FII net sell Rs.402cr. DII net sell Rs.729cr on 28.3.08
AGAIN WE GIVEN ALERT TO U ALL ON 31th MARCH AND AFTER
MKT BULL AND BEAR DAYS ALREADY CONFIRMED BY OURS.
NEXT WEEK MKT TREND.? BUT TREND IS CONFORMED.
NEXT WEEK MARKET TREND & NIFTY , SENSEX TARGET &
BULLISH AND BEARISH SECTORS AND TARGETS ARE
GIVEN PAID CLIENTS ONLY.
JGS Investments is a home of expert stockmarket analysts, and premier source for technical analysts research and information on Indian Stock Markets.Just join us at Yahoo Messenger sheth_jg@yahoo.com OR Email at sheth_jg@yahoo.com
Saturday, March 29, 2008
Friday, March 28, 2008
See 1500 points up or down in April 2008
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Thursday, March 27, 2008
Market may consolidate further
Confused
In Volatile Market
What to Buy , When to Sell ?
No Problem, Our Team is Here, You Can Rely on Us
To know more subscribe add sheth_jg@yahoo.com
Sell Nifty at opening of market n cover according to ur taste of profit
With the global indices
down 1-2 percent, our markets are likely to open on flat to
negative note today. Trader are advised to assume long
positions if Nifty holds 4800 levels or from lower supports of
4750 levels for upside targets of 4910 and 5000 levels with a
stop loss placed at 4700 levels.
The breadth of the market
remained positive in spite of negative market suggesting buying
prevailed in selective mid-cap and small-cap stocks. Nifty March
Futures have witnessed closure of short positions while April
Futures have witnessed fresh build up of long positions. April
Futures have seen 48 lakh shares addition in open interest along
with an increase in premium from 7.40 points to 12.25 points.
The rollover of the total market is at 48.73% while the Nifty
rollover stands at 43.74%. On the options front, Nifty 4800 Call
and Put options have seen buying suggesting market is likely to
remain highly volatile in today’s trade
We have a moderately bullish view on Tata Steel; we recommend a Bull Call Spread strategy
o Buy One Apr 660 CA @ 38-42
o Sell One Apr 700 CA @ 26-30
o BEP: 700
o Investment: Rs. 85,000
o Time Frame: 5-6 Days
We recommend a buy in Central Bank of India from a short-term perspective. The charts of Central Bank of India show that the stock was on a medium-term downtrend from its life-high of Rs 154.9 marked in early January 2008 till its mid March low of Rs 73.
More recently, the stock’s medium-term downtrend got arrested at around the support level of Rs 74
After opening with a positive bias, markets traded in a range bound for major part of the trading session. However, towards last hour of the day, a four day rally fizzled out as weak cues from the US, Asian and the European markets coupled with selling pressure in the Banking, Oil & Gas, Telecom and Pharma stocks dragged the benchmark Sensex to close in red. Finally, the BSE benchmark Sensex slipped 130 points to 16,086 and the Nifty index lost 48 points to close at 4,828.
Overall about 1,733 stocks advanced; 978 stocks declined while 50 stocks remained unchanged. Among the 50 Nifty 19 stocks ended in positive territory. On the other hand, 31 stock ended in red.
Among the BSE Sectoral indices, BSE Bankex index (down 0.8%), BSE Oil & Gas index (down 0.8%), BSE Teck index (down 0.7%) and BSE Pharma index (down 0.7%). Gainers were, BSE Small-Cap index (up 2.1%), Mid-Cap index (up 1.5%) and Metal index (up 1.5%).
Among the 30-stocks of Sensex, ICICI Bank, Bharti Airtel, Hindustan Unilever, RIL and BHEL were among the major laggards. However, bucking the trend were HDFC, Tata Steel and ITC.
Aries Agro advanced by 2.2% to Rs120 after the company announced that they opened largest Micronutrient unit at Hyderabad. The scrip touched an intra-day high of Rs125 and a low of Rs116 and recorded volumes of over 8,000 shares on BSE.
Dewan Housing was up over 3% to Rs108 after the company said that it entered into an agreement with UAE sponsorship centre. The scrip touched an intra-day high of Rs108 and a low of Rs102 and recorded volumes of over 3,00,000 shares on BSE.
Strides Arcolab was up by 1.4% to Rs156. The company said that it secured first US approval for HIV drug, according to reports. The scrip touched an intra-day high of Rs159 and a low of Rs151 and recorded volumes of over 10,000 shares on BSE.
Ashok Leyland marginally slipped by half a percent to Rs33. The company said that they raised US$200mn in overseas loan. The scrip touched an intra-day high of Rs33 and a low of Rs32 and recorded volumes of over 6,00,000 shares on BSE.
Maruti Suzuki ended on a flat note to Rs845. The company said that they would begin selling swift Dzire in India march 29. The scrip touched an intra-day high of Rs852 and a low of Rs833 and recorded volumes of over 1,00,000 shares on BSE.
Tata Chemicals slipped by half a percent to Rs274. Reports stated that the company would raise US$850mn to part fund its US$1bn acquisition of US-based General Chemicals Industries Products. The scrip touched an intra-day high of Rs278 and a low of Rs272 and recorded volumes of over 85,000 shares on BSE.
SBI was down by 1.5% to Rs1713. Report stated that the company has secured full bank license from the Monetary Authority of Singapore to establish up to 25 outlets. The scrip touched an intra-day high of Rs1791 and a low of Rs1696 and recorded volumes of over 3,00,000 shares on BSE.
Religare surged by over 4% to Rs380 following reports that the company would acquire UK broking firm Hichens, Harrison & Co for US$100mn. The scrip touched an intra-day high of Rs390 and a low of Rs351 and recorded volumes of over 65,000 shares on BSE.
Markets would further look to consolidate and with F&O expiry on Thursday traders should be cautious.
Corporate Front Page
Tata Motors has signed a deal to buy luxury brands Jaguar and Land Rover (JLR) from Ford for US$2.3bn in cash.
Pfizer has filed two law suits to block Ranbaxy's generic version of Lipitor and Caduet.
RCOM and TCS to enter last leg of bid for setting up 12,000 common service centres across the country.
Tatas to get approval to make an eco-car from the Thailand’s Board of Investment.
ONGC, along with its partner the Hinduja Group, to sign an initial agreement to develop two huge oil and gas fields in Iran.
Religare Enterprises to buy a London-based broking firm, for ~Rs7bn.
DLF to add Ferragamo to luxury brand portfolio.
IDBI reduces its benchmark prime lending rate by 50 basis points to 12.75% from 13.25%.
Gujarat NRE Coke plans to set up coke oven flu gas power plants in its production facilities.
KS Oils has acquired 50,000 acres of palm plantation in Indonesia with an investment of Rs2.3bn.
ITC stops non-filtered cigarette production.
Ashok Leyland has recently concluded an ECB program of US$200mn.
Tata Teleservices has partnered with PayMate to enable Tata Indicom customers to book domestic flight tickets.
Idea Cellular to extend its network to cover 3,000 towns and 30,000 villages by the end of the year.
Alok Infra, a subsidiary of Alok Industries, to raise $100mn through a PE fund.
Economy News
SEBI Board will take up listing norms for corporate bonds in the next board meeting.
Withdrawal of income tax holiday for refinery may hit three government refinery projects.
Cabinet to take up DPEB extension today.
The CAG has recommended the closer of 12 state PSUs on account of the poor turnover and continuous losses.
Maharashtra Government will not take further action for three months with regards to land declared as private forest.
Government to create a debt relief fund to provide liquidity to bank for implementing the Rs600bn loan waiver package.
Government still wary of easing ECB curbs.
TRAI to fix prices of pay channels on the DTH platform in line with the Rs5 per channel cap on CAS.
Government to talk to iron ore exporters for raw material security.
DoT may agree to allow niche operators specifically for providing services in the rural sector.
Cabinet nod for farm debt relief fund today.
India's crude oil production increased 2.3% yoy and natural gas output rose 4.7% yoy in February.
Indian refiners February oil processing grew 5.8% on yoy basis.
TRAI is looking to reduce a fee charged by telcos from other telcos.
In Volatile Market
What to Buy , When to Sell ?
No Problem, Our Team is Here, You Can Rely on Us
To know more subscribe add sheth_jg@yahoo.com
Sell Nifty at opening of market n cover according to ur taste of profit
With the global indices
down 1-2 percent, our markets are likely to open on flat to
negative note today. Trader are advised to assume long
positions if Nifty holds 4800 levels or from lower supports of
4750 levels for upside targets of 4910 and 5000 levels with a
stop loss placed at 4700 levels.
The breadth of the market
remained positive in spite of negative market suggesting buying
prevailed in selective mid-cap and small-cap stocks. Nifty March
Futures have witnessed closure of short positions while April
Futures have witnessed fresh build up of long positions. April
Futures have seen 48 lakh shares addition in open interest along
with an increase in premium from 7.40 points to 12.25 points.
The rollover of the total market is at 48.73% while the Nifty
rollover stands at 43.74%. On the options front, Nifty 4800 Call
and Put options have seen buying suggesting market is likely to
remain highly volatile in today’s trade
We have a moderately bullish view on Tata Steel; we recommend a Bull Call Spread strategy
o Buy One Apr 660 CA @ 38-42
o Sell One Apr 700 CA @ 26-30
o BEP: 700
o Investment: Rs. 85,000
o Time Frame: 5-6 Days
We recommend a buy in Central Bank of India from a short-term perspective. The charts of Central Bank of India show that the stock was on a medium-term downtrend from its life-high of Rs 154.9 marked in early January 2008 till its mid March low of Rs 73.
More recently, the stock’s medium-term downtrend got arrested at around the support level of Rs 74
After opening with a positive bias, markets traded in a range bound for major part of the trading session. However, towards last hour of the day, a four day rally fizzled out as weak cues from the US, Asian and the European markets coupled with selling pressure in the Banking, Oil & Gas, Telecom and Pharma stocks dragged the benchmark Sensex to close in red. Finally, the BSE benchmark Sensex slipped 130 points to 16,086 and the Nifty index lost 48 points to close at 4,828.
Overall about 1,733 stocks advanced; 978 stocks declined while 50 stocks remained unchanged. Among the 50 Nifty 19 stocks ended in positive territory. On the other hand, 31 stock ended in red.
Among the BSE Sectoral indices, BSE Bankex index (down 0.8%), BSE Oil & Gas index (down 0.8%), BSE Teck index (down 0.7%) and BSE Pharma index (down 0.7%). Gainers were, BSE Small-Cap index (up 2.1%), Mid-Cap index (up 1.5%) and Metal index (up 1.5%).
Among the 30-stocks of Sensex, ICICI Bank, Bharti Airtel, Hindustan Unilever, RIL and BHEL were among the major laggards. However, bucking the trend were HDFC, Tata Steel and ITC.
Aries Agro advanced by 2.2% to Rs120 after the company announced that they opened largest Micronutrient unit at Hyderabad. The scrip touched an intra-day high of Rs125 and a low of Rs116 and recorded volumes of over 8,000 shares on BSE.
Dewan Housing was up over 3% to Rs108 after the company said that it entered into an agreement with UAE sponsorship centre. The scrip touched an intra-day high of Rs108 and a low of Rs102 and recorded volumes of over 3,00,000 shares on BSE.
Strides Arcolab was up by 1.4% to Rs156. The company said that it secured first US approval for HIV drug, according to reports. The scrip touched an intra-day high of Rs159 and a low of Rs151 and recorded volumes of over 10,000 shares on BSE.
Ashok Leyland marginally slipped by half a percent to Rs33. The company said that they raised US$200mn in overseas loan. The scrip touched an intra-day high of Rs33 and a low of Rs32 and recorded volumes of over 6,00,000 shares on BSE.
Maruti Suzuki ended on a flat note to Rs845. The company said that they would begin selling swift Dzire in India march 29. The scrip touched an intra-day high of Rs852 and a low of Rs833 and recorded volumes of over 1,00,000 shares on BSE.
Tata Chemicals slipped by half a percent to Rs274. Reports stated that the company would raise US$850mn to part fund its US$1bn acquisition of US-based General Chemicals Industries Products. The scrip touched an intra-day high of Rs278 and a low of Rs272 and recorded volumes of over 85,000 shares on BSE.
SBI was down by 1.5% to Rs1713. Report stated that the company has secured full bank license from the Monetary Authority of Singapore to establish up to 25 outlets. The scrip touched an intra-day high of Rs1791 and a low of Rs1696 and recorded volumes of over 3,00,000 shares on BSE.
Religare surged by over 4% to Rs380 following reports that the company would acquire UK broking firm Hichens, Harrison & Co for US$100mn. The scrip touched an intra-day high of Rs390 and a low of Rs351 and recorded volumes of over 65,000 shares on BSE.
Markets would further look to consolidate and with F&O expiry on Thursday traders should be cautious.
Corporate Front Page
Tata Motors has signed a deal to buy luxury brands Jaguar and Land Rover (JLR) from Ford for US$2.3bn in cash.
Pfizer has filed two law suits to block Ranbaxy's generic version of Lipitor and Caduet.
