Daily Market Outlook - July 1 2010
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Wednesday, June 30, 2010
BSE Bulk Deals to Watch - June 30 2010
Deal Date Scrip Code Company Client Name Deal Type * Quantity Price **
30/6/2010 530901 ACIL Cot Inds RAMESH MOHOD B 100000 33.45
30/6/2010 500215 Agro Tech Foods WALL STREET CAPITAL MARKETS PVT LTD B 175000 285.00
NSE Bulk Deals to Watch - June 30 2010
Date,Symbol,Security Name,Client Name,Buy/Sell,Quantity Traded,Trade Price / Wght. Avg. Price,Remarks
30-JUN-2010,AMARJOTHI,Amarjothi Spinning Mills,BP FINTRADE PRIVATE LIMITED,BUY,66150,56.95,-
30-JUN-2010,AMARJOTHI,Amarjothi Spinning Mills,PUSHPA SUBHASH CHANDWANI,BUY,185092,56.45,-
30-JUN-2010,ATFL,Agro Tech Foods Limited,LAKSHMI NATH MEHROTRA,BUY,175000,285.00,-
Delight for D-Street, distress for peers
Major news for the month:
Q4 gross domestic product comes at 8.6%
India’s exports surge 36.2% in April
Index of industrial production for April at 17.6%
Inflation rises to 10.16% in May
Government okays de-control of fuel prices
Media shares in limelight as Trai recommends 74% FDI in broadcast carriage services
The key benchmark indices jumped amid high volatility as European banks sought a smaller amount of central bank loans at a three-month tender auction on Wednesday than markets had anticipated. The news helped ease liquidity-related fears about the health of euro zone financial sector. Index heavyweight Reliance Industries (RIL) gained. Media shares jumped after the Telecom Regulatory Authority of India (Trai) recommended increasing foreign investment (FDI) limit to 74% in broadcast carriage services viz. DTH, IPTV, Mobile TV, HITS (Headend in the Sky), Teleport and multi-system operators (MSOs).
Daily Grey Market Premiums - June 30 2010
| Company Name | Offer Price (Rs.) | Premium (Rs.) |
| Parabolic Drugs Ltd. | 75 | Discount |
| Aster Silicates Ltd. | 112 to 118 | 8 to 9 |
| Technofab Engineering | 230 to 240 | 12 to 12.50 |
Market may extend Tuesday's losses on weak global cues
The market may extend Tuesday's 1.35% losses on weak global stocks. Trading of S&P CNX Nifty futures on the Singapore stock exchange indicated that the Nifty could slide 52.50 points at the opening bell.
Gap-down opening seen on weak global cues
Headlines for the day:
Diesel prices will also be freed, says PM
RCF plans $1.5-billion fertiliser plant in Ghana
Tata asks govt to delay 3G-spectrum allocation
Daily News Roundup - June 30 2010
State Bank of India fixed its base rate at 7.5%. (ET)
JSW Steel is planning to invest Rs750bn in both brownfield and greenfield projects to increase its capacity over fourfold to 32mtpa from the present 7.8mtpa by the turn of 2020. (ET)
JSW Steel may take another six months before Japan’s second-largest steel company, JFE Holdings, buys a stake in it. (BS)
Bharti Airtel said it will invest US$100mn over the next three years to expand in Gabon. (ET)
ONGC and its partners will sign contracts for half of 34 oil and gas blocks awarded in the latest round of auction under the NELP. (ET)
ONGC board is expected to consider a fresh cost estimate for development of the G1-GS15 marginal gas field in KG basin by April 2011, exactly five years behind the original schedule. (BL)
ICRA has upgraded the long-term rating on outstanding Rs45.9bn long-term bonds programme of Indian Oil Corporation from LAA+ and ‘positive outlook’ to LAAA. (FE)
Reliance Communications is likely to acquire privately-held cable television company Digicable in a cashless deal. (ET)
Ashok Leyland has increased prices of its medium and heavy duty vehicles by about 3% with immediate effect. (FE)
Pantaloon Retail has allotted 10mn warrants to its promoters' group company, Future Ideas Realtors India Ltd. (FE)
Cadila Healthcare (Zydus Cadila) has launched generic version of Anastrazole tablets (1 mg) in the US market upon receiving an approval from the US FDA. (BL)
Maytas Infrastructure has reported a net loss of Rs2.5bn FY10, compared with a net loss of Rs4.7bn last year. Its net revenues declined 33.2% to Rs11bn from Rs16.4bn in the previous year. (BS)
Tata Teleservices, which has won 3G spectrum licences in nine circles, has written to the government asking it to delay the allocations until the issue on usage of Chinese equipment is cleared. (BS)
Union Bank of India said it has raised Rs5bn as capital by way of debt. (ET)
Apollo Tyres would increase prices of its products next week. (FE)
Subros has picked up a minority stake in a new 74:26 joint venture with Japan’s Denso. (ET)
Alembic has decided to hive off its core pharma division into a new entity - Alembic Pharma. (ET)
RCF has proposed to invest US$1.5bn to set up a gas-based fertiliser plant with a capacity of 1mn tons in natural gas-rich Ghana. (BS)
AstraZeneca Pharma and Sulzer have sought to delist their Indian subsidiaries. (ET)
City Union Bank has received board approval to raise up to Rs3bn via QIP. (ET)
REI Agro’s Rs12.5bn rights issue will open for subscription for shareholders from Wednesday. (FE)
Aqua Logistics board has approved a proposal to raise funds to the extent of US$70mn. (FE)
Spice Mobiles said it would merge with the parent company Spice Televentures as part of a plan to consolidate the group's telecom businesses. (FE)
Uflex will invest over US$250mn in the next two years to enhance output at its manufacturing plants and set up new units. (FE)
Nasscom will make a pitch to the government, seeking continuity of tax benefits on special economic zones (SEZs) in the Direct Taxes Code (DTC). (ET)
The government has extended the special duty on import of soda ash from China. (ET)
The Petroleum and Natural Gas Regulatory Board (PNGRB) issued licence rules for companies laying gas pipelines. (FE)
The Union finance ministry has agreed to states’ demand that tobacco be kept within the ambit of Goods and Services Tax (GST) and alcohol outside it. (BS)
SEBI on Tuesday said that FIIs will now have to disclose information on Indian securities lent by them to overseas entities (for the purpose of short selling) on a weekly rather than a daily basis. (BL)
World goes for a toss…Sensex tumbles over 200 pts
History repeats itself, they say. That adage has been true for the Indian stock market for quite some time now, with the key indices failing to break out of the current range after coming close to a break out. Today was no different, just when the bulls thought they could breach 5400 and head further up came the bolt from China.
Payback panic!
We are more disturbed by a calamity which threatens us than by one which has befallen us. - JL Spalding
Global jitters are back to haunt us just when the Indian indices were hoping to surpass previous intermediate highs. Barring double-digit inflation, the Indian economy remains on firm footing. But then we remain at the mercy of the world.
