Alerts (07-03-2011)

“07-03-2011 09:31:21GRAVITA:    Call intd @   273.25   today.    CMP:    277     !!      TGTs:   283-285”
“07-03-2011 09:32:17Buy ESSARSHIP:    Cmp:   93.55      SL:    91;       TGTs:          98-100;    TF;   5-8 days”
“07-03-2011 09:35:41HCL Tech Liquid Fut: Exit HCL Tech Mar fut Long @ 455-456….karvy F&O Desk (9:35)”
“07-03-2011 09:37:53GRAVITA:    Call intd @   273.25   today.    CMP:    280     !!!”
“07-03-2011 09:43:15ABAN:    593;      SL:     588;       TGTs:      603-605;     Intraday”
“07-03-2011 09:45:33KARVY CURRENCY RESEARCH DESK>>
USD/INR- March-MCX-SX/NSE: BUY AT PRESENT LEVELS TARGETTING 45.41 AND THEN 45.48 WITH STOP LOSS BELOW 45.20, CMP 45.31

“07-03-2011 09:49:18Intraday Fut: Sell LT Mar Fut @ 1570-1572 SL: 1585 (Spot) TF: Intraday…..karvy F&O Desk (9:48)”
“07-03-2011 09:50:07KARVY CURRENCY RESEARCH DESK>>
GBP/INR- March-MCX-SX/NSE: BOOK PARTIAL PROFITS ON LONG POSITION INITIATED AT 73.55 ,CMP 73.6450”
“07-03-2011 10:18:53KARVY CURRENCY RESEARCH DESK>> HOURLY UPDATE ON CURRENCIES @ 10 AM

USD/INR- March-MCX-SX/NSE: Pair has support at 45.28 and then 45.24 levels .Resistance is at 45.41 and then 45.46 levels
EUR/INR- March-MCX-SX/NSE: Pair has support at 63.15 and then 63.000 levels .Resistance is at 63.30 and then 63.40 levels.

“07-03-2011 10:18:57GBP/INR- March-MCX-SX/NSE: Pair has resistance at 73.64 and then 73.72 levels Support is at 73.52 and the 73.44 levels
JPY/INR- March-MCX-SX/NSE: Support is at 55.10 and then 54.97 levels. Resistance is at 55.21 and then 55.33 levels”
“07-03-2011 10:21:36Buy ONMOBILE:    Cmp:   215.50;      SL:   211;       TGTs:    225-227;       TF:   5-6 days”
“07-03-2011 10:26:50COALINDIA:    Call intd @  327 today.    CMP:    332        !!!      TGTs:    338-340”
“07-03-2011 10:33:04Buy DLINKINDIA:    Cmp:    32.50;       SL:   30.50;          TGTs:      37-39;      TF;   7-8  days”
“07-03-2011 10:40:33Buy JUBLFOOD:   Cmp:   537;        SL:    532;       TGTs:    548-550;     Intraday”
“07-03-2011 10:47:43Buy COROMANDEL:    280;    SL:   275;       TGTs:    290-294;    TF:   6-8 days”
“07-03-2011 10:50:49JUBLFODO:    Intraday call intd @    537.     Cmp:     540      !!         TGTs:     548-550”
“07-03-2011 10:52:24COROMANDEL:   Call intd @    280.     CMP:    287     !!!     TGTs:    293-295”
“07-03-2011 10:54:39ORCHIDCHCM:   Call intd @   268.     Cmp:   271      !!       TGTs:      277-280”
“07-03-2011 11:09:43KARVY CURRENCY RESEARCH DESK>> HOURLY UPDATE ON CURRENCIES @ 11 AM

USD/INR- March-MCX-SX/NSE: Pair could find support at 45.27/45.30 range and if sustains could move higher to 45.36 and then 45.41 levels

JPY/INR- March-MCX-SX/NSE: Strong support for the pair is at 55.07 and then 54.97 levels if sustained could bounce to 55.21 and then 55.28 levels.