RCOM and TCS to enter last leg of bid for setting up 12,000 common service centres across the country.
Tatas to get approval to make an eco-car from the Thailand’s Board of Investment.
ONGC, along with its partner the Hinduja Group, to sign an initial agreement to develop two huge oil and gas fields in Iran.
Religare Enterprises to buy a London-based broking firm, for ~Rs7bn.
DLF to add Ferragamo to luxury brand portfolio.
IDBI reduces its benchmark prime lending rate by 50 basis points to 12.75% from 13.25%.
Gujarat NRE Coke plans to set up coke oven flu gas power plants in its production facilities.
KS Oils has acquired 50,000 acres of palm plantation in Indonesia with an investment of Rs2.3bn.
ITC stops non-filtered cigarette production.
Ashok Leyland has recently concluded an ECB program of US$200mn.
Tata Teleservices has partnered with PayMate to enable Tata Indicom customers to book domestic flight tickets.
Idea Cellular to extend its network to cover 3,000 towns and 30,000 villages by the end of the year.
Alok Infra, a subsidiary of Alok Industries, to raise $100mn through a PE fund.
Economy News
SEBI Board will take up listing norms for corporate bonds in the next board meeting.
Withdrawal of income tax holiday for refinery may hit three government refinery projects.
Cabinet to take up DPEB extension today.
The CAG has recommended the closer of 12 state PSUs on account of the poor turnover and continuous losses.
Maharashtra Government will not take further action for three months with regards to land declared as private forest.
Government to create a debt relief fund to provide liquidity to bank for implementing the Rs600bn loan waiver package.
Government still wary of easing ECB curbs.
TRAI to fix prices of pay channels on the DTH platform in line with the Rs5 per channel cap on CAS.
Government to talk to iron ore exporters for raw material security.
DoT may agree to allow niche operators specifically for providing services in the rural sector.
Cabinet nod for farm debt relief fund today.
India's crude oil production increased 2.3% yoy and natural gas output rose 4.7% yoy in February.
Indian refiners February oil processing grew 5.8% on yoy basis.
TRAI is looking to reduce a fee charged by telcos from other telcos.
Wednesday, March 26, 2008
Intra-day volatility may exist
The market may witness cautious trend as US indices ended on a flat note yesterday and Asian indices are exhibiting mix trends in morning trades. Although the bias remains positive, investors should maintain caution as profit-taking at higher levels may pull down the market. Among the local indices the Nifty could test 4740 on the downside while on the upper side it may move up to 5050. The Sensex has a likely support at 16000 and may face resistance at 16400
Will the momentum continue?
Markets extended their gains to fourth straight trading session as firm cues from the international equity markets coupled with buying momentum in the index heavyweights like Reliance Industries, ONGC, DLF and ICICI Bank lifted the markets to surge higher. The benchmark Sensex posted its second biggest single day points gain simultaneously its biggest single day points rally since January 25, 2008. The rally could be attributed to buying momentum in scrip across the sectors. All the Sectoral indices on BSE ended in green.
Finally, the BSE benchmark Sensex added 928 points to 16,217 and the Nifty index added 267 points to close at 4,877. Overall about 2,076 stocks advanced; 639 stocks declined while 47 stocks remained unchanged. Among the 50 Nifty 48 stocks ended in positive territory. On the other hand, only 1 stock ended in red.
BSE Realty index (up 9.5%), BSE Bankex index (up 8.1%), BSE IT index (up 7.7%), BSE Power index (up 6.5%) and BSE Metal index (up 6.4%). BSE Mid-Cap index (up 6.3%) and Small-Cap index (up 4.8%).
Jet Airways surged by over 7% to Rs548. Reports stated that the company would sell 10% stake to FIIs before rights offer. The scrip touched an intra-day high of Rs558 and a low of Rs512 and recorded volumes of over 32,000 shares on BSE.
Aurobindo Pharma further gained by over 4% to Rs258 after the company on Monday announced that they acquired TAD Italy, a generic company with 70 ready-to-market products, for an undisclosed amount. The scrip touched an intra-day high of Rs261 and a low of Rs250 and recorded volumes of over 37,000 shares on BSE.
Sun Pharma slipped by 2.1% to Rs1252. According to reports, the USFDA has asked the US subsidiary of Sun Pharmaceuticals to withdraw many batches of its generic Metformin Hydrochloride tablets used for treating diabetes, citing efficacy and quality issues. The scrip touched an intra-day high of Rs1300 and a low of Rs1240 and recorded volumes of over 4,00,000 shares on BSE.
JP Associates rallied by over 16% to Rs233 after the company announced that they would sell 1% stake in unit to ICICI Bank. The scrip touched an intra-day high of Rs236 and a low of Rs207 and recorded volumes of over shares 78,00,000 on BSE.
Jyoti Structures surged by over 4% to Rs162 after the company said that they secured order worth US$39.64mn from Uganda Electricity. The scrip touched an intra-day high of Rs170 and a low of Rs157 and recorded volumes of over 25,000 shares on BSE.
Reliance Industries, manufacturers of petrochemicals, synthetic fibers and textile, plans to close down all the petroleum retail outlets owned by it directly, according to reports. The rising crude prices and the absence of government subsidies have made operations unviable, the report stated. The scrip ended at Rs2314 gaining by 5.1% after hitting an intra-day high of Rs2325 and a low of Rs2220 and recorded volumes of over 8,00,000 shares on BSE.
Four Soft was up by 1% to Rs23 after the company declared that they secured software contract from IAL Group. The scrip touched an intra-day high of Rs24 and a low of Rs22 and recorded volumes of over 2,00,000 shares on BSE.
One ought to keep one's antennas on high alert to gauge any incidents. The immediate event to watch is the upcoming F&O expiry on Thursday. The market may witness some extra volatility. So traders are advised to protect their profits
Corporate News
SBI secures full bank license from the Monetary Authority of Singapore to establish up to 25 outlets.
L&T wins US$240mn deal for building four ships.
Phoenix Mills buys 25 acres land in Bangalore from GKW for Rs3.2bn.
IOC expects to save Rs10mn a day on transportation once its proposed 15mtpa refinery and petrochem complex starts operations in 2011.
The Government has stayed plan to reduce assured return on equity on negotiated power projects on opposition by NTPC.
Strides Arcolab gets first US approval for HIV drug.
HSBC Financial's stake in Yes Bank up at 4.88%.
Kotak Mahindra Bank plans to lend 30% more in the next 12 months.
Nortel wins US$100mn GSM deal from BSNL.
Jet Airways plans to dilute stake by 10%.
Reliance Power to spend Rs30bn for mines to fuel Sasan project.
Voltas not to hike prices of air-conditioners despite rising input costs.
ONGC targets 29.04MT crude production in 2008-09.
Gail sets gas transmission target of around 81.5mmscmd in 2008-09.
Nilkamal to invest Rs1.5bn by 2011 to expand its furniture retail chain.
Union Bank likely to post lower credit growth this fiscal at around 20% against projected 23-25%.
Federal Bank to open 26 branches across 11 states today.
SBI to raise Rs62.7bn through foreign currency bond issue.
The Government plans to divest 5% stake through follow-on public offers in companies including MMTC, STC, Concor and SCI.
GTL promoters increase stake from 34.36% to 37.05%.
Aurobindo Pharma looking for strategic overseas buy-outs to double revenues.
PFC ties-up with Indian Renewable Energy Development Agency to fund renewable projects.
Bombay Dyeing, L&T JV to jointly bid for development projects in Mumbai and other cities.
Eicher Motors to mull major capacity expansion plan ahead of JV for trucks with Volvo.
Corporation Bank to raise Rs5bn through bonds to meet capital requirements.
Religare to acquire UK broking firm Hichens, Harrison & Co for US$100mn.
REL buys back 250,000 shares through open market purchases on first day of share buyback programme.
Tata Chemicals to raise US$850mn to part fund its US$1bn acquisition of US-based General Chemicals Industries Products.
Ministry of Commerce to consider waiving off 26.33% duty levied on coal exported by Coal India.
Economic News
Car manufacturers consider price hikes on input cost pressures.
FDI cap in DTH to go up to 74%.
ECB policy likely to be relaxed; cap for current financial year may go up to US$28-30bn.
Cement, power companies to buy ships to cut costs.
RBI grants license to Singapore banks, DBS and United Overseas Bank.
Steel makers agree to stop exports, forego DEPB benefits and supported reducing import duty on the alloy.
CPI wants to prevent the Government from acquiring lands and enforce trade union laws in SEZs.
Indian companies witnessed a slowdown in ECB and FCCB mop-up in November-January, says RBI.
I&B Ministry gives approval to hike FDI to 24% from 20% in FM radio operations
Will the momentum continue?
Markets extended their gains to fourth straight trading session as firm cues from the international equity markets coupled with buying momentum in the index heavyweights like Reliance Industries, ONGC, DLF and ICICI Bank lifted the markets to surge higher. The benchmark Sensex posted its second biggest single day points gain simultaneously its biggest single day points rally since January 25, 2008. The rally could be attributed to buying momentum in scrip across the sectors. All the Sectoral indices on BSE ended in green.
Finally, the BSE benchmark Sensex added 928 points to 16,217 and the Nifty index added 267 points to close at 4,877. Overall about 2,076 stocks advanced; 639 stocks declined while 47 stocks remained unchanged. Among the 50 Nifty 48 stocks ended in positive territory. On the other hand, only 1 stock ended in red.
BSE Realty index (up 9.5%), BSE Bankex index (up 8.1%), BSE IT index (up 7.7%), BSE Power index (up 6.5%) and BSE Metal index (up 6.4%). BSE Mid-Cap index (up 6.3%) and Small-Cap index (up 4.8%).
Jet Airways surged by over 7% to Rs548. Reports stated that the company would sell 10% stake to FIIs before rights offer. The scrip touched an intra-day high of Rs558 and a low of Rs512 and recorded volumes of over 32,000 shares on BSE.
Aurobindo Pharma further gained by over 4% to Rs258 after the company on Monday announced that they acquired TAD Italy, a generic company with 70 ready-to-market products, for an undisclosed amount. The scrip touched an intra-day high of Rs261 and a low of Rs250 and recorded volumes of over 37,000 shares on BSE.
Sun Pharma slipped by 2.1% to Rs1252. According to reports, the USFDA has asked the US subsidiary of Sun Pharmaceuticals to withdraw many batches of its generic Metformin Hydrochloride tablets used for treating diabetes, citing efficacy and quality issues. The scrip touched an intra-day high of Rs1300 and a low of Rs1240 and recorded volumes of over 4,00,000 shares on BSE.
JP Associates rallied by over 16% to Rs233 after the company announced that they would sell 1% stake in unit to ICICI Bank. The scrip touched an intra-day high of Rs236 and a low of Rs207 and recorded volumes of over shares 78,00,000 on BSE.
Jyoti Structures surged by over 4% to Rs162 after the company said that they secured order worth US$39.64mn from Uganda Electricity. The scrip touched an intra-day high of Rs170 and a low of Rs157 and recorded volumes of over 25,000 shares on BSE.
Reliance Industries, manufacturers of petrochemicals, synthetic fibers and textile, plans to close down all the petroleum retail outlets owned by it directly, according to reports. The rising crude prices and the absence of government subsidies have made operations unviable, the report stated. The scrip ended at Rs2314 gaining by 5.1% after hitting an intra-day high of Rs2325 and a low of Rs2220 and recorded volumes of over 8,00,000 shares on BSE.
Four Soft was up by 1% to Rs23 after the company declared that they secured software contract from IAL Group. The scrip touched an intra-day high of Rs24 and a low of Rs22 and recorded volumes of over 2,00,000 shares on BSE.
One ought to keep one's antennas on high alert to gauge any incidents. The immediate event to watch is the upcoming F&O expiry on Thursday. The market may witness some extra volatility. So traders are advised to protect their profits
Corporate News
SBI secures full bank license from the Monetary Authority of Singapore to establish up to 25 outlets.
L&T wins US$240mn deal for building four ships.
Phoenix Mills buys 25 acres land in Bangalore from GKW for Rs3.2bn.
IOC expects to save Rs10mn a day on transportation once its proposed 15mtpa refinery and petrochem complex starts operations in 2011.
The Government has stayed plan to reduce assured return on equity on negotiated power projects on opposition by NTPC.
Strides Arcolab gets first US approval for HIV drug.
HSBC Financial's stake in Yes Bank up at 4.88%.
Kotak Mahindra Bank plans to lend 30% more in the next 12 months.
Nortel wins US$100mn GSM deal from BSNL.
Jet Airways plans to dilute stake by 10%.
Reliance Power to spend Rs30bn for mines to fuel Sasan project.
Voltas not to hike prices of air-conditioners despite rising input costs.
ONGC targets 29.04MT crude production in 2008-09.
Gail sets gas transmission target of around 81.5mmscmd in 2008-09.
Nilkamal to invest Rs1.5bn by 2011 to expand its furniture retail chain.
Union Bank likely to post lower credit growth this fiscal at around 20% against projected 23-25%.
Federal Bank to open 26 branches across 11 states today.
SBI to raise Rs62.7bn through foreign currency bond issue.
