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Saturday, July 31, 2010
Bajaj Corp IPO analysis
Betting on single brand
92% sales come from Bajaj Almond Drops, a premium brand and market leader with value share of 50.3% in the light hair oil segment
Sensex slumps on weak results, global cues
Today's major news
Reliance Natural Resources Q1 net profit dips 42% yoy; the stock closes 1.54% down
Bharat Petroleum Corporation Q1 net loss at Rs1,718.10 crore; the stock closes 0.53% higher
Hindustan Construction Company spurts on good Q1 results, bonus issue; the stock closes 3.80% higher
SKS Microfinance Subscription Details - July 30 2010
Qualified Institutional Buyers (QIBs) 20.38 times
Non Institutional Investors 0.13 times
Retail Individual Investors (RIIs) 0.16 times
Stock-specific action to continue
Stock-specific activity is likely to continue in the near term based on first quarter result announcement or expectations about first quarter results of individual firms. Many front line companies such as State Bank of India, Bharti Airtel, Tata Motors and Tata Steel, are still to announce their results.
Market loses ground as RBI hikes key rates
Stocks lost ground during the last week of July 2010 as the central bank increased interest rates to control inflation. Sustained buying by foreign funds, revival of monsoon rains and latest data showing easing of food inflation, however, prevented a sharp decline.
Foreign funds continue to mop up Indian stocks. Foreign funds have bought shares worth a net Rs 8109.64 crore this month (till 29 July 2010), absorbing selling by domestic institutional investors. Domestic funds have sold shares worth a net Rs 6193.15 crore this month (till 29 July 2010), as per data from the stock exchanges.
Market drifts lower on weak global cues; bank stocks rise
The key benchmark indices edged lower as global stocks fell on weak economic data. The BSE 30-share Sensex fell 123.71 points or 0.69%, off close to 130 points from the day's high and up close to 30 points from the day's low. Realty, FMCG, capital goods and IT stocks fell. Index heavyweight Reliance Industries (RIL) gave up initial gains. The market breadth turned negative in contrast to a strong breadth earlier in the day.
BSE Bulk Deals to Watch - July 30 2010
Deal Date Scrip Code Company Client Name Deal Type * Quantity Price **
30/7/2010 514274 Aarvee Denims ANUJASHISHSHAH B 120000 64.25
30/7/2010 514274 Aarvee Denims VIRENDRA BHOGILAL HUF S 120000 64.25
30/7/2010 500003 Aegis Logistics WELL MGT CO LLPA/C THE WTC NAM COLL INVST FDS TR OPPORTUNISTIC EQ B 600000 470.00
Friday, July 30, 2010
NSE Bulk Deals to Watch - July 30 2010
Date,Symbol,Security Name,Client Name,Buy/Sell,Quantity Traded,Trade Price / Wght. Avg. Price,Remarks
30-JUL-2010,AMARJOTHI,Amarjothi Spinning Mills,SAR AUTO PRODUCTS LIMITED,BUY,46137,65.60,-
30-JUL-2010,ASTERSILI,Aster Silicates Limited,AKSHI FINANCE PRIVATE LIMITED,BUY,120384,232.57,-
30-JUL-2010,ASTERSILI,Aster Silicates Limited,ALFA FISCAL SERVICES PVT LTD,BUY,58564,227.58,-
SKS Microfinance - July 30 2010 - Subscription Details
Qualified Institutional Buyers (QIBs) 1.44
Non Institutional Investors 0.05
Retail Individual Investors (RIIs) 0.07
Very low interest from HNIs and Retail for now. QIB expected to pick up today.
SKS Microfinance, Bajaj Corporation Grey Market Premiums
| Company Name | Offer Price (Rs.) | Premium (Rs.) |
| Midfield Industries Ltd. | 133 | 18 to 20 |
| Engineers | 270 to 290 | -- |
| SKS Micro Finance | 850 to 985 | 68 to 70 |
| Prakash Steelage | 100 to 110 | 6 to 8 |
| Bajaj Corp. Ltd. | 630 to 660 | 35 to 36 |
Market may open lower on weak Asian stocks
The market may open lower as Asian stocks fell after weak global economic data. Trading of S&P CNX Nifty futures on the Singapore stock exchange indicated that the Nifty could fall 28 points at the opening bell.
