FOR THE DAY: 30-01-2012

FOR THE DAY:
Trade long in Nifty above 5180 levels else from 5150 levels with stop loss placed at 5130 levels for targets of 5200 and 5220.
Alternatively trade short if Nifty fails to breach past 5220 with a stop loss placed at 5250 targeting lower supports.

FOR THE DAY: 09-01-2012

FOR THE DAY:
Trade long in Nifty above 4750 levels else from 4730 with stop loss placed at 4700 levels for targets of 4780 and 4800 levels.
Alternatively trade short if Nifty slips below 4700 levels with stop loss placed at 4730 levels targeting support levels.

Headlines (11 Sep 2009)

Date: 11 September 2009

 Thought for the day

“Much of the stress you experience may be created by recognizing a problem and doing nothing about it.”

 –Wess Roberts

GENERAL

1)India and Bangladesh on Thursday announced that both countries would conclude three agreements, including one for mutual legal assistance on criminal matters, and work on issues of river water sharing, connectivity, trade and energy.

 Hindu

ECONOMY

2)THE Wholesale Price Index(WPI) fell for the thirteenth successive week though the drop was lower at 0.12% for the week ended August 29 against 0.21% decline in the week before, a release by the commerce ministry on Thursday showed. However, going by the 0.46% point upward revision in the index for the week ended July 4, the annual rate of inflation may have already moved into the positive zone.

ET

3)THE Indian economy could well be on its way out of the woods if the money pumped into the country by foreigners is anything to go by. For the first time in more than a year, foreign direct investment (FDI) crossed the $3-billion mark on a monthly basis. Total FDI inflow amounted to $3,476 million in July, up 55% from $2,247 million a year ago, shows the latest data from the RBI monthly bulletin that was released on Thursday.

ET

CORPORATE / INDUSTRY

 4)Government-owned power equipment maker BHEL has bagged an order worth Rs 990 crore from Indian Railways for the manufacture and supply of 150 electric locomotives. The company is gearing up to meet the emerging demand in the transportation segment, which is expected to grow exponentially due to Indian Railways’ plans for capacity enhancements both in rolling stocks as well as Rail net- work.

ET

5)INDIA’S largest power generating company National Thermal Power Corporation(NTPC) on Thursday said that the government may sell up to 5% of its equity in the company before March. The move is part of the United Progressive Alliance(UPA) government’s dis- investment programme under which it intends to sell a minority stake in select public sector undertakings.

ET

MONEY & BANKING

6)Amid dollar firming up in the overseas markets, the rupee on Thursday lost 12 paise against the US currency after recording significant gains in early trade in tune with stock markets. Dealers in foreign exchange said increased portfolio inflows boosted the rupee sentiment in early stages. Foreign institutional investors had pumped in $456.80 million on September 7 and 8, according to provisional data. In fairly active trade at the Interbank Foreign Exchange (Forex) market, the local currency closed lower by 12 paise at 48.63/64 a dollar.

BL

7)With loan growth yet to pick up, banks have begun parking their surplus resources with mutual funds(MF). Till August 14, the mutual fund investments of both public and private sector banks stood at Rs 1.56 lakh crore, or an increase of Rs 1.36 lakh crore over the corresponding period of the last financial year.

BL

8)Kerala-based South Indian Bank has announced a new low-rate housing loan scheme with fixed rate of interest for the first three years. The scheme, titled ‘SIB Shelter’ with fixed interest rate for the first three years, would provide loans for purchasing ready-built houses or flats or constructing new ones on one’s own land any- where in India, an SIB release said. The interest rates under the scheme would be as low as 8.5% fixed per annum for the first 18 months and 9.5% in the following 18 months, it said.

FE

INSURANCE

 9)Unit-linked insurance products(Ulips) filed after October 1 will have a lock-in of five years. The Insurance Regulatory and Development Authority(Irda) is planning to increase the period from three years at present to check mis-selling. The decision will be applicable on products filed after September 30,2009.

