SKINDIA INDIAN GDR MONITOR
Volume V No 45	Nov 13-Nov 19, 1998	20-Nov-98

A week of direction-less trading After a positive movement in the past two consecutive weeks the capital markets lost their direction in this week. The Skindia GDR Index gained marginal 3.47 points while the BSE Sensex ended the week with a loss of 44.70 points, moving in a band of 3.36% and 1.96%, respectively. The weekly high and low of the Skindia GDR Index was 595.37 and 571.37. The average premium of the 60 GDRs moved up from 3.23% on Nov 12 to 5.14% on Nov. 19 and the average spreads of the 37 most actively traded GDRs fell from 9.10% on Nov 12 to 8.34% on Nov 19, implying a positive outlook towards the Indian paper. During the week the 60 GDRs on an average appreciated 1.88% and the shares 0.35%. In GDRs, auto sector was the leader with an average appreciation of 9.98%, the other top gainers were pharma and telecom with a rise of 2.24% and 2.00% respectively. The top losers were cement and aluminium sectors falling 2.46% and 0.67%. In shares, aluminium, cement and auto were the top gainers with 5.00%, 4.94% and 4.51% rise and the top losers were pharma, telecom and power losing 1.75%, 0.68% and 0.67%, in that order. The turnover of the shares reduced from Rs 2975.85 cr in the previous week to Rs 2392.58 cr in this week a decline of 19.60%. On the news of finance ministry's decision to allow 60% annual depreciation being allowed on the purchase of new commercial vehicles after the scrapping of vehicles which are more than 15 years old, the stocks of this sector started to attract the market players attention. As a result,during the week the GDR of Ashok Leyland gained 39.47% to $2.65 and its share went up by 22.80%. The share turnover of this scrip showed a remarkable rise to Rs 10.98 cr in this week a gain of 159.94%. The stock of Telco also showed upward movement after the above news but later plateaued after it was revealed that most of the sales of the company were credit sales and its sales for the month of October dropped by 38%. But finally its GDR ended the week with a rise of 2.18% to $3.28 and the share 0.57% to Rs 141.80 and its share turnover increased by 32.595 to Rs 300.46 cr.

DISCLAIMER : Factual material is obtained from sources believed to be reliable and SkindiaFinance is not responsible for any errors and omissions contained herein. Any recommendation contained in this report may not be suitable for all issuers.