Friday, December 24, 2010
The barometer index BSE Sensex and the 50-unit S&P CNX Nifty regained their psychological 20,000 and 6,000 mark respectively as higher advance tax payment by top Indian firms and a major acquisition in the steel sector, boosted sentiment. The Sensex advanced in three out of five trading sessions during the week.
Coal India to miss production target by 16mn tons this fiscal. (BS)
Bharti Airtel has announced launch of a direct underground terrestrial link between India and China. (BL)
Tata Motor’s Nano has received the good design award for 2010 from Chicago Anthenaeum. (ET)
SCI has invited bids for commencing a ferry service between India and Sri Lanka from January. (BS)
Trading on Indian bourses keeps getting more and more lackluster, as investors choose to hold their bets ahead of the Christmas weekend and the year-end factor hurts volumes. We saw yet another muted trading session where the key stock indices refused to break out of a narrow range throughout the day.
Inflation is taxation without legislation. - Milton Friedman.
Onions and other veggies are making headlines for hitting the household budgets and adding to the UPA’s woes. Food inflation, which seemed to be softening, has surged to 12%. Inflation could spike further up if the Government goes ahead with a hike in diesel and LPG. Crude oil is hovering around $91.51, amid optimism that the US economy is slowly getting back on track.
The start on the Dalal Street is expected to be flat tracking unsupportive Asian markets; the Indian markets are likely to trade rangebound for a while
Headlines for the day:
Tata abstains from backing Rio offer
Banks oppose granting new licences to business houses
Strides to increase stake to 94% in Ascent
The key benchmark indices may open lower, tracking weak Asian stocks. Trading of S&P CNX Nifty futures on the Singapore stock exchange indicate a decline of 7.50 points at the opening bell.
Foreign funds sold shares worth Rs 143.10 crore and domestic funds sold shares worth Rs 88.63 crore on Thursday, 23 December 2010, as per provisional data from the stock exchanges. Foreign funds have sold shares worth a net Rs 4277.06 crore so far this month, as per data from the stock exchanges. Domestic funds have bought shares worth a net Rs 1334.31 crore this month so far.