Date: 09 October 2009
Thought for the day
“The only way to the top is by persistent, intelligent, hard work.”
— A. T. Mercier
1)A 200-strong international delegation, headed by Commonwealth Games Federation president Mike Fennell, visited seven Games venues across Delhi on Thursday to appraise the progress of the various projects.
2)RISE in annual inflation as measured by the Wholesale Price Index (WPI) for the week ended September 26 was at 0.7%, marginally lower than previous week’s level of 0.83% as the food items became cheaper, a release by the commerce ministry on Thursday said.
CORPORATE / INDUSTRY
3)Government-owned Steel Authority of India Ltd(SAIL), the country’s
largest steel producer, has emerged as the top profit-making steel company in the first six months of the calendar year, leaving behind global majors like Arcelor Mittal, Posco, Bao Steel and Nippon. Sector analysts expect this trend to continue at least for the next two-three quarters.
4)THE Rs 1,100-crore Intas Pharmaceuticals has joined the swine flu drug discovery bandwagon. The Ahmedabad-based pharma major has joined hands with US-based Amarillo Biosciences Inc(ABI) for carrying out clinical trials of drug lozenges to combat influenza.
5)Larsen & Toubro (L&T), the country’s largest engineering company, has raised $600 million(Rs 2,800 crore) through sale of shares and bonds to institutional investors to expand its infrastructure business.
6)IVRCL Infrastructure & Projects Limited (IVRCL) has bagged orders worth Rs 523.31 crore. It has got a project worth Rs 287 crore from UP Jal Nigam, Allahabad for survey, investigation, design, construction, testing and commissioning of sewerage works.
7)Kolkata-based Shree Cement today announced its foray into commercial power business and will invest Rs 1,200 crore in the next two years to set up a 300 MW thermal power plant in Rajasthan.
MONEY & BANKING
8)Rupee rose against the dollar for the fifth consecutive day as banks sold the greenback for foreign funds and also as the US unit declined globally, dealers said. The Indian unit ended at 46.33 a dollar compared with 46.66 on Wednesday. It rose to a one-year high of Rs 46.21 today.
9)Leading bankers have started finalising modalities for the implementation of 1% interest rate subvention on home loans. The central government had earlier announced the decision on subvention of home loans on September 30. The Subvention scheme will be applicable for all individuals housing loans up to Rs 10 lakh and for properties costing up to Rs 20 lakh.
10)Future Generali India Life Insurance on Thursday said it has launched a long-term insurance-cum-investment plan, Future Freedom Plus. The plan allows customers to choose a limited or regular premium payment options on policy term ranging from 10 to 20 years, with three fund options to choose, the company said in a statement.
11)Gains in consumer goods and select blue chips helped shares end slightly higher on Thursday. But telecoms remained weak, weighed down by concerns about the impact of tariff cuts. The Bombay Stock Exchange’s 30-stock Sensitive Index rose 36.88 points, or 0.22 per cent, to 16,843.54, after trading between 16,775.36 and 16,998.52. Technology bellwether Infosys Technologies will kick off the earnings season Friday when it reports its second quarter results. On the National Stock Exchange, the 50-stock S&P CNX Nifty closed up 16.50, 0.3 per cent, at 5,002.25.
12)Samvat 2065, to end in the next 10 days, is proving to be quite prosperous for equity investors as it has given the highest returns for any such year in recent times. Samvat 2065(named after king Vikramaditya) gave the best returns in all years since 1991 from when data are available. Even veterans say they don’t remember if the equity market has ever given higher returns than this year. The Sensex has risen 87 per cent in the current Samvat year so far. In Samvat 2064, the Sensex was down by 52.4 per cent. Only thrice since 1991 has the Sensex given returns of over 60 per cent – in 2006, 2003 and 1999.
13)The Reliance Industries Ltd’s(RIL) announcement to issue bonues share in the ratio of 1:1 post market hours on Wednesday helped the company reverse consecutive four days of losses in the domestic equity bourses. But the stock could not perform in line with the market ex-pectation due to lack of fresh buying at higher prices, according to traders and dealers. The stock opened the day with an upward gap of 2.42% at Rs 2,150 on the BSE and surged 5.24% to touch an intra- day high of Rs 2,209 on Thursday. However, profit booking at higher levels resulted in the stock closing the day at Rs 2,119, a gain of Rs 20.20 or 0.96%. “The share price movement was below market expectations,” said Ambareesh Baliga, VP, Karvy Stock Broking. “The market had expected the RIL stocks to trade at Rs 2,200-Rs 2,225. However, there was hardly any liquidity at those levels,” he said.