“07-03-2011 11:13:04Intraday Fut: Sell HDFC Bank Mar Fut @ 2163-2165 SL: 2180 (Spot) TF: Intraday…..karvy F&O Desk (11:12)”
“07-03-2011 11:19:04Intraday Fut: Book Profits in LT Mar Fut Short @ 1556-1558…..karvy F&O Desk (11:18)”
“07-03-2011 11:23:22KARVY CURRENCY RESEARCH DESK>> GBP/INR- March-MCX-SX/NSE:  LONG POSITION INITIATED AT 73.55 LEVEL IS IN PROGRESS( WE HAVE BOOKED PARTIAL PROFITS AT 73.6450 LEVELS),WE RECOMMEND TRAILING THE STOP LOSS TO BELOW 73.50 LEVELS,CMP 73.56”
“07-03-2011 12:06:40ORCHIDCHCM:   Call intd @   268.     Cmp:   272.15       !!       TGTs:      277-280”
“07-03-2011 12:07:24ORCHIDCHEM:   Call intd @   268.     Cmp:   272.15       !!       TGTs:      277-280”
“07-03-2011 12:22:54KARVY CURRENCY RESEARCH DESK>> GBP/INR- March-MCX-SX/NSE:  BOOK PROFITS ON REMAINING LOTS OF LONG POSITION INITIATED AT 73.55 LEVELS ,CMP 73.69”
“07-03-2011 12:28:36Buy GUJRATGAS:    Cmp:    404;      SL:   398;         TGTs;   415-420;    TF:   5-7 days”
“07-03-2011 12:34:43KARVY CURRENCY RESEARCH DESK>> HOURLY UPDATE ON CURRENCIES @ 12.30  PM

USD/INR- March-MCX-SX/NSE: Pair has resistance at 45.34 levels if breached could test 45.40/45.42 levels. Support is in the range of 45.28/45.26 levels.

EUR/INR- March-MCX-SX/NSE: Pair continues to trade strong with support now in the range of 63.15/63.20 range. Resistance is at 63.42 levels.

“07-03-2011 12:35:26GBP/INR- March-MCX-SX/NSE: Pair continues to trade stronger with support now at 73.59 and then 73.53 levels .Resistance is at 73.72/73.74 levels

JPY /INR- March-MCX-SX/NSE: Pair if sustains above 55.05 could test 55.21 and then 55.28 levels”
“07-03-2011 12:45:44KARVY CURRENCY RESEARCH DESK>> JPY/INR- March-MCX-SX/NSE: buy at present levels targeting 55.21 and then 55.28 with stop loss below 55 , CMP 55.12”
“07-03-2011 12:55:45
Intraday Fut: Sell TCS Mar Fut @ 1106-1108 SL: 1112 (Spot) TF: Intraday…..karvy F&O Desk (12:54)”
“07-03-2011 13:02:18Intraday Fut: Book Profits in HDFC Bank Mar Fut Short @ 2148-2150…..karvy F&O Desk (1:01)”
“07-03-2011 13:23:40KARVY CURRENCY RESEARCH DESK>>
USD/INR- March-MCX-SX/NSE >> Pair continues to trend higher with strong resistance at 45.34 if breaches and sustains could test 45.42 levels. Support is at 45.25/45.30 levels. Pair could exhibit weakness if trades below the support levels

“07-03-2011 13:36:08
Nifty Index Futuress: Sell Nifty March Fut @ 5420-5425 SL: 5440(Spot)  TF: Intraday….Karvy F&O Desk Hyd. (1:35)

MINI-Nifty Index Futuress: Sell Mini-Nifty March Fut @ 5420-5425 SL: 54400(Spot)  TF: Intraday….Karvy F&O Desk Hyd (1:35)”
“07-03-2011 13:41:22GRAVITA:    Call intd @   273.25   today.    CMP:    285       !!!!”
“07-03-2011 13:43:39Buy BGRENERGY:      428;      SL:   423;      TGTs:    437-440;     Intraday”
“07-03-2011 13:47:13Nifty Index Futuress: Exit Nifty March Fut @ 5430-5432….Karvy F&O Desk Hyd. (1:46)

