Friday, August 10, 2012
In a fresh blow to the IT major, a former employee of Infosys has filed a suit against the company in a California court over alleged misuse of B1 visas. (ET) The Supreme Court has issued notice to Indraprastha Gas on the plea of PNGRB over the fixation of the maximum retail price, network tariff and compression charges for the gas by the regulator. (ET) Punj Lloyd said it has bagged a Rs3.3bn order from Ministry of Petroleum and Natural Gas for process facilities & utilities at an upcoming crude oil storage cavern in Mangalore. (ET) Akzo Nobel India Ltd is setting up a new plant at Gwalior for decorative paints. The 60mn litres a year plant will cost Rs1.5bn. The company has also proposed to house a Rs500mn powder coatings manufacturing unit within the plant complex. (BL)
The Indian stock markets ended with minor losses after industrial production for the month of June unexpectedly shrank as against expectations of a marginal increase. The frontline Indian equity benchmarks had advanced modestly in the early minutes of trade, with the Sensex hitting 17,700 and the Nifty trading above the 5,350 mark. Both the main indices rose by ~0.5% each in opening deals. However, sluggish European markets and sustained selling pressure in index heavyweights such as SBI, Bharti Airtel, HDFC, Reliance Industries and Wipro dragged the benchmarks to day's low in late trade. The sentiment was hit by a weaker-than-expected IIP data for June and disappointing results from auto giant Tata Motors.
"There is no sudden leap into the stratosphere... There is only advancing step by step, slowly and tortuously, up the pyramid towards your goals..." There is more action on the streets as the playful side of Lord Krishna is celebrated on Janmashtami. Youngsters will form human pyramids to reach a high-hanging pot of butter and break it. For the government and policymakers they have many high-hanging pots to reach. IIP contracted by ~2% in June – increasing the headache for policymakers, who have been grappling with a slowing economy, sticky inflation, high borrowing costs, widening twin deficits and a global mess. But, the people in charge of monetary and fiscal policies are at loggerheads when it comes to taking action to revive growth. While the RBI blames loose fiscal policy for its reluctance to cut rates, the Government is banking on the central bank to blink first. The tug-of-war is not over yet and one doesn’t really know as to how it will end.
Indian markets were highly volatile in trade today and closed the session in the negative zone. The Sensex slipped 40 points and the Nifty fell 15 points after disappointment from poor IIP numbers. Major Headlines of the Day IIP for June at -1.8% vs 2.4% in May 2012 Car sales rise 6.7% in July Tata Motors Q1 cons net profit at Rs2245 cr Adani Enterprises dips after Q1 nos Bharti Airtel hits 52-week low
Key benchmark indices edged lower in choppy trade as a surprise decline in India' industrial production in June 2012 and lower-than expected growth in China's retail sales and industrial production in July 2012 hurt investor sentiment adversely. China is the world's second biggest economy after the US. The market breadth was negative. The barometer index, BSE Sensex, was down 39.69 points or 0.23%, up about 45 points from the day's low and off close to 140 points from the day's high. Most bank shares were in red. Tata Motors recovered in choppy trade after good Q1 results. Bharti Airtel extended Wednesday's losses triggered by weak Q1 results, with the stock hitting 52-week low. Bharti Airtel's weak Q1 results dragged other telecom stocks lower for the second straight day. The Sensex has gained 324.69 points or 1.88% in this month so far (till 9 August 2012). The Sensex has jumped 2,105.95 points or 13.62% in calendar 2012 so far (till 9 August 2012). From a 52-week low of 15,135.86 on 20 December 2011, the Sensex has risen 2,425.01 points or 16.02%. From a 52-week high of 18,523.78 on 22 February 2012, the Sensex has lost 962.91 points or 5.19%.