Markets have opened on a positive note. The divestment of Hindustan Zinc seems to have encouraged markets. While software and select banking stocks are gaining ground, activity is mixed in auto and media companies. Select FMCG majors are also attracting buying interest.
The BSE Sensex is at 3,481 (up 22 points) and the NSE Nifty is at 1,130 (up 7 point). The rupee is trading at Rs 48.80 per US dollar.
Sterlite Industries has emerged as the winner for Hindustan Zinc (HZL). Against the reserve price of Rs 3.5 bn, Sterlite has bid for Rs 4.4 bn for a 26% stake in the PSU major. HZL and Sterlite are up 1% respectively. Apart from HZL, the department of divestment has approved sale of 51% stake in Engineers India and share purchase agreement of IPCL. Almost all the PSU stocks are up.
Paint scrips are also firming up. Asian Paints, which hit a new 52-week high yesterday, is up today also. It has increased its market share in the decorative and exterior segments in the current fiscal through new product introductions. Goodlass (GDLA.BO, news) Nerolac is also gaining ground. Since Goodlass is one of the key automotive paint suppliers, the rise in passenger car sales should benefit the company in terms of higher volume growth in 4QFY02.
The other key movers are Satyam, Zee, ICICI Bank (ICBK.BO, news) , BHEL (BHEL.BO, news) , Glaxo, P&G, Smithkline Consumers, Dabur, Colgate (COLGd.BO, news) , HLL, CMC and Tata Infotech (TTIN.BO, news) . CMC is up 19% and is trading at its new 52-week high.
