Daily News Roundup - Jan 9 2013

Lenders to bankrupt Kingfisher Airlines have decided to take legal action against the airline company for its failure to repay debt of over Rs70bn despite repeated reminders. (ET) The Bombay High Court has dismissed a petition filed by Hindustan Unilever against a magistrate’s direction to the police to conduct an inquiry into the veracity of an advertisement of its water purifier ‘PURE IT'. (ET) Marico plans to demerge its services business Kaya into a separate listed firm in a move that could help improve valuations of the parent company that has been weighed down by the weak performance of its services arm. This is effective April 1. (ET)

Finding solace

There is nothing so bitter that a patient mind cannot find some solace in it. - Lucius Annaeus Seneca The Indian market seems to be in no hurry to get anywhere. Investors are keeping their fingers crossed ahead of the major earnings and a couple of macro-economic data expected in the coming week. A flat start is what lays in store for the main Indian indices today. A late recovery on Tuesday powered the Nifty to its psychological comfort zone of 6000. The Nifty needs to cement its position above 6000 levels for a couple of trading sessions to exhaust any selling pressure.

Daily News Roundup - Jan 7 2013

The government has allowed Cairn India to further explore its prolific Rajasthan oilfields, which can raise the block’s output to 300,000 barrels per day from current 175,000 bpd, oil minister said. (ET) MAS GMR Aerospace Engineering is in talks with SpiceJet for offering aircraft maintenance repair and overhaul services for the airline’s newly acquired Bombardier Q400 fleet, a senior official of the GMR Group said. (ET) Dr Reddy’s Laboratories, which is in the process of acquiring Netherlands-based specialty pharmaceutical company OctoPlus NV for about €27.4m, has so far managed to get nearly 80% shares in its favour. (ET)

Market to play it cool

"It doesn't matter if the water is cold or warm if you're going to have to wade through it anyway" - Teilhard de Chardin The weather of course is as cool as one may have experienced. The market has nothing really to warm up to immediately except the results which will start pouring in later this week. The outlook is a flat opening with a narrow range movement anticipated. Asian stocks are moving in and out of positive territory. The Nikkei is slightly lower. Hang Seng is marginally higher. Samsung Electronics Co. and LG Display Co. fell in Seoul after being fined by China for price fixing. The US market had closed in the green on Friday.

Market may open slightly higher

The market may open slightly higher, tracking mostly higher Asian stocks. Trading of S&P CNX Nifty futures on the Singapore stock exchange indicates that the Nifty could gain 11 points at the opening bell. Punjab National Bank after trading hours on Friday, 4 January 2013, said that the bank has received all regulatory approvals including CCI for acquiring 30% stake in Metlife India Insurance Co. On closing of the transaction, the company will be rebranded as PNB Metlife India, PNB said in a statement. ING Vysya Bank after trading hours Friday, 4 January 2013, said that the Reserve Bank of India has approved increase in investment limit by FIIs in equity shares of ING Vysya Bank under portfolio investment scheme (PIS) to 30% from 24%.

Market Technicals - Jan 3 2013

Market Technicals - Jan 3 2013 

Positive start likely on Asian support

The Indian markets are expected to open in the green zone tracking positive Asian cues. SGX Nifty is also trading 74.50 points higher. Events for the day: India December Markit Manufacturing PMI. Stock in news: Hero MotoCorp posts marginal rise in sales. OBC cuts interest rate on home loans by 0.1%. NMDC in talks for coking coal mines in Russia, Mozambique.

A rally on cards on positive Asian stocks

The market may open firm on positive Asian stocks. Trading of S&P CNX Nifty futures on the Singapore stock exchange indicates that the Nifty could surge 74.50 points at the opening bell. Markit Economics will unveil HSBC India Manufacturing PMI, which gauges the business activity of India's factories, for December 2012 today, 2 January 2013. Asian stocks edged higher on Wednesday, 2 January 2013 as investors snapped up shares across sectors as the U.S. House of Representatives was set to vote on the Senate's approval for a bill on the fiscal cliff. Reliance Industries (RIL) on Tuesday, 1 January 2013, said it has bought back 4.62 crore shares for about of Rs 3358.91 crore till 24 December 2012 under its ongoing share buyback program. RIL has set maximum buyback price of Rs 870 per share. The company has set aside Rs 10440 crore for share buyback. The buyback program opened on 1 February 2012 and closes on 19 January 2013. Tata Motors' total sales (including exports) of Tata commercial and passenger vehicles in December 2012 were 65,582 vehicles. The company's domestic sales of Tata commercial and passenger vehicles for December 2012 were 61,700 units.

A Whiff of the cliff…

"Let go over a cliff, die completely, and then come back to life - after that you cannot be deceived" - Zen Proverb The New Year has got off to a happy start and amidst all the drama surrounding the fiscal cliff situation, indices are clocking gains world over. The positive action is set to continue in our market too and the indices could see gains at start again. The Nifty Futures managed to cross the 6,000 mark. Positive momentum has set in as the Nifty achieved a breakout from the trading range of 5850-5930 closing near the 5950 levels. Global cues remain encouraging with Asian markets too joining the party.

