SumanSpeaks: The Information Super Highway

Festive fervour in the Indian Bourses: Fourth straight day of gains; Dhoot Industrial Finance Ltd hits the Buyer Freeze: Yes, at last the inevitable happened: The Dhoot Industrial Finance Ltd hit the Upper Circuits today closing at Rs.20.7. The stock was recommended on August around Rs.15- Rs.16 and today in the morning it was recommended. It is a good company and should cross Rs.30 soon. It is into industrial finance and also into wind power like Morgan Ventures Ltd. Or u can say a Clone of Morgan Ventures Ltd to some extent. Pioneer Distillaries Ltd recommended at Rs.17 hit the Buyer Freeze today before cooling off a bit. Fourth straight day of gains: The benchmark index was in good nick, posting gains for the fourth straight day, due to continued buying for index pivotals. The Sensex advanced 280 points (2.30%), from 12,173.91, on 25 September 2006 till today's closing. The benchmark index settled above 12,400, for the first time after 11 May 2006. Buying was conspicuous acro...

Mid-market watch: The markets are looking firm. The inflataion is slowing down and ultimately Steel and Sugar companies are doing well. I have taken some Mawana Sugars Ltd as the company has the strongest Book Value as compared to its peers. I have taken it as a non-delivery pick and intra-day pick. Look at the small cap company Dhoot Industrial Finance Ltd . Get out of Banking counters if u are making profits. More in the following mails............ Best wishes, Suman Mukherjee India.

Market Musings: Asian stocks gained, led by Canon Inc. and LG.Philips LCD Co., after Japan's industrial production climbed to an all-time high and the Dow Jones Industrial Average briefly rose above its record closing level . ``The focus is on economic indicators that could wipe away some of the negative sentiment stemming from recent weak numbers'' in Japan, said Mitsushige Akino, who oversees $468 million in assets at Ichiyoshi Investment Management Co. in Tokyo. ``There's some relief resulting from the Dow reaching that high.'' The Morgan Stanley Capital International Asia-Pacific Index climbed 0.3 percent to 128.52 as of 10:45 a.m. in Tokyo, adding to a two-day, 2.2 percent rally. The measure is set for 1.4 percent advance this week, snapping a three-week decline, and a 1.3 percent gain this quarter. Japan's Nikkei 225 Stock Average added 0.4 percent to 16,087.34. Mizuho Financial Group Inc. rose after the Ministry of Economy, Trade and Industry said i...

Market Mantra: There is no second opinon that the Indian markets will open in the green today, with most of the Global Ccues coming is positve till now . The markets will be volatile due to F & Settlement tomorrow. But more less all the factors are positive for the further upmove of the indices. There will also be huge buying in the Small and mid Cap counters--which is now the most happening sector. IF we consider the P/E of the Sensex during the Bull run of Harshad Mehta time then then the valuations not at all too high. Also if we consider, that Q2 results will be very strong then the markets should remain firm. But at 3600 on Nifty there are some strong resistance, if the index moves past this level then we can see further higher levels of indices. Meanwhile, Dow Jones Industrial Average is almost near its 2000. Wall Street yesterday advanced for a third straight session, with the Dow Jones industrial average falling just short of touching its record high close after a jump in ...

Today's Call: Pioneer distilllaries Ltd. at Rs.17. The company is one of the finest distillary companies and is a turnaround story, is cornered by operators from Bombay's suburbs. The target price is Rs.42 and Rs.65. The company has a book value of whopping Rs.77.80 [ http://content.icicidirect.com/market/market.asp ] and the stock is trading at an abnormally low price of Rs.17 if we consider the book value of the shares of the company alone mentioned in the ICICI Direct Web-site. For the 30th June, 2006, the net profit of the company jumped to Rs.73 lakhs as compared to only Rs.20 lakh in the same period previous year---- a surge of 505.79%. The reserves are now Rs.21 lakh as compared to Rs.(-)1.25 Cr(negative). The operating profit margin has also increased to 16.16%[12.47%]. It is expected that the company should hit non-stop buyer freeze from now. Keep watch on the board meetings of Avon Organics Ltd on 29-09-06 and Samkrg Piston and Rings Ltd. today. Keep holding th...