India's largest motorbike maker by sales Hero Honda Motors may see selling pressure as net profit declined 1.6% to Rs 491.69 crore on 12% growth in turnover to Rs 4296.61 crore in Q1 June 2010 over Q1 June 2009. The company announced the result after trading hours today, 29 July 2010.
Daily News Roundup - July 30 2010
DLF may raise Rs25bn via sale of non-core assets. (BS)
Sun Pharma wins over Eli Lily in a patent litigation over Gemzar, a drug used in cancer treatment, with a US federal court ruling in its favour. (BS)
F&O expiry...Nifty ends above 5400
After out-performing the global market last month, the Indian market has started to under-perform in the recent sessions, as a few earnings missed expectations and the RBI raised key rates for the fourth time this year. Also, some of the economic reports are pointing to a slight slowdown in the Indian economy.
Markets head for a negative start
Headlines for the day:
Finance Minister rejects 3G refund plea
KEC International bids for US-based SAE Towers
DLF may raise Rs2,500 crore via sale of non-core assets
Bullion metal prices rise
Weak dollar imparts shine to precious metals
Bullion metal prices ended higher on Thursday, 29 July 2010 at Comex. Prices rose due to a weak dollar.
Crude surges
Prices start the day in the red but then recover as dollar weakens
Crude oil prices managed to pare their earlier losses on Thursday, 29 July 2010 at Nymex and ended substantially higher for the day. Prices rose due to weak dollar and better than expected initial claims data.
Petronet LNG
We recommend a buy in the stock of Petronet LNG from a short-term perspective. The stock jumped 10 per cent on July 29, conclusively breaking out of its medium-term sideways consolidation range between Rs 76 and Rs 86. With this break through the stock has resumed its long-term uptrend and also reinforced the bullish momentum. We notice that there is an increase in volume over the past three trading sessions. The stock is hovering well above its 21- and 50-day moving averages. The 14-day relative strength index is featuring in the bullish zone and the weekly RSI is entered in to this zone from the neutral region. Both the daily and weekly moving average convergence divergence oscillators are featuring in the positive territory signalling upward momentum. The stock's intermediate-term uptrend trend-line is in tact. Our short-term outlook on the stock is bullish. We anticipate the stock to move up further until it hits our price target of Rs 97 and 100 in the forthcoming trading session. Traders with short-term perspective can buy the stock while maintaining stop-loss at Rs 92.
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Nifty above 5400 on July F&O expiry
Today's major news
Food inflation eases to 9.67%
Oil & Natural Gas Corporation's Q1 net profit slips 24% yoy; the stock closes 1.07% lower
Steel Authority of India’s Q1 net profit dips 12% yoy; the stock ends 1.61% down
Asian markets tread water; China surges to 2-Month High
Japanese stocks remain an exception as Nikkei falters
Asian market managed to finish the Thursday session slightly above the flat line on Thursday, 29 July 2010, after regional companies reported better-than-expected quarterly earnings and signs that Europe's economy is bouncing back faster than expected.
Market ekes out small gains; RIL slides
The key benchmark indices eked out small gains as global stocks rose. Sustained buying by foreign funds, revival of monsoon rains this month and latest data showing easing of food inflation, supported stocks. The BSE 30-share Sensex rose 34.63 points or 0.19%, up close to 90 points from the day's low and off close to 20 points from the day's high. Index heavyweights Reliance Industries (RIL) edged lower in volatile trade. The market breadth was negative.
Thursday, July 29, 2010
BSE Bulk Deals to Watch - July 29 2010
Deal Date Scrip Code Company Client Name Deal Type * Quantity Price **
29/7/2010 531761 Amulya Leas TAPARIA HOLDINGS PRIVATE LIMITED B 45000 32.65
29/7/2010 531761 Amulya Leas SECUROCROP SECURITIES INDIA PRIVATE LIMTED B 45000 32.65
29/7/2010 531761 Amulya Leas SAKET AGRAWAL B 26500 32.65
NSE Bulk Deals to Watch - July 29 2010
Date,Symbol,Security Name,Client Name,Buy/Sell,Quantity Traded,Trade Price / Wght. Avg. Price,Remarks
29-JUL-2010,ABAN,Aban Offshore Ltd.,AKSHI FINANCE PRIVATE LIMITED,BUY,164880,891.45,-
29-JUL-2010,ANGIND,ANG Industries Limited,TRANSGLOBAL SECURITIES LTD.,BUY,71067,73.86,-
29-JUL-2010,ARSSINFRA,ARSS Infra Proj. Ltd,CROSSEAS CAPITAL SERVICES PVT. LTD.,BUY,132241,1375.46,-
Grey Market Premium - Bajaj Corporation - SKS Microfinance
| Midfield Industries Ltd. | 133 | 18 to 19 |
| Engineers | 270 to 290 | -- |
| SKS Micro Finance | 850 to 985 | 65 to 67 |
| Prakash Steelage | 100 to 110 | 6 to 7 |
| Bajaj Corp. Ltd. | 630 to 660 | 32 to 34 |
Curtains down on conviction!