Prime Focus
We recommend a buy in the stock of Prime Focus from a short-term perspective. It is evident from the charts of the stock that its short-term downtrend which started from its April 2010 peak of Rs 365, found support around Rs 260 in late May. This downtrend retraced exactly 61 per cent fibonacci retracement of its prior uptrend (from Rs 191 to Rs 360). Subsequently, the stock resumed it medium-term uptrend that is in place since the February 2010 low of Rs 191. On Tuesday, the stock advanced 5 per cent conclusively breaching through its key resistance and 50-day moving average poised around Rs 285. The volume was above average. Both daily and weekly relative strength indices have entered into the bullish zone. Moreover, the daily moving average convergence divergence indicator is on the brink of entering this positive territory, whereas the weekly indicator is featuring in the positive territory. Our short-term forecast on the stock is bullish. We anticipate the stock to rally further until it hits our price targets of Rs 314 or Rs 320. Short-term traders can buy the stock with stop-loss at Rs 288.
via BL
Annual Report - Shriram Transport Finance - 2009-2010
SHRIRAM TRANSPORT FINANCE COMPANY LIMITED
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
Your Directors have pleasure in presenting their Thirty First Annual Report
and the Audited Statements of Accounts for the year ended March 31, 2010.
Annual Report - Orbit Corporation - 2009-2010
ORBIT CORPORATION LIMITED
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
Dear Shareholders,
We are privileged to place before you the 10th Annual Report of your
Company together with the Corporate Governance Report', Management
Discussion and Analysis' & Audited Financial Accounts' for the Financial
Year (FY) ended 31st March, 2010.
Annual Report - JK Lakshmi Cement - 2009-2010
JK LAKSHMI CEMENT LIMITED
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
TO
THE MEMBERS
The Directors have pleasure in presenting the 70th Annual Report together
with the Audited Accounts of the Company for the year ended 31st March
2010.
Annual Report - HDFC - 2009-2010
HOUSING DEVELOPMENT FINANCE CORPORATION LIMITED
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
TO THE MEMBERS
Your directors are pleased to present the Thirty-third Annual Report of your
Corporation with the audited accounts for the year ended March 31, 2010.
Annual Report - Crompton Greaves - 2009-2010
CROMPTON GREAVES LIMITED
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
To,
THE MEMBERS,
Your Directors are pleased to present their Seventy Third Annual Report on
the business and operations of the Company and the accounts for the
financial year ended 31 March 2010.
Annual Report - Kotak Mahindra Bank - 2009-2010
KOTAK MAHINDRA BANK LIMITED
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
To
The Members of
KOTAK MAHINDRA BANK LIMITED
The Directors present their Twenty Fifth Annual Report together with the
audited accounts of your Bank for the year ended 31st March, 2010.
Mixed day for precious metals
Gold shines but silver turns pale
Yellow metal prices ended modestly higher on Tuesday, 29 June 2010 at Comex. Prices rose during mid session hours despite a strong dollar as US stocks plummeted following a worse than expected consumer confidence data. But silver prices slipped.
Crude sinks
Weak economic data pressures prices
Crude oil prices ended substantially lower on Tuesday, 29 June 2010 at Nymex. Prices fell considerably due to weak global economic data, mainly at China and US front. The same questioned the demand for crude in coming months. Stern dollar also pushed crude prices lower.
Tuesday, June 29, 2010
BSE Bulk Deals to Watch - June 29 2010
Deal Date Scrip Code Company Client Name Deal Type * Quantity Price **
29/6/2010 517356 ACI Infocom SANJAY AGARWAL HUF B 100000 25.60
29/6/2010 517356 ACI Infocom ANJALI COMMODITIES PVT LTD S 100000 25.53
NSE Bulk Deals to Watch - June 29 2010
Date,Symbol,Security Name,Client Name,Buy/Sell,Quantity Traded,Trade Price / Wght. Avg. Price,Remarks
29-JUN-2010,BPL,BPL Ltd.,SHRIDHAR BANSIDHAR GUPTA,BUY,440977,42.64,-
29-JUN-2010,HATHWAY,Hathway Cable & Datacom,RELIANCE MUTUAL FUND,BUY,1300000,175.00,-
29-JUN-2010,INSECTICID,Insecticides (India) Limi,KALASH SHARES & SECURITIES PRIVATE LIMITED,BUY,96806,278.29,-
Turnover rises
Nifty July 2010 futures at premium
Nifty July 2010 futures were at 5268.50, at a premium of 12.35 points over spot closing of 5256.15. Turnover in NSE's futures & options (F&O) segment rose to Rs 82,409.73 crore from Rs 60,166.73 crore on Monday, 28 June 2010.
Market declines for the third time in four days
The key benchmark indices registered their third decline in four days on Tuesday, 29 June 2010, as Asian and European stocks and US index futures slumped. Metal stocks tumbled after the Conference Board corrected down its April 2010 gauge for the outlook of China's economy. Banking, auto, IT and realty stocks also fell. Index heavyweight Reliance Industries (RIL) edged lower.
New Direct Taxes Code - not so friendly on investments
The revised discussion paper on the new direct tax code has a couple of provisions that would mean a fundamental change for those investing in stocks, equity mutual funds and other equity-based asset types.
Ansal API eyes Rs30K crore investment
After wrapping up a private placement deal with a select group of investors including the Enam Group, realty infrastructure major, Ansal API, is now in talks with some of the leading institutional investors for another equity investment deal.
Bullion metals turn pale
Prices dive lower as dollar heads up
Bullion metal prices ended substantially lower on Monday, 28 June 2010 at Comex. Prices fell as the dollar headed up during the day and as US equities pared their losses that they incurred earlier during the day.
Markets may open flat
Indian equities are likely to open flat on Tuesday, Jun. 29, 2010. SGX Nifty is trading at 5,340 (7.45 am), 1.50 points higher than Monday closing of 5,338.5.
Most Asian stocks rose, led by financial and phone companies. Japanese benchmark index Nikkei 225 rose 47.57 points, or 0.49%, to trade at 9,741.51.
Standing at the threshold!
For many men that stumble at the threshold are well foretold that danger lurks within.- William Shakespeare.
The market may be at the threshold of yet another technical breakout, but given the murky global outlook, the bulls may just remain standing. A flat start and a possible listless session for the overall market is what we have in store.
