Elgi Equipments

Investors with at least a two-three year perspective can consider buying the stock of Elgi Equipments, a manufacturer of air compressors and automobile service station equipment.

Revival in capex in the domestic market, manufacturing /trading presence in high potential developing markets such as China and Brazil and a strong cash position that allows scouting for acquisitions in new markets are factors that favour earnings growth for the company over the medium term.

At the current market price of Rs 80, Elgi's stock trades at 8.5 times its per share earnings for FY-11.

The stock is currently at a steep discount to its bigger peer Ingersoll-Rand; the latter not yet fully out of the slowdown.

Long-term play

We do not expect any significant ramp-up in revenues in the next few quarters, owing to peaking of demand (according to the management) for air compressors used for water wells and the continuing sluggishness in overseas market.

However, given that the industrial business segment has also been contributing actively to revenues and emerging markets such as Brazil and China are likely to buttress sales growth over the long term, Elgi may have to be a buy and hold candidate in one's portfolio.

The stock, at this point, could be a dark horse play; investors can consider buying it in small lots and accumulate on declines linked to broad markets.

Business

Elgi is the market leader in air compressors (over 10 per cent) as well as automobile service station equipment and is also among the larger players in Asia.

Elgi has a very wide customer base, given the diverse application of its products in sectors such as mining, transport, power, railways, oil, textiles, shipbuilding, plastics and electronics, to name a few. It also has all major automobile manufacturers as its customers.

The extent of diversification has allowed Elgi to keep up growth momentum. Even as the capex slowdown hurt capital goods companies in FY-09 resulting in decline in sales/profits, Elgi managed to grow revenues, albeit marginally even as profits remained flat.

However, strong focus on global markets resulted in a slow recovery for the company in the current fiscal. The December quarter results though, have shown the first signs of a revival with all its segments reporting growth. Revenues for this period expanded by 30 per cent, even as profits jumped 70 per cent over a year ago, thanks to a low base and lower raw material costs. Interestingly competitors such as Ingersoll-Rand and Kirloskar Pneumatic are yet to demonstrate similar decisive revival signs. However, not all is well , since the company has admitted that its demand for air compressors in the water wells segment has peaked out, which effectively means that there could be some dent in revenues.

However, pick-up in auto equipment as dealers ramp up their capex, on improved auto sales could make up for the dip in the water wells compressor demand.

Reaching out

Besides, Elgi has utilised the slowdown period to test grounds and ramp up presence in the Brazilian and Chinese markets. In Brazil, where the company's products have for long had takers, the company has set up a wholly-owned subsidiary as a trading unit.

In China, it owns a manufacturing unit and also has trading presence; the company though, may take a longer time to ramp up demand in this market, as it has to compete with local players. Nevertheless, the scope of application for Elgi's products in China, given the latter's massive manufacturing activity, combined with superior technology, is tremendous. This market could, however, take a couple of years, before it contributes significantly to the bottom line, even as revenue flow may kick in early. Elgi products' application in the oil sector has also given it a market in West Asia.

The company has a presence in UAE. This market too, in the near term is likely to remain sluggish. Elgi is in the process of acquiring a European company, which makes compressors. This move too is intended to expand geographically rather than acquire new products, as Elgi's product range, thanks to its joint ventures with many overseas players, is fairly comprehensive.

We suspect this acquisition could come at attractive valuations, given the slowdown in the region. The company has stated that it will not go for any fresh debt, suggesting that internal accruals should meet the acquisition cost. Elgi has traditionally been a debt-free company has also has a lucrative investment book.

Elgi' sales grew at 20 per cent compounded annually (to Rs 595 crore in FY-09) over the last three years, while profits expanded by 25 per cent over this period. Operating profit margins, though healthy at 12 per cent levels, could come under pressure as a result of hike in cost of steel and copper.

While any excise duty hikes in its end product is unlikely to impact margins (as its products, mostly used as inputs by clients for their business enjoy cenvat credit), as they are passed on, whether its own raw material cost hikes will hurt margins, remains to be seen.

Mahindra Holidays and Resorts

Shareholders with a long-term perspective can retain their holdings in Mahindra Holidays & Resorts, the leading vacation ownership provider in the country. With a business model highly dependent on the domestic consumption story, the slow uptick in the economy suggests improving prospects for the company. A strong brand equity, multiple sales channel and unique revenue model further fortify its investment appeal.

However, at the current market price of Rs 434, the stock appears fully priced, trading at about 30 times its likely FY-11 per share earnings. While not having any strict comparables and being the market leader do lend room for premium valuations, it appears fairly valued at the current price. Near-term upsides, therefore, may be limited.

Unique model

In the business of vacation ownership, Mahindra Holidays' revenue model entails an upfront payment of the ownership fee with a recurring annual maintenance fee component thereafter.

This provides for higher visibility and a more stable stream of revenues compared to that of pure hospitality players. And unlike the asset-heavy hotel industry, the company does not operate on a capital-intensive business model. It adds to its assets only against the payment received on member additions. As a result, it enjoys strong cash flows and has near-zero debt on its books.

Mahindra Holidays, however, sells a significant majority of its memberships through financing schemes (monthly instalment options) and even securitises a portion of its receivables. While financing the vacation ownerships helps add to its member count, it also complements the revenue stream by way of interest income.

The risk of default is low here considering the overall profile of its member base — consisting of mostly employed professionals who are reasonably sound financially. And since MHRIL continues to hold the assets, the impact of defaults, if any, would only be negligible.

Besides, that it has so far managed to operate with near negligible rates of default lends confidence. That said, it still remains to be seen how the company would manage member additions in an increasing interest rate regime.

High interest rates tend to curb discretionary spending by consumers and so can pose a threat to member additions. This is especially relevant in the case of MHRIL since its business operates on the difference between the interests its pays to banks and the interest rate in-built into the EMI schedule of its members.

Growing membership enrolments — which is the key driver for future growth — at historical growth rates may, therefore, not be as easy (34 per cent compounded rate over the last four years).

Financials

Even though the company has a diverse source of income, its key contribution still comes from member additions only. Of the total membership fee charged, the company books nearly 60 per cent of that in the same year, while the rest is spread over the life of the membership (typically 25 years for the flagship Club Mahindra product) as entitlement fees (annuity income). It also charges an annual subscription fees over the life of the membership.

Over the last four years, Mahindra Holidays has grown its revenues and profits at a compounded annual growth rate of about 40 per cent and 76 per cent, respectively. In the same period, both its operating and profit margins have expanded significantly to about 34 per cent and 18 per cent, respectively.

For the nine-months ended December 2009, the company managed to grow its revenues by about 18 per cent. Profits surpassed last fiscal's full year earnings helped by a slew of cost-control measures, which helped expand the operating margins by about 4 percentage points to 38 per cent.

The company, however, is required to spend considerably towards sales and marketing exercises (its largest cost component), as member additions hold the key to its growth.

While bringing down the sales and marketing expenses last quarter helped it better its operational performance, it may pose a threat to member additions if the cost component is brought down drastically. This cost component therefore may have to be monitored vis-à-vis member additions in the coming quarters.