The Government plans to divest 5% stake through follow-on public offers in companies including MMTC, STC, Concor and SCI.
GTL promoters increase stake from 34.36% to 37.05%.
Aurobindo Pharma looking for strategic overseas buy-outs to double revenues.
PFC ties-up with Indian Renewable Energy Development Agency to fund renewable projects.
Bombay Dyeing, L&T JV to jointly bid for development projects in Mumbai and other cities.
Eicher Motors to mull major capacity expansion plan ahead of JV for trucks with Volvo.
Corporation Bank to raise Rs5bn through bonds to meet capital requirements.
Religare to acquire UK broking firm Hichens, Harrison & Co for US$100mn.
REL buys back 250,000 shares through open market purchases on first day of share buyback programme.
Tata Chemicals to raise US$850mn to part fund its US$1bn acquisition of US-based General Chemicals Industries Products.
Ministry of Commerce to consider waiving off 26.33% duty levied on coal exported by Coal India.
Economic News
Car manufacturers consider price hikes on input cost pressures.
FDI cap in DTH to go up to 74%.
ECB policy likely to be relaxed; cap for current financial year may go up to US$28-30bn.
Cement, power companies to buy ships to cut costs.
RBI grants license to Singapore banks, DBS and United Overseas Bank.
Steel makers agree to stop exports, forego DEPB benefits and supported reducing import duty on the alloy.
CPI wants to prevent the Government from acquiring lands and enforce trade union laws in SEZs.
Indian companies witnessed a slowdown in ECB and FCCB mop-up in November-January, says RBI.
I&B Ministry gives approval to hike FDI to 24% from 20% in FM radio operations
Tuesday, March 25, 2008
DONT LOSS MONEY AGAIN...
AGAIN WE GIVEN ALERT TO U ALL ON 25 th MARCH AND AFTER
MKT BULL AND BEAR DAYS ALREADY CONFIRMED BY OURS.
WHAT NEXT MKT TREND..?BUT TREND CONFORMED.
MARKET TREND AND NIFTY , SENSEX TARGET
AND BULLISH AND BEARISH SECTORS AND TARGETS ARE
GIVEN PAID CLIENTS ONLY.
MKT BULL AND BEAR DAYS ALREADY CONFIRMED BY OURS.
WHAT NEXT MKT TREND..?BUT TREND CONFORMED.
MARKET TREND AND NIFTY , SENSEX TARGET
AND BULLISH AND BEARISH SECTORS AND TARGETS ARE
GIVEN PAID CLIENTS ONLY.
Market may start buoyant
Subscribe to know more before you loose money
The benchmark indices, Sensex and Nifty, are expected to commence on a firm note and witness significant rally during intra-day trades, as international markets backed by firm US and Asian indices may help the sentiment remain buoyant. Among the Asian majors, Nikkei has surged 166 points at 12646 while Hang Seng has scaled up 782 points at 21890. On the technical front, the Nifty could test in the 4680-4700 range on the upside and has support at 4500, while the Sensex has a likely support at 15065 and may face resistance at 15470.
US indices posted steady gains on Monday with the Dow Jones moving 187 points up to close at 12549, while the Nasdaq added 69 points to close at 2327.
All the Indian floats had a decent outing on the US bourses. ICICI Bank was the biggest gainer and rose 13.10% while Rediff scaled up 9.60%. VSNL, Satyam, Infosys HDFC Bank, Tata Motors and Wipro jumped over 6-8% each while Patni Computers gained over 3%.
Crude oil prices in the US market moved up, with the Nymex Light crude oil for May 08 delivery moving down by 98 cents to close at $100.86 a barrel. In the Commodity segment, the Comex gold for April series lost $1.30 to settle at $918.70 a troy ounce.
Nifty 4610 Supp 4400 Res 4700
Buy Tata Motors (662) SL 657 Target 675, 680
Buy ACC (805) SL 798
Target 818, 823
Buy ICICI Bank (802) SL 795 Target 820, 825
Buy ITC (190) SL 186
Target 199, 203
Sell Century Tex (688) SL 695 Target 673, 669
FIIs were net buyers of Rs3.76bn (provisional) in the cash segment yesterday while local institutions pulled out Rs2.53bn. In the F&O segment, foreign funds were net buyers to the tune of Rs18bn yesterday. On March 19, FIIs were net buyers of Rs5.37bn in the cash segment while Mutual Funds offloaded shares worth Rs2.91bn on the same day.
Volatility to continue
It was strong start to the first session of the week. After coming back from one of the longest breaks Indian markets have taken in recent years, bulls staged a strong start despite weak cues from the Asian markets. Markets lost ground in the mid afternoon trades as selling pressure in the Metal and the Realty stocks dragged the benchmark Sensex to low of 15,056. However, staged a strong come back towards the fag end of the session, the index heavyweights like HDFC, Wipro, ICICI Bank and Hindustan Unilever led from the front
Finally, the BSE benchmark Sensex added 294 points to 15,289 and the Nifty index added 35 points to close at 4609. Overall about 563 stocks advanced; 2,121 stocks declined while 33 stocks remained unchanged. Among the 50 Nifty, 31 stocks ended in positive territory. On the other hand, 18 stocks ended in red.
GTL Ltd gained by half a percent to Rs236 after Vanu Inc on March 20, 2008 announced a strategic alliance with GTL LTD to address the Shared Active Infrastructure Services Market in India. The Company and Vanu Inc, is the leading software radio innovator for the wireless infrastructure industry. The scrip touched an intra-day high of Rs239 and a low of Rs230 and recorded volumes of over 56,000 shares on BSE.
Shree Cement was down by over 3% to Rs966. The company said that they have expanded clinker production capacity. The scrip touched an intra-day high of Rs989 and a low of Rs948.
Micro Technologies lost over 5% to Rs181. The company announced the launch of new and unique one pack solution of Premises Security product called the Micro ISS (Intelligent Surveillance System). The scrip touched an intra-day high of Rs191 and a low of Rs177 and recorded volumes of over 25,000 shares on BSE.
Great Offshore was down by a percent to Rs591. The Company said that they would consider buyback of shares on March 31. The scrip touched an intra-day high of Rs651 and a low of Rs573 and recorded volumes of over 27,000 shares on BSE.
Aurobindo Pharma edged lower by 0.2% to Rs248. The company announced that it signed agreement with TAD Italy. The scrip touched an intra-day high of Rs259 and a low of Rs241 and recorded volumes of over 85,000 shares on BSE.
Marico bounced back and gained by 1.2% to Rs62. The stock had initially slipped after the company said that they would discontinue distribution alliance with Indo Nissin. The scrip has touched an intra-day high of Rs63 and a low of Rs60 and recorded volumes of over 83,000 shares on BSE.
Petron Engineering advanced by 3% to Rs199 after the company announced that it secured Rs33.7mn contract. The scrip touched an intra-day high of Rs195 and a low of Rs184 and recorded volumes of over 49,000 shares on BSE.
Corporate News
Reliance Industries has decided to shut down all the petroleum retail outlets owned by it directly.
Reliance Industries is evaluating a plan to set up its third refinery at Jamnagar to reach a total capacity of 100mmtpa.
The Indian JV of Fiat and Tata Motors plans to invest Rs23.4bn in its Ranjangaon facility in Pune, taking the total investment to Rs40.4bn.
Oil India plans to go ahead with its IPO despite the stock market falling more than 29% from its peak in January.
Petronet LNG is keen to join existing coal bed methane projects in Australia and plans to bid for gas blocks in the next auction.
BPCL and GAIL will float a joint venture — God’s Own Gas Company (Go Gas) — for marketing CNG and piped gas in Kerala and Karnataka.
ICICI Bank has entered into a Rs11.5bn equity-cum-debt deal with Jaypee Infratech for the 165km Taj Expressway
Ranbaxy, Cipla and Aurobindo Pharma are in the race for the US$200mn South African government tender to supply anti-HIV drugs.
The NPPA has asked Cipla to pay Rs628.5mn as interest on alleged unpaid overcharged amounts in respect of four drugs
Cipla is developing a basket of combination-drugs, including medicines for allergic rhinitis, asthma and cardiac-problems for developed markets.
Cipla is set to launch the world’s first triple drug combination inhaler for patients of chronic obstructive pulmonary disease in India.
TCS has been selected to provide its flagship electronic signature platform for US-based Prudential Financial Inc.
The USFDA has asked the US subsidiary of Sun Pharma to withdraw many batches of its generic Metformin Hydrochloride tablets.
Tata Motors and Ford are expected to complete the Jaguar-Land Rover deal on March 26
Eicher Motors will replace its existing Skyline and Cruiser buses with a new range that will meet all specifications of the Indian bus-code.
Future group is all set to tie up with Cisco Systems to implement RFID technology across all its retail formats.
Emami Group, now in the midst of an expansion-diversification mode, plans to spend Rs2.5bn on its edible oils unit in Haldia.
GHCL’s Board has accorded an in-principle approval to spin off its home textile and retail businesses into separate units.
Punjab National Bank plans to raise fresh capital of Rs5bn by issuing upper tier-II bonds on a private placement basis.
Rain Group is expanding the capacity of its cement plant in Kurnool, by adding 1.5mn tons by May, besides augmenting its CPC production.
Madras Cements plans to expand cement capacity to 10 MTPA by Q2 FY09 and to increase grinding capacity by 1MTPA each at Kolaghat, Chennai and Salem facilities with an investment of Rs15.2bn.
Gulf Oil Corp has announced the launch of four-stroke motorcycle oil Gulf Pride 4T Plus 10W-30, a synthetic blend oil.
Allcargo Global Logistics has purchased a 650 ton capacity Leibherr-LR-1650 crawler crane and ordered 10 more crawler and telescopic cranes having 150-400 ton capacity.
Aarvee Denims is expecting to almost double its turnover in 2008-09 on the back of its Rs700mn expansion plan.
LIC has increased its stake in Reliance Communications to over 5%.
Nicholas Pharma has launched a pilot project in Rajasthan to take its drugs to rural areas where there is no proper public health system.
Raheja Developers will foray into hospitality sector with the Indian Hotels Company.
GMR group is diversifying in the real estate sector with a Rs33bn deal.
Aries Agro is targeting a turnover of Rs2bn during FY10 on the back of its proposed capacity expansion plans.
BP is likely to enter into a strategic tie-up with Cals, a Spice Energy holding company, for its proposed US$1bn refinery at Haldia.
Hyundai Motor plans to sell buses in India from 2009.
National Dairy Development Board has started the process of merging Mother Dairy Fruit & Vegetable and Dhara Vegetable Oil & Foods Co.
UK-based Cobra Beer targets to sell 20 mn cases in India by 2012 and will infuse US$80mn in setting up and acquiring new breweries.
LG Electronics is targeting to sell around 1.5mn refrigerators in 2008.
Economic News
The Centre is contemplating amending the land acquisition law to ensure adequate compensation to people whose lands are acquired. The Government also says that no agricultural and irrigated land should be taken for SEZs.
According to telecom regulator TRAI, India is set to become the second largest wireless network in the world in April.
The Government will raise Rs960bn from the market in April-September by issuing securities to part-finance its expenditure in 2008-09.
TRAI may rethink on phasing out access deficit charge this year.
Banks and financial institutions have settled NPAs of about Rs30bn in 2007-08 through the auction route, which is 25% less than last year.
Five million DTH subscribers may be able to switch from their current service providers to new players by installing an add-on device.
The NHAI has projected an expenditure of Rs280bn for FY09 to complete its ongoing projects and the new projects announced under NHDP.
The Government warned telecom companies to put the required security system in place within 15 days or stop the Blackberry services.
Aluminium prices have been reduced by Rs10,000 per ton from March 20.
Coal production in the 11th Five Year Plan period is expected to increase by 680mn tons from 460mn tons.
Orthodox tea production during the next five years is expected to touch 130mn kg from 80mn kg.
The Government is considering cutting import duty on soya oil.
The Government is mulling the abolition of import duty on all grades of steel.
Steel manufacturers say they would reduce prices provided the excise duty on the alloy is brought down to a reasonable level
The benchmark indices, Sensex and Nifty, are expected to commence on a firm note and witness significant rally during intra-day trades, as international markets backed by firm US and Asian indices may help the sentiment remain buoyant. Among the Asian majors, Nikkei has surged 166 points at 12646 while Hang Seng has scaled up 782 points at 21890. On the technical front, the Nifty could test in the 4680-4700 range on the upside and has support at 4500, while the Sensex has a likely support at 15065 and may face resistance at 15470.
US indices posted steady gains on Monday with the Dow Jones moving 187 points up to close at 12549, while the Nasdaq added 69 points to close at 2327.
All the Indian floats had a decent outing on the US bourses. ICICI Bank was the biggest gainer and rose 13.10% while Rediff scaled up 9.60%. VSNL, Satyam, Infosys HDFC Bank, Tata Motors and Wipro jumped over 6-8% each while Patni Computers gained over 3%.
Crude oil prices in the US market moved up, with the Nymex Light crude oil for May 08 delivery moving down by 98 cents to close at $100.86 a barrel. In the Commodity segment, the Comex gold for April series lost $1.30 to settle at $918.70 a troy ounce.