Conviction is worthless unless it is converted into conduct. - Thomas Carlyle.
It’s may be curtains down for the famous bull fight in Catalonia, Spain. The blood sport will now be banned throughout Catalonia from January 2012. The semi-autonomous region is the first mainland part of Spain to outlaw bullfighting. But coming to the bourses, the fight between the bulls and bears will continue. Recent behaviour on the street suggests both camps lack conviction. The ferocity of the bulls is nowhere in sight except occasionally on some side counters.
Daily News Roundup - July 29 2010
RIL and Essar Oil join race to buy BP’s Africa assets. (ET)
HDFC Bank, Lakshmi Vilas Bank and Central Bank set off a round of deposit rate hikes. (ET)
EGoM cancels KG gas allocation for ONGC. (DNA)
Sensex sinks…ends below 18,000
The Indian markets ended with losses on Wednesday, led by index heavyweight Reliance Industries after its results failed to enthuse investors. The stock slipped 3%. The company quarterly profit of Rs48.51bn which was in line with street estimates. But there are concerns on whether it can ramp up gas production from the KG basin and whether it can keep the margin erosion in check in the Petchem segment
Market may extend Wednesday's losses; food inflation data eyed
The market may edge lower for the second straight day as Asian stocks slipped on weak economic data in the US. Trading of S&P CNX Nifty futures on the Singapore stock exchange indicated that the Nifty could fall 8 points at the opening bell. Volatility may remain high as traders rollover positions in derivatives segment from July 2010 series to the August 2010 series ahead of the expiry of the near-month July 2010 contracts today, 29 July 2010.
Markets likely to get a cautious start
Headlines for the day:
Wipro targets defence, govt in policy haze
RIL, Essar eye BP's Africa assets
Hinduja to invest Rs170 crore in greenfield unit
Annual Report - Praj Industries - 2009-2010
PRAJ INDUSTRIES LIMITED
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
To
The Members of
Praj Industries Limited,
Your Directors are pleased to present the 24th Annual Report and the
Audited Statements of Accounts for the yearended 31st March, 2010, together
with the notice of the Annual General Meeting.
Annual Report - India Cements - 2009-2010
THE INDIA CEMENTS LIMITED
ANNUAL REPORT 2009-2010
DIRECTORS' REPORT
Your Directors have pleasure in presenting their Sixtyfourth Annual Report
together with audited accounts for the year ended 31st March 2010.
Wednesday, July 28, 2010
Annual Report - Onmobile Global - 2009-2010
ONMOBILE GLOBAL LIMITED
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
Dear Members,
The Directors take pleasure in presenting the 10th Annual Report on the
business and operations of the Company together with the Audited Financial
Statements and Accounts for the year ended March 31, 2010.
Annual Report - Motilal Oswal - 2009-2010
MOTILAL OSWAL FINANCIAL SERVICES LIMITED
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
To
The Members
Your Directors have pleasure in presenting their 5th Report together with
the audited Accounts of your Company for the year ended 31st March, 2010.
Annual Report - Kolte Patil Developers - 2009-2010
KOLTE-PATIL DEVELOPERS LIMITED
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
To
The Members,
Your Directors take pleasure in presenting the Nineteenth Annual Report on
the business and operations of the Company, together with the audited
results for the financial year ended on 31st March, 2010.
Annual Report - Infotech Enterprises - 2009-2010
INFOTECH ENTERPRISES LIMITED
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
To
The Members
Dear Members,
Your Directors have pleasure in presenting the 19th Directors' Report on
the business and operations of your Company, on a standalone basis, for the
financial year ended March 31, 2010.