But to its credit, MHRIL enjoys a fairly strong brand loyalty; over 35 per cent of the vacation ownerships sold in 2009 came through member referrals.

Health check since IPO

The company had raised roughly Rs 177 crore through its public issue in June last year for funding the proposed addition to its room inventory (capex to extend up to FY11).

As against 1,105 rooms in FY-09, the company had, as of December 2009, created an inventory of 1,403 rooms.

Member additions in the nine months from FY-09, however, have been lower than its yearly average, growing by about 17 per cent; it now has 109110 members as against 92,825 vacation owners in FY-09.

The member per room ratio too has improved, decreasing from 84 in FY-09 to 78 members per room now. And with average occupancies hovering around 75 per cent, the proposed addition to room inventory will further help the spread. It plans to expand its property in Coorg, Ooty and Ashtamudi and set up of new ones in Tungi and Theog.

via BL

IndusInd Bank

One of the turnaround stories in the banking industry, IndusInd Bank continues to be a good investment opportunity for investors with a penchant for risk. We expect the return on equity (ROE) of the bank to improve from 10 per cent in 2008-09 to 17.5 per cent this fiscal, helped by improved net interest margins, better credit growth and operating efficiencies. ROEs even in the current year would have been better but for the equity dilution.

The bank's operating parameters have improved sharply over the past two years with a new management taking over. Consider this. IndusInd Bank's credit-deposit ratio has improved from 67 per cent to 77 per cent in the 21 months since the new management took over. This has aided improvement in the net interest margin to 2.94 per cent for the quarter ended December 31, 2009 from 1.37 per cent in the March quarter of 2008. The cost-income ratio too improved from 67 per cent in March 2008 to 50 per cent in December 2009, even as the net NPA ratio fell from 2.27 per cent to 0.67 per cent during the same time. However, the bank has still a long way to go before it can be comparable with the best in the industry.

While the bank consistently managed more than 90 per cent net profit growth over the last four quarters, this rate of growth may moderate, going forward. An increasing base and treasury losses from hardening interest rates may temper profit growth compared with historical rates.

At the current market price of Rs 149, the stock trades at a price-to-estimated FY11 earnings multiple of 13 and at a price-to-FY11 adjusted book value of 2.6 times. This is at a discount to Yes Bank, Kotak Mahindra Bank and HDFC Bank. High earnings growth may provide justification for this valuation.

Capital adequacy

IndusInd Bank raised Rs 480 core through a QIP issue this fiscal thereby witnessing a 15 per cent equity dilution, giving the bank much needed capital to fund high rate of loan growth.

The capital adequacy of the bank improved to 14.91 per cent in September 30, 2009 from 13.14 per cent on June 30, 2009. The capital adequacy ratio of the bank stood at 13.84 per cent at December 2009. Given the current levels, capital adequacy could be maintained above 12 per cent even if the bank's loan book grows by 30 per cent over the next one year, with the aid of internal accruals. IndusInd Bank also has significant headroom in terms of Tier-II capital raising to support loan book growth. However, the cost of Tier-II capital is expensive. Further equity dilution in 2011-12 cannot be ruled out.

Business

The loan book of the bank grew by 15 per cent compounded annually during the period 2004-09 and 32 per cent as of December 31, 2009. However, the loan book growth over the period 2009-11 may improve to 30 per cent annually, helped by better credit offtake, its commercial vehicle portfolio and retail lending. Around 32 per cent of IndusInd Bank's loans are auto loans with commercial vehicles forming a significant proportion. However, the proportion of these loans has come down from 44 per cent at the end of March 2009. However, with the revival in the auto industry, these loans, coupled with retail loans that have better yields, may form a significant portion of the loan book thereby helping the bank maintain its margins.

Improving NIMs

For the first nine months of the current fiscal (2009-10), the net profit of the bank grew by 158 per cent. Improving margins due to improving credit-deposit ratio, high rate of loan book growth (32 per cent as of December 31, 2009) and re-pricing of the advances led to high levels of profit growth. Helped by branch expansion, the proportion of low cost deposits has also improved to 22.5 per cent from 15 per cent as of March 31, 2008, also reducing the cost of deposits.

With the bank starting to meet most of its priority sector lending targets, it may not be required to invest in low-yielding bonds, which further help improve the margins. NIMs can be maintained at current levels even as the rates rise if the bank manages to improve its CASA and re-prices its loans. The lower proportion of treasury income compared with its peers would also help it survive rising interest rates efficiently. Fee income continues to support profit growth. The ‘other income' component to total net revenues stood at 40 per cent for the nine months of this fiscal.

Asset quality improved

Sequentially, even over the last quarter, the bank improved its provision coverage ratio from 35 per cent to 50 per cent. The bank is positive on improving its provision coverage to 70 per cent by the mandated period. Lower NPAs coupled with high provisions would improve the coverage and also shield the bank against any credit losses going forward. IndusInd Bank's restructured assets are one of the lowest in the banking industry with only 0.36 per cent of the total advances book restructured. While a high proportion of the current NPA is from the two-wheeler and the cars industry; this may fall as the revival in economy improves the credit worthiness of these borrowers.

Few risks

Around 52 per cent of the loans in the book are fixed, which may expose it to interest rate risk. The impact of the base rate implementation could be a bit higher for the bank due to a higher cost of funds and moderate profitability margins.

Piramal Healthcare

Investors with a long-term perspective can consider accumulating the stock of Piramal Healthcare. A strong presence in the domestic pharmaceutical market, established relationships with several global pharma majors, and its firming hold over the high-margin inhalation anaesthetics space underscore our recommendation.

While the restrained growth in CRAMS (Contract Research and Manufacturing Services) business so far this year could mar the company's overall growth picture, signs of restocking by global pharma majors suggest that a revival may be in the offing. With innovator companies under increasing pressure to manage costs, the low-cost, high-quality offering of domestic CRAMS companies may not be easy to ignore.

Valuations too appear reasonable. At current market price of Rs 397, the stock discounts its estimated FY11 per share earning by about 15 times. Piramal's increasing domestic market presence offers it a considerable long-term growth potential. The company has been improving its market share going by its better-than-market growth in six out of the seven last quarters. While growing competition, with MNCs too entering the fray, could throw up challenges, Piramal's large field force and growing focus on tier-II and semi-urban cities will provide it an edge. New product launches (26 so far this year) and focus on lifestyle products could further complement growth.

For CRAMS, the consolidation in the global pharma landscape, in addition to restructuring of manufacturing operations at Piramal's end, appear to have cast a cloud on the segment's near-term prospects. For the nine months ended December 2009, the CRAMS business shrank by about 12 per cent. In that too, while the business from overseas was impacted significantly due to the closure of its Huddersfield plant (which has been moved to India), the India operations managed a growth of 27 per cent. The management expects the segment to get back on the growth track by next year; its strong relationship with other MNC clients, as also the long-term contract with Pfizer giving it a fillip. The other business segment that offers a significant growth potential is the global critical-care segment. Piramal now has the intellectual property to manufacture inhalation anaesthetics across the pyramid, thanks to its last year's acquisition of the US-based Minrad International. The inhalation anaesthetics present an addressable market of about $435 million in the US.

via BL

Budget Analysis - Feb 28 2010

Budget Analysis - Feb 28 2010

India Union Budget Analysis

India Union Budget Analysis

Core sector growth jumps in January

Production at India's six key infrastructure industries rose by a strong 9.4% in January 2010 as against 2.2% in the same period last year, Commerce & Industry Ministry said in a statement. The index of six core industries, having a combined weight of 26.7% in the Index of Industrial Production (IIP), stood at 275.1 in January 2010 as against 251.5 in January 2009, the Government data showed. Growth in India's infrastructure sector stood at 6.4% in December 2009 and was at 6% in Nov. 2009 and 3.8% in Oct. 2009.