MINI-Nifty Index Futuress: Exit Mini-Nifty March Fut @ 5430-5432 ….Karvy F&O Desk Hyd (1:46)”
“07-03-2011 13:52:28
KARVY CURRENCY RESEARCH DESK>>
EUR/INR- March-MCX-SX/NSE: Pair has had a sharp fall from the day-?s high level of 63.40 due  to profit booking .However could find strong support at 63.20/63.15 levels if sustained could give a higher intraday pullback to 63.30/63.36 levels

“07-03-2011 13:58:30MPHASIS:  Call intd @ 463.    Cmp:    468     !!       TGTs:      472-475”
“07-03-2011 13:59:10KARVY CURRENCY RESEARCH DESK>> JPY/INR- March-MCX-SX/NSE BOOK PROFITS ON LONG POSITION INITIATED AT 55.12,CMP 55.19”
“07-03-2011 13:59:35KARVY CURRENCY RESEARCH DESK>> JPY/INR- March-MCX-SX/NSE BOOK PROFITS ON LONG POSITION INITIATED AT 55.12,CMP 55.19”
“07-03-2011 14:02:01DRREDDY:   Cmp:    1593;     SL:   1585;      TGTs:    1610-1613;    TF:  1-2 days”
“07-03-2011 14:04:29Buy INDUSINDBK:    Cmp:    241.40;     SL:   237;       TGTs:   250-253;    TF:   6-8 days”
“07-03-2011 14:08:59JUBLFODO:    Intraday call intd @    537.     Cmp:     545      !!!         TGTs:     548-550”
“07-03-2011 14:12:18COALINDIA:    Call intd @  327 today.    CMP:    333.10        !!!    TGTs:  338-340”
“07-03-2011 14:20:42Buy JSWSTEEL:       920;     SL:   914;      TGTs:   930-933;    Intraday”
“07-03-2011 14:22:33GRAVITA:    Call intd @   273.25   today.    CMP:    288       !!!! ”
“07-03-2011 14:24:42JUBLFODO:    Intraday call intd @    537.     Cmp:     548      !!!  ”
“07-03-2011 14:26:50DRREDDY:    Call intd @  1593.     Cmp:     1603       !!!   TGTs:  1610-1615”
“07-03-2011 14:28:30JUBLFODO:    Intraday call intd @    537.     Cmp:     550      !!!    tgts achd.”
“07-03-2011 14:29:36Intraday Fut: Exit TCS Mar Fut Short @ 1116-1118…..karvy F&O Desk”
“07-03-2011 14:31:01GUJRATGAS:    Call intd @   404.     Cmp:      409      !!!       TGTs:     418-420”
“07-03-2011 14:33:43Buy UBHOLDINGS:   Cmp:   180;     SL:   176;       TGTs:   190-192;    TF;   5-7 days”
“07-03-2011 14:43:17DRREDDY:    Call intd @  1593.     Cmp:     1618       !!!”
“07-03-2011 14:44:17COALINDIA:    Call intd @  327 today.    CMP:    337.35       !!!”
“07-03-2011 14:47:32BTST:   BHUSANSTEL:    402;      SL:  397;       TGTs:   412-414”
“07-03-2011 14:51:12BTST:   EVERONN:    Cmp:    565;      SL:    559;        TGTS: 575-580”
“07-03-2011 14:56:41KARVY CURRENCY RESEARCH DESK>>>> HOURLY UPDATE ON CURRENCIES @ 3  PM

USD/INR- March-MCX-SX/NSE: Pair after consolidating at higher levels has weakened a bit and now has support at 45.25/45.20 levels. Resistance is at 45.28 and then 45.34 levels.