Annual Report - Hindustan Motors - 2009-2010
HINDUSTAN MOTORS LIMITED
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
Your Directors present their Sixty-eighth Annual Report together with
annual accounts of the Company for the year ended March 31, 2010.
Annual Report - Hitachi Home and Life Solutions - 2009-2010
HITACHI HOME AND LIFE SOLUTIONS (INDIA) LIMITED
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
Dear Members,
Your Directors have pleasure in presenting the Twenty Fifth Annual Report
and the Audited Financial Statements, for the year ended March 31, 2010.
Annual Report - Cinemax India - 2009-2010
CINEMAX INDIA LIMITED
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
To
The Members of
Cinemax India Limited
Your Directors are pleased to present the Eighth Annual Report, to the
members, on the business and operations of your Company together with
Audited Accounts for the financial year ended 31 March, 2010.
Annual Report - Brigade Enterprises - 2009-2010
BRIGADE ENTERPRISES LIMITED
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
To
The Members,
Your Directors have pleasure in presenting the Fifteenth Annual Report on
business and operations of the Company together with the Audited Statement
of Accounts for the financial year ended 31st March, 2010.
Annual Report - Sun TV - 2009-2010
SUN TV NETWORK LIMITED
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
TO THE SHAREHOLDERS
Your Directors are pleased to present the Silver Jubilee Twenty Fifth
Annual Report and Audited Financial Accounts of the Company for the
financial year ended 31st March 2010.
Annual Report - Bajaj Auto - 2009-2010
BAJAJ AUTO LIMITED
ANNUAL REPORT 2009-2010
DIRECTOR'S REPORT
To
The Member
Introduction:
The directors present their third annual report and the audited statements
of accounts for the year ended 31 March 2010.
Sensex edgy ahead of F&O expiry
Today's major news
Mahindra & Mahindra Q1 total income up 21.6% yoy; the stock ends 0.66% higher
Aban Offshore soars as reinsurer settles claim; the stock closes 8.91% up
Sun Pharmaceuticals surges on strong Q1 nos; the stock ends 2.04% higher
Earning reports from Canon and Chinese companies take Asian stocks higher
Asian stocks ended mostly higher on Wednesday, 28 July 2010. Better than expected earnings from Canon and a couple of China's industrial companies boosted confidence among Asian investors helping almost all major indices surge. But Indian market was the sole exception which faltered today.
Bajaj Corp sets Rs 630-660 per share price band for IPO
The IPO opens for subscription on 2 August 2010
Hair oil producer Bajaj Corp has set Rs 630-660 per share price band for its initial public offering (IPO) of 45 lakh shares. The IPO opens for bidding on Monday, 2 August 2010, and ends on Wednesday, 4 August 2010, for qualified institutional buyers. For retail and non-institutional bidders the offer ends on Thursday, 5 August 2010
RIL leads decline
The key benchmark indices edged lower in volatile trade as European stocks and US index futures declined. Index heavyweight Reliance Industries (RIL) fell after Q1 result as gas production is likely to stagnate at 60 million standard cubic metres of gas a day for the next 9-12 months. Two other index heavyweights -- ICICI Bank and Larsen & Toubro, too, edged lower. The BSE 30-share Sensex lost 120.24 points or 0.67%, off close to 180 points from the day's high and up close to 30 points from the day's low.
NSE Bulk Deals to Watch - July 28 2010
Date,Symbol,Security Name,Client Name,Buy/Sell,Quantity Traded,Trade Price / Wght. Avg. Price,Remarks
28-JUL-2010,ABAN,Aban Offshore Ltd.,AKSHI FINANCE PRIVATE LIMITED,BUY,318989,882.52,-
28-JUL-2010,ABAN,Aban Offshore Ltd.,GENUINE STOCK BROKERS PVT LTD,BUY,229247,885.66,-
Chasing different things!
Realize what you really want. It stops you from chasing butterflies and puts you to work digging gold.- William Marston.
Grey Market Premiums - July 28 2010
| Company Name | Offer Price (Rs.) | Premium (Rs.) |
| Aster Silicates Ltd. | 118 | 5 to 7 |
| Midfield Industries Ltd. | 133 | 17 to 18.50 |
| Engineers | 270 to 290 | -- |
| SKS Micro Finance | 850 to 985 | 62 to 65 |
| Prakash Steelage | 100 to 110 | 5.5 |
Market may open higher; RIL in focus after strong Q1 results
The market may open higher, as most Asian stocks rose. Trading of S&P CNX Nifty futures on the Singapore stock exchange indicated that the Nifty could rise 3 points at the opening bell. Index heavyweight Reliance Industries (RIL) may edge higher on strong Q1 results which the company announced after trading hours on Tuesday, 27 July 2010.