Nifty 4610 Supp 4400 Res 4700
Buy Tata Motors (662) SL 657 Target 675, 680
Buy ACC (805) SL 798
Target 818, 823
Buy ICICI Bank (802) SL 795 Target 820, 825
Buy ITC (190) SL 186
Target 199, 203
Sell Century Tex (688) SL 695 Target 673, 669
FIIs were net buyers of Rs3.76bn (provisional) in the cash segment yesterday while local institutions pulled out Rs2.53bn. In the F&O segment, foreign funds were net buyers to the tune of Rs18bn yesterday. On March 19, FIIs were net buyers of Rs5.37bn in the cash segment while Mutual Funds offloaded shares worth Rs2.91bn on the same day.
Volatility to continue
It was strong start to the first session of the week. After coming back from one of the longest breaks Indian markets have taken in recent years, bulls staged a strong start despite weak cues from the Asian markets. Markets lost ground in the mid afternoon trades as selling pressure in the Metal and the Realty stocks dragged the benchmark Sensex to low of 15,056. However, staged a strong come back towards the fag end of the session, the index heavyweights like HDFC, Wipro, ICICI Bank and Hindustan Unilever led from the front
Finally, the BSE benchmark Sensex added 294 points to 15,289 and the Nifty index added 35 points to close at 4609. Overall about 563 stocks advanced; 2,121 stocks declined while 33 stocks remained unchanged. Among the 50 Nifty, 31 stocks ended in positive territory. On the other hand, 18 stocks ended in red.
GTL Ltd gained by half a percent to Rs236 after Vanu Inc on March 20, 2008 announced a strategic alliance with GTL LTD to address the Shared Active Infrastructure Services Market in India. The Company and Vanu Inc, is the leading software radio innovator for the wireless infrastructure industry. The scrip touched an intra-day high of Rs239 and a low of Rs230 and recorded volumes of over 56,000 shares on BSE.
Shree Cement was down by over 3% to Rs966. The company said that they have expanded clinker production capacity. The scrip touched an intra-day high of Rs989 and a low of Rs948.
Micro Technologies lost over 5% to Rs181. The company announced the launch of new and unique one pack solution of Premises Security product called the Micro ISS (Intelligent Surveillance System). The scrip touched an intra-day high of Rs191 and a low of Rs177 and recorded volumes of over 25,000 shares on BSE.
Great Offshore was down by a percent to Rs591. The Company said that they would consider buyback of shares on March 31. The scrip touched an intra-day high of Rs651 and a low of Rs573 and recorded volumes of over 27,000 shares on BSE.
Aurobindo Pharma edged lower by 0.2% to Rs248. The company announced that it signed agreement with TAD Italy. The scrip touched an intra-day high of Rs259 and a low of Rs241 and recorded volumes of over 85,000 shares on BSE.
Marico bounced back and gained by 1.2% to Rs62. The stock had initially slipped after the company said that they would discontinue distribution alliance with Indo Nissin. The scrip has touched an intra-day high of Rs63 and a low of Rs60 and recorded volumes of over 83,000 shares on BSE.
Petron Engineering advanced by 3% to Rs199 after the company announced that it secured Rs33.7mn contract. The scrip touched an intra-day high of Rs195 and a low of Rs184 and recorded volumes of over 49,000 shares on BSE.
Corporate News
Reliance Industries has decided to shut down all the petroleum retail outlets owned by it directly.
Reliance Industries is evaluating a plan to set up its third refinery at Jamnagar to reach a total capacity of 100mmtpa.
The Indian JV of Fiat and Tata Motors plans to invest Rs23.4bn in its Ranjangaon facility in Pune, taking the total investment to Rs40.4bn.
Oil India plans to go ahead with its IPO despite the stock market falling more than 29% from its peak in January.
Petronet LNG is keen to join existing coal bed methane projects in Australia and plans to bid for gas blocks in the next auction.
BPCL and GAIL will float a joint venture — God’s Own Gas Company (Go Gas) — for marketing CNG and piped gas in Kerala and Karnataka.
ICICI Bank has entered into a Rs11.5bn equity-cum-debt deal with Jaypee Infratech for the 165km Taj Expressway
Ranbaxy, Cipla and Aurobindo Pharma are in the race for the US$200mn South African government tender to supply anti-HIV drugs.
The NPPA has asked Cipla to pay Rs628.5mn as interest on alleged unpaid overcharged amounts in respect of four drugs
Cipla is developing a basket of combination-drugs, including medicines for allergic rhinitis, asthma and cardiac-problems for developed markets.
Cipla is set to launch the world’s first triple drug combination inhaler for patients of chronic obstructive pulmonary disease in India.
TCS has been selected to provide its flagship electronic signature platform for US-based Prudential Financial Inc.
The USFDA has asked the US subsidiary of Sun Pharma to withdraw many batches of its generic Metformin Hydrochloride tablets.
Tata Motors and Ford are expected to complete the Jaguar-Land Rover deal on March 26
Eicher Motors will replace its existing Skyline and Cruiser buses with a new range that will meet all specifications of the Indian bus-code.
Future group is all set to tie up with Cisco Systems to implement RFID technology across all its retail formats.
Emami Group, now in the midst of an expansion-diversification mode, plans to spend Rs2.5bn on its edible oils unit in Haldia.
GHCL’s Board has accorded an in-principle approval to spin off its home textile and retail businesses into separate units.
Punjab National Bank plans to raise fresh capital of Rs5bn by issuing upper tier-II bonds on a private placement basis.
Rain Group is expanding the capacity of its cement plant in Kurnool, by adding 1.5mn tons by May, besides augmenting its CPC production.
Madras Cements plans to expand cement capacity to 10 MTPA by Q2 FY09 and to increase grinding capacity by 1MTPA each at Kolaghat, Chennai and Salem facilities with an investment of Rs15.2bn.
Gulf Oil Corp has announced the launch of four-stroke motorcycle oil Gulf Pride 4T Plus 10W-30, a synthetic blend oil.
Allcargo Global Logistics has purchased a 650 ton capacity Leibherr-LR-1650 crawler crane and ordered 10 more crawler and telescopic cranes having 150-400 ton capacity.
Aarvee Denims is expecting to almost double its turnover in 2008-09 on the back of its Rs700mn expansion plan.
LIC has increased its stake in Reliance Communications to over 5%.
Nicholas Pharma has launched a pilot project in Rajasthan to take its drugs to rural areas where there is no proper public health system.
Raheja Developers will foray into hospitality sector with the Indian Hotels Company.
GMR group is diversifying in the real estate sector with a Rs33bn deal.
Aries Agro is targeting a turnover of Rs2bn during FY10 on the back of its proposed capacity expansion plans.
BP is likely to enter into a strategic tie-up with Cals, a Spice Energy holding company, for its proposed US$1bn refinery at Haldia.
Hyundai Motor plans to sell buses in India from 2009.
National Dairy Development Board has started the process of merging Mother Dairy Fruit & Vegetable and Dhara Vegetable Oil & Foods Co.
UK-based Cobra Beer targets to sell 20 mn cases in India by 2012 and will infuse US$80mn in setting up and acquiring new breweries.
LG Electronics is targeting to sell around 1.5mn refrigerators in 2008.
Economic News
The Centre is contemplating amending the land acquisition law to ensure adequate compensation to people whose lands are acquired. The Government also says that no agricultural and irrigated land should be taken for SEZs.
According to telecom regulator TRAI, India is set to become the second largest wireless network in the world in April.
The Government will raise Rs960bn from the market in April-September by issuing securities to part-finance its expenditure in 2008-09.
TRAI may rethink on phasing out access deficit charge this year.
Banks and financial institutions have settled NPAs of about Rs30bn in 2007-08 through the auction route, which is 25% less than last year.
Five million DTH subscribers may be able to switch from their current service providers to new players by installing an add-on device.
The NHAI has projected an expenditure of Rs280bn for FY09 to complete its ongoing projects and the new projects announced under NHDP.
The Government warned telecom companies to put the required security system in place within 15 days or stop the Blackberry services.
Aluminium prices have been reduced by Rs10,000 per ton from March 20.
Coal production in the 11th Five Year Plan period is expected to increase by 680mn tons from 460mn tons.
Orthodox tea production during the next five years is expected to touch 130mn kg from 80mn kg.
The Government is considering cutting import duty on soya oil.
The Government is mulling the abolition of import duty on all grades of steel.
Steel manufacturers say they would reduce prices provided the excise duty on the alloy is brought down to a reasonable level
Monday, March 24, 2008
Welcome back…Nothing stable
It’s one of the longest breaks the Indian markets have taken in recent years. Hope you are recharged for a choppy week ahead.
For the day, we expect a positive start but trading will turn choppy ahead of Thursday's F&O expiry.
So, one still needs to be wary. And, though select buying can be done in quality scrips volatility and uncertainty are here to stay. The next set of earnings will be crucial. Interest rates may not soften due to high inflation. The Indian economy will slow down in FY09. So, the fight between the bulls and bears will continue.
The Indian Market is likely to have a positive opening today as he global markets are in favor. On Wednesday, pared most of its initial gains on the back of heavy profit booking across the sectoral indices towards the final trading hours of the session. The domestic market opened with a bang and created a rally across the sectoral indices on the back of favoring cues from the global markets like interest rate cut by US Federal Reserve and better than expected strong performance from- Goldman Sachs Group and Lehman Brothers Holdings, the two major investment banks. But the market was unable to sustained at higher levels and gave up most of its initial gains on the back of long holiday. The BSE Sensex closed higher by 161.37 points at 14,994.83 and NSE Nifty grew by 40.95 points to close 4573.95. We expect that the market may remain choppy during the trading session.
On Friday, the US market closed in green. The Dow Jones Industrial Average (DJIA) closed higher by 261.66 points at 12,361.32. The S&P 500 (SPX) index grew by 31.09 points to close at 1,329.51 and NASDAQ Composite (RIXF) increased by 48.15 points to close at 2,258.11.
The Indian ADRS closed in positive. In technology sector, Wipro grew by (4%) along with Patni Computers by (3.75%), Satyam by (1.66%) and Infosys by (1.50%). In banking sector, HDFC bank and ICICI bank increased by (2.58%) and (1.21%) respectively. In telecommunication sector, Tata Communication and MTNL advanced by (3.47%) and (0.41%) respectively.
Today the major stock markets in Asia are trading firm. Taiwan Weighted is trading higher by 344.84 points at 8,869.83 along with Japan’s Nikkei trading up by 46.33 points at 12,528.90 and Singapore Strait Times trading at 2,891.02 up by 66.11 points. South Korea Seoul Composite is trading marginally higher by 7.26 points at 1,652.95.
The FIIs on Wednesday stood as net seller both in equity as well as debt. The gross equity purchased was Rs4,701.30 Crore and the gross debt purchased was Rs0.00 Crore while the gross equity sold stood at Rs5,389.10 Crore and gross debt sold stood at Rs148.20 Crore. Therefore, the net investment of equity reported was (Rs687.80 Crore) and net debt was (Rs148.20 Crore).
The Wholesale Price index rose to an 11-month high of 5.92%. The WPI-based inflation increased sharply on account of spurt in prices across the board, with cereals (6.28%), milk (9.71%), vegetables (9.79%), dairy products (9.31%), cement (5.13%), iron and steel (20.87%) and edible oils (17.52%). By seeing this growth in inflation, the Indian government has reduced customs duty on rice and edible oils drastically to rein in their prices in domestic market. The customs duty on rice has been cut to nil from 70% earlier as well as duties on all crude and refined edible oils were also slashed from the existing levels of 52% and 75% to 20% and 27.5% respectively.
Today, Nifty has support at 4,471 and resistance at 4,708 and BSE Sensex has support at 14,623 and resistance at 15,312Buy : Ongc & Gail at dips
Buy : RIL & Relcap at dips
Buy : HLL & ITC
Buy : Geship & Balrampur
Buy : HDFC
Buy : Nalco
Dark Horse : Skumar , ONGC , Kohinoor , RIL , LT , ITC & HLL
Corporate Front Page
BSNL and MTNL get DoT approval to launch nationwide CDMA services
Coal India to invest Rs15bn to set up 28 washeries in its subsidiaries in the 11th plan
BHEL likely to invest Rs50bn over the next three years on its JV with NTPC and Nuclear Power Corporation
Time Warner promoted AOL may be selling its call centre business to the BPO arm of Essar group for US$100mn
NTPC to invest Rs44bn for setting up a 750MW coal-based thermal power project in Assam
Aban Offshore receives an order for rig deployment in the Middle East forUS$300mn
Maruti Suzuki to invest Rs90bn, mostly in non-vehicle manufacturing areas like R&D, logistics amongst others
GMR Infrastructure led consortium takes charge of Turkey’s Sabiha Gocken International airport for development
JSW Energy proposes to set up a 1,320MW power plant in Madhya Pradesh
Sun Pharmaceuticals gets FDA approval to market generic drug Cerebyx used during neuro-surgery
Ispat Industries promoted Global Steel Holdings signs up mining leases for iron ore and coal reserves in Brazil, Colombia and Mozambique
State owned NMDC in talks with Canada’s New Millennium Capital Corp for an US$3.5bn iron ore project
Telekom Malaysia to transfer its stake in Spice into a separate company, likely to be called Telekom International.