Daily News Roundup - June 29 2010
RIL announced its seventh discovery in the 635 square-kilometre block, CB-ONN-2003/1 (CB 10 A&B), in the Cambay Basin, about 130 kilometres from Ahmedabad. (BS)
SBI to announce its base rate today; hints at fixing it at 8%. (ET)
Tata Motors plans to raise Rs47bn through a combination of instruments to meet capital requirements and cut debt. (BS)
ITC is setting up another unit at its existing paper mill in Bhadrachalam at a cost of Rs10bn to add a paper plant of 0.2mtpa capacity. (BS)
PowerGrid Corp would invest Rs580bn for setting up network to facilitate evacuation of electricity from power surplus states to others. (FE)
ITC plans to extend its Vivel personal care range to deodarants and talcs. (BS)
NTPC plans to raise a syndicated loan of US$300mn to finance its ongoing capacity addition initiatives. (BS)
Plethico Pharmaceuticals has joined hands with US retailing giant Wal-Mart for supplying its nutritional products to US consumers. (ET)
IDFC has received the shareholders’ approval to raise Rs35bn and also to double its borrowings to Rs800bn. (BS)
Reliance Infrastructure to borrow around Rs26bn for the Bandra-Worli-Haji Ali Sea Link project in Mumbai. (ET)
Essar Steel has acquired the UK based steel processor Servosteel for an undisclosed amount. (ET)
IndusInd Bank to raise upto Rs10bn through share sale. (ET)
NTPC has rejected a proposal for pooling of gas prices for the power sector. (BS)
Pantaloon Retail to receive Rs4bn in lieu of convertible warrants issued to promoters. (ET)
Crompton Greaves through its subsidiary CG Power Systems USA Inc opens its transformer unit in US. (BL)
M&M may set up aircraft financing arm in Australia. (BS)
Tube Investments shifts China plant to Chennai. (BL)
CCCL has bagged contracts totaling Rs1.8bn for constructing 10 elevated stations for Chennai Metro Rail project. (BL)
Strides Arcolab plans to raise up to US$100mn through various financial instruments, also plans to hike the borrowing limit to Rs25bn. (ET)
PowerGrid to invest Rs 58-k cr on transmission network it plans to invest Rs 550 bn for adding 37,000 MW (FE)
IRDA has ordered life insurers to offer customers a guaranteed return of 4.5% per annum on pension and annuity plans as part of its new, tighter norms. (ET)
Finance Minister has hinted that the RBI may not increase key policy rates before its next monetary policy review due on July 27. (BS)
Growth in six key infrastructure sectors decelerated for a consecutive month to 5% in May, as output in coal, cement and finished steel slowed. (BS)
Mobile phone firms in India added 16.3mn new users in May taking the total wireless user base to 617.5mn. (ET)
The government is believed to be in the final stages of formulating a gas allocation policy, which is likely to give preference to new power plants over expansion projects. (ET)
Sensex energized…shuts near day’s high
It was a strong day for the Indian markets as the benchmark stock indices ended near the day’s high. The strong upswing was led by Realty and Power stocks. Oil & Gas stocks continued their good run for a second straight day as heavyweights like ONGC, IOC, BPCL and HPCL extended gains post the partial deregulation of fuel prices on Friday. Momentum picked up pace after European markets advanced.
Flat opening on the cards
Headlines for the day:
Tata Motors plans to raise Rs4,700 crore
Infrastructure growth slows to 5% in May
NTPC rejects pooling of gas prices for power, fertiliser sector
GSFC
Investors with short-term trading perspective can consider buying the stock of Gujarat State Fertilizers and Chemicals. It is seen from the charts of the stock that it has been steadily trending upward since its December 2008 low of Rs 64, shaping higher peaks and higher bottoms. In late May 2010, the stock found support at its significant long-term support zone between Rs 200 and Rs 215 and bounced up immediately. However, after pausing a while near the resistance at Rs 240, it penetrated this resistance by gaining 3.5 per cent on June 28 . This up move has reinforced the stock's bullish momentum. We observe that there is an increase in volumes over the past two trading sessions. The 14-day relative strength index is on the verge of entering in to the bullish zone from the neutral region whereas the weekly RSI has just entered this zone. Daily moving average convergence divergence indicator has signalled a buy and is heading towards positive territory. Moreover, the long-term uptrend-line is in tact for the stock. We are bullish on the stock from a short-term horizon. We expect it to move up until it hits our price targets of Rs 260 or Rs 266. Short-term traders can buy the stock with stop-loss at Rs 241.
via BL
Monday, June 28, 2010
BSE Bulk Deals to Watch - June 28 2010
Deal Date Scrip Code Company Client Name Deal Type * Quantity Price **
28/6/2010 526955 ABL Biotech SILVER GOLDEN PROPERTY DEVELOP FIN INVESTMENT LIMITED S 100000 20.00
28/6/2010 526955 ABL Biotech RAVAL ANKITKUMAR D S 59501 20.62
28/6/2010 530901 ACIL Cot Inds JAYSHREE SHANKAR BHOSLE B 100000 34.69
NSE Bulk Deals to Watch - June 28 2010
Date,Symbol,Security Name,Client Name,Buy/Sell,Quantity Traded,Trade Price / Wght. Avg. Price,Remarks
28-JUN-2010,COREPROTEC,Core Projects and Technol,PACIFIC CORPORATE SERVICES LTD,BUY,460000,235.50,-
28-JUN-2010,COREPROTEC,Core Projects and Technol,THE ROYAL BANK OF SCOTLAND N.V.,BUY,2100000,232.41,-
28-JUN-2010,JHS,JHS Svendgaard Laboratori,EXON GLOBAL ENTERPRISES PVT LTD,BUY,75000,62.78,-
28-JUN-2010,LOTUSEYE,Lotus Eye Care Hospital L,PRUDENTIAL STOCK & SECURITIES LTD,BUY,108000,20.99,-
28-JUN-2010,SURYAROSNI,Surya Roshni Ltd,TERRANOVA TECHNOLOGIES LIMITED,BUY,411000,88.46,-
28-JUN-2010,COREPROTEC,Core Projects and Technol,PACIFIC CORPORATE SERVICES LTD,SELL,2800000,233.49,-
28-JUN-2010,LOTUSEYE,Lotus Eye Care Hospital L,PRUDENTIAL STOCK & SECURITIES LTD,SELL,108000,20.15,-
28-JUN-2010,VOLTAMP,Voltamp Transformers Limi,DEUTSCHE SECURITIES MAURITIUS LIMITED,SELL,56000,1021.20,-
Fuel price hike may cut fiscal deficit
The increase in the fuel prices will help oil marketing companies (OMCs) cut under-recoveries by Rs22,000 crore this year, thereby easing pressure on the government finances and bringing down the fiscal deficit.
"These changes will help the fiscal and the revenue deficits to decline," finance ministry's chief economic adviser Kaushik Basu said on Friday (June 25, 2010), after an empowered group of ministers led by the Finance Minister Pranab Mukherjee decided to free petrol prices and raise prices of kerosene, diesel and cooking gas.
Nifty July 2010 futures at premium
Turnover declines
Nifty July 2010 futures were at 5338.55, at a premium of 5.05 points over spot closing of 5333.50. Turnover in NSE's futures & options (F&O) segment fell to Rs 60,166.73 crore from Rs 77,422.45 crore on Friday, 25 June 2010.
Aster Silicates IPO subscribed nearly 3 times
Gets bids for 1.28 crore shares
The initial public offer of Aster Silicates, which manufactures sodium silicate, was subscribed 2.7 times by 15:00 IST on Monday, 28 June 2010. The IPO got bids for 1.28 crore shares compared with 47.41 lakh shares on offer.
Oil, realty stocks lead rally; market snaps two-day slide
The key benchmark indices snapped last two days' losses on firm global stocks. The market breadth was strong. Oil & gas stocks extended Friday's (25 June 2010) sharp gains after the government freed petrol pricing and raised prices of other fuels. Metal, auto, sugar and realty stocks also gained. Except the BSE FMCG index, all the other sectoral indices on BSE were in green.
Grey Market Premiums - June 28 2010
| Parabolic Drugs Ltd. | 75 | Discount |
| Aster Silicates Ltd. | 112 to 118 | 5 to 5.50 |
| Technofab Engineering | 230 to 240 | 9 to 10 |
Big jump for crude
Storm concerns push prices higher
Crude oil prices shot up substantially on Friday, 25 June 2010 at Nymex. Prices rose as traders turned their notice towards a storm that was shaping up in the Caribbean and could halt production at Gulf of Mexico. Weak dollar also aided in higher crude price.