Crude oil production grew by 9.7% in January 2010 compared to a negative growth rate of 8.1% in January 2009. Petroleum refinery production registered a growth of 3.8% in January 2010 versus a drop of 1.3% in January 2009. Cement output was up by 12.4% in January 2010 as against 8.3% in January 2009.

Steel production grew by 16.2% in January 2010 compared to 3.2% in January 2009. Electricity generation was up by 5.6% in January 2010 as opposed to a growth rate of 1.8% in January 2009. Coal output registered a growth of 6% in January 2010 versus a growth rate of 6.7% in January 2009.

During April-January 2009-10, the collective output of the six core sector industries expanded by 5.4% as against 3% in the year-ago period.

Q3 GDP slows to 6% on poor rains

India’s GDP grew by 6% in October-December quarter as against expectations of a 6.9% expansion, data released by the Government showed. India's GDP growth was 7.9% and 6.1% in Q2 FY10 and Q1 FY10, respectively. In the third quarter of the fiscal 2008-09 stood at 6.2%. Reacting to the latest GDP numbers, Finance Minister Pranab Mukherjee said that India's agriculture sector must grow by 4% a year to sustain a high GDP growth target of 9% for the economy in the medium term.

The slowdown in the third quarter was primarily due to a 2.8% fall in agriculture production and a 2.2% drop in community, social and personal services. The fall in the growth of community, social and personal services was mainly on account of high base in Q3 of FY09, following the implementation of Sixth Central Pay Commission’s recommendations, the CSO said.

The manufacturing sector continued its upward march, expanding by 14.3% as against 1.3% in the same period last year. Growth was also strong in sectors such as services, construction, mining and electricity.

Official CSO estimates have pegged the economic growth in FY10 at 7.2%. To achieve the target, the economy would have to grow by faster rate in the fourth quarter. Final GDP figures for FY10 may turn out to be higher, Finance Minister Pranab Mukherjee said while announcing the Union Budget.

Planning Commission Deputy Chairman, Montek Singh Ahluwalia, said the third quarter GDP growth reading was on expected lines and he was hopeful of 7.2% growth this fiscal year. Following the global crisis, India’s growth slipped to 6.7% during FY09 from over 9% during the previous three years.

Weekly Stock Picks - Feb 27 2010

Buy SBI

Buy NALCO

Buy Reliance Capital

Buy Axis Bank

Buy Siemens

Weekly Newsletter -Feb 27 2010

The event risk is now out of the way and what a pleasant surprise for the market. The key indices rose sharply on Friday after being range bound for most part of the week following positive feelers from the budget. Investors cheered the government’s move to rein in the fiscal deficit as it announced a partial rollback of some of the stimulus measures. Finally, the benchmark Sensex added 1.5% and NSE Nifty added 1.6% over the week.

The coming holiday-shortened week will see investors trying taking a closer look at the budget announcements and assessing whether the targets mentioned are achievable. Auto companies like Maruti have already announced a hike in prices of cars. The monthly numbers of auto and cement companies will be closely watched. The impact of fuel price hike will see some loud protests from many.

Wish you a nice long weekend and a Happy Holi-day!

Budget...FM shuns populism, embraces pragmatism

Thankfully for the benefit of all, Union Finance Minister Pranab Mukherjee shunned populism and chose a more balanced approach in devising the Budget for 2010-11. There weren't too many big bang reform-centric announcements. But, what probably came as a relief to the markets was absence of major negatives, barring the hike in MAT and increase in the levy of oil prices. Still, it wasn't completely devoid of concerns, especially given the fact that the Finance Minister failed to give any definite timeline on key reforms - GST, DTC and Oil Subsidies. In short, the Finance Minister has laid emphasis on consolidating the economic recovery, improving investment environment, inclusive development, strengthening transparency and public accountability.

The Finance Minister said the Indian economy is in a far better position than a year ago. At the same time, he cautioned that there are challenges that face the Indian economy even today. The first challenge is to return to the high GDP growth path and to attain double digit growth in the next few years. The second challenge is to harness the economic growth and make development more inclusive. The third challenge is to improve the delivery mechanism.

FY10 was a challenging year for India. The deceleration in the economic activity in the second half of 2008-09 led to a GDP growth of 6.7% versus an average 9% in the previous three years. However, the Finance Minister also said that the ongoing economic recovery is encouraging. There is momentum in manufacturing and signs of a turnaround are also visible in merchandise exports, he said. He went on to add that inflation has to be contained and the Government should ensure better management of the food economy.

The Finance Ministry will bring out a status paper and a road map on curtailing the overall public debt, as suggested by the 13th Finance Commission. This will be followed by an annual report, the Finance Minister said. The Government will endeavour to introduce the GST and Direct Tax Code in April 2011 while proceeds from the PSU disinvestment will be increased in FY11

More gains in store for equities on market-friendly budget

The forthcoming week will largely be driven by post-budget reactions as analysts revise their estimates based on the announcements made in the budget. Market players largely welcomed the Union Budget 2010-11 which proposed market friendly measures including reduction in surcharge on corporate tax, lower fiscal deficit projection, roadmap for rollout of goods & service tax (GST) and direct tax code (DTC), among others. The stock market remains closed on Monday, 1 March 2010 on account of Holi.

A thrust on the infrastructure sector also augurs well from a long-term growth perspective. The Finance Minister has provided Rs 1.73 lakh crore for infrastructure development in 2010-2011, which accounts for over 46% of the total plan expenditure for the year.

Finance Minister, Pranab Mukherjee, has pegged the fiscal deficit for the year ended March 2011 (FY11) at 5.5% of the gross domestic product (GDP). This is lower than the fiscal deficit as percentage of GDP of 6.9% in the revised estimates for the current fiscal. The finance minister said the government also aims to reduce the deficit further to 4.8% of GDP in the year starting 1 April 2011, and to 4.1% in the year from 1 April 2012.

Progressing further with its disinvestment drive, the government has estimated to raise Rs 40000 crore from disinvestment in the year ended March 2011. It has also estimated Rs 35000 crore from sale of third generation telecom auctions.

The Finance Minister in his budget speech also unveiled a roadmap for implementation of goods and service tax (GST) and direct tax code (DTC). He said that the government is confident of rollout of GST and DTC by 1 April 2011. The deadline for the GST introduction was earlier pegged at 1 April 2010.

DTC will replace the Income Tax Act whereas the GST will replace most indirect taxes at central and states levels like service tax, excise duty, VAT, cesses, surcharges and local levies.

The Finance Minister also proposed a reduction in surcharge on corporate tax for domestic companies to 7.5% from the present 10%.