Cochin International Airport, which runs Kochi international airport, plans to raise Rs25bn through an IPO in 2009
Reliance Infrastructure plans strategic alliance with Indiabulls Real Estate for development of latter’s SEZ in Maharashtra
ArcelorMittal plans to develop coal mines; seeks JV with Coal India
Petronet LNG on the look out for stakes in Australian gas fields
Unitech may look to ‘monetize’ its upcoming hotel business within 2.5 years of operations; options include listing, sale of assets or hotel REIT
PNB expects to get Rs20bn from the government in the financial year beginning April for farm loan waiver
Power Grid Corp to get a US$600mn loan from the World Bank to strengthen its network
Elecon Engineering on look out for an acquisition in US or Europe in the range of Rs3-4bn
CALS Refineries, promoted by Spice group signs MoU with West Bengal Industrial Development Corp. and Haldia Development Authority for an Rs200bn refinery project in Haldia
Champagne Indage acquires Australian Vintage’s Loxton winery for Rs2.3bn
Blue Dart to increase warehousing capacity to 2mn sq.ft
Rajasthan government stops work on a Cairn India pipeline; says it would result in loss of tax revenues to the state
Amtek Auto to produce 5,000 railway wagons in a JV with a North American wagon supplier
Essar Communications Holdings arm to invest US$450mn to rollout telecom services in Kenya
Lehman Brothers and Deutsche Bank to invest US$500mn in Unitech SPV.
Ranbaxy suffers setback as a Canadian court upholds Pfizer patent for a molecule of cholesterol-lowering drug Lipitor
George Soros buys 2.5% stake in Indiabulls Real Estate for Rs2.8bn
Kribhco plans a Rs40bn power project in Bihar
Economic News
Inflation rises to eleven month high of 5.92%; government cuts import duty on edible oil and rice
DoT says all players can bid up to 10MHz of 3G spectrum rejecting TRAI’s recommendation on the same
Core sector growth halved to 4.2% in January with decline in crude production
Government may consider a proposal to levy 10% export duty on all grades of finished steel
Government proposes cess of up to 6% on coal with high ash content
India expected to attract FDI worth Rs1tn in mining exploration of gold and diamond
Sugar production in Uttar Pradesh is expected to drop by 15% to 7.2mn tons in current crushing season
Sixth Pay Commission recommendations are expected to be submitted to the finance ministry early next week
Non-food credit growth slows down to 21.8% during April-February 2007-08 compared with 29.6% a year ago
Central government staff may get a 50% pay hike
Fiscal deficit for quarter ended December declined to Rs776bn from Rs949bn a year ago
Domestic aviation growth in 2007 declines to 11.5% from more than 32% in the previous year
I&B Ministry considering TRAI proposals to lower license fees for DTH players from 10% to 6%.
Five SEZs projects get approval with four in the IT sector.
Insurance regulator IRDA may limit insurance companies’ investment in mortgage backed securities to 10%
For the day, we expect a positive start but trading will turn choppy ahead of Thursday's F&O expiry.
So, one still needs to be wary. And, though select buying can be done in quality scrips volatility and uncertainty are here to stay. The next set of earnings will be crucial. Interest rates may not soften due to high inflation. The Indian economy will slow down in FY09. So, the fight between the bulls and bears will continue.
The Indian Market is likely to have a positive opening today as he global markets are in favor. On Wednesday, pared most of its initial gains on the back of heavy profit booking across the sectoral indices towards the final trading hours of the session. The domestic market opened with a bang and created a rally across the sectoral indices on the back of favoring cues from the global markets like interest rate cut by US Federal Reserve and better than expected strong performance from- Goldman Sachs Group and Lehman Brothers Holdings, the two major investment banks. But the market was unable to sustained at higher levels and gave up most of its initial gains on the back of long holiday. The BSE Sensex closed higher by 161.37 points at 14,994.83 and NSE Nifty grew by 40.95 points to close 4573.95. We expect that the market may remain choppy during the trading session.
On Friday, the US market closed in green. The Dow Jones Industrial Average (DJIA) closed higher by 261.66 points at 12,361.32. The S&P 500 (SPX) index grew by 31.09 points to close at 1,329.51 and NASDAQ Composite (RIXF) increased by 48.15 points to close at 2,258.11.
The Indian ADRS closed in positive. In technology sector, Wipro grew by (4%) along with Patni Computers by (3.75%), Satyam by (1.66%) and Infosys by (1.50%). In banking sector, HDFC bank and ICICI bank increased by (2.58%) and (1.21%) respectively. In telecommunication sector, Tata Communication and MTNL advanced by (3.47%) and (0.41%) respectively.
Today the major stock markets in Asia are trading firm. Taiwan Weighted is trading higher by 344.84 points at 8,869.83 along with Japan’s Nikkei trading up by 46.33 points at 12,528.90 and Singapore Strait Times trading at 2,891.02 up by 66.11 points. South Korea Seoul Composite is trading marginally higher by 7.26 points at 1,652.95.
The FIIs on Wednesday stood as net seller both in equity as well as debt. The gross equity purchased was Rs4,701.30 Crore and the gross debt purchased was Rs0.00 Crore while the gross equity sold stood at Rs5,389.10 Crore and gross debt sold stood at Rs148.20 Crore. Therefore, the net investment of equity reported was (Rs687.80 Crore) and net debt was (Rs148.20 Crore).
The Wholesale Price index rose to an 11-month high of 5.92%. The WPI-based inflation increased sharply on account of spurt in prices across the board, with cereals (6.28%), milk (9.71%), vegetables (9.79%), dairy products (9.31%), cement (5.13%), iron and steel (20.87%) and edible oils (17.52%). By seeing this growth in inflation, the Indian government has reduced customs duty on rice and edible oils drastically to rein in their prices in domestic market. The customs duty on rice has been cut to nil from 70% earlier as well as duties on all crude and refined edible oils were also slashed from the existing levels of 52% and 75% to 20% and 27.5% respectively.
Today, Nifty has support at 4,471 and resistance at 4,708 and BSE Sensex has support at 14,623 and resistance at 15,312Buy : Ongc & Gail at dips
Buy : RIL & Relcap at dips
Buy : HLL & ITC
Buy : Geship & Balrampur
Buy : HDFC
Buy : Nalco
Dark Horse : Skumar , ONGC , Kohinoor , RIL , LT , ITC & HLL
Corporate Front Page
BSNL and MTNL get DoT approval to launch nationwide CDMA services
Coal India to invest Rs15bn to set up 28 washeries in its subsidiaries in the 11th plan
BHEL likely to invest Rs50bn over the next three years on its JV with NTPC and Nuclear Power Corporation
Time Warner promoted AOL may be selling its call centre business to the BPO arm of Essar group for US$100mn
NTPC to invest Rs44bn for setting up a 750MW coal-based thermal power project in Assam
Aban Offshore receives an order for rig deployment in the Middle East forUS$300mn
Maruti Suzuki to invest Rs90bn, mostly in non-vehicle manufacturing areas like R&D, logistics amongst others
GMR Infrastructure led consortium takes charge of Turkey’s Sabiha Gocken International airport for development
JSW Energy proposes to set up a 1,320MW power plant in Madhya Pradesh
Sun Pharmaceuticals gets FDA approval to market generic drug Cerebyx used during neuro-surgery
Ispat Industries promoted Global Steel Holdings signs up mining leases for iron ore and coal reserves in Brazil, Colombia and Mozambique
State owned NMDC in talks with Canada’s New Millennium Capital Corp for an US$3.5bn iron ore project
Telekom Malaysia to transfer its stake in Spice into a separate company, likely to be called Telekom International.
Cochin International Airport, which runs Kochi international airport, plans to raise Rs25bn through an IPO in 2009
Reliance Infrastructure plans strategic alliance with Indiabulls Real Estate for development of latter’s SEZ in Maharashtra
ArcelorMittal plans to develop coal mines; seeks JV with Coal India
Petronet LNG on the look out for stakes in Australian gas fields
Unitech may look to ‘monetize’ its upcoming hotel business within 2.5 years of operations; options include listing, sale of assets or hotel REIT
PNB expects to get Rs20bn from the government in the financial year beginning April for farm loan waiver
Power Grid Corp to get a US$600mn loan from the World Bank to strengthen its network
Elecon Engineering on look out for an acquisition in US or Europe in the range of Rs3-4bn
CALS Refineries, promoted by Spice group signs MoU with West Bengal Industrial Development Corp. and Haldia Development Authority for an Rs200bn refinery project in Haldia
Champagne Indage acquires Australian Vintage’s Loxton winery for Rs2.3bn
Blue Dart to increase warehousing capacity to 2mn sq.ft
Rajasthan government stops work on a Cairn India pipeline; says it would result in loss of tax revenues to the state
Amtek Auto to produce 5,000 railway wagons in a JV with a North American wagon supplier
Essar Communications Holdings arm to invest US$450mn to rollout telecom services in Kenya
Lehman Brothers and Deutsche Bank to invest US$500mn in Unitech SPV.
Ranbaxy suffers setback as a Canadian court upholds Pfizer patent for a molecule of cholesterol-lowering drug Lipitor
George Soros buys 2.5% stake in Indiabulls Real Estate for Rs2.8bn
Kribhco plans a Rs40bn power project in Bihar
Economic News
Inflation rises to eleven month high of 5.92%; government cuts import duty on edible oil and rice
DoT says all players can bid up to 10MHz of 3G spectrum rejecting TRAI’s recommendation on the same
Core sector growth halved to 4.2% in January with decline in crude production
Government may consider a proposal to levy 10% export duty on all grades of finished steel
Government proposes cess of up to 6% on coal with high ash content
India expected to attract FDI worth Rs1tn in mining exploration of gold and diamond
Sugar production in Uttar Pradesh is expected to drop by 15% to 7.2mn tons in current crushing season
Sixth Pay Commission recommendations are expected to be submitted to the finance ministry early next week
Non-food credit growth slows down to 21.8% during April-February 2007-08 compared with 29.6% a year ago
Central government staff may get a 50% pay hike
Fiscal deficit for quarter ended December declined to Rs776bn from Rs949bn a year ago
Domestic aviation growth in 2007 declines to 11.5% from more than 32% in the previous year
I&B Ministry considering TRAI proposals to lower license fees for DTH players from 10% to 6%.
Five SEZs projects get approval with four in the IT sector.
Insurance regulator IRDA may limit insurance companies’ investment in mortgage backed securities to 10%
Friday, March 21, 2008
Short selling to be effective from April
The Securities and Exchange Board of India (Sebi) on Wednesday said short-selling and securities lending and borrowing will be operationalised from April 21.
The circular asked stock exchanges and depositories to make necessary amendments to the relevant bye-laws, rules and regulations for the implementation of the decision, bring the provisions of the circular to the notice of the member brokers/clearing members, depository participants and communicate to the Sebi the status of the implementation of the provisions of the circular in the monthly development report submitted to the market regulator.
Sebi had come out with a circular on December 20, 2007, specifying the broad framework for short selling by institutional investors and a full-fledged securities lending and borrowing scheme for all market participants.
For more subscribe mail us to sheth_jg@yahoo.com ,We provide calls on mobile,yahoo messenger,google,msn,hotmail,rediff,and even on our chat site.Better join to avoid loss and make profit
The circular asked stock exchanges and depositories to make necessary amendments to the relevant bye-laws, rules and regulations for the implementation of the decision, bring the provisions of the circular to the notice of the member brokers/clearing members, depository participants and communicate to the Sebi the status of the implementation of the provisions of the circular in the monthly development report submitted to the market regulator.
Sebi had come out with a circular on December 20, 2007, specifying the broad framework for short selling by institutional investors and a full-fledged securities lending and borrowing scheme for all market participants.
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Wednesday, March 19, 2008
700 point gain on the Sensex today
Bulls may attempt another rally for more subscribe for paid calls add sheth_jg@yahoo.com
As mention Yesterday good global clues be long see today what will happen
A gap up opening is in store. The problem, as seen in recent times, is that markets open with a gap and hardly give a chance to pocket quick gains. Face it. After losing money quickly, who doesn’t want an opportunity to make some quick bucks? We won’t debate on whether greed is a moral or economic problem. The Nifty futures trading in Singapore point to a gap-up opening. The bulls will hope to have a blast before one of the longest weekends in the market. Remain guarded in approaching today's trade. We are not sure if this is a dead cat bounce or resumption of another bull phas
The Fed has lowered rates by 75 basis points or 0.75 percent, slightly lesser than what was expected. The interest rate now stands at 2.25%.
The US central bank has cut interest rates in a bid to restore confidence to nervous financial markets and boost the ailing economy. US Treasury Secretary Henry Paulson had admitted earlier on Tuesday that the US economy is facing a "sharp decline".
The Fed has lowered rates six times since September 2007 in a bid to boost the economy, which is reeling from the credit crisis triggered by a slump in the US housing market.