Markets likely to get a flat start
Headlines for the day:
RCom-GTL tower merger creates $11-billion giant
Piramal Healthcare eyes buys in US, Europe, Canada
GPL to invest Rs27 crore on embankments
Daily News Roundup - June 28 2010
RNRL signed a revised gas sale master agreement with Reliance Industries for supply to the former's proposed power plant at Dadri in Uttar Pradesh, close to Delhi. (BS)
Reliance Communications says it has agreed to sell its telecom business to GTL Infrastructure. (BL)
Worried start in the offing!
That's the secret to life... replace one worry with another - Charles M. Schulz.
Earlier the worry was whether the Government would decontrol fuel prices. Now the worry is whether such a step will flare up inflation and invite an intra-cycle rate hike from the RBI. Whether the central bank will oblige or not only time will tell. The RBI is scheduled to meet on July 27 for the first quarter review.
Market opens on a firm note
The key benchmark indices surged in early trade as Asian stocks and US index futures gained. The market breadth was strong. Oil & gas stocks extended Friday's (25 June 2010) gains after government freed petrol pricing and raised prices of other fuels. Reliance Communications, India's second biggest cellphone operator by sales, jumped more than 4% after company agreed to merge its telecom towers business with that of GTL Infrastructure. The BSE 30-share Sensex was up 88.80 points or 0.51%. Consumer durables stocks rose.
GTL - Reliance Communication - Relinace Infratel merger details
Reliance Communication (RCom) said on Sunday that it has agreed to sell its telecom tower business to GTL Infrastructure, a Mumbai-based listed company.
RCom's tower business is operated under a 95-per cent owned company - Reliance Infratel. Under the deal, the details of which are yet to be announced, Reliance Infratel will merge its tower business with GTL Infrastructure.
Pidilite Industries
Investors with medium-term investment perspective can consider buying the stock of Pidilite Industries (Rs 122.7). After finding significant support at Rs 40 in March 2009, the stock started rising. Since then, the stock has been forming higher peaks and higher troughs.
Sunday, June 27, 2010
Annual Report - Ajanta Pharma - 2009-2010
AJANTA PHARMA LIMITED
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
It is with great pleasure and satisfaction that your Directors present the
31st Annual Report and audited accounts for the year ended March 31st,
2010.
RCom, GTL Infra deal !
The Boards of Reliance Communications Ltd. (RCOM), and its subsidiary, Reliance Infratel Ltd. and GTL Infrastructure Ltd. (GTL INFRA) Sunday in-principle approved a Rs. 50,000 crore (USD 11 billion) deal to create the world’s largest independent telecom infrastructure company, neither owned nor controlled by any telecom operator.
On June 23, CNBC-TV18, quoting VCC Circle had reported that GTL Infrastructure and Reliance Infratel are in talks to merge their tower operations.
The transformational deal will be implemented through a demerger of RINFRATEL’s tower assets into GTL INFRA. Reliance Infratel will demerge its tower assets into GTL Infra fibre optic network. The related assets will however remain with RCOM.
via CNBC
NHPC - worth investing ?
Investors with a three-year horizon can consider buying the stock of NHPC, the largest hydropower generator.
The stock is trading at reasonable valuations even as earnings are expected to grow at a strong pace over the next four years, thanks to higher capacity additions. The company proposes to add 4,292 MW amounting to 83 per cent of the current capacity by FY2013, which may ramp up earnings and also improve the return on equity. While the projects in progress have depressed return on equity, most of them are in advanced stages of development now.
At current market price of Rs 28.5, the stock is trading at 22 times its estimated FY11 consolidated earnings and 1.39 times its estimated FY11 consolidated book value. In price-book value terms, NHPC is at a discount to NTPC and PowerGrid. With return on equity set to improve and earnings likely to grow at strong double digits, the stock deserves a higher valuation. The company's Rs 6,189 crore of cash (inclusive of Rs 4,025 crore raised through IPO) works out to Rs 5 a share.
NHPC is under-leveraged and deployment of its cash in projects with a higher normative debt:equity may allow it to improve its returns on equity. The current debt-equity is at 0.64:1.
Its increased capacities will earn better tariffs after the new CERC norms which assure a post-tax return on equity of 15.5 per cent, compared to 14 per cent earlier. With most of the costs and external risks (including cost overruns) pass through to customers, the margins may improve. In addition, the company can also earn higher incentives by generating more than the design energy.
NHPC has 9,631 MW in planning stage to be executed over next decade. The planned capacities may have about 40 per cent allocated to merchant power in line with the National Hydro Power Policy, 2008. Even as the merchant tariffs over the next decade may moderate with increasing power supply, hydro projects with their lower costs (than thermal projects) may earn good returns. NHPC's projects are situated on perennial rivers which reduces hydrological risks. It also earns carbon credits on some of its projects which can be traded to augment revenue streams.
NHPC plans to diversify its fuel base by entering into thermal power through its subsidiary NHDC. The latter is planning 2,640 MW of thermal plants in Madhya Pradesh.
Other issues: The 25 per cent mandatory public holding norm may force the company to dilute stake again; given that the company has huge cash resources, it may be a candidate for disinvestment.
Any regulatory decision on allowing merchant power for hydel power projects to recover return on equity also offers upside for NHPC.
via BL
Suzlon Energy - not a right issue !
Shareholders can refrain from applying to the rights offer made by Suzlon Energy, as the additional capital from the rights is unlikely to be earnings-accretive in the medium-term. The offer's primary objective is to discharge certain loans availed of by the company from the promoter group. The rights offer, together with any FCCB conversion in the medium-term, could pose the risk of earnings dilution. While the long-term prospects for the wind energy sector and, therefore, for Suzlon, along with its foreign subsidiaries remain promising, the group has the immediate challenge of meeting its repayment obligations. While FCCB conversions could put to rest the company's debt obligations, the near-term impact of any such equity expansion on the earnings could be dilutive.
ARSS Infrastructure and Projects - book profits
Investors can consider booking profits in the stock of ARSS Infrastructure and Projects, a construction contractor in the infrastructure space. At Rs 1,177, the stock is valued at 20 times the trailing 12-month earnings. Peers such as Tantia Constructions trade at valuations of 8 times.
Annual Report - NIIT Technologies - 2009-2010
NIIT TECHNOLOGIES LIMITED
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
Dear Shareholders,
The Board of Directors of the Company take pleasure in presenting the
report on its business and for the financial year ended March 31, 2010.
Annual Report - Indiabulls Securities - 2009-2010
INDIABULLS SECURITIES LIMITED
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
To
The Members
Your Directors have pleasure in presenting the Fifteenth Annual Report and
the audited accounts of the Company for the year ended March 31, 2010.
Annual Report - Colgate Palmolive - 2009-2010
COLGATE-PALMOLIVE (INDIA) LIMITED
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
To
The Members
Colgate-Palmolive (India) Limited
Your Directors have pleasure in presenting their Report and Audited
Accounts of the Company for the year ended March 31, 2010.
Annual Report - Piramal Healthcare - 2009-2010
PIRAMAL HEALTHCARE LIMITED
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
Dear Shareholders,
We take pleasure in presenting the 63rd Annual Report and Audited Accounts
for the Year ended 31st March 2010.
Annual Report - Zensar Technoligies - 2009-2010
ZENSAR TECHNOLOGIES LIMITED
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
Your Directors are pleased to present their 47th Annual Report together
with the Audited Accounts for the year ended 31st March 2010.
