Nifty Daily For 05th July 2013

                  Nifty opened gap up of 23 points on strong US market closing and Strength in its Asian piers. Once above 5800 it went and tested the resistance of 5845. There was a sharp sell off which led markets to the lows of 5786. The market filled the gap and tested the previous days range and bounced sharply. This indicates the inherent strength to go up. The two day correction has cooled off the highly over bought state and the market is poised to resume its upward journey again. On the expected line the bank nifty was not leading the up move, but rather the defensives and technology.
It is very important that banks start its participation if nifty has to move above the 5904 levels. The early signs are visible, but a confirmation would be necessary for a sustained up move past 5900.
                The support for nifty is at 5790-5765-5737 and the resistance lies at 5865-5890-5920. Nifty July Future has been trading at 3-4 points premium to the spot. The implied volatility on the Nifty July Options of ATM strike calls were at 14.06 and for puts were at 20.37. India VIX closed at 18.58. PCR for Nifty based on open interest was at 1.27 and PCR for the day based on volumes was at 0.92 for the market.
               
Cash Market:
 FII              2079.02 - 1914.46 = 164.56 Cr.

 DII           948.57 - 1024.78 = (76.21) Cr.
FII Derivatives Market:

	Buy	Sell	Net
INDEX FUTURES	1361.95	1343.90	18.06
INDEX OPTIONS	15607.90	14448.34	1159.56
STOCK FUTURES	2127.00	1825.40	301.60
STOCK OPTIONS	1111.22	1080.71	30.51

Corporate Action:

Ex-Date	Company	Purpose
05-Jul-13	Zensar Technologies Limited	Annual General Meeting / Final Dividend - Rs 4.50/- Per Equity Share
05-Jul-13	Blue Star Limited	Annual General Meeting / Dividend Rs.2/- Per Equity Share + Special Dividend Re.1/- Equity Share
05-Jul-13	Axis Bank Limited	Annual General Meeting / Dividend Rs.18/- Per Equity Share
05-Jul-13	Geojit BNP Paribas Financial Services Limited	Annual General Meeting / Dividend Re.0.25/- Per Equity Share
05-Jul-13	R. S. Software (India) Limited	Annual General Meeting/Dividend Rs 2/- Per Share
05-Jul-13	Pidilite Industries Limited	Annual General Meeting/Dividend Rs 2.6/- Per Equity Share
05-Jul-13	Advanta India Limited	Face Value Split From Rs.10/- To Rs.2/-

Stocks In News:

Hindustan Unilever (HUL) open offer closes yesterday (CMP at Rs 601)
-32 crore shares tendered at Rs 600/share
-Uniliver hikes stake by 14.8 percent to 67.28 percent
-Uniliver to spend Rs 19202 crore/USD 3.19 billion for stake hike

Diageo completes acquisition of 14.98 percent stake in United Spirits (USL)
Diageo says:
-To hold 25.02 percent stake in USL post acquisition
-Acquires stake from United Breweries Holdings (UBHL), Kingfisher Invest, Palmer Investment, UB Sports
-Yet to acquire 2.38 percent stake from USL Benefit Trust
-Certain lenders refuse to release USL Benefit Trust shares
-Mallya to continue as non-executive director and chairman
-To provide USD 135 million loan facility to Mallya's company Watson

Pioneer Distilleries tender offer (CMP Rs 65, market cap Rs 85 crore)
-Diageo to publish details on mandatory tender offer for Pioneer Distilleries
-Diageo to acquire remaining 18.42 percent of Pioneers outstanding share capital
-Pioneer shareholders entitled to receive Rs 60/share

Firstsource Solutions (stock up 20 percent yesterday)
-Rakesh Jhunjhunwala buys 2.5 crore shares (3.8 percent stake) at Rs 10/share
-OHM Enterprise buys 32 lakh shares (0.5 percent stake) at Rs 10/share
-Aranda Investment Mauritius sells 2 crore shares
-ICICI Bank sells 1.3 crore shares stake at Rs 10/share

BGR Energy (CMP Rs 127)
-Promoter to sell 21.75 lakh shares (3 percent stake) of company via offer for sale (OFS) today
-Floor price for OFS at Rs 118/share (7 percent discount to CMP)
-Move to reduce promoter stake to 75 percent in company

Jet Airways -Etihad deal:
-Cabinet secretary holds meet with defence secretary and aviation secretary
-Cabinet secretary says 'there is no security threat'

Indonesia Govt says - Adani Enterprises pulls out of USD 1.7 billion rail and port project: Reuters
Alert: Adani Enterprises had signed agreement to set up rail, port line in 2011 with Indonesian govt 

SC Quashes HC Order against govt price cap on Asthma drug-SC upholds govt decision to cap price of Doxofylline formulation

FIPB likely to defer 10 FDI proposals in pharma sector: PTI
Alert: Proposals are to be taken up at FIPB meet today                          

Other stocks and sectors that are in news today:-Sugar import duty hike on cards agencies
- Deepak Fertilisers may approach Zuari Industries to buy their 10 percent stake in Mangalore Chemicals BS
- Sundaram-Clayton IPP on Monday, floor price Rs 293/share
- Gammon India debt recast approved by lenders Mint
-Coal ministry agrees to ink fuel-supply pact for 11 power companies with by August ET
-Citi Ventures has veto to block Polaris stake sale plans in not compensated ET
-Bombay HC to hear Yes Bank 's board issues today
- Canara Bank to cut base rate by 30 bps to 9.95 percent from Monday
- Strides Arcolab board okays increase in FII limit to 74 percent from 49 percent
- Advanta India (CMP at Rs 756) stock split from Rs 10 to Rs 2
- Kalindee Rail board meet to mull equity/warrants issue on preferential basis
-Lakshmi Overseas: Board meet to mull allotment of 33 lakh equity shares to promoter Balbir Singh allotment of equity shares upon conversion of warrants allotted
-Ex-dividend: Axis Bank Rs 18/share
-RBI issues norms to calculate total foreign investment in Indian companies

Stocks In Ban Period:
 NIL