EUR/INR- March-MCX-SX/NSE: Pair continues to finds strong support at 63.15 levels and resistance at 63.30/63.42 levels.

“07-03-2011 14:56:56GBP/INR- March-MCX-SX/NSE: Pair continues to find strong support at 73.64 and has  resistance at 73.74 and then 73.85 levels

JPY/INR- March-MCX-SX/NSE: Strong support is at 55.11 if sustains could test 55.18 and then 55.21 levels. Support below 55.11 is at 55.01 levels

“07-03-2011 14:58:57ABAN:     Intraday call intd @    593.      CMP;     604      !!!”
“07-03-2011 15:21:34JUBLFOOD:    BTST Call intd @    549.    CMP:    557       !!!       TGTs:     563-565”
“07-03-2011 15:28:57BHUSANSTEL:    BTST call intd @   402.    Cmp:    405.40   !!     TGTs:     412-415”

Index Support & Resistances for 08-03-2011

Support & Resistances for 08-03-2011
 
    SENSEX NIFTY FUTURE (Mar2011)
    BANKNIFTY NIFTY
07-03-2011 Open  18361.65 5490.05 10850.00 5500.05
High 18361.65 5491.25 10888.85 5500.05
Low 18058.71 5408.45 10649.15 5400.25
Close 18216.39 5466.20 10808.5 5475.90
LTP 18230.36 5466.55 10810.00 5482.05
Range 302.94 82.80 239.70 99.80
08-03-2011 R3 18818.13 5620.90 11261.57 5658.33
R2 18515.19 5538.10 11021.87 5558.53
R1 18365.79 5502.15 10915.18 5517.22
PP 18212.25 5455.30 10782.17 5458.73
S1 18062.85 5419.35 10675.48 5417.42
S2 17909.31 5372.50 10542.47 5358.93
S3 17606.37 5289.70 10302.77 5259.13
 