U.S. Stocks Rally, pushing S&P 500 to a 5-Year High, after Fed Official Suggests Inflation Will Dampen: U.S. stocks rallied yesterday, sending the Standard & Poor's 500 Index to a five-year high, after Federal Reserve Bank of Dallas President Richard Fisher said the economy remains strong and inflation would be dampened by a slowing economy. He further said that while the housing and auto sectors are economic weak points, the rest of the U.S. economy is doing "extremely well." The bond market, however, seems convinced an economic downturn -- and cuts in the Fed's benchmark short-term interest rate, are on the way. The yield on the 10-year Treasury note fell to 4.54 percent from 4.59 percent Friday. The yield on the 10-year Treasury bill has plummeted quickly and now stands at a seven-month low. Homebuilders, led by Pulte Homes Inc., climbed on an industry report that showed sales of existing houses fell less than economists forecast. Stocks bounced higher at...

Avon Organics Updates: Here is a Flash: The board meeting of Avon Orgainics Ltd has been pre-poned to 29-09-06, a day earlier than the previous announced dated[ 30-09-06], for taking some important Agendas . Today my earlier recommended picks Tips Industries Ltd, V B C Ferro alloys are doing well. The markets still looks firm as the US markets are expected to go up due to the fall in the crude prices. Europe is already up, though Asia is a little subdued. Sugar Prices have crashed in the Indian markets and hence the price of by-products of sugar industries are set to fall. Buy Samkrg Piston and Rings Ltd at Rs.75. More in the following mails..... Best wishes, Suman Mukherjee India.

Yes, the Flat Products Equipments India Ltd which was mentioned in the last week's posting as F...P...L...at Rs.85 hits the Second consecutive Buyer Freeze. Those who have asked for Tailor Made(Delivery) Portfolios, Enjoy!! Now Enjoy the following 2(two) Scrips. From the Research Desk: Avon Organics Ltd (BSE Code---531541) Book Value--->Rs.29.95 Debt/ Equity—>2.50 Resistances: R1----->Rs.27.6, R2--->Rs.47 & R3--->Rs.54. Stop Loss--->Rs.20.8 Buy at the CMP---->Rs.24 Introduction: Two entrepreneurs, Mr. P R Agarwal & Mr. Rajesh Agarwal along with late Dr G S Sidhu, set up Avon Organics Limited (AOL) with an objective to serve worldwide markets with high value-added industrial products for the pharmaceuticals, agro and dyestuff & pigment industries. The year 1996 saw the establishment and successful commissioning of AOL's first grass root Diketene plant. The company's growth pinnacled when it doubled its production capacity by commissioning ...

The Sugar Prices Crashes: Go for brewerie Companies : The three companies which come to my mind at this point of time which could be beneficial at this point of time are: 1. Avon Organics Ltd--> Uses Molasses as the raw material--> Buy at Rs.24.5 2. G M Breweries Ltd--->Use Molassse as the raw material-->Buy at Rs.120 3. Tilaknagar Industries Ltd--->Uses Molassses as the raw material-->uy at Rs.47 Since, Molasses is the by-product of sugar companies it is now bound to fall further due to crash in the sugar Prices and also rumours regarding RIL going through the ethanol route. Since both the Thai Baht and Thailand remains stable, with oil prices coming down, inflation figures within the expected limits, advanced tax collection figures good, monsoon along the expected lines, Q2 results expected to be strong etc. the markets should go up from here. From today there could be buying happening in the large caps also. The actions in the mid and small caps will continue for s...