BS

MARKETS

 10)Indian equity indices after witnessing huge volatility ended the day with minimal gains on profit booking. The 30-share Sensex of the Bombay Stock Exchange(BSE) added 33.31 points,or 0.21%, to end the day at 16,216.86 points. The broader S&P CNX Nifty was up 5.15 points, or 0.11%, to close at 4,819.40 points. Domestic markets started the day with positive gap and traded in green with strong cues from the global markets. But during the final hours of the trading some selling in the auto and realty stocks, led the market to shed the initial gains.

FE

11)National Stock Exchange’s recent move to introduce the ‘spread order’ system, with validity for such trades in an entire session, has been hailed by analysts as a major step to boost activity in the equity derivatives segment. The new system, which will help traders capture price anomalies between futures contracts more efficiently, is expected to moderate market volatility ahead of the monthly derivatives series expiries. A spread order is a combination of futures or options orders that are executed in a single transaction to create a trading strategy. A simple spread order could involve buying and selling a futures contract of two different months to exploit price differences. Earlier, traders had to execute such spread transactions by placing two separate orders, resulting in inefficiencies and uncertainty during the trade execution. As profit margins in such trades are thin, there is very little scope for mistakes. Brokers said trading through this system will reduce the execution errors, especially while rolling over positions from an expiring contract to the next.

ET

IPO

12)THE Securities and Exchange Board of India(Sebi)-appointed primary market advisory committee(PMAC), which met on Thursday, has recommended limiting the period for participation by qualified institutional buyers (QIBs) in the subscription process of an IPO, an official familiar with the development told ET.

ET

13)The initial public offering of Oil India Ltd(OIL) was subscribed over 30.6 times on Thursday, the final day of closing. It received bids for 80.93 crore shares against 2.64 crore on offer as on 1600 hrs.

FE

14)Pipavav Shipyard,a private ship builder, fixed the price band for its initial public offering at Rs 55-60 on Thursday. The company plans to raise a maximum of Rs 512 crore through the issue. The proceeds will be used for construction of facilities for ship building, ship repair and offshore business. It will also be used for its working capital requirements and other corporate purposes. The company’s 8.5 crore shares IPO will open on September 16 and close on September 18.

BL

 MUTUAL FUNDS

 15)Axis AMC, a newly-set up mutual funds company, is open to inorganic growth and would consider acquisition opportunities if the fitted in with its strategic growth plans, a senior company official said.

ET

COMMODITIES

16)Gold prices slipped below $990 an ounce in Europe on Thursday, giving up earlier gains, as the dollar index turned higher, denting interest in the precious metal as an alternative asset. Spot gold eased to $988.30 an ounce at 0940 GMT against $991.15 late in New York on Wednesday.

BL

17)High gold prices, it seems, have not impacted buying sentiment. Bullion dealers and jewellers are witnessing a revival in demand, especially for pure gold in the form of coins and bars. Usually when the gold breached the traditional Rs 14,500-per 10 gram mark, profit-booking set in and fresh buying declined. Also, the period of Shraddha, which began last Saturday and which lasts for 15 days, is considered inauspicious for making new investments. However, bucking these trends, consumers continue to buy on expectations of a further upside in prices towards Rs 17000, said Jitendra Kantilal Jain from Jugraj Kantilal and Co, a prominent bullion merchant.

ET

REAL ESTATE

 18)Home loan seekers can save up to Rs 10,000 on their monthly repayments for one year, as the government today approved 1 per cent interest subsidy for housing that cost less than Rs 20 lakh. Aimed at promoting low-cost housing, the subsidy will be available for loans up to Rs 10 lakh, provided the cost of the dwelling unit does not exceed Rs 20 lakh, Minister of Information and Broadcasting Affairs Ambika Soni said after a meeting of the cabinet, which cleared the proposal of the finance ministry.