R1/R2/R3: Resistance
PP: Pivot Point
S1/S2/S3: Supports

Pivot Point (NIFTY-30) for 08-03-2011

08-03-2011 Pivot Point (NIFTY-50) NSE
Symbol   LTP S3 S2 S1 Pivot Point R1 R2 R3
ACC 980.15 960.28 970.18 975.17 980.08 985.07 989.98 999.88
AMBUJACEM 123.05 114.28 118.38 120.72 122.48 124.82 126.58 130.68
AXISBANK 1283.40 1198.47 1242.47 1262.93 1286.47 1306.93 1330.47 1374.47
BAJAJ-AUTO 1365.45 1301.05 1331.35 1348.40 1361.65 1378.70 1391.95 1422.25
BHARTIARTL 324.45 309.05 316.15 320.30 323.25 327.40 330.35 337.45
BHEL 2023.35 1910.48 1974.18 1998.77 2037.88 2062.47 2101.58 2165.28
BPCL 556.60 525.87 542.87 549.73 559.87 566.73 576.87 593.87
CAIRN 357.55 344.03 350.08 353.82 356.13 359.87 362.18 368.23
CIPLA 305.30 295.18 299.93 302.62 304.68 307.37 309.43 314.18
DLF 218.50 206.18 212.43 215.47 218.68 221.72 224.93 231.18
DRREDDY 1614.60 1463.53 1530.33 1572.47 1597.13 1639.27 1663.93 1730.73
GAIL 443.85 416.95 431.95 437.90 446.95 452.90 461.95 476.95
HCLTECH 451.90 425.05 439.30 445.60 453.55 459.85 467.80 482.05
HDFC 667.00 634.23 651.13 659.07 668.03 675.97 684.93 701.83
HDFCBANK 2173.15 2069.82 2122.92 2148.03 2176.02 2201.13 2229.12 2282.22
HEROHONDA 1532.80 1477.60 1505.60 1519.20 1533.60 1547.20 1561.60 1589.60
HINDALCO 210.00 202.02 205.87 207.93 209.72 211.78 213.57 217.42
HINDUNILVR 281.35 265.50 274.15 277.75 282.80 286.40 291.45 300.10
ICICIBANK 1010.15 961.38 983.38 996.77 1005.38 1018.77 1027.38 1049.38
IDFC 142.95 132.98 138.38 140.67 143.78 146.07 149.18 154.58
INFOSYSTCH 3042.70 2948.73 2998.23 3020.47 3047.73 3069.97 3097.23 3146.73
ITC 172.65 160.00 165.75 169.20 171.50 174.95 177.25 183.00
JINDALSTEL 664.30 621.93 642.43 653.37 662.93 673.87 683.43 703.93
JPASSOCIAT 82.30 76.60 79.30 80.80 82.00 83.50 84.70 87.40
KOTAKBANK 416.25 387.08 400.48 408.37 413.88 421.77 427.28 440.68
LT 1570.05 1463.00 1517.35 1543.70 1571.70 1598.05 1626.05 1680.40
M&M 661.75 616.27 638.12 649.93 659.97 671.78 681.82 703.67
MARUTI 1260.85 1184.97 1225.82 1243.33 1266.67 1284.18 1307.52 1348.37
NTPC 180.55 166.58 172.78 176.67 178.98 182.87 185.18 191.38
ONGC 263.85 254.45 259.35 261.60 264.25 266.50 269.15 274.05
PNB 1066.60 976.57 1024.27 1045.43 1071.97 1093.13 1119.67 1167.37
POWERGRID 98.05 92.08 94.88 96.47 97.68 99.27 100.48 103.28
RANBAXY 445.80 429.93 437.93 441.87 445.93 449.87 453.93 461.93
RCOM 89.90 83.58 87.03 88.47 90.48 91.92 93.93 97.38
RELCAPITAL 476.30 453.22 464.17 470.23 475.12 481.18 486.07 497.02
RELIANCE 977.05 936.18 955.48 966.27 974.78 985.57 994.08 1013.38
RELINFRA 595.05 564.07 579.12 587.08 594.17 602.13 609.22 624.27
RPOWER 122.90 108.77 114.97 118.93 121.17 125.13 127.37 133.57
SAIL 151.25 142.42 147.22 149.23 152.02 154.03 156.82 161.62
SBIN 2624.15 2493.05 2566.45 2595.30 2639.85 2668.70 2713.25 2786.65
SESAGOA 271.55 256.72 264.02 267.78 271.32 275.08 278.62 285.92
SIEMENS 856.40 832.65 843.40 849.90 854.15 860.65 864.90 875.65
STER 166.05 157.63 161.48 163.77 165.33 167.62 169.18 173.03
SUNPHARMA 416.60 384.87 402.27 409.43 419.67 426.83 437.07 454.47
SUZLON 46.50 43.68 45.13 45.82 46.58 47.27 48.03 49.48
TATAMOTORS 1127.95 1066.65 1100.65 1114.30 1134.65 1148.30 1168.65 1202.65
TATAPOWER 1236.10 1141.53 1183.83 1209.97 1226.13 1252.27 1268.43 1310.73
TATASTEEL 602.75 566.73 585.28 594.02 603.83 612.57 622.38 640.93
TCS 1108.25 1048.13 1078.68 1093.47 1109.23 1124.02 1139.78 1170.33
WIPRO 447.25 417.60 430.95 439.10 444.30 452.45 457.65 471.00