Market is rallying: By G.S. Roongta: Even after crossing the 12000 mark earlier and heading well over 12K mark to close at 12041.70 on 16th September’06, the BSE Sensex witnessed a lot more consolidation last week. This proves that this important psychological level needed further confirmation for the market to establish the ongoing bullish trend and whether it is strong enough to rally further. The market hit back on Tuesday, 19th September’06, to breach the well established BSE Sensex level of 12K after touching a new high of 12152.60 in intra-day trades on the same day but suffered a great setback to break the 12K level to as low as 11915.21 before closing at 11970.47 in late hour selling pressure on news of likely collapse of a US hedge fund. This triggered panic sales and the broad based slide led to off loading in frontline stocks. They fell to scale down like nine pins and suffered sizeable losses within an hour with over 237 points volatility during the day. This sudden fall ...

Mid-day assesment: I think the market was able to resist the initial fall. It seems the markets has huge support 12200 levels which is not allowing it to fall further. I have mentioned in the morning mails not to expect a bloodbath in the markets after the fall in the Asian and the US markets. I think the markets should move up from here and there is ample reasons to belive that the markets might close in the green. I am expecting very strong Q2 number from India Inc. whic is expected to flow from the next month. So, do not sell ur positions and exit today. Keep holding for some 50 to 80 points upmove in the Sensex and 25 to 30 points upmove in the Nifty. But having said this lot will depend how the European markets open. Concentrate on Mid and Small cap counters. I think buying will start in RIL looking at the morning statistics of huge trade at the upper levels. Some buying will take place in the Large Caps also.... Intraday: Hold Garbiel India Ltd, who have purchased taking my cal...

Market Musings: Yesterday while the Indian and Asian markets were up, emerging markets, comprising of Brazil, Mexico and Russia fell. Indian markets raced ahead to garner a smart 165.13 points on the SENSEX Today the most of the Asian markets are in the red. Japanese stocks fell after the dollar slid against the yen by the most since July and an index of Philadelphia-area manufacturing suggested an economic slowdown in the U.S. may be spreading. I do not know why everytime we have to look at the US markets to find a direction. I have mentioned a number of times in my postings that Indian economy is more or less domestic driven unlike Japan or South Korea or some other South Asian Country. Hence, Indians have to ignore what a small province in the US is doing( Read Philadelphia-area). During my interaction with a number of Analysts I have found that, most of them are of the opinion that these are just Media caricatures to grab the eye balls and it is better if we overlook them in t...

Russian Stocks Climb to Three-Month High, Led by Gazprom : Aug. 11, 2006 Russian stocks climbed to the highest in three months. OAO Gazprom led gains as investors increased holdings before the company's weighting is raised in the Morgan Stanley Capital International Emerging Markets Index. The dollar-denominated Russian Trading System Index gained 1.6 percent to 1657.20, the highest since May 12. The measure is up 1.7 percent this week, its third weekly advance. The ruble- priced Micex index rose 1.8 percent to 1479.96 today. Shares in Gazprom, the world's biggest natural gas company, rose 2.6 percent to $11.70, gaining 7.7 percent this week. Gazprom's percentage in the MSCI index will increase to 4.8 percent after trading ends on Aug. 31, the MSCI said in April. The weighting was lifted in June to 2.5 percent from 0.4 percent. ``Gazprom has been driving the market for several days, as a lot of Western investors were buying shares'' before the weighting increase,...

Markets Might open in the Red today then slowly stabilise, following Coup in Thailand and Weak US data: With most of the Asian markets now recovering from Morning blues, following the Coup in Thailand, Indian markets are set to open in Red today, which will recover gradually. Thailand market is one of the cheapest in Asia and hence when it opens tomorrow more and more funds will explore buying opportunity. Hence there is no threat for the Asian Markets as such for the medium to long term. Thailand, usually one of Southeast Asia's most stable countries, has been in a state of political flux this year after massive rallies forced Prime Minister Thaksin Shinawatra to dissolve Parliament. Thaksin, who was in New York attending the United Nations General Assembly, has faced calls to step down amid allegations of corruption and abuse of power. Traders watching Thailand closely are certain to remember how trouble in the kingdom had worldwide implications in the past: The Asia currency cri...