BS

19)THE green building technology is all set to attract investments aggregating to around Rs 20,000 crore this fiscal from the private sector, says Indian Green Building Council(IGBC) chairman Prem C Jain. “A clutch of real estate firms have already registered over 400 projects with the IGBC whose value is more than Rs 20,000 crore. The projects launched by smaller firms will be an additional investment in green technology,” Mr Jain said. The major players investing in the green technology include K Raheja, Lodha Group, Hiranandani Group, Tata Realty Infrastructure, Savvy Infrastructure and 3C, he added.

ET

COMMUNICATIONS

 20)TELECOM operators on the popular GMS-based platform added 9.3 million subscribers in August down 6% when compared to 9.9 million new users who took up a cellular connection in the previous month. India continues to be the world’s fastest growing mobile market and the total number of GSM users in the country has now risen to 335.4 million as August-end as per data released by the Cellular Operators’ Association of India(COAI), the industry body that re- present telcos on this mobile technological platform.

ET

INFORMATION TECHNOLOGY

21)WITH its key export market US yet to show any signs of revival, Infosys on Thursday said it would bid for all big government projects in the country and would target a billion dollar(Rs 5,000 crore) revenue from India in the next 3-4 years.

ET

22)MID-sized software services firm MindTree will be making a foray into China having bagged a significant outsourcing contract from the country’s biggest telecommunications equipment maker Huawei Technologies.

ET

INTERNATIONAL

23)Opec said it will keep oil production quotas unchanged, banking on a recovery in the world economy to maintain prices near today’s $72 a barrel as the International Energy Agency raised its global demand forecast.

FE

24)THE US employment picture will stay bleak well into next year long after the recession ends, but the worst of the labour market crisis is over, top private economists said on Thursday. Private economists polled for the Blue Chip Economic Indicators September survey say the unemployment rate will reach at least 10% in early 2010 and “recede from that level only grudgingly over the second half of the year”.

ET

FOR MORE INFORMATION, PLEASE BROWSE THROUGH THE FOLLOWING SITES.

Karvy Consultants Ltd www.karvy.com
 www.khojhyderabad.com
 www.indiacorporateadvisor.com
 www.karvycomtrade.com (Commodities)
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

Headlines (25 June 2009)

Date: 25 June 2009

Thought for the day

“You never get a second chance to make a good first impression.”

–Will Rogers

GENERAL

1)In a bid to attract foreign funds and overseas tourists, the Government has embarked on a ‘major initiative’ to identify 50 historical monuments in the country to be presented to the United Nations Educational, Scientific and Cultural Organisation(UNESCO) for earning a ‘World Heritage’ tag for them.

Indian Express

ECONOMY

2)India’s growth outlook has been revised upwards by the Organisation for Economic Co-operation and Development(OECD) in the wake of recovery signs in the global economy. Global financial major Citigroup also projected higher growth for the Indian economy due to increased investment inflows expected in 2009-10. In its semi-annual economic
outlook released on Wednesday, the Paris-based organisation projected a growth of 5.9 per cent in the current financial year ending March 2010 and 7.2 per cent for fiscal 2010-11, an upward revision of 160 basis points and 140 basis points, respectively.

BS

CORPORATE / INDUSTRY

3)THE Aditya Birla group, the country’s second largest cement maker, is looking at consolidating its cement business, currently being run by two companies – Grasim Industries and UltraTech Cement – weeks after Larsen & Toubro (L&T) sold its 11.5% stake in UltraTech.

ET

4)ABB, the power and automation technology group, has won orders worth Rs 220 crore from Tata Projects Ltd to provide power products and solutions for a super-critical coal-fired power plant under construction in Andhra Pradesh. The 2×800 megawatt Krishnapatnam thermal power plant will be the first in India to deploy super-critical technology on such scale.

FE

5)Surya Roshni Ltd on Wednesday announced plans to invest Rs 550 crore in the coming year in new plants for both capacity expansion and modernisation. The lighting and steel pipe manufacturer has also forecast a turnover of Rs 2,500 crore for the fiscal.