Corporate Front Page
ICICI Bank seeks additional collateral from corporate borrowers of offshore finance.
HDFC to raise Rs40bn debt to finance stake purchase in HDFC Bank.
TCS opens its largest delivery centre in the US at Ohio having a capacity of 1,000 people.
Jaypee Group leads race for ICICI’s 45% stake in exploration firm Prize Petroleum.
Ranbaxy has signed a pact with CD Pharma to market dental drug brand INERSAN in India and Nepal.
Reliance Communications to buy Europe-based specialty WiMax operator.
Maruti Suzuki to ramp-up its plant capacity in Manesar, Haryana, to 3lacs units per year by October 2008.
ICICI Bank has announced country’s largest securitization program of Rs58bn.
REL to hire more engineers and managers to execute contracts worth US$3.65bn.
Indiabulls Power, owned by Indiabulls Real Estate, has won the bid to set-up a 1,600MW Bhaiyathan power project in Chattisgarh.
RCF has lined up an investment plan of Rs76.4bn for setting up an ammonia-urea and phosphatic plant in Mozambique.
MTNL likely to offload 50% stake in Suntel, a Sri Lankan telco.
Reliance ADAG is setting up a cement unit in Madhya Pradesh.
L&T wins contract worth Rs1.7bn from a Chinese firm to supply gasification equipments.
Tata Motors to get US$3bn one-year bridge loan from Ctitgroup and JP Morgan to help finance potential purchase of Jaguar and Land Rover.
Vishal Retail signs an agreement with HPCL for opening stores at its selected outlets across the country.
Orient Global Tamarind has picked up nearly 1% in Axis Bank for Rs2.38bn in open market transactions.
Allied Digital to raise utpo US$100mn through issue of securities in domestic as well as international markets.
DCM Shriram acquires 49% stake in hybrid seeds business from its JV partner for US$13.3mn.
Sical Logistics plans to buy an Indian freight forwarding company.
Barings PE buys 12% in brokerage firm Sharekhan for Rs2.4bn.
Economic News
Corporate advance tax payments rise 110%.
GDP growth may slow down to 8% in 2008-09 says Mr. Montek Singh, Deputy Head of the planning commission.
MMRDA auctioned three plots in Bandra Kurla Complex for Rs13.2bn. The price was significantly lower than Rs27.9bn for a similar transaction three months back.
Government plans to scrap purchase preference policy from 1st April 2008 under which the CPSEs get 10% price preference for government contracts in various areas.
I&B Ministry favours 74% FDI limit for DTH.
Home loan rates have declined in last one year says FM.
Gems & jewelry exports grew 9.3% yoy during April-Feb 2008.
As mention Yesterday good global clues be long see today what will happen
A gap up opening is in store. The problem, as seen in recent times, is that markets open with a gap and hardly give a chance to pocket quick gains. Face it. After losing money quickly, who doesn’t want an opportunity to make some quick bucks? We won’t debate on whether greed is a moral or economic problem. The Nifty futures trading in Singapore point to a gap-up opening. The bulls will hope to have a blast before one of the longest weekends in the market. Remain guarded in approaching today's trade. We are not sure if this is a dead cat bounce or resumption of another bull phas
The Fed has lowered rates by 75 basis points or 0.75 percent, slightly lesser than what was expected. The interest rate now stands at 2.25%.
The US central bank has cut interest rates in a bid to restore confidence to nervous financial markets and boost the ailing economy. US Treasury Secretary Henry Paulson had admitted earlier on Tuesday that the US economy is facing a "sharp decline".
The Fed has lowered rates six times since September 2007 in a bid to boost the economy, which is reeling from the credit crisis triggered by a slump in the US housing market.
Corporate Front Page
ICICI Bank seeks additional collateral from corporate borrowers of offshore finance.
HDFC to raise Rs40bn debt to finance stake purchase in HDFC Bank.
TCS opens its largest delivery centre in the US at Ohio having a capacity of 1,000 people.
Jaypee Group leads race for ICICI’s 45% stake in exploration firm Prize Petroleum.
Ranbaxy has signed a pact with CD Pharma to market dental drug brand INERSAN in India and Nepal.
Reliance Communications to buy Europe-based specialty WiMax operator.
Maruti Suzuki to ramp-up its plant capacity in Manesar, Haryana, to 3lacs units per year by October 2008.
ICICI Bank has announced country’s largest securitization program of Rs58bn.
REL to hire more engineers and managers to execute contracts worth US$3.65bn.
Indiabulls Power, owned by Indiabulls Real Estate, has won the bid to set-up a 1,600MW Bhaiyathan power project in Chattisgarh.
RCF has lined up an investment plan of Rs76.4bn for setting up an ammonia-urea and phosphatic plant in Mozambique.
MTNL likely to offload 50% stake in Suntel, a Sri Lankan telco.
Reliance ADAG is setting up a cement unit in Madhya Pradesh.
L&T wins contract worth Rs1.7bn from a Chinese firm to supply gasification equipments.
Tata Motors to get US$3bn one-year bridge loan from Ctitgroup and JP Morgan to help finance potential purchase of Jaguar and Land Rover.
Vishal Retail signs an agreement with HPCL for opening stores at its selected outlets across the country.
Orient Global Tamarind has picked up nearly 1% in Axis Bank for Rs2.38bn in open market transactions.
Allied Digital to raise utpo US$100mn through issue of securities in domestic as well as international markets.
DCM Shriram acquires 49% stake in hybrid seeds business from its JV partner for US$13.3mn.
Sical Logistics plans to buy an Indian freight forwarding company.
Barings PE buys 12% in brokerage firm Sharekhan for Rs2.4bn.
Economic News
Corporate advance tax payments rise 110%.
GDP growth may slow down to 8% in 2008-09 says Mr. Montek Singh, Deputy Head of the planning commission.
MMRDA auctioned three plots in Bandra Kurla Complex for Rs13.2bn. The price was significantly lower than Rs27.9bn for a similar transaction three months back.
Government plans to scrap purchase preference policy from 1st April 2008 under which the CPSEs get 10% price preference for government contracts in various areas.
I&B Ministry favours 74% FDI limit for DTH.
Home loan rates have declined in last one year says FM.
Gems & jewelry exports grew 9.3% yoy during April-Feb 2008.
Tuesday, March 18, 2008
Mild Relief-Rally
Nifty at a support of 4450 and 4372 with resis at 4610 and 4725
Markets at a support of 14678 & 14786 and resistance at 15151 & 15351 levels
Buy : Ongc at dips
Buy : RIL at dips
Buy : HLL & ITC
Buy : LT at dips
Buy : Nalco & MTNL at dips
Dark Horse : ONGC , Kohinoor , RIL , LT , ITC & HLL
Corporate Front Page
ICICI Bank and ICICI Lombard have come under the scanner of fair trade practices body MRTPC for imposing “unfair and unjust” conditions on the insurance cover provided to the credit card customers.
Tata Steel may raise ~Rs40bn through an issue of non-fungible GDRs.
JSW Steel Group has signed a $2bn deal with a Japanese shipping firm for transportation of coal over ten years.
JSW Steel inaugurated a 1mn ton capacity cold rolling mill complex at its Vijayanagar works.
Expert Committee on Infrastructure development and Miscellaneous Projects has granted the Coastal Regulation Zone clearance to Reliance Power’s its 4,000 MW Krishnapatnam ultra mega power project in Andhra Pradesh.
China Light and Power Holdings has emerged the lowest bidder for setting up the 1,326 mw power generation project at Jhajjar in Haryana, ahead of Lanco Infratech.
BPCL has been slapped a penalty of Rs330mn by the income tax department (Mumbai) for non-payment of proper advance taxes for 2006-07.
Tata BP Solar, a venture of Tata Power and BP Solar have signed an agreement with Calyon Bank, BNP Paribas and others to raise US$78mn for expansion.
Godrej Industries has received shareholders approval for further investing up to Rs3.6bn in Godrej Consumer Products.
Dubai-based Emaar Properties is planning to launch private residences designed by Giorgio Armani.
Future Group is picking up a 70% stake in Aadhaar, Godrej Group’s rural retailing initiative.
ACC, Ambuja Cement and Lafarge are looking at buying the closed manufacturing facilities of Cement Corporation of India.
With the Ministry of Civil Aviation not indicating a fresh date for shifting of operations the new Rajiv Gandhi International Airport, the GMR Hyderabad International Airport is set to incur significant losses.
Delhi-based Selan Exploration Technology has roped in Malaysia-based Kejuruteraan Samudra Timur (KSTB) to provide land drilling rig services in Ahmedabad, Gandhinagar and Mehsana districts in Gujarat.
Union Bank of India has readied a reverse mortgage loan product, which will be launched in couple of weeks.
The Chhattisgarh government has denied that it has ever signed any pact with NTPC to draw water from the state’s resources for its 2,980-Mw Sipat power project in Bilaspur district.
In a strongly-worded letter, the CPI (M) has sought Prime Minister Manmohan Singh’s urgent intervention to shore up BSNL’s mobile capacity.
High coffee bean prices have affected the profit margins of Hindustan Unilever’s (HUL) beverage segment.
The steel ministry is considering withdrawal of SAIL and Rashtriya Ispat Nigam from the JV with NMDC for setting up a 4mn ton steel plant in Chhattisgarh.
Russian conglomerate, Sistema plans to invest as much as US$5bn in India over the next three years.
DHL Express plans to open 1,000 retail points across the country by 2010 up from current 150 centers.
Signet Solar Inc, manufacturers of silicon thin film photovoltaic (PV) modules, will set up its first manufacturing plant at Sriperumbudur at an investment of Rs20bn and has signed an MoU with the Tamil Nadu government.
West Bengal Govt. plans to set up Rs4bn retail chain.
Economic News
Private equity and overseas venture capital investments in Indian Companies could soon be included in FDI caps for each sector.
After RBI, it is now the income tax authorities who have put banks and companies disclosing losses in their foreign exchange derivative structures under the scanner.
Non-food credit offtake in the fortnight ended February 29, 2008, has risen up by Rs400bn to Rs22,069bn, as against Rs7.9bn in the previous fortnight.
ok
IIP’s Feb data may show manufacturing slump in February, as the output increase rate and new orders have been weakest in the last six months.
The number of POIs (points of interconnection) with congestion has fallen to 315 during the three-month period ended December 2007, compared with 348 registered during the same period ended September 2007.
The government has said that the country will have electricity on demand by 2012 and it needs nuclear energy to meet future demand.
The country’s power shortage rose to its highest level at 12.8% in January 2008 as compared to 12.51% in January 2007.
The scope of the Rs600bn farm loan waiver package will be extended and dry-land farmers having more than five acres will also be able to benefit from the scheme.
The Congress government in Andhra Pradesh today announced loan waiver for weaker sections, physically challenged persons, minorities and women, amounting to Rs16.9bn and covering about 4.38mn beneficiaries.
In a relief to direct-to-home (DTH) operators facing exorbitant pricing of channels from the broadcasters, the Punjab and Haryana High Court has directed the sector regulator Trai to decide on the pricing issue within eight weeks.
According to the Solvent Extractors Association of India (SEA), edible oil imports increased to 0.43mn tons against 0.15mn tons during the same period a year ago.
The Andhra Pradesh Cabinet on Monday approved the lowering of sales tax from 33% to 4% on ATF.
Telecom Regulatory body TRAI will impose a fine of up to Rs20,000 on service providers for non-compliance of its directive regarding unsolicited tele-marketing calls and messages.
China has authorized coal exports of 31.8mn tons in 2008.
Markets at a support of 14678 & 14786 and resistance at 15151 & 15351 levels
Buy : Ongc at dips
Buy : RIL at dips
Buy : HLL & ITC
Buy : LT at dips
Buy : Nalco & MTNL at dips
Dark Horse : ONGC , Kohinoor , RIL , LT , ITC & HLL
Corporate Front Page
ICICI Bank and ICICI Lombard have come under the scanner of fair trade practices body MRTPC for imposing “unfair and unjust” conditions on the insurance cover provided to the credit card customers.
Tata Steel may raise ~Rs40bn through an issue of non-fungible GDRs.
JSW Steel Group has signed a $2bn deal with a Japanese shipping firm for transportation of coal over ten years.
JSW Steel inaugurated a 1mn ton capacity cold rolling mill complex at its Vijayanagar works.
Expert Committee on Infrastructure development and Miscellaneous Projects has granted the Coastal Regulation Zone clearance to Reliance Power’s its 4,000 MW Krishnapatnam ultra mega power project in Andhra Pradesh.
China Light and Power Holdings has emerged the lowest bidder for setting up the 1,326 mw power generation project at Jhajjar in Haryana, ahead of Lanco Infratech.
BPCL has been slapped a penalty of Rs330mn by the income tax department (Mumbai) for non-payment of proper advance taxes for 2006-07.
Tata BP Solar, a venture of Tata Power and BP Solar have signed an agreement with Calyon Bank, BNP Paribas and others to raise US$78mn for expansion.
Godrej Industries has received shareholders approval for further investing up to Rs3.6bn in Godrej Consumer Products.