Annual Report - Sasken Communication Technologies - 2009-2010
SASKEN COMMUNICATION TECHNOLOGIES LIMITED
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
Your Directors have pleasure in presenting the report on the business and
operations of the Company along with the Audited Accounts for the financial
year ended March 31, 2010.
5,260 is the pivot point for Nifty
After a positive start to the week, the markets exhibited lacklustre movement on most days and pared gains at close. Eventually, the benchmark indices ended flat. The Sensex, which rallied to a high of 17,920, closed at 17,574, up just four points.
Direct Taxes Code - Impact on FIIs
Foreign institutional investors (FIIs) play a significant role in the Indian equity market, both as long-term investors and as short-term traders. It is therefore not surprising that the Revised Discussion Paper on the Direct Taxes Code (DTC) dwells at length on the issues pertaining to the taxation of these investors.
Technofab Engineering IPO Analysis
Focused on balance of plant packages
Undertakes projects in the power, oil & gas, water & wastewater treatment and other industrial & infrastructure sectors
Technofab Engineering (TFEL) is engaged in the business of providing engineering, procurement and construction (EPC) services on turnkey basis. The company undertakes execution of a wide range of balance-of-plant (BoP) and electro-mechanical projects in the power, oil & gas, water & wastewater treatment and other industrial & infrastructure sectors in both India as well as international markets. The company currently executes projects in 15 states in India as well as Kenya, Ethiopia and Fiji.
Direct Taxes Code - who does it affect you ?
Direct Taxes Code (DTC) is proposed to replace the Income-Tax Act from April 1, 2011, with the objective of simplification of tax structure and align it with the economic environment.
DTC was presented to the public for debate in August 2009. After due deliberations and suggestions from stakeholders, a Revised Discussion Paper (RDP) was presented recently by the Government for public comments. The RDP has reconsidered many proposals in the DTC in line with the expectations of the public.
Reliance Power - reduce exposure
Investors can consider reducing exposure to the stock of Reliance Power, given that the recent gains in the stock have placed it at a stiff valuation relative to peers in the sector. The stock is trading at a 38 per cent discount to its issue price.
Technofab Engineering IPO Review
Those with a high risk appetite can consider investing in the initial public offer of small-sized Engineering, Procurement and Construction (EPC) services player, Technofab Engineering, with a two-year perspective. Strong growth in revenues and earnings over the last couple of years, low gearing, presence in lucrative segments such as nuclear power and water management are the key positives for this company. The offer price band of Rs 230-240 discounts the likely per share earnings for FY-11 by 7.6-8 times. The valuation is at a discount to comparable peers such as Hindustan Dorr Oliver and BGR Energy Systems.
Saturday, June 26, 2010
Nifty July 2010 futures at premium
Turnover drops
Nifty July 2010 futures were at 5282.80, at a premium of 13.75 points over spot closing of 5269.05. Turnover in NSE's futures & options (F&O) segment fell to Rs 77,422.45 crore from Rs 1,54,837.50 crore on Thursday, 24 June 2010.
HPCL July 2010 futures were at premium at 403.20 compared to the spot closing of 399.70.
Reliance Industries July 2010 futures were at premium at 1072.95 compared to the spot closing of 1066.50.
BPCL July 2010 futures were at a premium at 622.90 compared to the spot closing of 617.70.
In the cash market, the S&P CNX Nifty fell 51.55 points or 0.97% at 5269.05.
How experts view fuel price hike and petrol de-regulation?
The much-awaited Empowered Group of Ministers (EGoM) meeting on Friday culminated in a number of sweeping changes on fuel prices including shift to market-driven prices for petrol. This would result in rise in prices of petrol by 6.7% (an increase of Rs 3.5/ltr). Diesel would also be de-regulated over time and prices have been raised by 5% (Rs 2/ltr) for now.
US court blocks offshore drilling ban
The US federal judge denied a motion filed by the Obama administration to allow the ban to stay in place during the appeal process. The judge also denied a motion by plaintiffs to enforce his own injunction. This means that the US government can file an emergency motion with the appeals court asking it to keep in place the drilling moratorium until the legal fight over the injunction is resolved. The Obama administration plans to declare a new moratorium on deepwater drilling, Interior Secretary Ken Salazar said on June 22. Salazar's announcement came hours after US District Judge Martin Feldman overturned the administration's first six-month moratorium on exploration in deep waters. "We see clear evidence every day, as oil spills from BP's well, of the need for a pause on deepwater drilling," Salazar was quoted as saying. The new moratorium would contain more specific justification for the drilling ban, Salazar said.
BP stock hit a 14-year low on Friday and its credit weakened sharply on talk it needs extra cash to fund the clean-up and compensation bill for the worst oil spill in US history. Total share losses for the embattled oil major since the ecological disaster began on April 20 stand at around US$100bn, more than halving its pre-spill market value. BP said a relief well had successfully detected the MC252 well and would continue to a target intercept depth of 18,000 feet, when "kill" operations would begin. BP said 37,000 people, 4,500 vessels and 100 aircraft were currently helping the response effort.
UK plans US$59bn spending cuts, new taxes
The UK took action to get its own budget deficit under control even as world markets were hit by concerns about the exposure of French banks to Greece and other troubled euro-zone nations. The UK FTSE 100 index fell 1% to 5,246.98 but moved off early lows after UK Chancellor George Osborne announced spending cuts and tax increases that will total £40bn (US$59bn) a year by 2015. The budget, which came just six weeks after the Conservative and Liberal Democrat coalition took power, will eliminate the country's structural deficit by the end of the current parliament, Osborne said. He said that total borrowing would fall from £149bn this year to £37bn in fiscal 2015 and that borrowing as a percentage of gross domestic product (GDP) would drop to 1.1% over that period.
US lawmakers clear bank reform bill
A panel of US lawmakers approved a sweeping bank reform bill, aimed at curbing some of the questionable activities of Wall Street in a bid to avert another financial crisis. According to reports, the so-called "too big to fail" Wall Street banks will face new fees and restrictions. Also, the bill brings derivatives market into the spotlight. The bill will create a consumer protection agency, besides clearing the 'Volcker' rule that intends to curb the proprietary trading activities of the big banks on Wall Street.
Yuan logs biggest weekly gain since Dec. 2008
The yuan had its biggest weekly gain since December 2008 after China set the currency’s daily reference rate at a record high, just ahead of the G20 summit over the weekend after ending a two-year peg to the US currency. The yuan rose 0.5% this week, and 0.1% from yesterday, to 6.79 per dollar as of 5:51 p.m. in Hong Kong. The central bank fixed the reference rate at 6.7896 per dollar, 0.3% stronger than yesterday and 0.15% higher than the close in the spot market. The yuan is allowed to trade 0.5% on either side of the daily fixing. The yuan on Friday touched a post-revaluation high against the US dollar, marking a record modern low for the American currency against the Chinese unit.
India’s food inflation accelerates to 16.9%
Inflation in the food as well as non-food groups climbed in the second week of June, while fuel group inflation remained unchanged, data released by the government showed. Stubbornly high food inflation has been a major headache for policymakers, and if prices do not show any sign of moderation in the coming days, the RBI will be forced to act ahead of its scheduled policy meet in late July. It may be recalled that WPI-based inflation shot up to 10.16% in May from 9.59% in April, while the March figure was revised to over 11% from 9.9%.