Foreign institutional investors (FII) inflow in February 2010 totaled Rs 1460.60 crore as of 24 February 2010. Their inflow in the calendar year 2010 totaled Rs 960.10 crore.

A lot will also depend on how the global markets pan out. US markets have turned volatile as sentiment took a hit from recent data showing a weaker-than-expected labor market. Meanwhile, global credit agencies have warned of further downgrades to Greece, which is struggling to tackle its debt crisis

BSE Bulk Deals to Watch - Feb 26 2010

Deal Date Scrip Code Company Client Name Deal Type * Quantity Price **
26/2/2010 517356 ACI Infocom VINSAN BROTHERS PVT LTD B 50000 28.56
26/2/2010 517356 ACI Infocom SAMPATRAJ BHANDARI HUF B 50000 28.56
26/2/2010 517356 ACI Infocom SHREE HARIVANSH SEC PVT LTD B 100000 28.55
26/2/2010 517356 ACI Infocom MESSRS SHREEKANT PHUMBHRA B 50000 28.56
26/2/2010 517356 ACI Infocom JINAY INVESTMENT CO PVT LTD B 75000 28.56
26/2/2010 517356 ACI Infocom SRI BHAGWAN KALYANI B 70000 28.56
26/2/2010 517356 ACI Infocom KUSHAL CHAND JAIN S 102800 28.56
26/2/2010 517356 ACI Infocom VIPIN KUSHALCHAND SANKLECHA S 103168 28.56
26/2/2010 513149 Acrow India VINOD SHARES LTD B 3400 144.55
26/2/2010 513149 Acrow India VINOD SHARES LTD S 3400 144.55
26/2/2010 531591 Bampsl Sec PRAKASH CHAND GUPTA B 900000 1.48
26/2/2010 531591 Bampsl Sec PRAKASH CHAND GUPTA S 719685 1.36
26/2/2010 512018 CNI Research OVERSEAS INFRASTRUCTURE ALLANCE INDIA PVT LTD B 320000 16.79
26/2/2010 533161 EMMBI POLY A K G SECURITIES AND CONSULTANCY LTD B 165897 28.61
26/2/2010 533161 EMMBI POLY A K G SECURITIES AND CONSULTANCY LTD S 165897 28.60
26/2/2010 504351 Empower Inds JITS SHARE TRADING PVT LTD B 100000 43.10
26/2/2010 504351 Empower Inds CHANDRAKANT B SHAH S 52200 43.10
26/2/2010 514358 Everlon Syn VAKHARIA SYNTHETICS PRIVATE LIMITED B 34000 11.55
26/2/2010 514358 Everlon Syn NANIK DAYARAM HATHI RAMANI S 40000 11.55
26/2/2010 530337 Exelon Infra ANGEL INFIN PRIVATE LIMITED S 36310 18.85
26/2/2010 590024 Fert & Chem Trv TRANSGLOBAL SECURITIES LTD. B 50106 53.56
26/2/2010 590024 Fert & Chem Trv TRANSGLOBAL SECURITIES LTD. S 50106 53.53
26/2/2010 532139 G Tech Info V K JASARASARIA & SONS S 500000 4.85
26/2/2010 513059 GS Auto J V STOCK BROKING PRIVATE LIMITED B 60569 49.02
26/2/2010 513059 GS Auto PRASHANT MAHADEV KAMBLE B 100221 48.69
26/2/2010 513059 GS Auto NILESH EKNATH BHOIR B 73157 51.54
26/2/2010 513059 GS Auto SANJAYKUMAR CHAMPAKLAL SHAH B 40000 47.40
26/2/2010 513059 GS Auto J V STOCK BROKING PRIVATE LIMITED S 60569 49.54
26/2/2010 513059 GS Auto NILESH EKNATH BHOIR S 74158 52.04
26/2/2010 513059 GS Auto SABANA MAHEBOOBALI ASARIYA S 100000 47.40
26/2/2010 513059 GS Auto D ASHOKKUMAR S 134587 48.52
26/2/2010 523467 Jai Mata Glass NARAYAN SARAWAGI B 75000 3.40
26/2/2010 524378 JMDE Pack NARESH CHAND JAIN S 86765 0.92
26/2/2010 524109 Kabra Extr KBII SECURITIES PRIVATE LIMTED S 47448 216.59
26/2/2010 530255 KAY Power BAMPSL SECURITIES LTD B 321906 16.99
26/2/2010 530255 KAY Power SUNDERDASS AGARWAL B 122740 16.80
26/2/2010 530255 KAY Power NAVAL KISHORE GUPTA S 150000 16.77
26/2/2010 530255 KAY Power BAMPSL SECURITIES LTD S 188320 16.78
26/2/2010 530255 KAY Power SUNIL KUMAR GUPTA S 77420 17.34
26/2/2010 530255 KAY Power KAILASH CHAND GUPTA S 55790 17.19
26/2/2010 531602 Koffee Break NARESH GUPTA B 500504 1.53
26/2/2010 531602 Koffee Break SUCHITKUMAR VIJAYSHANKAR GOUND S 550253 1.53
26/2/2010 531602 Koffee Break NALINI GADA S 375753 1.53
26/2/2010 526596 Liberty Shoes TRANSGLOBAL SECURITIES LTD. B 130427 102.77
26/2/2010 526596 Liberty Shoes TRANSGLOBAL SECURITIES LTD. S 130427 102.92
26/2/2010 524000 Magma Fin NILKANTH DEALERS PRIVATE LIMITED B 147438 248.59
26/2/2010 524000 Magma Fin NILKANTH DEALERS PRIVATE LIMITED S 140661 246.83
26/2/2010 532045 Nexxoft Info PATEL MAYUR DASHRATHLAL HUF B 41151 21.10
26/2/2010 532045 Nexxoft Info PRIYA CHANDRAKANT JALGAONKAR B 35000 21.45
26/2/2010 532045 Nexxoft Info ASHOK KUMAR BILGAIYAN B 43461 20.95
26/2/2010 532045 Nexxoft Info Naman Securities & Finance Pvt. Ltd. B 33339 20.02
26/2/2010 532045 Nexxoft Info C GEETHA B 26857 19.45
26/2/2010 532045 Nexxoft Info PATEL MAYUR DASHRATHLAL HUF S 41151 21.45
26/2/2010 532045 Nexxoft Info PRIYA CHANDRAKANT JALGAONKAR S 35000 21.59
26/2/2010 532045 Nexxoft Info ASHOK KUMAR BILGAIYAN S 43461 20.51
26/2/2010 532045 Nexxoft Info Naman Securities & Finance Pvt. Ltd. S 31541 20.13
26/2/2010 532045 Nexxoft Info C GEETHA S 83480 20.61