Dubai-based Emaar Properties is planning to launch private residences designed by Giorgio Armani.
Future Group is picking up a 70% stake in Aadhaar, Godrej Group’s rural retailing initiative.
ACC, Ambuja Cement and Lafarge are looking at buying the closed manufacturing facilities of Cement Corporation of India.
With the Ministry of Civil Aviation not indicating a fresh date for shifting of operations the new Rajiv Gandhi International Airport, the GMR Hyderabad International Airport is set to incur significant losses.
Delhi-based Selan Exploration Technology has roped in Malaysia-based Kejuruteraan Samudra Timur (KSTB) to provide land drilling rig services in Ahmedabad, Gandhinagar and Mehsana districts in Gujarat.
Union Bank of India has readied a reverse mortgage loan product, which will be launched in couple of weeks.
The Chhattisgarh government has denied that it has ever signed any pact with NTPC to draw water from the state’s resources for its 2,980-Mw Sipat power project in Bilaspur district.
In a strongly-worded letter, the CPI (M) has sought Prime Minister Manmohan Singh’s urgent intervention to shore up BSNL’s mobile capacity.
High coffee bean prices have affected the profit margins of Hindustan Unilever’s (HUL) beverage segment.
The steel ministry is considering withdrawal of SAIL and Rashtriya Ispat Nigam from the JV with NMDC for setting up a 4mn ton steel plant in Chhattisgarh.
Russian conglomerate, Sistema plans to invest as much as US$5bn in India over the next three years.
DHL Express plans to open 1,000 retail points across the country by 2010 up from current 150 centers.
Signet Solar Inc, manufacturers of silicon thin film photovoltaic (PV) modules, will set up its first manufacturing plant at Sriperumbudur at an investment of Rs20bn and has signed an MoU with the Tamil Nadu government.
West Bengal Govt. plans to set up Rs4bn retail chain.
Economic News
Private equity and overseas venture capital investments in Indian Companies could soon be included in FDI caps for each sector.
After RBI, it is now the income tax authorities who have put banks and companies disclosing losses in their foreign exchange derivative structures under the scanner.
Non-food credit offtake in the fortnight ended February 29, 2008, has risen up by Rs400bn to Rs22,069bn, as against Rs7.9bn in the previous fortnight.
ok
IIP’s Feb data may show manufacturing slump in February, as the output increase rate and new orders have been weakest in the last six months.
The number of POIs (points of interconnection) with congestion has fallen to 315 during the three-month period ended December 2007, compared with 348 registered during the same period ended September 2007.
The government has said that the country will have electricity on demand by 2012 and it needs nuclear energy to meet future demand.
The country’s power shortage rose to its highest level at 12.8% in January 2008 as compared to 12.51% in January 2007.
The scope of the Rs600bn farm loan waiver package will be extended and dry-land farmers having more than five acres will also be able to benefit from the scheme.
The Congress government in Andhra Pradesh today announced loan waiver for weaker sections, physically challenged persons, minorities and women, amounting to Rs16.9bn and covering about 4.38mn beneficiaries.
In a relief to direct-to-home (DTH) operators facing exorbitant pricing of channels from the broadcasters, the Punjab and Haryana High Court has directed the sector regulator Trai to decide on the pricing issue within eight weeks.
According to the Solvent Extractors Association of India (SEA), edible oil imports increased to 0.43mn tons against 0.15mn tons during the same period a year ago.
The Andhra Pradesh Cabinet on Monday approved the lowering of sales tax from 33% to 4% on ATF.
Telecom Regulatory body TRAI will impose a fine of up to Rs20,000 on service providers for non-compliance of its directive regarding unsolicited tele-marketing calls and messages.
China has authorized coal exports of 31.8mn tons in 2008.
Monday, March 17, 2008
ZIG-ZAG MOVEMENT Expected Today ,ONLY BLOOD ON STREET
Sell on opening for new low later half
Due to Collapse in ASIAN & American Market , the Stock May Open 6 to 7% Lower from It's Friday's Close.
But, in the Late Trade , We're Expecting, Sharp Recovery in this Counter.
RELIANCE IND
LAST CLOSE on Friday Was : 2321
Around 6 to 7% LOWER in Today Trade : 2160 to 2170
Then, Start Buying Around 2160 to 2180 level with New Stop Loss of 2103 , for 3 to 4% Gain in Today's Trade. The Stock is Bound to bounce back from here
Our market is likely to open on a weak note.
Traders are advised to assume long positions if Nifty holds 4600
levels. Else, short positions can be assumed below 4580 levels
for downside targets of 4500 and 4450 levels
Nifty March Futures have shed 23 lakh shares in open and
turned into a premium of 1.15 points from a discount of 26.30
points suggesting closure of short positions in Index Futures.
The overall market witnessed a shed off of 0.38% in open
interest with an increase in average cost of carry from -10.41%
to 2.84% indicating closure of short positions in majority of Stock
Futures. On the Options front Majority of Nifty Call and Put
options have seen writing while a Put options of lower strikes
seen closure of long positions suggesting that market may
remain rangebound with positive bias
1.) REL: REL Futures have shed 19.86 percent in open interest along with a decrease in cost of carry from -12.27
percent to -19.86 percent indicating closure of long positions which are stuck at higher levels. Short positions can be
assumed in the stock below 1250 levels for immediate targets of 1220 and 1190 levels with a stop loss placed above
1285 levels.
2.) RPower: The stock shed 6.35 percent in open interest with significant increase in cost of carry from -24.23
percent to -0.83 percent indicating closure of short positions in the stock from lower levels. Short positions can be
assumed in the stock below 330 levels for targets of 320 and 312 levels with final stop loss placed above 328 levels.
3.) JP Associate: JP Associate Futures have seen closure of short positions in Friday’s session. The stock shed
3.61 percent in open interest with the cost of carry turning into positive at 7.14 percent from -5.36 percent. However,
the stock is likely to witness fresh build up of short positions in line with the market. Short positions can be assumed
in the stock below 230 levels for immediate targets of 224 and 216 levels with a stop loss placed above 236 levels.
4.) DLF: DLF witnessed fresh accumulation of short positions in Friday’s trade. The stock has seen 6.77 percent
addition in open interest with a steep fall in cost of carry from -19.78 percent to -50.47 percent. Short positions can
be assumed in the stock below 640 levels form targets of 620 and 605 levels with a final stop loss placed above 655
levels.
5) SBIN: The stock shed 5.10 percent in open interest with an increase in cost of carry from -1.38 percent to 6.97
percent indicating closure of short positions in the stock. Long positions can be assumed in the stock if it holds above
1580 levels for targets of 1650 and 1700 levels with a final stop loss placed below 1550 levels.
6) RPL: RPL Futures have added 3.95 percent in open interest with a recovery in cost of carry from -1.67 percent to
10.34 percent suggesting closure of short positions and addition of fresh long positions in the stock. The stock has
support placed at 150 levels and if this level is sustained, one may see upsides in the stock. Long positions can be
assumed around 150 levels for immediate targets of 160 and 165 levels with a stop loss placed at 143 levels.
8) ONGC: ONGC Futures have shed 7.28 percent in open interest with an improving cost of carry from -8.06
percent to 1.82 percent suggesting closure of short positions in the stock. The stock has an immediate support
placed at 950 levels and if it sustains above that, long positions may be taken. Long positions can be assumed
around 890 levels for immediate targets of 950 and 1000 levels with a stop loss placed at 830 levels.
Due to Collapse in ASIAN & American Market , the Stock May Open 6 to 7% Lower from It's Friday's Close.
But, in the Late Trade , We're Expecting, Sharp Recovery in this Counter.
RELIANCE IND
LAST CLOSE on Friday Was : 2321
Around 6 to 7% LOWER in Today Trade : 2160 to 2170
Then, Start Buying Around 2160 to 2180 level with New Stop Loss of 2103 , for 3 to 4% Gain in Today's Trade. The Stock is Bound to bounce back from here
Our market is likely to open on a weak note.
Traders are advised to assume long positions if Nifty holds 4600
levels. Else, short positions can be assumed below 4580 levels
for downside targets of 4500 and 4450 levels
Nifty March Futures have shed 23 lakh shares in open and
turned into a premium of 1.15 points from a discount of 26.30
points suggesting closure of short positions in Index Futures.
The overall market witnessed a shed off of 0.38% in open
interest with an increase in average cost of carry from -10.41%
to 2.84% indicating closure of short positions in majority of Stock
Futures. On the Options front Majority of Nifty Call and Put
options have seen writing while a Put options of lower strikes
seen closure of long positions suggesting that market may
remain rangebound with positive bias
1.) REL: REL Futures have shed 19.86 percent in open interest along with a decrease in cost of carry from -12.27
percent to -19.86 percent indicating closure of long positions which are stuck at higher levels. Short positions can be
assumed in the stock below 1250 levels for immediate targets of 1220 and 1190 levels with a stop loss placed above
1285 levels.
2.) RPower: The stock shed 6.35 percent in open interest with significant increase in cost of carry from -24.23
percent to -0.83 percent indicating closure of short positions in the stock from lower levels. Short positions can be
assumed in the stock below 330 levels for targets of 320 and 312 levels with final stop loss placed above 328 levels.
3.) JP Associate: JP Associate Futures have seen closure of short positions in Friday’s session. The stock shed
3.61 percent in open interest with the cost of carry turning into positive at 7.14 percent from -5.36 percent. However,
the stock is likely to witness fresh build up of short positions in line with the market. Short positions can be assumed
in the stock below 230 levels for immediate targets of 224 and 216 levels with a stop loss placed above 236 levels.
4.) DLF: DLF witnessed fresh accumulation of short positions in Friday’s trade. The stock has seen 6.77 percent
addition in open interest with a steep fall in cost of carry from -19.78 percent to -50.47 percent. Short positions can
be assumed in the stock below 640 levels form targets of 620 and 605 levels with a final stop loss placed above 655
levels.
5) SBIN: The stock shed 5.10 percent in open interest with an increase in cost of carry from -1.38 percent to 6.97
percent indicating closure of short positions in the stock. Long positions can be assumed in the stock if it holds above
1580 levels for targets of 1650 and 1700 levels with a final stop loss placed below 1550 levels.
6) RPL: RPL Futures have added 3.95 percent in open interest with a recovery in cost of carry from -1.67 percent to
10.34 percent suggesting closure of short positions and addition of fresh long positions in the stock. The stock has
support placed at 150 levels and if this level is sustained, one may see upsides in the stock. Long positions can be
assumed around 150 levels for immediate targets of 160 and 165 levels with a stop loss placed at 143 levels.
8) ONGC: ONGC Futures have shed 7.28 percent in open interest with an improving cost of carry from -8.06
percent to 1.82 percent suggesting closure of short positions in the stock. The stock has an immediate support
placed at 950 levels and if it sustains above that, long positions may be taken. Long positions can be assumed
around 890 levels for immediate targets of 950 and 1000 levels with a stop loss placed at 830 levels.
Friday, March 14, 2008
RECOVERY TO A CERTAIN
YESTERDAY WE BOUGHT NIFTY, IBR,RANBAXY,JP
For more kindly visit http://www.freewebs.com/jgs-investments/marketwhisper.htm
AGAIN THIS MONTH,OUR CLIENTS HAVE EARNED IN TONNES,BEFORE BUDGET WE TOLD YOU TO SHORT
We expect the markets to bounce back to a certain, Nifty expected to play between 4540 - 4780. Break of any which side will create momentum.
On its upmove likely to face resistance at 4680 and 4710 break of this can take to 4780.
On the downside we find a immediate support at 4605 break of this can take to 4580 and then finally a good one at 4540.
At current 15,357.35, Sensex trades at a PE multiple of 14.62 to 15.35, based on projected FY 2009 EPS of Rs 1000-to-Rs 1050 for 30 Sensex companies.
As per provisional data, foreign institutional investors (FIIs) sold shares worth Rs 108.50 crore on Thursday, 13 March 2008. Domestic institutional investors (DIIs) were net buyers of shares worth Rs 56.44 crore on that day.
FIIs were net buyers of Rs 242.82 crore in the futures & options segment on Thursday, 13 March 2008. They were net sellers of index futures to the tune of Rs 85.43 crore and bought index options worth Rs 85.82 crore. They were net buyers of stock futures to the tune of Rs 238.73 crore and bought stock options worth Rs 3.70 crore
The market may advance today on firm global cues. However high volatility cannot be ruled out. The next trigger for the market would come from the figures of advance tax payment by corporates for the fourth installment, which falls due on 15 March 2008.
Another major trigger for the market is outcome of the US Federal Reserve meeting on 18 March 2008 to review interest rates. A cut in interest rate, as expected by the street may provide some support to the markets. Fed Chairman Ben Bernanke had signaled a readiness to cut interest rates again to prevent further damage to the weak US economy, even as he took note of rising inflation risks.
For more kindly visit http://www.freewebs.com/jgs-investments/marketwhisper.htm
AGAIN THIS MONTH,OUR CLIENTS HAVE EARNED IN TONNES,BEFORE BUDGET WE TOLD YOU TO SHORT
We expect the markets to bounce back to a certain, Nifty expected to play between 4540 - 4780. Break of any which side will create momentum.