IMD revises monsoon forecast to 102% of LPA
The India Meteorological Department (IMD) said that rainfall over the country as a whole for the 2010 southwest monsoon season (June to September) is likely to be normal. Quantitatively, monsoon season rainfall for the country as a whole is likely to be 102% of long period average (LPA) with a model error of ±4%.
Weekly Stock Picks - June 26 2010
Buy IOC
Buy Jindal Saw
Buy Century Textile
Buy Alok Industries
Buy Tata Elxsi
Weekly Newsletter - June 26 2010
While the die-hard reformist would hail the Centre's decision to free petrol prices and hike prices of other fuels, the inflation hawks would frown upon the move. Clearly, the EGoM action will have more of a long-term impact on the economy but poses a short-term risk in terms of a spike in inflation. The next event to watch out for in this context will be the RBI's policy review. Whether the central bank goes for a rate hike before the scheduled meeting is anybody's guess. The RBI is also in a bind as the markets are also currently going through a temporary liquidity crunch.
RIL and RNRL ink revised gas supply pact
Reliance Industries Ltd. (RIL) and Reliance Natural Resources Ltd. (RNRL) announced the signing of a revised gas supply master agreement (GSMA). RNRL said that the new GSMA with RIL was signed on June 25 pursuant to the judgment of the Supreme Court, dated May 7. RNRL also said that it will now take appropriate steps requesting the Government of India for expeditious allocation of natural gas to facilitate implementation of the same.
EGoM finally does it...frees petrol prices from state control
The Government finally managed to muster up the courage to do what it has been promising since long - free fuel prices from administrative shackles. After two aborted attempts in recent days, the Empowered Group of Ministers (EGoM) on de-regulation of fuel prices met today in New Delhi. Most members attended the meet, barring Railway Minister Mamata Banerjee. She later termed the move as "anti-people". There will surely be some more clamour from other political parties to rollback the proposed hike in fuel prices. All eyes will be on the monsoon session of parliament, which will no doubt be a stormy affair.
PSU OMCs vault after partial fuel price deregulation
The key benchmark indices declined for the second straight day on weak European stocks and as US index futures declined. But, oil & gas stocks surged after the government freed petrol prices. The government will also eventually decontrol diesel prices, Oil Secretary S. Sundareshan said. Some auto shares fell on worries the latest fuel price hike may crimp sales. Bank shares, too, declined on worries the fuel price hike will stoke inflation. Index heavyweight Reliance Industries (RIL) rose after the company signed a new gas supply master agreement with Reliance Natural Resources.
Auto, cement stocks to be in focus
Automobile and cement stocks will be focus as companies announce sales volume data for the month of June 2010 in early July 2010. Investors will also closely watch the progress of the monsoon rains.
Market retracts from 2-1/2 month high
Profit taking pulled the key benchmark indices off 2-½ month highs in what was an eventful week. An end to the row over regulation of Unit Linked Insurance Products (Ulips) and China's decision to allow its currency more freedom to move against the US dollar, boosted the market at the onset of the week. But, US Federal Reserve's more downbeat language on economic growth in the world's biggest economy weighed on the market towards the latter part of the week. The government's decision to raise fuel prices stoked inflation worries, pulling the market lower on last trading day of the week.
Friday, June 25, 2010
NSE Bulk Deals to Watch - June 25 2010
Date,Symbol,Security Name,Client Name,Buy/Sell,Quantity Traded,Trade Price / Wght. Avg. Price,Remarks
25-JUN-2010,BSL,BSL Ltd,BHARAT SECURITIES PVT LTD,BUY,60720,38.36,-
25-JUN-2010,DIGJAM,Digjam Limited,RISHABHKUMAR M JAIN HUF,BUY,347400,13.70,-
25-JUN-2010,DIGJAM,Digjam Limited,TRANSGLOBAL SECURITIES LTD.,BUY,420942,13.74,-
25-JUN-2010,FCSSOFT,FCS Software Solutions Li,JMP SECURITIES PVT LTD,BUY,9493000,3.96,-
BSE Bulk Deals to Watch - June 25 2010
Deal Date Scrip Code Company Client Name Deal Type * Quantity Price **
25/6/2010 500003 Aegis Logistics SUNDEEP CREDITS PVT LTD B 106627 409.46
25/6/2010 511605 Arihant Cap KAMLESH NAHAR B 41700 239.69
25/6/2010 511607 Birla Shloka RAJ FINVEST B 123477 84.43
25/6/2010 511607 Birla Shloka RAJ FINVEST S 123477 83.05
25/6/2010 512624 Chandrika Trad ABN INDIA EQUITY RESEARCH PRIVATE LIMITED S 69922 5.41
Annual Report - Corporation Bank - 2009-2010
CORPORATION BANK
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
1. The Board of Directors have pleasure in presenting the Annual Report
together with Balance Sheet and Profit and Loss Account of the Bank for the
year ended 31st March, 2010.
Banking, IT stocks lead decline; breadth weak
The key benchmark indices slumped to intraday lows in late trade as European stocks and US index futures declined. Oil & gas stocks surged after the government freed petrol prices. The government will also eventually decontrol diesel prices, Oil Secretary S. Sundareshan said. But, some auto shares fell on worries the latest fuel price hike may crimp sales. Bank shares, too, declined on worries the fuel price hike will stoke inflation. Index heavyweight Reliance Industries (RIL) rose after the company signed a new gas supply master agreement with Reliance Natural Resources.
The market breadth was weak. The BSE 30-share Sensex was provisionally down 153.01 points or 0.86%, up close to 30 points from the day's low and off about 130 points from the day's high.
Intraday volatility was high. The market lost ground in early trade on weak Asian stocks. The market extended losses in morning trade. The market came off the lows later. It recovered sharply after moving in a narrow range in afternoon trade. The market trimmed losses after weakening once again in mid-afternoon trade. The market slumped to a fresh intraday low in late trade.
The government has decided to raise petrol price by Rs 3.50 a litre and diesel price by Rs 2 a litre, as part of a plan to move towards a market-determined fuel price regime. The decision follows a ministerial panel meeting on freeing up petrol prices and cutting subsidies on diesel, kerosene and cooking gas, to help rein in the fiscal deficit, which is projected at 5.5% of the gross domestic product in 2010/11 and free up revenues for other programmes.
Kerosene price has been raised by Rs 3 per litre and LPG by Rs 35 per cylinder. The government has decided to decontrol petrol prices. It has also decided to decontrol diesel prices, though not immediately. It will, however, continue to subsidise LPG and kerosene.
European stocks edged lower on Friday, as losses for BP and autos worked to offset gains for banks ahead of this weekend's G-20 summit as reports indicated rules at a global and US level won't be as tough as initially drafted. The key benchmark indices in France, Germany and UK fell by between 0.75% to 0.82%.
Asian stocks slid for a fourth straight session on Friday, driven lower by worries of tighter financial regulation ahead of the weekend G20 meeting and on uncertainty about the global economic recovery. The key benchmark indices in China, Singapore, Hong Kong, Japan, Taiwan and South Korea fell by between 0.21% to 1.92%. But, key benchmark indices in Indonesia and Singapore rose by between 0.14% to 1.03%.
Taiwan's central bank raised its policy discount rate after markets hours on Thursday by 12.5 basis points to 1.375%. The rate hike was its first since June 2008.
US index futures reversed gains. Trading in US index futures indicated that the Dow could fall 38 points at the opening bell on Friday, 25 June 2010.
