Date: 28 July 2009
Thought for the day
“Enjoy present pleasures in such a way as not to injure future one.”
1)The Airports Authority of India(AAI) is embarking on an ambitious plan to adopt digitalised Performance Based Navigation (PBN) systems and Geo Augmented Global Satellite Navigation(GAGSN) technology at all southern airports in a phased manner.
2)LAYING emphasis on sustained economic stimulus, finance minister Pranab Mukherjee on Monday proposed incentives for home buyers and extended tax breaks to industrial parks and food processing units to step up economic growth to 8% by the end of the next fiscal.
CORPORATE / INDUSTRY
3)FRANCE’S largest drug-maker Sanofi-Aventis is acquiring nearly 70% stake in Hyderabad-based vaccine-maker Shantha Biotechnics held by another French healthcare firm Merieux Alliance for around Rs 2,600 crore. The transaction, to buy the privately-held Indian vaccine company whose sales for the fiscal ending March 2010 is projected to be Rs 440 crore is expected to close by this December.
MONEY & BANKING
4)Stretching the gains for the third straight session, the rupee on Monday rose by another 6.0 paise to close at 48.16/17 against the US dollar due to late recovery in the equity markets amid increased capital inflows. In a lacklustre Inter-bank Foreign Exchange market, the domestic unit resumed higher at 48.15/16 a dollar against its last close of 48.22/23 and was trapped in a small range of 48.0850 and 48.2300 per dollar in line with the uneven trend in local stock markets.
5)Backed by healthy interest income and trading profits, Bank of Baroda (BoB) has posted an 84.8 per cent rise in its net profit at Rs 685.38 crore for the first quarter ended June 2009 as against 370.86 crore in April-June 2008.
6)Central Bank of India’s net profit rose nearly four-fold to Rs 267 crore in the first quarter of 2009-10, aided by a substantial rise in trading income. The bank had reported a profit of Rs 59 crore in the year-ago period.
7)Bank of India’s net profit was flat at Rs 584 crore in the first quarter of 2009-10, against Rs 562 crore in the corresponding quarter last year. Higher tax liabilities were the reason for the lower profits, said Mr B A Prabhakar, Executive Director.
8)Indian equity indices, after witnessing huge volatility throughout the trading session, erased all the gains and closed the day on the flat note. Dealers in the market say, investors were cautious ahead of central bank’s monetary policy and expiry of future and option (F&O) on Thursday. The 30-share Sensex of Bombay Stock Exchange
(BSE) lost 3.92 points or 0.03% to close the day at 15,375.04 points. The broader S&P CNX Nifty of National Stock Exchange(NSE) added 3.75 points or 0.08% to end the day at 4,572.30 points.
9)The National Stock Exchange(NSE) has decided to discontinue derivative contracts of CNX Nifty Junior, CNX 100 and S&P CNX Defty owing to lack of interest from investors.
10)The initial public offer(IPO) of Adani Power seems to have caught the fancy of institutional investors. As many as six anchor investors have picked up the entire portion reserved under the anchor investor scheme for Rs 502 crore at Rs 95 per share.
11)Tata Motors on Monday said its net profit grew 58% to Rs 513.76 crore for the first quarter ended June 30, compared with Rs 326.11 crore a year earlier, on a stand-alone basis (ie, excluding Jaguar Land Rover acquired in 2008).
12)India’s largest generator NTPC’s net profit after tax grew 27.5% to Rs 2193.62 crore for the quarter ended June 30 as compared to Rs 1726.53 crore for the corresponding period of previous year. Total income has increased to Rs 12,778.96 crore from Rs 10256.70 crore, a rise of 24.59%.
13)GOLD prices rebounded to trade higher by Rs 55 to Rs 15,175 per ten gram in the national capital on Monday on buying by stockists and jewellery fabricators amid a firming trend in Asia. Silver maintained its upward march and added Rs 150 to Rs 22,800 per kg on increased buying support from industrial units and jewellery fabricators.
14)Amid overall strong fundamentals, fresh demand for chana from the millers ahead of the festive season may send futures and spot prices further northward in the shortterm. NCDEX Chana August futures prices rose by nearly 10% to trade at Rs 2,443 per quintal on Monday on continued buying interest while September contracts once again crossed Rs 2,500-mark and quoted higher by 10% at Rs 2,541 per quintal during the current month.
15)THE government’s move to extend till 2012 income tax exemption for property developers for smaller homes and give interest subsidy to home buyers is likely to bring in higher supply of lower-priced homes in the market and may prompt the return of more home buyers to the residential market.
16)THE great American rivalry in the wireless tower business is here. Crown Castle International (CCI), the largest cell phone tower company in the US, is bidding against its close rival American Tower Company for a controlling stake in the separated tower operations of Aircel, senior people close to the situation told ET. CCI and American Tower Company (ATC) are locked in a neck-to-neck battle for US market leadership and are playing out their rivalry in the Indian market as well.
17)SINGAPORE Telecommunications(SingTel) is looking to buy shares in Bharti Airtel from MTN shareholders to keep its equity stake in the Indian telco at a minimum of 26% after the proposed deal between Bharti and MTN which could dilute its stake by nearly 11% to 19%.
18)In what could trigger a speed war in the broadband segment, Bharti Airtel has decided to drop tariffs for its various broadband plans by up to 43 per cent. The company has reduced the monthly fee for 1Mbps speed connection from Rs 2,999 to Rs 1,699.
BUSINESS PROCESS OUTSOURCING
19)TOP outsourcing firms including TCS, Infosys and Patni Computer wait for more clarity from RBS-owned ABN Amro, as the management remains undecided about outsourcing deals worth $400-500 million signed by the erstwhile Dutch bank four years ago with these vendors.
20)Wipro Technologies has signed a five-year deal with BJ’s Wholesale Club Inc – the Massachusets-based membership warehouse club to provide IT data centre and application management services. BJ’s is in the business of providing its members value on brand name groceries, consumer electronics, apparels, household items
and seasonal products.
21)PURCHASES of new homes in the US climbed 11% in June, the biggest gain in eight years, underscoring evidence that the deepest housing slump since the Great Depression is starting to stabilize. Sales increased to a 384,000 annual pace, higher than any forecast of economists surveyed by Bloomberg News and the most since November, figures from the Commerce Department showed on Monday in Washington. The number of houses on the market dropped to the lowest level in more than a decade.
22)WORLD stocks rose to nine-month highs and the euro hit a seven week high versus the dollar on Monday as a recent run of strong corporate earnings and anticipation of more boosted optimism for a global economic recovery. Tokyo’s stock market posted its longest winning streak in 21 years while emerging Asian stocks hit a 10-month high. US stock futures pointed to a higher opening on Wall Street later following strong gains in most indexes on Friday. This week’s results include Exxon Mobil, Honda Motor, Motorola, Deutsche Bank and BP.
FOR MORE INFORMATION, PLEASE BROWSE THROUGH THE FOLLOWING SITES.
Karvy Consultants Ltd www.karvy.com
KARVY Global Services Ltd www.KARVYGlobal.com
KARVY Realty (India) Limited www.karvyrealty.com
Economic Times www.economictimes.com
The Financial Express www.financialexpress.com
Business Line www.businessline.in
Business Standard www.business-standard.com
The Times of India www.timesofindia.com
The Hindu www.hindu.com
Deccan Chronicle www.deccan.com
The New Indian Express www.newindpress.com