Markets look to a flat opening
Headlines for the day:
RBI raises key rates, but banks may hold on
JSW to raise Rs5,700 crore from JFE stake sale
RBI raises GDP growth forecast to 8.5%
Sensex ends above 18k
The Indian markets ended with modest gains on Tuesday as the Reserve Bank of India announced hike in interest rates which was inline with the market expectations. The RBI raised the reverse repurchase rate to 4.5% from 4% and the repurchase rate to 5.75 from 5.5%.
Daily News Roundup - July 28 2010
RIL has bought out the loss making plant of Bombay Dyeing at just under Rs3bn. (ET)
The Government has approved RIL’s proposal to drill two more wells as a part of D1 and D3 field development plan. (ET)
JSW Steel has proposed to raise at least Rs57bn from Japan’s second largest steel maker, JFE Holdings, to give the latter a 14.99% stake in the company. (BS)
US stocks finish in a mixed mode
Dow is the only key index to end in the green
US stocks kicked off the day in the green on Tuesday, 27 July 2010 riding on the back of an upward guidance from a key Dow component. But stocks slipped in the red following a disappointing consumer confidence data. Nevertheless, stocks managed to inch up in the green once again before closing. But it was only Dow that managed to end the day in the green. The other two major indices finished in the red.
Bullion metals turn extremely pale
Prices witness highest one-day losses in three months
Bullion metal prices ended substantially lower on Tuesday, 27 July 2010 at Comex. Prices dropped as sellers resorted to selling of precious metals. A lower consumer confidence report did nothing to make investors return to bullion metals as alternate investment.
Crude ends substantially lower
Prices drop due to weak consumer confidence report
Crude oil prices ended substantially lower on Tuesday, 27 July 2010 at Nymex. Prices dropped as consumer confidence report once again brought back worries among investors regarding overall economic recovery.
Copper ends winning streak
Prices drop due to weak economic data
Copper prices ended their six-day winning streak and ended lower for first time in seven days at Comex on Tuesday, 27 July 2010. Weaker than expected consumer confidence data once again raised concerns about overall global recovery in everybody's mind.
Tuesday, July 27, 2010
SKS Microfinance fixes IPO price band at Rs 850-985 per share
The IPO opens for subscription on 28 July 2010
SKS Microfinance on Monday fixed the price band for its initial public offer (IPO) at Rs 850-985 per share. The issue of 1.68 crore shares by India's largest microfinance company will open for subscription on 28 July 2010 and close on 2 August 2010 for retail and non-institutional investors. For qualified institutional buyers (QIBs), the issue will close on 30 July 2010.
Engineers India FPO Analysis
Engineers India (EIL), the public sector undertaking under the ministry of petroleum and natural gas, is engaged in the business of project implementation and engineering consultancy services primarily for the hydrocarbon sector in India and overseas. Of late, the company has also extended its consultancy and turnkey service to other sectors including non-ferrous mining & metallurgy and infrastructure sector. It offers a complete range of project services including design, engineering, procurement, construction, and project management.
SKS Microfinance - Apply or Not ?
Rich valuation of poor's financier
The high valuation is based on sharp growth rates witnessed in the past, but does not adequately reflect many risks typical of this business
SKS Microfinance, promoted by Dr. Vikram Akula, was originally founded as Swayam Krishi Sangam or SKS Society in 1997 and functioned as a non-governmental organization (NGO) that provided microfinance in Andhra Pradesh. SKS Society transferred its business and operations to SKS Microfinance as a newly incorporated private limited company in India in 2003. SKS Microfinance is the largest Microfinance Institution (MFI) in India in terms of total value of loans outstanding, number of borrowers (called members) and number of branches.