26/2/2010 532986 Niraj Cement RAJARAM VISHWAS PATIL B 146858 47.57
26/2/2010 532986 Niraj Cement FALGUNIBEN MAHAVIRBHAI GOHIL S 53913 46.24
26/2/2010 532986 Niraj Cement RAJARAM VISHWAS PATIL S 124906 46.35
26/2/2010 531791 Novagold Petro NILESH KRUSHNA PALANDE S 127000 3.76
26/2/2010 531791 Novagold Petro SAM NOSHIR JIJINA S 34187 3.76
26/2/2010 512097 Oregon Comm NIMAI AGENCIES PRIVATE LIMITED B 19878 176.21
26/2/2010 512097 Oregon Comm KRUPA SANJAY SONI B 6801 174.66
26/2/2010 512097 Oregon Comm OM PARKASH GUPTA B 9500 177.32
26/2/2010 512097 Oregon Comm PATEL SHAILESH JIVANLAL B 12465 173.45
26/2/2010 512097 Oregon Comm NIMAI AGENCIES PRIVATE LIMITED S 19816 177.01
26/2/2010 512097 Oregon Comm VEENA CHANDRAKANT VORA S 10000 173.14
26/2/2010 512097 Oregon Comm PREMILABEN MAHENDRAKUMAR SHAH S 6226 172.60
26/2/2010 512097 Oregon Comm OM PARKASH GUPTA S 9500 177.48
26/2/2010 512097 Oregon Comm PATEL SHAILESH JI VANLAL S 6150 176.98
26/2/2010 531726 Panchsheel Org ANETN BHAGORA B 28664 38.57
26/2/2010 531816 Panoramic Univ XITIJ INVESTMENTS S 65000 279.76
26/2/2010 511734 Pasupati Fin BCB FINANCE PRIVATE LIMITED B 33000 16.35
26/2/2010 511734 Pasupati Fin SARLA BHARAT BAGRI S 33000 16.35
26/2/2010 509839 Punjab Wool HANSRAJ MALHOTRA S 67888 5.44
26/2/2010 502587 Rama Pulp GAJRIA JAYNA PRECISION INDVSTRIES PRIVATE LIMITED B 97000 31.50
26/2/2010 502587 Rama Pulp MAHIPAT IWDARMAL MEHTA B 43527 31.71
26/2/2010 502587 Rama Pulp PREMIUM HOSPITALITY SERVICES PRIVATE LIMITED S 98000 31.52
26/2/2010 502587 Rama Pulp MAHIPAT IWDARMAL MEHTA S 47810 31.69
26/2/2010 512359 Rotam Comm HASMUKH MALANI S 6308 80.35
26/2/2010 531569 Sanjivani Par V M SECURITIES (PROP VEENA MADAN) B 30000 61.27
26/2/2010 531569 Sanjivani Par ARCADIA SHARE & STOCK BROKERS PVT. LTD B 32160 60.45
26/2/2010 531569 Sanjivani Par PRABHUDAS LILLADHAR PVT LTD B 78929 60.24
26/2/2010 531569 Sanjivani Par NAMAN SECURITIES & FINANCE PRIVATE LIMITED B 200000 61.59
26/2/2010 531569 Sanjivani Par DIPTI RAJAN SHAH B 200000 59.25
26/2/2010 531569 Sanjivani Par VIKASH JAIN B 65777 61.43
26/2/2010 531569 Sanjivani Par ARCADIA SHARE & STOCK BROKERS PVT. LTD S 31661 59.47
26/2/2010 531569 Sanjivani Par PRABHUDAS LILLADHAR PVT LTD S 78929 60.37
26/2/2010 531569 Sanjivani Par NAMAN SECURITIES & FINANCE PRIVATE LIMITED S 200001 59.25
26/2/2010 531569 Sanjivani Par DIPTI RAJAN SHAH S 200000 61.59
26/2/2010 531569 Sanjivani Par VIKASH JAIN S 65777 61.27
26/2/2010 532793 Shree Ashtavina PVR IMPEX PRIVATE LIMITED B 1400200 13.67
26/2/2010 532793 Shree Ashtavina DRB SECURITIES PVT LTD B 800000 14.11
26/2/2010 532793 Shree Ashtavina COMFORT INTECH LIMITED S 919156 13.99
26/2/2010 532793 Shree Ashtavina AVR OVERSEAS PVT LTD S 1200000 13.67
26/2/2010 532669 Southern Onlin ARPIT SHARE BROKERS PRIVATE LIMITED B 300000 22.45
26/2/2010 532669 Southern Onlin ARPIT SHARE BROKERS PRIVATE LIMITED B 200000 22.45
26/2/2010 532669 Southern Onlin SRIJAN TIE- UP PRIVATE LIMITED S 500000 22.45
26/2/2010 500285 Spicejet MERRILL LYNCH CAPITAL MARKETS ESPANA SA SV B 1600000 57.02
26/2/2010 533157 SYNCOM HEAL REGENT FINANCE CORPORATION PVT. LTD. B 94500 95.05
26/2/2010 533157 SYNCOM HEAL TRANSGLOBAL SECURITIES LTD. B 141936 94.05
26/2/2010 533157 SYNCOM HEAL SANJEEV SINGHAL B 140744 94.69
26/2/2010 533157 SYNCOM HEAL OPG SECURITIES P LTD B 159112 95.15
26/2/2010 533157 SYNCOM HEAL ADITYA NITINBHAI PAREKH B 103467 93.37
26/2/2010 533157 SYNCOM HEAL REGENT FINANCE CORPORATION PVT. LTD. S 94500 95.08
26/2/2010 533157 SYNCOM HEAL TRANSGLOBAL SECURITIES LTD. S 141936 93.91
26/2/2010 533157 SYNCOM HEAL SANJEEV SINGHAL S 140744 94.76
26/2/2010 533157 SYNCOM HEAL OPG SECURITIES P LTD S 159112 95.23
26/2/2010 533157 SYNCOM HEAL ADITYA NITINBHAI PAREKH S 103467 95.00
26/2/2010 531831 Unisys Soft YOGESH KESHAVJI GALA B 300000 22.07
26/2/2010 531831 Unisys Soft NANALAL KESHAVJI GALA B 250000 22.10
26/2/2010 531831 Unisys Soft RAJKUMAR SHARMA S 300000 22.05
26/2/2010 531831 Unisys Soft WINSHER COMMOTRADE PRIVET LIMITED S 500000 22.06
26/2/2010 531831 Unisys Soft MIRACLE TRADECOM PVT.LTD S 174800 22.10
26/2/2010 531249 Well Pack Papers AMAR PREMCHAND WALMIKI B 66000 460.39
26/2/2010 531249 Well Pack Papers ADITI M GANDHI B 33214 460.98
26/2/2010 531249 Well Pack Papers RAMESHBHAI V PARMAR B 33803 460.61
26/2/2010 531249 Well Pack Papers AMAR PREMCHAND WALMIKI S 66000 461.83
26/2/2010 531249 Well Pack Papers LAXMAN DHIRUBHAI PARMAR S 29500 460.46
* B - Buy, S - Sell

