Bullish trend on Lyons Range

By A Special Correspondent

CALCUTTA, OCT. 14. There was a dramatic change in the trend in Indian bourses including the Calcutta Stock Exchange which witnessed a strong bullish fervour last week and in the wake of brisk buying both by speculators and investors share prices soared over a broad front under the lead of Infosys Technology. This counter witnessed hectic buying which not only pushed up the volume of business but lifted the price substantially upwards from the level prevailing at the end of the previous week.

The main ingredient to the bullish trend in the market came from the announcement from the Infosys management of an interim dividend of Rs. 7.50 per share for the current year. It also released highly encouraging working results for the second quarter which in turn gave optimism that this sector in general will perform much better than most people anticipated.

Yet another sentiment booster for a market came from the management of Hindustan Lever (HLL) which notified stock exchanges that HLL has fixed a board meeting for October 16 to consider a debenture bonus issue. This news bolstered the over all sentiment pushing the market into a strong bullish orbit as the week progressed providing for not only a perceptible rise in the volume of business but also in price levels. In the wake of the sharp increase in the prices of these two key counters, scores of other shares looked up with the result that the close of the week showed a broad front of gainers along the list.

Most of the technology counters scored marked gains, while leading old technology shares surged in line with the Hindustan Lever share aiding the representative indices also to gain substantial ground. The CSE's 40-share index moved up to 1570.90 points from 1510.43 points in the same period. The foreign institutional investors were selective buyers during the week in the market.

The cement company shares were also in demand and several of them including ACC and Larsen and Toubro wound up in the positive region.

Whatever the reason, small and medium investors are quite pleased at the current turn of events with share markets in the country leaving behind the bearish mood which had plagued them for a prolonged period in the past. If the government speeds up the second line reforms programme and initiate swiftly measures to improve infrastructural area, the bourses are sure to stay in the positive territory in the coming months. The festive season is getting closer and there is optimism that the festival of lights might glow better this year.

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Section  : Business
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