BSE Bulk Deals to Watch - July 27 2010
Deal Date Scrip Code Company Client Name Deal Type * Quantity Price **
27/7/2010 530713 Ajel Info RAPIDCREDITSAND MERCANTILES PRIVATE LIMITED S 75000 31.00
27/7/2010 531678 Anand Credit KALPESH C PATEL B 40000 63.50
27/7/2010 531678 Anand Credit DHARMENDRA HARILAL BHOJAK B 31000 64.90
NSE Bulk Deals to Watch - July 27 2010
Date,Symbol,Security Name,Client Name,Buy/Sell,Quantity Traded,Trade Price / Wght. Avg. Price,Remarks
27-JUL-2010,ATLASCYCLE,Atlas Cycles (Haryana) Lt,CNB FINWIZ LIMITED,BUY,39660,247.87,-
27-JUL-2010,ATLASCYCLE,Atlas Cycles (Haryana) Lt,CROSSEAS CAPITAL SERVICES PVT. LTD.,BUY,36378,246.56,-
27-JUL-2010,ATLASCYCLE,Atlas Cycles (Haryana) Lt,MANSUKH SECURITIES & FINANCE LIMITED,BUY,11416,247.89,-
RBI’s move in sync; bulls cheer
Today's major news
Reserve Bank of India hikes repo, reverse repo rates
Reliance Industries Q1 net profit zooms 32% yoy; the stock closes 0.14% up
Larsen and Toubro Q1 net profit at Rs666 crore; the stock ends 2.94% lower
Auto shares in top gear
The key benchmark indices ended a tad higher as firm European stocks and higher US index futures, helped the domestic bourses shrug off a rate hike from the Reserve Bank of India (RBI) at a quarterly monetary policy review. The BSE 30-share Sensex was up 57.56 points or 0.32%, off close to 70 points from the day's high and up close to 80 points from the day's low.
Grey Market Premiums - SKS Microfinance
| Company Name | Offer Price (Rs.) | Premium (Rs.) |
| Aster Silicates Ltd. | 118 | 5 to 7 |
| Midfield Industries Ltd. | 133 | 17 to 18.50 |
| Engineers | 270 to 290 | -- |
| SKS Micro Finance | 850 to 985 | 62 to 65 |
| Prakash Steelage | 100 to 110 | 5 to 5.50 |
Market seen volatile ahead of RBI's monetary policy
The market is likely to open higher following positive global cues. Trading of S&P CNX Nifty futures on the Singapore stock exchange indicated that the Nifty could rise 22.50 points at the opening bell. However, volatility may arise ahead of the Reserve Bank of India's monetary policy reviewed today, 27 July 2010.
Analysts expect another 25 basis points rate hike from the central bank on Tuesday, 27 July 2010, aimed at anchoring inflation expectations. The Reserve Bank of India (RBI) on 2 July 2010, hiked the repo rate by 25 basis points to 5.5% from 5.25%, with immediate effect. It also hiked the reverse repo rate, at which it absorbs excess cash from the banking system, by an equal 25 basis points to 4% from 3.75%. The central bank said the latest rate hike was a part of the calibrated exit from the expansionary monetary policy.
The RBI is also expected to provide an outline on new banking licenses at Tuesday's quarterly monetary policy review. Finance Minister Pranab Mukherjee had announced in this year's budget that the central bank would consider issuing fresh banking licenses to business houses and also to non-banking finance companies (NBFCs).
The Prime Minister's Economic Advisory Panel on Friday, 23 July 2010, forecast 8.5% growth in GDP in the fiscal year that ends in March 2011 (FY 2011). It expects 4.5% growth in farm output in FY 2011. The headline inflation will be at 6.5% by March 2011, the panel said in a report. The report also said net capital inflows would be $73 billion.
Prime Minister's Economic Advisory Council C. Rangarajan said fertiliser subsidy bill must come down and diesel prices could be freed once inflation begins to come down.
Volatility may also remain high in the near future as traders rollover positions in derivatives segment from July 2010 series to the August 2010 series ahead of the expiry of the near-month July 2010 contracts on Thursday, 29 July 2010.
Ashok Leyland, Glenmark Pharma, GTL, HCL Technologies, Hindustan Unilever, JSW Steel, Larsen & Toubro, Oil India, Patni Computers, Reliance Industries, among others will announce their April – June results today, 27 July 2010.
On the corporate front, the combined net profit of a total of 509 companies fell 14% to Rs 24779 crore on 18.50% rise in sales to Rs 320364 crore in Q1 June 2010 over Q1 June 2009.
