News Release Details
Refiners gain as Sensex closes in on 17,000
New Delhi 26-Sep-2007
Share prices rose on Tuesday, with the Bombay Stock Exchange's sensitive index climbing to its fifth straight record. Indian Oil led refiners higher after the government said that it may give oil bonds to help reduce losses at refiners."The oil bonds will help curb losses at refiners with crude near the record," said R.K. Gupta, who manages $75 million (Rs299 crore) of stocks at Credit Capital Asset Management in New Delhi. Sale prices of fuels sold by the refiners are controlled by the government. State Bank of India (SBI) and Larsen & Toubro Ltd (L&T) declined after some investors judged recent gains excessive. The Sensex added 53.71 points, or 0.3%, to 16,899.54. The S&P CNX Nifty index on the National Stock Exchange gained 6.65 points, or 0.1% to 4,938.85. Both exchanges shut between ll;25am and 12:10pm because of possible disruptions in satellite communication. Trading was extended until 4:15pm, 45 minutes after the normal close. The change to trading hours will be in effect until 9 October. IndianOil gained Rs31.90, or 7.9%, to Rs436.20. Hindustan Petroleum Corp. Ltd advanced Rs8.75, or 3.4%, to Rs265.20. Bharat Petroleum Corp. Ltd climbed Rs23.75, or 7.3%, to Rs348.50. The government may issue Rsl2,000 crore in bonds by 15 October to state-run refiners, M.S. Srinivasan, secretary at the oil ministry, told reporters in New Delhi. The Centre may give as much as Rs 24,000 crore worth of bonds for the fiscal year that ends 31 March, he said. The bonds are issued to make up for losses incurred by the refiners for selling fuels below cost to retail consumers. The government bars refiners from raising retail prices of fuels in line with increases in crude oil costs to control inflation. SBI fell Rs29.35, or 1.6%, to Rs l,803.85 after posting a 13% advance this month. The stock's relative strength index, a moving average biased on advances and declines in the previous 14 days, has been above 70 for three days. A reading of 70 indicates to some analysts that the stock is poised to fall.L&T slid Rs32.30, or 1.1%, to Rs 2,864.55. The company's relative strength has been above 70 since 20 September.Overseas investors bought a net Rs924 crore of stocks on 21 September, according to the Securities and Exchange Board of India.
New Delhi 26-Sep-2007
Share prices rose on Tuesday, with the Bombay Stock Exchange's sensitive index climbing to its fifth straight record. Indian Oil led refiners higher after the government said that it may give oil bonds to help reduce losses at refiners."The oil bonds will help curb losses at refiners with crude near the record," said R.K. Gupta, who manages $75 million (Rs299 crore) of stocks at Credit Capital Asset Management in New Delhi. Sale prices of fuels sold by the refiners are controlled by the government. State Bank of India (SBI) and Larsen & Toubro Ltd (L&T) declined after some investors judged recent gains excessive. The Sensex added 53.71 points, or 0.3%, to 16,899.54. The S&P CNX Nifty index on the National Stock Exchange gained 6.65 points, or 0.1% to 4,938.85. Both exchanges shut between ll;25am and 12:10pm because of possible disruptions in satellite communication. Trading was extended until 4:15pm, 45 minutes after the normal close. The change to trading hours will be in effect until 9 October. IndianOil gained Rs31.90, or 7.9%, to Rs436.20. Hindustan Petroleum Corp. Ltd advanced Rs8.75, or 3.4%, to Rs265.20. Bharat Petroleum Corp. Ltd climbed Rs23.75, or 7.3%, to Rs348.50. The government may issue Rsl2,000 crore in bonds by 15 October to state-run refiners, M.S. Srinivasan, secretary at the oil ministry, told reporters in New Delhi. The Centre may give as much as Rs 24,000 crore worth of bonds for the fiscal year that ends 31 March, he said. The bonds are issued to make up for losses incurred by the refiners for selling fuels below cost to retail consumers. The government bars refiners from raising retail prices of fuels in line with increases in crude oil costs to control inflation. SBI fell Rs29.35, or 1.6%, to Rs l,803.85 after posting a 13% advance this month. The stock's relative strength index, a moving average biased on advances and declines in the previous 14 days, has been above 70 for three days. A reading of 70 indicates to some analysts that the stock is poised to fall.L&T slid Rs32.30, or 1.1%, to Rs 2,864.55. The company's relative strength has been above 70 since 20 September.Overseas investors bought a net Rs924 crore of stocks on 21 September, according to the Securities and Exchange Board of India.