BL

MONEY & BANKING

6)The rupee was flat on Wednesday after it lost most of its gains in day trade. The domestic currency opened stronger at 48.40 and weakened to close at 48.56, same as the previous day’s close. The rupee opened with gains on the back of the rally in the Asian equities market and the dollar’s weakness against other major currencies in the overseas markets, said a dealer with a public sector bank. However, persistent dollar demand from oil companies and importers led the rupee to shed most of its gains, added the dealer.

BL

7)IT’S a move that could free up crores worth of bank capital for lending to sections of India Inc that are starved of funds. Reserve Bank of India is set to usher in central counterparty guarantee for all interbank currency forward transactions.

ET

8)STATE Bank of India, which accounts for close to one fifth of all bank lending in the country, has reduced its prime lending rates (PLR) by half a percentage point. Following this reduction, the bank’s PLR will come down to 11.75% effective June 29.

ET

9)CITIBANK has become the first foreign lender in the country to generate profits in excess of Rs 2,000 crore. The Indian operations of the US bank clocked a 20% rise in net profit after tax to Rs 2,173 crore for FY09(April-March) up from Rs 1,804 crore in the previous fiscal on the back of a sharp rise in fee income and lower expenses.

ET

INSURANCE

10)Insurance companies will look at standardising the nomenclature for various charges on unit-linked insurance policies (Ulips) and method for calculating premiums to simplify and bring transparency into life insurance business, office bearers of Life Insurance Council told reporters in Delhi on Wednesday.

ET

11)American insurer MetLife is keen on raising stake in its Indian venture to up to 49% as and when the government revises the cap on foreign holding in the sector. “If the Indian government decides to raise the cap on foreign investment in insurance companies, MetLife International would definitely invest more in India.

FE

12)ICICI Prudential Life Insurance has decided to do away with the Third Party Administrator and settle health claims directly. For this purpose, it has launched ‘ICICI Pru ClaimCare’ and set up a network of 2,500 hospitals, providing cashless service to policy holders across 488 locations.

BL

MARKETS

13)Indian equity indices closed the day above the dotted line following strong cues from the Asian markets and short covering ahead of Futures & Option(F&O) expiry of Thursday. The 30-share Sensex of Bombay Stock Exchange(BSE) added 98.72 points, or 0.96%, to close the day at 14,422.73 points. The broader S&P CNX Nifty of National Stock Exchange(NSE) gained 45.95 points, or 1.08%, to end the day at 4,292.95 points. Dealers in the market say, despite, volatility during the intra-day trading, domestic institutional investors (DIIs) were buyers while foreign institutional investors(FIIs) continued selling in the domestic markets. Barring Bankex, all the sectors in the BSE Sectoral indices closed the day in green.

FE

14)Educomp Solutions shares rose 11 per cent to Rs 3,427 on reports that the Pearson group will support its vocational learning venture. Pearson, the UK-headquartered education and information company, will acquire 50 per cent in Educomp’s vocational training business for $17.5 million. The venture will leverage Educomp’s existing network and Peason’s capabilities in the education space.

BS

15)THE Securities and Exchange Board of India(Sebi) is unlikely to alter the pricing formula for qualified institutional placements (QIPs) in the near future, according to an official familiar with the development. Recently, merchant bankers had made a presentation to the regulator, requesting that companies be given more flexibility while pricing QIPs.

ET

IPO / FPO

16)Power Grid Corporation of India plans to raise Rs 3,000 crore by the end of this fiscal or early next year through a follow-on public offer. “It will be through a fresh issue of 15 per cent of the company’s equity,” the Chairman and Managing Director, Mr S K Chaturvedi, told reporters on the sidelines of an industry conference.