Pivot Point (SENSEX-30) for 08-03-2011

08-03-2011 Pivot Point (SENSEX-30) BSE
Symbol   LTP S3 S2 S1 Pivot Point R1 R2 R3
BAJAJAUT 1361.55 1301.33 1330.98 1346.27 1360.63 1375.92 1390.28 1419.93
BHARTIARTL 323.95 309.10 316.05 320.00 323.00 326.95 329.95 336.90
BHEL 2018.05 1891.48 1964.28 1991.17 2037.08 2063.97 2109.88 2182.68
CIPLA 305.30 295.12 299.87 302.58 304.62 307.33 309.37 314.12
DLF 218.20 207.98 213.23 215.72 218.48 220.97 223.73 228.98
HDFC 665.45 639.38 653.28 659.37 667.18 673.27 681.08 694.98
HDFCBANK 2177.35 2075.72 2126.22 2151.78 2176.72 2202.28 2227.22 2277.72
HEROHONDA 1529.90 1466.63 1498.63 1514.27 1530.63 1546.27 1562.63 1594.63
HINDALCO 209.65 202.07 205.82 207.73 209.57 211.48 213.32 217.07
HUL 281.45 265.45 274.15 277.80 282.85 286.50 291.55 300.25
ICICIBANK 1007.70 963.90 983.90 995.80 1003.90 1015.80 1023.90 1043.90
INFOSYS 3037.70 2944.63 2995.83 3016.77 3047.03 3067.97 3098.23 3149.43
ITC 172.55 159.93 165.68 169.12 171.43 174.87 177.18 182.93
JAIPRA 82.30 76.80 79.40 80.85 82.00 83.45 84.60 87.20
JINDALSTEEL 663.95 622.90 643.15 653.55 663.40 673.80 683.65 703.90
LNT 1567.55 907.10 1294.55 1431.05 1682.00 1818.50 2069.45 2456.90
MARUTI 1264.70 1190.65 1229.60 1247.15 1268.55 1286.10 1307.50 1346.45
MNM 660.30 379.60 543.10 601.70 706.60 765.20 870.10 1033.60
NTPC 179.60 167.72 173.17 176.38 178.62 181.83 184.07 189.52
ONGC 263.90 253.78 259.13 261.52 264.48 266.87 269.83 275.18
RCOM 90.05 17.62 54.92 72.48 92.22 109.78 129.52 166.82
RELINFRA 595.25 565.37 579.82 587.53 594.27 601.98 608.72 623.17
RIL 976.15 938.45 956.25 966.20 974.05 984.00 991.85 1009.65
SBI 2622.80 2503.22 2570.87 2596.83 2638.52 2664.48 2706.17 2773.82
STERLITEIND 165.85 157.83 161.58 163.72 165.33 167.47 169.08 172.83
TATAMOTORS 1127.25 1064.92 1099.82 1113.53 1134.72 1148.43 1169.62 1204.52
TATAPOWER 1230.35 1158.73 1190.98 1210.67 1223.23 1242.92 1255.48 1287.73
TATASTL 602.85 570.40 587.05 594.95 603.70 611.60 620.35 637.00
TCS 1108.75 1046.82 1078.52 1093.63 1110.22 1125.33 1141.92 1173.62
WIPRO 446.20 421.15 432.40 439.30 443.65 450.55 454.90 466.15

TODAY’S NEWS HEADLINES (MARCH 7, 2011)

Date: 07 March 2011

Thought for the day

“He who rejects change is the architect of decay.” – Harold Wilson

GENERAL

1)India successfully flight-tested an indigenously built interceptor missile from Wheeler Island off the Orissa coast on Sunday, joining the US, Russia and Israel in an elite group of countries to have accomplished the mission. TOI

ECONOMY

2)Consumers might be spared an increase in diesel prices for the time being. The reason: An already high inflation makes such a move risky in view of the forth-coming state elections. The elections will be over in mid-May. BS

CORPORATE / INDUSTRY

3)The private healthcare firm of billionaire brothers Malvinder and Shivinder Singh, Fortis Global Healthcare, has acquired a 28.6% stake in Lanka Hospitals Corporation, a Colombo Stock Exchange-listed healthcare firm for Sri Lankan Rs 397 crore or about Rs 160 crore. ET

4)Infra major L&T, which is in the process of achieving financial closure for its recently bagged Hyderabad Metro-rail project, will be raising Rs 11,400 crore debt from a consortium of 10 banks led by State Bank of India, said sources close to the development. FE