A new Bull Market

 A new Bull Market 

Better trades today - Jan 2 2013

Global Cues: The European shares and US stocks remain closed on Tuesday (January 01, 2013) account of New Year holiday. The Asian shares are trading higher on Wednesday (January 02, 2013). SGX Nifty down by 13 points. Events for the day: India December Markit Manufacturing PMI. Stock in news: Hero MotoCorp posts marginal rise in sales. OBC cuts interest rate on home loans by 0.1%. NMDC in talks for coking coal mines in Russia, Mozambique.

Daily News Roundup - Dec 12 2012

Jaguar Land Rover, exploring an opportunity to start production in Saudi Arabia, has signed a letter of intent to begin a feasibility study. (BL) Mahindra & Mahindra will increase prices of its vehicles by over 1% across various models in January to offset rising input costs. (BL) ITC is willing to invest nearly Rs30bn in Bengal over the next four years. (BBL) Videocon Industries announced a new discovery of light hydrocarbons in a well, which is a part of a concession area of Sergipe Alagoas ultra deep water basin in Brazil. (BL)

12-12-12: Good start, eye on IIP

"Production is not the application of tools to materials, but logic to work" - Peter F. Drucker The date 12.12.12 may not enthuse many as it marks Chaudas Amavasya, considered an inauspicious day. Thankfully, the stockmarkets have a mind of their own and looks like the global tailwinds may propel the Indian indices to a better start. The Index of Industrial Production data for October will be keenly watched given the contraction in September. Headwinds of course continue with the Standard & Poor's again warning that India still faced a downgrade possibility in its sovereign rating to junk grade. On the other hand Moody’s felt the country's growth prospects for 2013 have improved.

CARE IPO subscribed 40.29 times

Gets bids for 24.65 crore shares Investors made a beeline for the initial public offer of credit rating agency Credit Analysis & Research (CARE). The IPO received bids for 24.65 crore shares till 16:00 IST on the last day of the bidding for the IPO today, 11 December 2012. The IPO was subscribed 40.29 times. The IPO price band is set at Rs 700-Rs 750. The IPO comprises of offer for sale of share by existing shareholders and therefore the company will not get any funds from the IPO. The selling shareholders are offering 71.99 lakh equity shares of face value Rs 10 each. The offer constitutes 25.22% of the post-offer paid-up equity share capital of the company.

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 that the Nifty could gain 17.50 points at the opening bell. Asian stocks gained on Wednesday, 12 December 2012, amid sustained optimism for an agreement on upcoming US tax hikes and spending cuts, ahead of the conclusion of a Federal Open Market Committee that may see it undertake more asset buying. Closer home, the Central Statistical Organization (CSO) will unveil industrial output data for October 2012 today, 12 December 2012. Industrial production is seen expanding 4.7% in October 2012, as per the median estimate of a poll of economists carried out by Capital Market. Industrial production declined 0.4% in September 2012.

Markets may remain cautious at start

Today, it is likely to be a cautious opening for the Indian markets led by mixed global cues. SGX Nifty is also trading 7.50 points higher. Events for the day: Tara Jewels to list today. Stock in news: Shriram EPC bags $230 mn order in Iraq. United Bank of India raises Rs300 cr via perpetual bonds. ICICI Bank introduces flexible recurring deposit iWish.

Daily News Roundup - Dec 6 2012

Reliance Industries has sold its entire stake in an exploration block in Yemen to PT Medco Energi Internasional of Indonesia for US$90mn and has concluded the transaction. (ET) HDFC said a correction is unlikely in the runaway property prices in the metropolis, where the demand continues to be robust. (ET) The US’ Export-Import Bank has extended US$2.1bn credit to Reliance Industries to finance goods and services the Indian company will source from America for its new projects at Jamnagar. (ET)

Nifty re-conquers 5900…realty, metal stocks shine

The Indian stock market in India extended its upswing for the second consecutive trading session on Wednesday. The NSE Nifty index ended above the 5900 mark for the first time since April 2011 led by Realty, Metals, Oil & Gas, Banking and the PSU stocks. Even the Mid-Caps and the Small-Caps participated in today’s run. The market managed to register gains ahead of the voting for the FDI in Retail in the parliament. Even the service PMI index which expanded at slowest rate in 13 months was unable to dampen the sentiment. The HSBC India Composite Output Index posted 53.2 in November, slightly down from 53.5 in October, signalling a further improvement in activity at Indian private sector firms. Although solid, the rate of expansion was the slowest in 12 months. Manufacturing and services companies both recorded increases, although power shortages hampered manufacturing production.

Retail drama climbs to upper house

If I had to single out one element in my life that has made a difference for me, it would be a passion to compete. - Sam Walton The government’s decision to bring in foreign direct investment into the retail sector has technically got a clearance in the Lok Sabha. The action now shifts to the upper House, where the debate starts today; voting is expected on Friday. The going will not be really easy for the government in the Rajya Sabha as it lacks the requisite numbers here. The market is expected to be positive at start. Retail stocks will continue to hog the limelight. On the other hand Tech stocks have been a bit shaken after a routine regulatory filing by Cognizant indicated that company’s growth expectations are lowered.

Market seen opening higher; organised retailers in focus

Trading of S&P CNX Nifty futures on the Singapore stock exchange indicates that the Nifty could gain 11.50 points at the opening bell. Market sentiment will be boosted as FDI in multi-brand retail got the approval of the Lok Sabha on Wednesday as the Opposition motion seeking immediate withdrawal of the decision was rejected convincingly. Asian stocks traded mostly higher Thursday, ahead of the European Central Bank (ECB) policy meeting later in the session.