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Friday, March 02, 2012

Grey Market Premiums - March 2 2012


Company Name

Offer Price

(Rs.)

Premium

(Rs.)

Kostak

(Rs. 2 Lac

Application)

Hudco

1000

2 to 2.50

--

IRFC

1000

9 to 9.50

--

MCX (IPO)

1032

(Higher Price Band)

360 to 365

Kostak Price on Last Day (24-2-2012)

Rs. 3000 to 3100


Daily News Roundup - March 2 2012


Oil and Natural Gas Corporation’s share auction fell marginally short of full subscription. Against 427.77 million shares on offer, bids were received for 420 million, or 98.3%. However, the government raised ~Rs127.66bn, suggesting some bids came above the floor price of ~290 a share. (BS)

Reliance Industries Limited, which plans to mark its re-entry into the telecom sector by launching its 4G services this year, is known to be evaluating various options of offering voice with the service. (BS)

Sterlite Industries has offered to pay Rs160bn to buy government stakes in Hindustan Zinc and Bharat Aluminium Company. (ET)

Saving the blushes!


Success is the ability to go from one failure to another with no loss of enthusiasm.- Sir Winston Churchill.

The Government’s already battered image suffered another knock in the form of a disappointing ONGC auction. A last-minute rescue by LIC has reportedly saved the Government the blushes. Still, the lukewarm response will irk the Centre. It may also hit sentiment for upcoming auctions unless the Government gets its act together. ONGC stock was down and might suffer more damage. The approval of share buyback for PSUs may act as a blessing in disguise. But, one has to see how the market views that in light of the ONGC fiasco.

Leaving aside the bad news on disinvestment, the start is likely to be positive. Most Asian indices are up following overnight gains on Wall Street. US shares gained on couple of encouraging economic reports. Oil spiked on reports of a pipeline explosion but the same was later denied by Saudi Arabia.

Good gains for crude


Prices rise riding on back of steady dollar, mixed data and supply concerns

Crude prices ended substantially higher on Thursday, 01 March 2012 at Nymex. Prices rose following mixed economic data at Wall Street, steady dollar and after a report of a pipeline blast in Saudi Arabia.

Light and sweet crude for April delivery rose $1.77 (1.7%) to $108.84 a barrel on the New York Mercantile Exchange on Thursday. Prices gained 8.7% during February 2012.

In the currency market on Thursday, the Dollar Index, which weighs the strength of dollar against basket of six other currencies stayed steady and rose marginally higher earlier during the day. Yesterday, the European Central Bank disclosed that it recently issued more than $700 billion in three-year loans to the continent's banks.

Market may open higher on firm Asian stocks


The market may open higher on firm Asian stocks. Trading of S&P CNX Nifty futures on the Singapore stock exchange indicates a gain of 25.50 points at the opening bell.

Investors bid for 42.04 crore shares of ONGC of a total of 42.77 crore shares on offer in an auction of 5% government stake-sale in the firm through the stock exchanges mechanism on 1 March 2012 as per data on National Stock Exchange. The Government of India held 74.14% stake in ONGC as on 31 December 2011.

India's largest bike maker by sales Hero MotoCorp reported a 10.89% rise in its total sales at 5,23,465 units in February 2012 over February 2011.

Precious metals end nearly at daily highs


Prices gain back part of previous session's losses

Bullion metal prices ended higher on Thursday, 01 March 2012 at Comex. Prices ended the U.S. day session near their daily highs on Thursday following the big downdraft on Wednesday. Prices ran higher with higher equities and higher oil prices. The key “outside markets” were mixed for the precious metals markets on Thursday, as the U.S. dollar index was slightly higher and crude oil prices were also slightly higher.

Gold for April delivery ended higher by $10.9 or 0.6%, to end at $1,722.2 an ounce on the Comex division of the New York Mercantile Exchange on Thursday. Prices had wavered between small gains and losses earlier, trading as low as $1,695.10 an ounce and as high as $1,726.40 an ounce. Year-to-date, gold has gained 9.9%, while prices shed 1.7% on the month of February 2012. Gold ended the month of January higher by 11%. For the year 2011, gold rose 10%.

Mphasis


Mphasis

India Strategy - Sell?


India Strategy - Sell?

Better trades for the day - March 2 2012


Events for the day:

Ex-date for interim dividend of CHL

Stock in news:

High floor price may have dashed FII interest in Oil & Natural Gas Corporation ( ONGC): experts.

Sesa Goa completes acquisition of Goa Energy.

Centre seeks more time for 2G spectrum auction.

Oriental Bank of Commerce sees 19% loan growth.

MTNL says not shutting down CDMA business.

SGX Nifty Live Update - March 2 2012


5404.50 +22.00 (+0.41%)