BL

MUTUAL FUNDS

17)Retail investors take a longer-term view of mutual fund schemes than high net worth individuals (HNIs), FIIs, banks or financial institutions, according to the Association of Mutual Funds in India(AMFI). The findings of the first numbers released by the AMFI on holding periods of investors for March indicate that 46 per cent of retail investors – by assets – held their equity funds
beyond 24 months; 36.4 per cent of HNIs also had a two-year-plus holding period. However, only about 18 per cent of the banks,financial institutions and FIIs who invested in equity funds
held on beyond 24 months. More HNIs than retail investors held for one to two years. Overall, about 82 per cent of retail assets stayed on for more than a year in equity funds. The report also
indicates that equity funds made up 26 per cent of the total assets managed by the fund industry. Retail investors were the major investors in equity funds, making up 64.8 per cent of equity assets. They accounted for an even higher 68.2 per cent of the balanced funds.

BL

18)Toronto-based Lawrence Asset Management Inc is relaunching the Lawrence India Fund in Canada next month in partnership with Reliance Asset Management. The open-ended mutual fund was launched in January 2008 but stopped operations later because of the economic meltdown. “The India Fund will provide retail investors directly investment access to one of the world’s fastest growing economies through the knowledge and investment expertise of Reliance Asset Management’s team based in Singapore,” said Mr Ravi Sood, President of Lawrence Asset Management Inc, on Tuesday. He said the fund is a long and short-term equity fund that invests directly into the Indian equity market.

BL

19)THE state-owned lender, Bank of India(BoI), is seriously working towards making its foray into the mutual fund business. The bank was already having its MF arm, which was sold off by it to Taurus Mutual Fund few years ago.

FE

COMMODITIES

20)Commodity prices are expected to be stable and is expected to ease in near future. “Institutional investors are at present booking profits in commodities and metals and crude oil are expected to remain stable or may fall in the next quarter,” said Markus Rosgen, managing director and head-regional strategy, Citi Investment Research. China’s demand is also showing signs of slowing down, which supports this view.

BS

21)Gold hit a six-day high of $942 per ounce on Wednesday, tracking a volatile dollar as investors waited for the outcome of a US Federal Reserve policy meeting later in the day. Spot gold briefly spiked to $942.20 in London before paring gains to stand at $935.65 by 1340 GMT, up from $925.15 quoted late in New York on Tuesday.

BL

REAL ESTATE

22)A recent 10-city Crisil Research report on the real estate market indicates that demand in the residential market is expected to turn positive in 2010 owing to improvement in affordability, steady economic growth and greater liquidity. However a decline in the currently over-priced capital values of all the three real estate segments – residential, commercial and retail – will persist through 2009. Further the commercial and retail markets will continue to witness erosion in lease rentals through the next two years.

FE

INFORMATION TECHNOLOGY

23)SWITZERLAND-BASED banking and wealth management firm UBS is considering outsourcing about 5,000 jobs over the next two years, according to people familiar with its plans. This signifies an opportunity to win new business for Indian IT vendors such as Wipro and Infosys that already work with the Swiss bank.

ET

24)Firstsource Solutions has bagged a five-year, Rs 145-crore outsourcing deal from telecom services provider IDEA Cellular. As part of the deal, Firstsource will provide a suite of customer management interaction services on customer service, billing, new product information and plan details to IDEA Cellular’s Kerala and Tamil Nadu customers from its centre in Coimbatore.

BL

FOR MORE INFORMATION, PLEASE BROWSE THROUGH THE FOLLOWING SITES.

Karvy Consultants Ltd http://www.karvy.com
http://www.khojhyderabad.com
http://www.indiacorporateadvisor.com
http://www.karvycomtrade.com (Commodities)
KARVY Global Services Ltd http://www.KARVYGlobal.com
KARVY Realty (India) Limited http://www.karvyrealty.com
Economic Times http://www.economictimes.com
The Financial Express http://www.financialexpress.com
Business Line http://www.businessline.in
Business Standard http://www.business-standard.com
The Times of India http://www.timesofindia.com
The Hindu http://www.hindu.com
Deccan Chronicle http://www.deccan.com
The New Indian Express http://www.newindpress.com