5)Oil and Natural Gas Corp (ONGC), India’s most-profitable firm, will lose the coveted Navaratna status and the accompanying financial autonomy in its rush to the Rs 11,500 crore share sale scheduled for next month. BS

6)The world’s first facility to manufacture carbon foam batteries will be set up at Bavla near Ahmedabad. Firefly Energy India is planning to build a plant to produce carbon foam batteries at an investment of Rs 125 crore, the company’s chairman Mukesh Bhandari said. ET

7)Pharma major Dr Reddy’s Laboratories aims to earn revenue of $1 billion per year from branded generics for the next three years, said K Anji Reddy, its founder-chairman. The second largest Indian drugmaker sold generics to the tune of 4600 million globally in nine months of this fiscal ended December 31. ET

MONEY & BANKING

8)New rules are underway for the estimated $1-trillion wealth management industry and banking regulator RBI and capital market watchdog Sebi may be made jointly responsible for implementing these regulations and keeping a watch for any violations. ET

9)The government will infuse Rs 4,376 crore as equity capital in PSU lenders Bank of Baroda and Union Bank of India as part of a recapitalisation package to shore up their equity capital. ET

INSURANCE

10)Term insurance products are back in favour with insurers. The cost of term plans has come down by 40-50 per cent over the past year. A year before, a term plan insurance for a cover of Rs 50 lakh for a person aged 25-30 years attracted a premium of Rs 12,000. The average cost of such a plan is now Rs 6,500-7,000. A term insurance policy provides a stated benefit only upon the holder’s death, provided the death occurs within the policy period. There will be no stated benefits if the policy holder outlives the policy period. BS

MARKETS

11)After the handsome gains of the previous week, the stock market is unlikely to see much upside movement, as investors may book profits on worries over steaming global crude oil prices, say experts. The BSE benchmark Sensex had surged 785.54 points, or 4.43 per cent, to 18,486.45 during the last seven days, spurred by strong growth data for auto sales, exports, infrastructure industries and easing food inflation. “Not much of an upside in the stock market next week. Investors will remain cautious and more or less prefer staying on sidelines. The market will also see some correction,” Karvy Stock Broking VP Ambareesh Baliga said. BS

12)The combined market capitalisation (m-cap) of nine of the countries’ top 10 firms increased by Rs 69,054.86 crore in the past week, with state-owned coal entity Coal India (CIL) stealing the show. CIL, the biggest gainer among the top 10 firms, saw its valuation swelling by Rs 20,875.57 crore to Rs 2,05,250.12 crore last week. ET

13)Egyptian stocks listed overseas are trading at the lowest levels since before the protests that toppled Hosni Mubarak as the Cairo exchange’s continued closure threatens to deepen losses for investors the bourse is under pressure to protect. BS

MERGERS & ACQUISITIONS

14)Corporate groups worried over the impending competition regulation on mergers and acquisitions (M&As) can breathe easy. Under the new norms notified by the corporate affairs ministry last week, if a corporate group has less than 50% voting rights in the target company, the group’s size as measured in terms of turnover or assets – won’t be reckoned to determine if the transaction requires approval of Competi tion Commission of India(CCI). Also, a group’s size won’t include that of companies in which it has less than 50% voting rights, when it comes to regulatory clearance. FE

COMMODITIES

15)Global commodity markets continue to be buffeted by escalating geopolitical tension with crude leading the way for metals and agriculture. Huge volatility is the result. The uncertainty is palpable as risks across markets heighten. External markets are choppy. To be sure, Libyan crude is not available at a time when market fundamentals have been continually tightening and demand growth is robust. WTI closed above $100 a barrel for the first time since September 2008. Brent, on the other hand, is around $115 a barrel. While gold scales new peaks silver is touching multi-decadal highs as investments flow into this well-known safe haven asset. BL