Most Asian markets were trading higher today, 27 July 2010, as better- than-estimated new home sales in the US boosted the prospects for global economic growth. The key benchmark indices in Hong Kong, Japan, South Korea, and Indonesia were up by between 0.13% to 0.62%. But, the key benchmark indices in China, Taiwan and Singapore were down 0.38% to 0.10%.
US stocks extended gains on Monday, 26 July 2010 as sentiment was boosted by a surge in new home sales and higher company earnings.
The Dow Jones Industrial Average jumped 100.81 points, or 0.97%, to a two-month high of 10,525.43. The Nasdaq composite index gained 26.96 points, or 1.19%, to 2,296.43, while S&P 500 index added 12.35 points, or 1.12%, to 1,115.01.
Back home, the annual monsoon rains were 7% below normal during the period from 1 June 2010 to 26 July 2010, improving rapidly from a deficit of 16% on 19 July 2010 as the rain-bearing monsoon winds ended a weak phase in the middle of the month.
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 weather office expects this year's monsoon rains to be at 102% of the long-period average. Good monsoon rains would help raise farm output, boost rural incomes and lower food inflation.
The key benchmark indices edged lower on Monday, 26 July 2010, as European stocks moved off highs and as US index futures fell. The BSE 30-share Sensex fell 110.93 points or 0.61% to 18,020.05 and the S&P CNX Nifty fell 30.50 points or 0.56% to 5,418.60.
As per provisional data from the stock exchanges, foreign funds bought equities worth a net Rs 196.32 crore and domestic funds dumped shares worth a net Rs 718.87 crore on 26 July 2010.
Focus on RBI and results!
The ability to focus attention on important things is a defining characteristic of intelligence. - Robert J. Shiller
Given the global cues, we may be in for a positive start. But the market is likely to pay more attention to what the RBI has to say. For containing the inflation persistence and anchoring inflation expectations, anti-inflationary monetary policy actions become a necessity," the RBI mentioned. We expect the central bank to continue its gradual normalization of monetary policy by hiking both the repo and reverse repo rates by 25bps today.
Stressful day…Sensex snaps 3 day winning streak
Indian stocks ran out of steam on Monday amid an all-round selling, as disappointing results from Maruti and Jaiprakash Associates offset an upgrade of India's local currency rating by credit rating agency Moody's Investor Service.
Daily News Roundup - July 27 2010
OIL & Natural Gas Corporation plans to spend US$5bn to develop gas fields to boost output by almost 60% in six years. (ET)
NMDC is contemplating buying coking coal mines in Russia from Kolmar for US$400mn. (BS)
Fortis Healthcare reaps Rs3.8bn as it pulls out of Parkway bid. (BS)
Gap-up start likely; RBI's move eyed
Headlines for the day:
NMDC eyes two mines in Russia for Rs1,881 crore
Dabur picks up Turkey firm for Rs323.78 crore
RBI says inflation remains a target lest it hurt growth
FedEx guidance and housing data lift US stocks
Twenty-nine out of thirty Dow components ended higher
An increased forecast from FedEx and some better-than-expected new home sales figures sent the US stock market up solidly on Monday, 26 July 2010. With Monday's gains, stocks closed higher for third straight day. There weren't any major earnings announcements for traders to digest this morning. The dollar index fell against its competing currencies.
Bullion metals end mixed
Gold drops but silver rises as housing data checks in better than expected
Bullion metal prices ended mixed on Monday, 26 July 2010 at Comex. Gold prices dropped but silver rose after the housing report at Wall Street checked in better than expected. Housing data reduced gold's investment appeal but silver rose due to industrial demand.
Copper prices benefit from strong new home sales data
Lower dollar aids further in prices going up
Copper prices ended higher for sixth straight day at Comex on Monday, 26 July 2010. Lower dollar and better than expected report on the housing front led to higher metal prices on Monday. Copper is heavily used in construction wiring and benefitted from the new home sales news.
Crude ends flat
Prices rise earlier in the day following strong housing data
Crude oil prices ended flat on Monday, 26 July 2010 at Nymex. Prices fluctuated throughout the day and rose earlier during the day following better than expected housing data. Then, prices pared early gains and settled flat for the day.