US stocks slumped on Thursday as fresh signs of consumer weakness and worries about stringent financial regulation provoked investors to unload positions. The Dow Jones Industrial Average dropped 145.64 points, or 1.41% to 10,152.80. The Standard & Poor's 500 Index fell 18.35 points, or 1.68% to 1,073.70. The Nasdaq Composite Index lost 36.81 points, or 1.63% to 2,217.42.
A fall in initial jobless claims and a rise in a gauge of long-lasting manufactured goods failed to offset recent weak economic data, and the Federal Reserve on Wednesday gave a subdued assessment about the economy's recovery.
Back home, most Indian firms including Reliance Industries, L&T, Tata Steel and Tata Motors, have paid higher advance tax in Q1 June 2010 over Q1 June 2009. Higher advance tax payment normally indicates higher profits for the period under review. Advance tax payments by companies during the April-June quarter account for 15% of the total advance tax payable in the fiscal year.
On the macro front, food inflation accelerated in mid-June 2010, maintaining pressure on the Reserve Bank of India to tighten monetary policy at a faster pace. The food price index rose 16.90% in the year to 12 June 2010, higher than the previous week's annual reading of 16.12%, data released by the government on Thursday showed. The fuel price index remained unchanged at 13.18% in the year to 12 June 2010.
Investors will closely watch the progress of the monsoon rains. Annual monsoon rains were 11.1% below normal between June 1-23, the India Meteorological Department (IMD) said on Thursday, 24 June 2010.
The south west monsoon is important for India as about 60% of the country's farmlands are rain-fed and more than half of the workforce is employed in the agriculture sector. The south-west monsoon usually covers the entire country by mid-July. The weather office late April 2010 said rainfall is likely to be 98% of the long-term average. Good monsoon rains would help raise farm output, boost rural incomes and lower food inflation.
Global rating agency Fitch recently raised India's growth forecast to 8.5% in the year to March 2011 from earlier forecast of 7% growth. The rating agency raised the local currency rating outlook to stable from negative as it forecast a decline in government debt to GDP ratio to 80% by March 2011 from 83% at the end of March 2010.
Meanwhile, in a major development, the government recently ended the row over unit linked insurance plans or Ulip by promulgating an ordinance on Friday, 18 June 2010, stating that unit linked insurance policies with investment component are insurance products which will come under the regulatory jurisdiction of the Insurance Regulatory & Development Authority (Irda) and not the Securities & Exchange Board of India (Sebi). It amended four Acts to make it clear that Ulips are not securities and they did not form part of collective investment schemes or mutual funds.
Foreign funds have made heavy purchases of Indian stocks over the past few days. The net inflow totaled Rs 6900.07 crore in June 2010 so far (till 24 June 2010) compared to a massive outflow of Rs 12071.13 crore in May 2010.
Domestic funds, which had absorbed some of the heavy selling from foreign funds last month, offloaded stocks worth a net Rs 3970.14 crore this month so far. Domestic funds had mopped up equities worth a net Rs 6361.17 crore in May 2010.
As per provisional figures, the BSE 30-share Sensex was down 153.01 points or 0.86% at 17,577.23. The Sensex fell 25.13 points at the day's high of 17,705.11 in early trade. The Sensex lost 183.51 points at the day's low of 17,546.73 in late trade.
The S&P CNX Nifty was down 53.90 points or 1.01% to 5266.70 as per provisional figures.
The BSE Mid-Cap index was down 0.8%. The BSE Small-Cap index was down 0.58%. Both the indices outperformed the Sensex.
The market breadth, indicating the strength of the broader market was weak. The breadth was positive earlier in the day. On BSE, 1772 shares declined while 1080 shares advanced. A total of 98 shares remained unchanged.
From the 30-share Sensex, 22 stocks fell and rest rose.
BSE clocked turnover of Rs 4471 crore, lower than Rs 5046.77 crore on Thursday, 24 June 2010.
Index heavyweight Reliance Industries (RIL) was up 1.42% to Rs 1066.20, rebounding from the day's day's low of Rs 1043.20. RIL during market hours today said that pursuant to and in compliance with the directions and orders contained in the judgment of the Supreme Court of India delivered on 7 May 2010, RIL and Reliance Natural Resources (RNRL) on 25 June 2010, have signed a gas supply master agreement which is in compliance with the gas utilization policy and EGoM decisions.
RNRL earlier today said it will now take appropriate steps requesting the government for expeditious allocation of natural gas. RNRL rose 3.52%.
PSU OMCs rose after the Empowered Group of Ministers decided to decontrol petrol and decided prices which will help reduce underrecoveries of PSU OMCs HPCL, BPCL and Indian Oil Corporation rose by between 9.26% to 13.29%. At present, state-run oil marketing firms suffer revenue loss on domestic sale of petrol, diesel, LPG and kerosene at a controlled price.
Shares of state-run oil exploration firms also jumped. ONGC and Oil India rose by between 3.37% to 6.31%.
But, some auto stocks fell after government raised petrol and diesel prices. Ashok Leyland, Mahindra & Mahindra and Hero Honda Motors fell by between 0.26% to 2.84%.
India's largest commercial vehicle maker by sales Tata Motors fell 2.12%, with the stock falling for the third straight day on equity dilution concerns after the company said during market hours on Wednesday that a meeting of the board of directors of the company will be held on Monday, 28 June 2010 to consider various options for raising long term capital funds.
But, Bajaj Auto and Maruti Suzuki India rose by between 0.92% to 1.13%.
According to a monthly report released by auto industry body the Society of Indian Automobile Manufacturers (Siam) on 9 June 2010, car sales in India rose 30.4% to 1.48 lakh units in May 2010 over May 2009. Auto sales rose despite recent price increases and a partial withdrawal of government stimulus measures in February 2010. The auto industry expects consumer demand to sustain following the overall economic expansion.
Bank stocks fell on rate hike worries. India's largest private sector bank by market capitalisation ICICI Bank fell 3.09%, with the stock falling for the second straight day. India's second largest private sector bank by operating income HDFC Bank fell 2.69%.
PSU banking major State Bank of India fell 2.78%. Among the other PSU bank stocks, Punjab National Bank and Bank of India fell by between 1.09% to 1.23%. But, Bank of Baroda rose 0.61%, reversing initial losses.
IT stocks fell after the Federal Reserve recently downgraded its assessment of the economic recovery in the US, the biggest market for Indian IT firms. India's largest IT exporter by sales Tata Consultancy Services fell 1.74%, with the stock falling for the second straight day. India's third largest IT exporter by sales Wipro fell 2.75%, with the stock falling for the fourth straight day. India's second largest IT exporter by sales Infosys fell 1.34%.
Grey Market Premiums - June 25 2010
| Parabolic Drugs Ltd. | 75 to 85 | Discount |
| Aster Silicates Ltd. | 112 to 118 | 2 to 2.50 |
| Technofab Engineering | 230 to 240 | 8 to 9 |
That lazy feeling!
Laziness is nothing more than the habit of resting before you get tired. - Jules Renard.
The bulls may have managed to hold the Nifty above the crucial 5300 mark on F&O expiry day but the NSE benchmark index might struggle to hold on to that level owing to weak global cues. The good news is that Asian markets, barring the Nikkei in Japan, have not reacted to the latest bad news coming out of the US and Europe. So, despite the overnight declines in the US and European markets, the Indian market could well manage to hold its own in line with the trend across Asia.