REAL ESTATE

16)The government plans to widen the definition of real estate in its foreign direct investment (FDI) policy to include consultants, advisers, valuers and brokers, a move experts say could restrict entry of foreign players in these specialized services. ET

17)Realty firm Raheja Developers is in advanced stages of negotiations with a Saudi Arab-based developer to form a joint venture for mainly constructing housing properties in the two nations. FE

INFORMATION TECHNOLOGY

18)IT major Cognizant Technology Solutions is planning a major expansion programme in various cities at a budgeted $285 million on the back of a 40% growth rate over last year, a top official said on Sunday. The expansion programme would be in the form of real estate and upgrading and new technology, company president and managing director R Chandrasekaran said. FE

IIFCL: Long-Term Infrastructure Bonds

India Infrastructure Finance Company Ltd (IIFCL)

 Company profile

IIFCL is a wholly-owned Government company providing financial assistance to long-term infrastructure projects. As on 30 Sept 2010; 105 of the 124 projects for which IIFCL has sanctioned finances. As on March 31, 2010 and September 30, 2010, it had no non-performing advances. The GoI has identified infrastructure development as a key priority and the Eleventh 5 Year Plan (FY 2008-2012) and envisage investments of US$ 514 bn. in the Indian infrastructure sector. Thus, IIFCL is expected to play a prominent role in the infrastructure finance space in India going forward.

Salient features of the bond issue (Tranche I)

First Bond Issue by a Government of India enterprise with tax benefits under Sec 80CCF of the Income Tax Act, 1961.

Credit rating agency CRISIL has rated the Bonds under this offer as “AAA/Stable” and CARE has rated the bonds “CARE AAA” with stable outlook, indicating highest safety.

These bonds will be issued only to Resident Indian Individuals (Major) and HUF.

Available in 4 Series with diverse maturity; Series I & II having maturity of 10 years and Series III & IV having maturity of 15 years.

The bonds are fully secured with first charge over receivables of the Company. The security cover is 1.0 times of the outstanding Bonds at any point in time.

The Bonds bear an attractive combination of coupon rate 8.15% p.a. (Series I and II) and 8.30% p.a. (Series III and IV).

All the 4 Bond Series provide buyback option to investors.

Bonds can be held in DEMAT form or physical form as per investor preference. The bonds will be listed on BSE and can be traded post 5 year lock – in period.

As per the current provisions of the I.T. Act, for bonds held in DEMAT form; no TDS will be deducted on interest on Bonds. If bonds are held in physical form, no tax may be withheld if such interest does not exceed Rs 2,500 in a financial year. However, such interest is taxable income in the hands of Bondholders.

Investors can mortgage or pledge these bonds to avail loans after the lock-in period.

Under Section 80 CCF of the I.T. Act, an investor in such infrastructure bonds will be entitled to tax deduction of investments of up to Rs 20,000 over and above the Rs 1,00,000 deduction available under section 80C, 80CCC & 80CCD read with section 80CCE.

Issue summary

Issue opens: 04th February 2011

Issue closes: 04th March 2011 (Issue is extended and will be closing on 16th March, 2011)

Issue Structure:

Maturity: The Bonds with a maturity of 10 years will be issued in Series I and II whereas Series III and IV will have a maturity of 15 years each.

Face Value: Each Bond has face value of Rs 5,000 each.

Minimum application: Rs 10,000 or 2 bonds. The bonds can be of the same series or 2 bonds across different series.

Lock in: 5 years from the date of allotment.

Buyback facility: Available for all the Bond Series.

Today’s Levels (7 Mar 2011)

Today’s Levels
(Last Close : Sensex 18486 : Nifty Spot 5539)
Trade short if Sensex fails to sustain above 18509 (Nifty 5547)
[Downside targets/supports at 18449(5524)/18378(5506) or lower]
Trade long if Sensex sustains above 18449 (Nifty 5524)
[Upside targets/resistances at 18509(5547)/18593(5570) or higher]