NSE Bulk Deals to Watch - Feb 26 2010

Date,Symbol,Security Name,Client Name,Buy/Sell,Quantity Traded,Trade Price / Wght. Avg. Price,Remarks
26-FEB-2010,BATAINDIA,Bata India Ltd.,HDFC MUTUAL FUND,BUY,369000,228.30,-
26-FEB-2010,EMMBI,Emmbi Polyarns Ltd,A K G SECURITIES AND CONSULTANCY LTD.,BUY,237443,28.71,-
26-FEB-2010,EMMBI,Emmbi Polyarns Ltd,ADROIT FINANCIAL SERVICES PRIVATE LIMITED,BUY,150902,29.08,-
26-FEB-2010,LIBERTSHOE,Liberty Shoes Ltd,MODEX INTERNATIONAL SECURITIES LTD.,BUY,92680,102.35,-
26-FEB-2010,LIBERTSHOE,Liberty Shoes Ltd,OM INVESTMENTS,BUY,118089,105.46,-
26-FEB-2010,LIBERTSHOE,Liberty Shoes Ltd,TRANSGLOBAL SECURITIES LTD.,BUY,140651,102.75,-
26-FEB-2010,PANORAMUNI,Panoramic Universal Limit,KETAN RAMBHAI GORANIA,BUY,65000,280.45,-
26-FEB-2010,PANORAMUNI,Panoramic Universal Limit,MADHUKAR CHIMANLAL SHETH,BUY,777,279.90,-
26-FEB-2010,SREINTFIN,SREI Infrastructure Finan,JHUNJHUNWALA REKHA,BUY,625000,65.11,-
26-FEB-2010,SYNCOM,Syncom Healthcare Ltd,ADITYA NITINBHAI PAREKH,BUY,209146,92.43,-
26-FEB-2010,SYNCOM,Syncom Healthcare Ltd,BHARGAVI ATUL JAIN,BUY,118984,92.34,-
26-FEB-2010,SYNCOM,Syncom Healthcare Ltd,DEEPAK S CHHEDA,BUY,121797,92.50,-
26-FEB-2010,SYNCOM,Syncom Healthcare Ltd,GENUINE STOCK BROKERS PVT LTD,BUY,101282,92.98,-
26-FEB-2010,SYNCOM,Syncom Healthcare Ltd,PRASANN SHARES & SERVICES PRIVATE LIMITED,BUY,87703,94.36,-
26-FEB-2010,SYNCOM,Syncom Healthcare Ltd,PRASHANT JAYANTILAL PATEL,BUY,120596,95.09,-
26-FEB-2010,SYNCOM,Syncom Healthcare Ltd,REGENT FINANCE CORPORATION PVT. LTD.,BUY,133274,94.50,-
26-FEB-2010,SYNCOM,Syncom Healthcare Ltd,TRANSGLOBAL SECURITIES LTD.,BUY,155228,94.25,-
26-FEB-2010,EMMBI,Emmbi Polyarns Ltd,A K G SECURITIES AND CONSULTANCY LTD.,SELL,237443,28.75,-
26-FEB-2010,EMMBI,Emmbi Polyarns Ltd,ADROIT FINANCIAL SERVICES PRIVATE LIMITED,SELL,152478,29.13,-
26-FEB-2010,INDIABULLS,Indiabulls Financial Serv,SWISS FINANCE CORPORATION (MAURITIUS) LIMITED,SELL,2010000,103.27,-
26-FEB-2010,LIBERTSHOE,Liberty Shoes Ltd,MODEX INTERNATIONAL SECURITIES LTD.,SELL,87751,101.94,-
26-FEB-2010,LIBERTSHOE,Liberty Shoes Ltd,OM INVESTMENTS,SELL,118089,105.74,-
26-FEB-2010,LIBERTSHOE,Liberty Shoes Ltd,TRANSGLOBAL SECURITIES LTD.,SELL,140651,102.78,-
26-FEB-2010,PANORAMUNI,Panoramic Universal Limit,MADHUKAR CHIMANLAL SHETH,SELL,68110,279.63,-
26-FEB-2010,SYNCOM,Syncom Healthcare Ltd,ADITYA NITINBHAI PAREKH,SELL,209146,94.86,-
26-FEB-2010,SYNCOM,Syncom Healthcare Ltd,BHARGAVI ATUL JAIN,SELL,118984,91.68,-
26-FEB-2010,SYNCOM,Syncom Healthcare Ltd,DEEPAK S CHHEDA,SELL,121797,92.56,-
26-FEB-2010,SYNCOM,Syncom Healthcare Ltd,GENUINE STOCK BROKERS PVT LTD,SELL,101282,93.13,-
26-FEB-2010,SYNCOM,Syncom Healthcare Ltd,PRASHANT JAYANTILAL PATEL,SELL,120596,95.41,-
26-FEB-2010,SYNCOM,Syncom Healthcare Ltd,REGENT FINANCE CORPORATION PVT. LTD.,SELL,133274,94.42,-
26-FEB-2010,SYNCOM,Syncom Healthcare Ltd,TRANSGLOBAL SECURITIES LTD.,SELL,155228,94.50,-

India Income Tax Ready Reckoner

	INCOME TAX READY RECKONER
	INDIVIDUALS
	Taxable Income	Tax Payable		Savings
		Currently	Post Budget
	160,000	-	-
	300,000	14,000	14,000	-
	500,000	54,000	34,000	20,000
	700,000	114,000	74,000	40,000
	800,000	144,000	94,000	50,000
	1,000,000	204,000	154,000	50,000
	1,200,000	264,000	214,000	50,000
	1,500,000	354,000	304,000	50,000
	2,000,000	504,000	454,000	50,000
	2,500,000	654,000	604,000	50,000
	3,000,000	804,000	754,000	50,000
	NOTE: The above calculation do not include education cess.
	WOMEN
	Taxable Income	Tax Payable		Savings
		Currently	Post Budget
	190,000	-	-
	300,000	11,000	11,000	-
	500,000	51,000	31,000	20,000
	700,000	111,000	71,000	40,000
	800,000	141,000	91,000	50,000
	1,000,000	201,000	151,000	50,000
	1,200,000	261,000	211,000	50,000
	1,500,000	351,000	301,000	50,000
	2,000,000	501,000	451,000	50,000
	2,500,000	651,000	601,000	50,000
	3,000,000	801,000	751,000	50,000
	NOTE: The above calculation do not include education cess.
	SENIOR CITIZENS
	Taxable Income	Tax Payable		Savings
		Currently	Post Budget
	240,000	-	-
	300,000	6,000	6,000	-
	500,000	46,000	26,000	20,000
	700,000	106,000	66,000	40,000

India Budget Strategy - Feb 26 2010

India Budget Strategy - Feb 26 2010

Bharti Airtel Ltd

Bharti Airtel Ltd

Lanco Infratech

Lanco Infratech

Budget 2010-2011

The market welcomed the Union Budget 2010-11 by crossing the technically important hump of 4940-4950 levels (intra-day as of now) on the Nifty. What cheered the market sentiments is the fact that the finance minister has addressed the key issues of containing fiscal slippage and has outlined a clear roadmap for fiscal consolidation for the next three years. This essentially means that the government’s net borrowing for FY2010-11 is well under control (below the physiologically important mark of Rs3,50,000 crore) and allays fears of crowding out of bank credit for private sector. In another words, the government’s borrowing program is not likely to put much pressure on interest rates.