Still, one can’t look at India in isolation. Externally the situation remains wobbly. Global recovery will be painfully slow. It will have an effect on sentiment back home. At the same time, it could lead to stronger money flows into India. If raingods remain kind enough we could see much higher GDP growth.
Markets set to begin lower; Oil cos in focus
Headlines for the day:
Alstom close to deal with BHEL, nuclear power.
GMR wins deal to build, run new Maldives airport.
SBI eyes big surge in home loans
Steep drop for US stocks
Economic and earning reports push stocks lower
Mixed batch of economic data and a weak set of earning reports pushed US stocks considerably lower on Thursday, 24 June 2010. Though indices mired in the red since the entire day on Thursday, losses steepened in the final hour of trading. With today's losses, US stocks suffered four consecutive days of losses.
Market may extend Thursday's losses on weak global cues
Indian stocks may extend Thursday's losses on weak global equities. Trading of S&P CNX Nifty futures on the Singapore stock exchange indicated that the Nifty could fall 4 points at the opening bell.
In stock specific news, PSU OMCs will be in focus as panel of ministers holds a meeting today, 25 June 2010, to decide on fuel prices. The Empowered Group of Ministers (EgoM) may consider freeing petrol price from government control and possibly giving limited autonomy to state-run oil firms to price diesel closer to market rates.
Another flat finish…Nifty holds above 5300
The Indian markets finished the day almost unchanged amid a volatile F&O expiry. Benchmark indices started off on a flat note with a positive bias and remained lackluster until bulls lost grip over the indices. The NSE Nifty even went on to drop below the psychological 5300 levels.
"Markets turned extremely volatile and bounced back towards the last hour of the session lifting the benchmark indices from day’s low", says Amar Ambani Vice President Research IIFL.
Daily News Roundup - June 25 2010
RIL to make a US$1.3bn acquisition of 45% interest in the Eagle Ford shale acreage of Pioneer Natural Resources. (BS)
L&T plans to restructure JV with Mitsubishi. (BS)
HCL Corp sells 2.5% stake in HCL Tech for Rs5.8bn. (BS)
Crude manages to inch up
Volatile crude shrugs off earlier weakness
Volatile crude oil prices managed to shrug off earlier weakness and inch up on Thursday, 24 June 2010 at Nymex. Prices fell earlier due to weaker than expected set of economic reports, which questioned crude's demand in the coming months. But a weak dollar helped crude finish in the green.
Bullion metals glitter
Weak economic data impart shine to precious metals
Bullion metal prices ended higher on Thursday, 24 June 2010 at Comex. Weak set of economic data at Wall Street and shaky dollar pushed prices higher on Thursday.
KPIT Cummins
We recommend a ‘buy' in the stock of KPIT Cummins Infosystems from a short-term perspective. Following a medium-term corrective downtrend from the stock's January 2010 peak of around Rs 140, it found support at Rs 90 in late May, which is a significant intermediate-term support level. The stock subsequently resumed its long-term uptrend that has been in place since the March 2009 low of Rs 20. Two weeks ago, the stock conclusively penetrated a key resistance at Rs 120 and encountered next key resistance at Rs 140 levels. On Thursday, the stock jumped almost 4 per cent accompanied by above-average volume, dramatically breaching through the resistance level of Rs 140. The stock is trading way above its 21- and 50-day moving averages. Both the daily and weekly relative strength indices are featuring in the bullish zone. Further, the daily as well as weekly moving average convergence divergence indicators are hovering in the positive territory implying bullish momentum is intact. We anticipate the stock to rally further until it hits our price targets of Rs 150 or Rs 155 in the following trading sessions. Short-term traders can buy the stock with stop-loss at Rs 137.
via BL
Thursday, June 24, 2010
BSE Bulk Deals to Watch - June 24 2010
Deal Date Scrip Code Company Client Name Deal Type * Quantity Price **
24/6/2010 517356 ACI Infocom GOKUL PRIVATE LIMITED B 50000 23.75
24/6/2010 517356 ACI Infocom ANJALI COMMODITIES PVT LTD B 100000 23.70
24/6/2010 517356 ACI Infocom DIVYA ALOK GUPTA S 400000 23.72
24/6/2010 513513 Aditya Ispat ANILKUMAR BHAGWANJI LALCHETA B 30201 7.48
NSE Bulk Deals to Watch - June 24 2010
Date,Symbol,Security Name,Client Name,Buy/Sell,Quantity Traded,Trade Price / Wght. Avg. Price,Remarks
24-JUN-2010,BRFL,Bombay Rayon Fashions Lim,IDFC MUTUAL FUND,BUY,641380,255.62,-
24-JUN-2010,DIGJAM,Digjam Limited,HI-GROWTH CORPORATE SERVICES PVT. LTD.,BUY,618076,13.21,-
24-JUN-2010,DIGJAM,Digjam Limited,INVENTURE GROWTH & SECURITIES LIMITED,BUY,807722,13.64,-
Bearish week extends for Asian stocks
Markets at unease by Fed statement, weak housing data from the US
Asian stocks ended mostly lower as a bearish week continued. The sentiments were largely mixed in cautious trading as the strength in the US dollar and worries over the global economic recovery kept the buying activity under check. DOW futures fell sharply in the afternoon, keeping possibilities of major gains in Asian shares limited. The markets eyed dovish language in the FED statement yesterday. The US Fed kept its rates near zero percent as widely expected but stated that financial conditions have become less supportive of economic growth.
HCL Tech, Kotak Mahindra Bank slide after bulk deals
The key benchmark indices registered marginal losses amid high volatility as traders rolled over positions in the derivatives segment from the near-month June 2010 contracts to July 2010 contracts. The near-month June 2010 derivatives contracts expired today, 24 June 2010. Weakness in global stocks caused by US Federal Reserve's more downbeat language on economic growth in the world's biggest economy weighed on investor sentiment.
Exclusive Group for Employees of Brokerage Houses
Update 1 : Thanks for the overwhelming response already. Again, please send a mail from your official company email adress. You can change your email address later. Your privacy would be protected.
Update 2:
WOW !! Very nice superb response to our initiative. We had over 60 applications! and are in the process of verifying them. Do apply if you are in the financial industry and part of any brokerage house.
Update 3:
YOU HAVE TO PROVIDE YOUR COMPANY EMAIL ADDRESS WHEN JOINING THE GROUP. Else, we WON'T APPROVE.
We are starting a exclusive group for employees of brokerage houses who can share reports and share exclusive news with the other members of the group.
This would be a closed group and would require you to be a member with your official id. Please make sure that you put give your official company email address (atleast for verification purposes, you can change that id later)
To become a member of this group - please request a invite by sending out a mail to dpstock@gmail.com with Subject "EXCLUSIVE RESEARCH" or request a invite here
Don't be late to be part of this exclusive new group! Feel free to recommend your colleagues, acquaintances and friends
Aster Silicates, Technofab Engineering Grey Market Premiums
| Company Name | Offer Price (Rs.) | Premium (Rs.) |
| Parabolic Drugs Ltd. | 75 to 85 | Discount |
| Aster Silicates Ltd. | 112 to 118 | 2 to 2.50 |
| Technofab Engineering | 230 to 240 | 7 to 7.50 |
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