC175407
     

    Become A Smarter Investor In
    Just 5 Minutes

    Multibagger Stocks Guide 2017
    Get our special report, Multibagger Stocks Guide (2017 Edition) Now!
    We will never sell or rent your email id.
    Please read our Terms

    MARKET STATS