Apart from the positive outcome of the above-mentioned macro issues, the market have reacted positively as expectations were relatively low from the budget and there are no apparent negatives. The finance minister has stayed away from touching tax proposals that directly impact capital markets such as capital gains tax, securities transaction tax and dividend distribution tax. On the other hand, the slabs for personal income tax has been widened considerably that will result in higher disposable income in the hands of salaried working class. The partial rollback of fiscal stimulus in form of excise duty is in line with the market expectations.

Coming to government finances, the target of bringing the fiscal deficit to 5.5% seems to be achievable. The finance minister has assumed 18% increase in gross tax receipts and relatively much lower total expenditure growth of 8.5% (5.8% in revenue expenditure). In the given improving economic conditions the revenue growth target seems achievable but the key would be to watch out for the government’s ability to curtail growth in expenditure.

From the stock market’s perspective, the major event is behind us and it will be business as usual from the next week. Fundamentally, the Sensex’ earnings could decline marginally as analyst adjust for the higher minimum alternate tax (MAT) rates (15% to 18%) and the negative impact of excise duty rollback on automobile and some fast moving consumer goods (FMCG) companies. Thus, it will be prudent to not get too carried away.

Nifty March 2010 futures above 4,900

Turnover declines

Nifty March 2010 futures were at 4,935.95, at a premium of 13.65 points over spot closing of 4,922.30. Turnover in NSE's futures & options (F&O) segment was Rs 1,16,981.30 crore, lower than Rs 1,22,098.64 crore on Thursday, 25 February 2010.

Reliance Capital March 2010 futures were at premium at 788.95 compared to the spot closing of 784.70.

State Bank of India March 2010 futures were at premium at 1,971 compared to the spot closing of 1,968.

Tata Motors March 2010 futures were at discount at 713.95 compared to the spot closing of 715.55.

In the cash market, the S&P CNX Nifty rose 62.55 points or 1.29% at 4,922.30. Stock market investors cheered the Union Budget 2010-2011 which raised the tax exemption limit for individuals and outlined plans to bolster farming expenditure.

Asian Markets Finishes Final Friday of February Flat

Sensex led regional rally while Shanghai bucks the trend

Stock markets in Asian region finished final Friday of February on favorable note, thanks to the positive economic development in India and Japan. Indian equities lead the regional gains as Indian government announced its annual budget with a proposal to cut the fiscal deficit and ease the tax burden on individuals. Japanese markets gained on better than expected industrial production data which was supported by spurt in retails sales. However, gains across the region were limited as investors continued to trade cautious as worries about Greece and the health of the world economy continue to hold the nerves of the investors.

On Wall Street, stocks managed to curtail their losses and end with moderate losses. A surprising jump in jobless claims hammered stocks leaving the major averages with large, consistent losses during mid day trading hours. The claims data renewed worries about the pace of the U.S. economic recovery, while comments by Moody's regarding Greece served as a fresh reminder to investors of Europe's recent struggles.

At the end of the day, the Dow Jones Industrial Average ended lower by 53.13 points at 10321.03 while Nasdaq ended lower by 1.68 points at 2234.22. S&P 500 ended lower by 2.3 points at 1102.94.

In the commodity market, crude oil is poised for the biggest monthly advance since October as the U.S. economy starts to recover and fuel inventories fall.

Crude oil for April delivery advanced 14 cents, or 0.2%, to $78.31 a barrel in electronic trading on the New York Mercantile Exchange as of 9:40 a.m. in London. A close at that level would mean an increase this month of 7.4%.

Brent crude for April settlement gained 18 cents, or 0.2%, to $76.47 a barrel on the London-based ICE Futures Europe exchange as of 9:43 a.m. London time.

Gold gained for a second day in London, paring a weekly decline, as concerns about Greece’s debts and a stall in the dollar’s rally increased the metal’s appeal as an alternative investment. Gold for immediate delivery added $6.05, or 0.6%, to $1,112.40 an ounce at 9:26 a.m. London time. The metal is down 0.6%t this week. Bullion for April delivery was 0.4% higher at $1,112.60 on the New York Mercantile Exchange’s Comex unit.

In the currency market, the U.S. dollar continued with a mixed bias in late Asian trade Friday, holding on to slight gains against the yen but losing ground versus the euro against a backdrop of still-cautious risk sentiment although month-end flows kept the euro-zone currency afloat near morning highs.

The Japanese currency strengthened against major counterpart on speculation Japanese importers are settling accounts overseas on the last trading day of the month as well as on news the nation’s finance companies are scheduled to raise 1.44 trillion yen ($16.1 billion) today for so-called toshin mutual funds focused on higher-yielding assets. The Japan’s currency yen was quoted at 89.35 against the greenback.

The Hong Kong dollar was trading at HK$ 7.7627 against the dollar. Actually the Hong Kong dollar is pegged at HK$ 7.8 to the U.S. dollar but can trade between HK$ 7.75 and HK$7.85 to the U.S. dollar.

In Sydney trades, the Australia dollar steadied against the US dollar and the yen on Friday, as Asian equity markets stabilised and investors looked ahead to a possible rise in domestic interest rates next week. The dollar steadied to close locally at $US0.8905, having skidded as far as $US0.8800 in offshore trade. But again, that was well short of the week's $US0.9071 top.

In Wellington trades, the New Zealand dollar firmed slightly today after falling to its lowest level in more than two weeks against the greenback and yen overnight. The NZ dollar dropped to around US68.45c but by 8am was back up to US69.37c by 5pm, above the US68.85c at 5pm yesterday. It traded as high as US69.60c during the domestic session.

The South Korean won ended at 1160 won to the greenback, up 3.4 won from Thursday’s close of 1,163.4.

The Taiwan dollar strengthened against the greenback. The Taiwan dollar was trading higher against the US dollar at NT$ 32.0850, 0.0350 up from Thursday’s close of NT$32.1200.

In equities, Asian markets ended mostly higher, with Indian shares cheering federal budget proposals to cut the fiscal deficit and ease the tax burden on individuals, while Japanese stocks gained on better-than-expected industrial-output data.

In Japan, the share market finished the last trading day of week as well as February slightly higher, with key indices snapping three days of losing streak helped by better than expected Japanese January industrial output lending support, although jitters over a stronger yen against the euro and unexpectedly weak US data lingered. The Nikkei index finished virtually exactly were it started the week, while it fell 0.7% for the month.

At the closing bell, the Nikkei 225 Stock Average index was at 10,126.03, added 24.07 points, or 0.24%. The broader Topix of all First Section issues on the Tokyo Stock Exchange climbed 2.69 points, or 0.3%, to 894.10.

On the economic front, the Ministry of Economy, Trade and Industry said Industrial output in Japan was up a seasonally adjusted 2.5% on month in January, climbing for the 11th consecutive month. On an annual basis, industrial production jumped 18.2% after the 5.1% gain in the previous month.

The Ministry of Economy, Trade and Industry also reported retail sales in Japan climbed 2.6% in January compared to the previous year, rising for the first time in 17 months. On a monthly basis, retail sales surged by a seasonally adjusted 2.9% after the 1.1% contraction in December.

The Ministry of Internal Affairs and Communications said Core consumer prices in Japan declined 1.3% on year in January, extending decline for the 11th straight month and reinforcing deflationary fears. Overall CPI eased 0.2% on month.