14)Standard Chartered Private Equity Ltd(SCPEL), the PE arm of glo- bal banking major Standard Chartered, is considering an exit from its portfolio company, Endurance Technologies. The exit will be via an initial public offer(IPO). Endurance’s IPO is expected to be floated early next year.
15)Record gold prices may be deterring jewellery buyers, but they are triggering trading interest in Gold Exchange Traded Funds (ETFs). All gold-ETFs have seen volumes double in the last two days. GoldBEeS, which saw an average of 22,000 units traded last week, has seen a surge to 42,000 trades in the last two days.
16)National Commodity and Derivatives Exchange said on Thursday it will extend the evening trading session by 25 minutes to 11:55 pm between November 2,2009 and March 13,2010. Metal and energy futures, which are traded between 10 am and 11:30 pm on Monday to Friday, will now be traded till 11:55 pm, it said in a statement on its website.
17)Copper rose to a two-week high on Thursday, as a weaker dollar attracted investors holding other currencies, while aluminium was given extra impetus by results from Alcoa. Copper for three-month’s delivery on the London Metal Exchange rose nearly 3 per cent and traded at $6,263 a tonne at 0958 GMT from a close of $6,095 on Wednesday. Aluminium rose more than 2 per cent, to $1,889 from $1,845.
18)Gold slipped back below $1,050 an ounce in Europe on Thursday as oil prices slid briefly into the red, but persistent weakness in the dollar kept the metal within sight of the record high it hit earlier in the session. Gold’s gains lifted other precious metals, with Silver reaching its strongest level since July 2008 and palladium hitting a 13-month peak.
19)Guar seed futures on the Multi Commodity is expected to rise by at- least 4-5% in the coming weeks to reach around Rs 2,450 per quintal over fears of a 30%-40% drop in output in main growing regions of the country.
20)After a lull, realty has begun to pick up pace in Pune. Fresh investments are being made in the hospitality and retail segments indicating early signs of revival in the market. Mumbai-based Wadhawan Retail has opened its first outlet in Pune. Realty company Nyati group has completed its first hospitality investment with a boutique hotel. The latest report published by Cushman & Wakefield(C&W) says Pune city will see 51% compounded growth over the next five years – the highest for any Indian city.
21)THE telecom regulator on Thursday said it will not insist that mobile phone firms shift to charging customers for usage in seconds, instead of minutes now, as jittery investors continued to sell telecom stocks over fears about their revenue and profits.
22)After cutting mobile telephony tariffs 50 per cent over the past five months, telecom operators are getting ready to slash rates another 25 per cent in the next two to three months as new competitors crowd into the market. About five new operators are ready to start operations by the end of this year, adding to the over eight incumbents slugging it out to grab a share in a mobile market that is expected to grow to 750 million subscribers by 2012 against over 450 million at present.
23)MTNL is looking at expanding its operation to the African continent after losing ground to the nimble private operators in its home turf. The company, which runs telecom operation in India’s two main metros – Delhi and Mumbai – has joined the race to acquire majority stake in Zambia Telecommunication company (Zamtel). The Zambian government plans to sell 75% equity of Zamtel, valued at around $200 million in a bid to stabilise the ailing operator.
24)THE recovery in spending on information technology (IT) products and related services from the world’s largest economy, United States, could be well underway from the fourth quarter(Q4) of 2009 and is expected to strengthen from 2010, according to projections by a research body.
25)UK-based electricity and gas company National Grid today said that it has decided to outsource some its back office administrative support services to Tata Consultancy Services(TCS) in India, even as the workers’ union represented by GMB protested this move.
26)Education and placement company Edserv Softsystems said it has bagged an order worth Rs 100 crore from the government for providing training to unemployed and under-employed youth across India.
27)Crude oil was little changed, reversing an earlier gain of as much as 1.5 per cent. Crude oil futures for November delivery fell 9 cents to $69.48 a barrel at 9:22 a.m. on the New York Mercantile Exchange. Oil earlier rose as high as $70.58 a barrel.
28)The European Central Bank(ECB) kept its interest rates at a record low of 1 per cent on Thursday and its head Jean-Claude Trichet is expected to caution against hopes of a speedy economic recovery.
29)The Bank of England (BoE) left interest rates at a record low of 0.5 per cent for the seventh month running on Thursday and said it would keep its POUND 175-billion asset buying programme in place.
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