Tata Elxsi
We recommend a sell in the stock of Tata Elxsi from a short-term perspective. It is evident from the charts of the stock that after encountering a significant long-term resistance in the zone between Rs 340 and Rs 350 in March 2010 itstarted to decline. Since then, the stock has been on a medium-term downtrend. Moreover, it met with twin resistance (down trendline and resistance level) around Rs 290 in early July and it had resumed its medium-term downtrend. On July 26, the stock tumbled 5 per cent, breaching its 21 and 50-day moving averages decisively. The volume traded was above average on that session. The daily relative strength index has entered in to the bearish zone from the neutral region and weekly RSI is slipping towards this zone in the neutral region. After signalling a sell, the daily moving average convergence divergence oscillator is entering in to the negative territory implying downward momentum. Considering that the stock's medium-term down trend-line is intact, our short-term forecast on the stock is bearish. We expect the stock to decline further until it hits our price target of Rs 250 or Rs 240 in the approaching trading sessions. Short-term traders can sell the stock while maintaining stop-loss at Rs 276.
via BL
Monday, July 26, 2010
Interest rate sensitive stocks slide ahead of RBI's policy review; Maruti tanks
The key benchmark indices edged lower as European stocks moved off highs and as US index futures fell. Closer home, caution prevailed ahead of the central bank's quarterly policy review on Tuesday, 27 July 2010 and as investors awaited key first quarter results. The first quarter results of Larsen & Toubro (L&T), Reliance Industries (RIL) and Hindustan Unilever (HUL) are due on Tuesday 27 July 2010. The BSE Sensex settled a tad above the psychological 18,000 mark after falling below that mark for a brief period in late trade.
Sensex slips as auto stocks crash
Today's major news
Fortis Healthcare exits race for Parkway; the stock ends 2.93% up
Dabur India's Q1 net profit up 11% yoy; the stock closes 3.73% lower
Sterlite Industries Q1 net profit soars 272% yoy; the stock ends 0.20% higher
BSE Bulk Deals to Watch - July 26 2010
Deal Date Scrip Code Company Client Name Deal Type * Quantity Price **
26/7/2010 532975 Aishwarya Tele PARESHRAMJIBHAI CHAUHAN B 200000 33.70
26/7/2010 530355 Asian Oilfield SHAKTIMAN STEEL CASTING PVT LTD. B 183948 67.90
26/7/2010 530355 Asian Oilfield SARVAPRATHAM INVESTMENT LIMITED S 183948 67.90
NSE Bulk Deals to Watch - July 26 2010
Date,Symbol,Security Name,Client Name,Buy/Sell,Quantity Traded,Trade Price / Wght. Avg. Price,Remarks
26-JUL-2010,ATLASCYCLE,Atlas Cycles (Haryana) Lt,ANGEL GLOBAL CAPITAL PRIVATE LIMITED,BUY,23006,240.27,-
26-JUL-2010,ATLASCYCLE,Atlas Cycles (Haryana) Lt,BP FINTRADE PRIVATE LIMITED,BUY,30317,238.20,-
26-JUL-2010,ATLASCYCLE,Atlas Cycles (Haryana) Lt,CNB FINWIZ LIMITED,BUY,54281,241.57,-
Asian stocks mostly up
Gains extend following the stress test results of European banks
Asian stocks mostly rose today; following Wall Street higher as risk appetite remained firm following the not so bad stress test results of European banks. With only 7 of the total 91 banks having failing the test, the US markets had raced up ahead of the weekends. This trickled into markets in Asia right from the start and ideas that strong earnings season would continue this week also fueled some optimism in the regional benchmarks. However, the commodity prices appeared to be softening after runaway gains in the last few days and DOW futures also slipped in red in the electronic trading, making it quite clear that some profit selling could be seen in the markets after last week's steep climb.
Maruti, Indian Bank July 2010 futures at premium
Turnover declines
Nifty July 2010 futures were near spot price at 5,418.95 compared to spot closing of 5,418.60. Turnover in NSE's futures & options (F&O) segment was Rs 96,915.68 crore, lower than Rs 1,04,681.58 crore on Friday, 23 July 2010.
Grey Market - SKS Microfinance, Prakash Steelage
| Aster Silicates Ltd. | 118 | 5 to 6 |
| Midfield Industries Ltd. | 133 | 17 to 18.50 |
| Engineers | 270 to 290 | -- |
| SKS Micro Finance | 850 to 985 | 47 to 48 |
| Prakash Steelage | 100 to 110 | 5 to 5.50 |
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