Markit Economics reported that the Japan Nomura / JMMA Manufacturing Purchasing Manager’s Index stood at a seasonally adjusted 52.5 in February, unchanged from the previous month. A reading above 50 indicates expansion, while one below 50 suggests contraction.

In Mainland China, the share market closed inch lower, as investor sentiments toward risk was subdued following credit agencies’ warnings of further downgrades of Greece’s sovereign debt, further domestic monetary tightening woes, and the uncertainty about the recovery in the US following worse-than-expected jobs data. The benchmark index registered 1.1% gain for the week and a rise of 2.1% for the month, but it fell 6.9% this year on worries about monetary tightening, sovereign debt, and the sustainability of the global recovery.

At the closing bell, the Shanghai Composite Index, measuring A shares and B shares on the Shanghai Stock Exchange, fell 8.68 points, or 0.28%, to 3,051.94, meanwhile the Shenzhen Component Index on the smaller Shenzhen Stock Exchange fell 57.61 points, or 0.46%, to 12,436.66. The CSI 300 Index, measuring exchanges in Shanghai and Shenzhen, erased 0.32%, to 3,281.67.

In Hong Kong, the share market finished the session higher, with broad based gains across the sectors on hopes recent sell off was overdone and as metals prices advanced in Asian deal. The benchmark index registered 3.6% gain for the week and a rise of 2.4% in the February 2010.

At the closing bell, the Hang Seng Index spurted 209.13 points, or 1.03%, to 20,608.70, meanwhile the Hang Seng China Enterprise, which tracks the overall performance of 43 Mainland Chinese state-owned enterprises on the Hong Kong Stock Exchange, surged 155.23 points, or 1.36%, to 11,543.73.

In Australia, the domestic market rebounded on the last day of the month-long corporate profit reporting season, helped by bargain hunting in materials and resources financials, properties, and utilities as well as a string of upbeat earnings from blue chip companies. The benchmark index managed to chalk up a minimal gain for the week and a rise of 1.3% for the month. At the closing bell, the benchmark S&P/ASX200 index was up 43.60 points, or 0.95%, to 4,637.70, meanwhile the broader All Ordinaries added 36.20 points, or 0.78%, higher to 4,651.10.

On the economic front, the Reserve Bank of Australia reported Friday that for the full year to January 2010, private sector credit increased 1.3%. The total amount of credit extended to private sector recipients in Australia increased 0.4% in January 2010 versus the preceding month. Credit for housing increased 0.7% for the month. For the year to January, housing sector credit increased 8.2%. Business credit declined 0.1% on month and was down 7.8% for the year to January.

In New Zealand, stock market continued to edge forward to end the last trading day of the week in the positive terrain. The benchmark index although started the day lower, inched up by the end of the session on Friday, registering the third consecutive rise in a row. At the closing today, the NZX 50 was up 0.14% or 4.42 points to 3156.10. Meanwhile, the NZX 15 gained 0.17% or 9.84 points to close at 5682.31.

On the economic front, New Zealand recorded its smallest annual trade deficit since July 2002 in January, reflecting weaker-than-expected imports outpacing a decline in exports. For the month of January, merchandise trade recorded a surplus of $269 million, the first in eight months. The deficit was $178 million in the 12 months ended January 31, from a revised deficit of $549 million in the year through December.

In South Korea, stocks closed higher as investors hunted for bargains following a two-session losing streak. The benchmark Korea Composite Stock Price Index (KOSPI) increased 7.07 points or 0.45% to end at 1,594.58.

In Singapore, the key benchmark indices finished the session flat, with investor jitters over unexpectedly weak US data outweighed by a wave of short covering after stronger than expected economic data from Japan and Korea. The benchmark index managed to chalk down a minimal loss of 0.2% for the week and a minimum rise of 0.2% for the month. At the closing bell, the blue chip Straits Times Index was at 2,750.86, rose 1.71 points or 0.06%, off an intraday high of 2,756.28 and off an intraday low of 2,738.71.

On the economic front, the Singapore Tourism Board said total visitor arrivals in Singapore rose 17.6% in January from a year earlier to reach 908,000. Average hotel room rates in January fell 9.5% from a year earlier to S$187 ($133) although occupancy rose 13.9 percentage points from a year ago to 80.4%, the STB said in a statement.

In Taiwan, stocks edged up on Friday, helped by data the previous day showing solid export orders for January, but investor caution over the global recovery kept a lid on gains. Financial shares gained after Taiwan said it would allow brokerages to buy Hong Kong red chip shares directly, though it was a mixed bag for tech shares, with the electronics sub index closing down. A number of concerns underpinned investor caution towards risky assets such as stocks, including poor economic data in the United States and the euro zone and worries over debt problems in Greece. The benchmark Taiex share index finished the day higher by 9.14 points or 0.12% at 7436.10.

In Philippines, the stock market closed the week on a positive note, with PSEi still hovering above the 3000 crucial mark, as investors continued to applaud for some of the encouraging manifestations of a recovery from the domestic economy. At the closing bell, the benchmark index PSEi escalated 0.41% or 12.49 points to 3,043.75, while the All Shares index went up 0.64% or 12.38 points to 1,928.34.

In India, the key benchmark indices pared gains after a sharp surge in early afternoon trade triggered by the finance minister's budget which pushed for higher consumption. The government's pledge to progressively cuts its budget deficit over the next three fiscal years, changes in personal tax rates which will lift disposable incomes in the hand of individuals and a reduction in surcharge on corporate tax for domestic companies to 7.5% from 10%, lifted sentiment. The government's plan to introduce direct and indirect tax reforms from 1 April 2011 also cheered investors. The Finance Minister said the government aims to introduce the Goods and Services Tax (GST) and implement the direct tax code from 1 April 2011

The peak rate of excise duties has been raised to 10% from 8% as a first step towards the winding down of fiscal stimulus measures. However, the service tax was retained at 10%. The government has estimated Rs 40000 crore from disinvestment for FY 2010-11. It has estimated Rs 35000 crore from sale of third generation telecom auctions.

The finance minister has raised personal income tax slabs which will result in increase in disposable incomes. Incomes up to Rs 1.6 lakh attracts no tax now. Personal income tax for income between Rs 1.6 -5 lakh attracts tax rate of 10% and for the income between 5-8 lakh attracts tax of 20%. The personal income tax above Rs 8 lakh tax is kept at 30%. The Finance Minister said additional Rs 20,000 deduction available will be available for investment in infrastructure bonds. He said threshold limit for TDS applicability will be rationalized.

The BSE 30-share Sensex was up 175.35 points or 1.08% to 16,429.55. The barometer index rose 415.05 points at the day's high of 16,669.25 in early afternoon trade. The Sensex fell 4.53 points at the day’s low of 16,249.67 in early trade. The 50-unit Nifty was up 62.55 points or 1.29% to 4922.30.

In other regional market, shares climbed in Europe on Friday, taking back some sharp losses made in the previous session when worries about Greece’s fiscal health dominated. On a regional level in Europe, the U.K. FTSE 100 index rose 1% or 50.80 points to 5,329, the German DAX index advanced 1% or 54.10 points at 5,586 and the French CAC-40 index rose 1.1% or 41.63 points to 3,682.