On its upmove likely to face resistance at 4680 and 4710 break of this can take to 4780.
On the downside we find a immediate support at 4605 break of this can take to 4580 and then finally a good one at 4540.
At current 15,357.35, Sensex trades at a PE multiple of 14.62 to 15.35, based on projected FY 2009 EPS of Rs 1000-to-Rs 1050 for 30 Sensex companies.
As per provisional data, foreign institutional investors (FIIs) sold shares worth Rs 108.50 crore on Thursday, 13 March 2008. Domestic institutional investors (DIIs) were net buyers of shares worth Rs 56.44 crore on that day.
FIIs were net buyers of Rs 242.82 crore in the futures & options segment on Thursday, 13 March 2008. They were net sellers of index futures to the tune of Rs 85.43 crore and bought index options worth Rs 85.82 crore. They were net buyers of stock futures to the tune of Rs 238.73 crore and bought stock options worth Rs 3.70 crore
The market may advance today on firm global cues. However high volatility cannot be ruled out. The next trigger for the market would come from the figures of advance tax payment by corporates for the fourth installment, which falls due on 15 March 2008.
Another major trigger for the market is outcome of the US Federal Reserve meeting on 18 March 2008 to review interest rates. A cut in interest rate, as expected by the street may provide some support to the markets. Fed Chairman Ben Bernanke had signaled a readiness to cut interest rates again to prevent further damage to the weak US economy, even as he took note of rising inflation risks.
Thursday, March 13, 2008
Fall of 200 points and more at opening
Forget USA even India is slowing down
Sell Steel sector stock( Tata steel, Sail,Hindlco)
Visit for more details at
http://www.freewebs.com/jgs-investments/marketwhisper.htm
We need fall today 200+, We advised bindaas short Opening
BTST NIFTY PUT WILL ROCK TODAY,We will advise clients when to buy for upmove today
We expect the market to open soft in the wake of the weakness in US and Asian markets. The trend thereafter will partly hinge on global cues. Tomorrow, we will get the weekly inflation data. A fresh spike there could deal another blow to the sentiment.
Indian ADRS closed in red. Satyam, Infosys and Wipro fell by (9.37%), (3.60%) and (2.21%) respectively. ICICI bank and HDFC bank dropped by (5.35%) and (3.05%) respectively.
The FIIs on Wednesday stood as net seller in equity. The gross equity purchased was Rs4,610 Crore while the gross equity sold stood at Rs5,782.40 Crore.
Therefore, the net investment of equity reported was (Rs172.40 Crore).Today, Nifty has support at 4,712 and resistance at 4,914 and BSE Sensex has support at 15,534 and resistance at 16,286.
V Guard Industries having issued shares at Rs 82 per share, is likely to list at Rs 90, and profit booking is advised above this level.
Corporate Front Page
Vedanta Resources to set up a large aluminum complex at Bihanbag, Asansol, at an investment of Rs200bn. (ET)
DLF REIT to raise Rs20bn from a clutch of PE investors. (ET)
TCS forms JV with Thai Re-Insurance Public Corporation to offer IT outsourcing services on an ASP model to insurance providers in Thailand. (BL)
Bharti Airtel signs a US$100mn investment agreement with the Board of Investment of Sri Lanka to begin operations there. (ET)
Ashok Leyland plans to invest Rs60bn to shore up CV business in the next few years. (ET)
NTPC Board approves an investment of Rs73.4bn in 1,920 MW Barh super thermal power project stage-II in Bihar. (FE)
Tata Steel to source chrome ore from Iran for its upcoming ferro chrome plant in South Africa. (BS)
IOC to invest Rs5bn in R&D during the 11th five-Year plan ending 2012. (BL)
M&M’s arm, Mahindra Intertrade opens an electrical steel plant in Vadodara, Gujarat. (BL)
Alok Industries has taken 50% stake in Ashford Infotech through a 100% subsidiary for joint development of realty projects. (BS)
Hikal to invest Rs2bn to set up four new manufacturing facilities in Bangalore and Mumbai and a R&D centre in Pune. (BS)
Gujarat Gas Company expects 10% drop in the availability of natural gas from Panna-Mukta-Tapti source from April. (BL)
Voltas eyes 20% share in AC market by adding 1,000 new channel partners to the distribution network. (DNA)
Gayatri Projects to enter the urban infrastructure and water treatment business segments. (DNA)
Everonn Systems plans to raise US$50mn to carry forward the expansion in the virtual classroom segment. (ET)
Tanla Solutions is in acquisition talks with 3-4 US-based firms with annual revenues in the range of US$30-70mn. (DNA)
Godfrey Phillips launches ‘Fundamint’ brand of mouth freshner. (DNA)
Goldstone Tech plans to roll-out IPTV services in 11 countries by the end of FY09. (BS)
Mumbai-based property developer, Oberoi Constructions, is planning Rs40bn IPO by the year end. (BS)
Piaggio eyes 5-fold increase in its Ape Truk (sub-one-tonne light CV) sales. (BS)
Shriram Properties to invest Rs5bn to develop mid-income housing projects across India over next 2-3 years. (ET)
Blackstone has picked up minority interest in Titagarh Wagons at Rs672/share. (ET)
Economic News
The Government has notified new FDI norms for sectors including PSU oil refineries, industrial parks, credit information companies, titanium mining, commodity exchanges and civil aviation. (BL)
Royalty on iron ore mining may be changed to an ad Valorem rate of 10% from the current fixed rate of Rs13-27/ton. (ET)
Cement sales for the month of February were up 13% yoy. (BL)
Indian battery industry is set to double by 2011, says Exide Industries. (BL)
India's Travel & Tourism revenues are estimated at US$100bn in 2008 and may increase to US$276bn by 2018. (ET)
Global PC shipments to grow 12.8% this year, as per IDC. (BL)
Sell Steel sector stock( Tata steel, Sail,Hindlco)
Visit for more details at
http://www.freewebs.com/jgs-investments/marketwhisper.htm
We need fall today 200+, We advised bindaas short Opening
BTST NIFTY PUT WILL ROCK TODAY,We will advise clients when to buy for upmove today
We expect the market to open soft in the wake of the weakness in US and Asian markets. The trend thereafter will partly hinge on global cues. Tomorrow, we will get the weekly inflation data. A fresh spike there could deal another blow to the sentiment.
Indian ADRS closed in red. Satyam, Infosys and Wipro fell by (9.37%), (3.60%) and (2.21%) respectively. ICICI bank and HDFC bank dropped by (5.35%) and (3.05%) respectively.
The FIIs on Wednesday stood as net seller in equity. The gross equity purchased was Rs4,610 Crore while the gross equity sold stood at Rs5,782.40 Crore.
Therefore, the net investment of equity reported was (Rs172.40 Crore).Today, Nifty has support at 4,712 and resistance at 4,914 and BSE Sensex has support at 15,534 and resistance at 16,286.
V Guard Industries having issued shares at Rs 82 per share, is likely to list at Rs 90, and profit booking is advised above this level.
Corporate Front Page
Vedanta Resources to set up a large aluminum complex at Bihanbag, Asansol, at an investment of Rs200bn. (ET)
DLF REIT to raise Rs20bn from a clutch of PE investors. (ET)
TCS forms JV with Thai Re-Insurance Public Corporation to offer IT outsourcing services on an ASP model to insurance providers in Thailand. (BL)
Bharti Airtel signs a US$100mn investment agreement with the Board of Investment of Sri Lanka to begin operations there. (ET)
Ashok Leyland plans to invest Rs60bn to shore up CV business in the next few years. (ET)
NTPC Board approves an investment of Rs73.4bn in 1,920 MW Barh super thermal power project stage-II in Bihar. (FE)
Tata Steel to source chrome ore from Iran for its upcoming ferro chrome plant in South Africa. (BS)
IOC to invest Rs5bn in R&D during the 11th five-Year plan ending 2012. (BL)
M&M’s arm, Mahindra Intertrade opens an electrical steel plant in Vadodara, Gujarat. (BL)
Alok Industries has taken 50% stake in Ashford Infotech through a 100% subsidiary for joint development of realty projects. (BS)
Hikal to invest Rs2bn to set up four new manufacturing facilities in Bangalore and Mumbai and a R&D centre in Pune. (BS)
Gujarat Gas Company expects 10% drop in the availability of natural gas from Panna-Mukta-Tapti source from April. (BL)
Voltas eyes 20% share in AC market by adding 1,000 new channel partners to the distribution network. (DNA)
Gayatri Projects to enter the urban infrastructure and water treatment business segments. (DNA)
Everonn Systems plans to raise US$50mn to carry forward the expansion in the virtual classroom segment. (ET)
Tanla Solutions is in acquisition talks with 3-4 US-based firms with annual revenues in the range of US$30-70mn. (DNA)
Godfrey Phillips launches ‘Fundamint’ brand of mouth freshner. (DNA)
Goldstone Tech plans to roll-out IPTV services in 11 countries by the end of FY09. (BS)
Mumbai-based property developer, Oberoi Constructions, is planning Rs40bn IPO by the year end. (BS)
Piaggio eyes 5-fold increase in its Ape Truk (sub-one-tonne light CV) sales. (BS)
Shriram Properties to invest Rs5bn to develop mid-income housing projects across India over next 2-3 years. (ET)
Blackstone has picked up minority interest in Titagarh Wagons at Rs672/share. (ET)
Economic News
The Government has notified new FDI norms for sectors including PSU oil refineries, industrial parks, credit information companies, titanium mining, commodity exchanges and civil aviation. (BL)
Royalty on iron ore mining may be changed to an ad Valorem rate of 10% from the current fixed rate of Rs13-27/ton. (ET)
Cement sales for the month of February were up 13% yoy. (BL)
Indian battery industry is set to double by 2011, says Exide Industries. (BL)
India's Travel & Tourism revenues are estimated at US$100bn in 2008 and may increase to US$276bn by 2018. (ET)
Global PC shipments to grow 12.8% this year, as per IDC. (BL)
Wednesday, March 12, 2008
WE WILL REACH OUR TARGET 4950
OUR BTST WILL ZOOM TODAY
Despite Weak Global Market In past we are earning in market
Everyday, We People are Trying Hard to Deliver You , Excellent TRADING CALLLS
We're Expecting our this FRIENDSHIP , LIFE LONG
Visit for today update at http://www.freewebs.com/jgs-investments/marketwhisper.htm
BSE Sensex is likely to gain no less than 500 points today
Gap up open ,Majority of the beaten down stocks are likely to see action and as said the two close above the technical level
OUR TRADING CALL OF JP ASS
ALSO FLARED LIKE AGNI MISSILE AND HIT 257 MARK, OH GOD, WHAT A GAIN, WHAT A GAIN.
Shares of Rural Electrification Corp. (REC) will get listed today. The public sector term lender for rural power projects had fixed the issue price at Rs105 per share. The issue was subscribed by nearly 28 times amid dire times for the primary market. The stock may benefit from the general feel-good and good prospect for the power sector.
FIIs were net sellers of Rs5.39bn (provisional) in the cash segment yesterday while local funds pumped in Rs3.03bn. In the F&O segment, foreign funds were net buyers of Rs6.22bn yesterday. On Monday, FIIs were net sellers to the tune of Rs11.38bn in the cash segment. Mutual funds were net buyers of Rs3.36bn on the same day.
Corporate Front Page
Reliance Entertainment plans to launch 20 television channels. (Mint)
NTPC expected to sign agreement with NHPC, PFC and TCS to form a second electricity exchange in India. (Mint)
GMR Infrastructure has confirmed closure of commercial operations of the Begumpet airport in Hyderabad from March 16. (Mint)
Marico has sold its processed food division, SIL, to Denmark’s Good Food group. (Mint)
Tata Steel’s third quarter profit including that of Corus group stood at Rs14bn. (Mint)
ING Vysya bank seeks to double deposit base and raise customer base over five times in two years. (Mint)
Government says the proposed JV of BHEL and NTPC to be called NTPC-BHEL Power Projects. (BS)
Bajaj Hindustan plans foray into molasses based chemical business. (BS)
Gail plans new arm for city gas supply, to be set up in 2-3 months. (BS)
TCS targets US$2bn revenues from emerging markets by 2011-12. (BS)
Essar group may not pitch for stake in Prize Petroleum. (BL)
Exide Industries to double capacity in two years. (BL)
Nicholas Piramal rechristened Piramal Healthcare. (BL)
ONGC to seek further extension for Bengal offshore drilling. (BL)
Celebrity Fashions enters pact with Jeans Knit for plant sale. (BL)
Bongaigaon Refinery gets shareholders' approval for merger with IOC. (BL)
BSNL repays Rs30bn government loan. (BL)
Satyam in pursuit of Oracle based deals in area of government, civil aviation and financial services. (BL)
United Spirits to increase focus on premium brands; aims at 100mn cases in two years. (BL)
Apollo Tyres’ diversification plans in Kerala hits roadblock. (BL)
Allied Digital to acquire 51% stake in Bangalore-based Digicom for Rs200mn. (ET)
Nicholas Piramal looking for acquisition opportunities in US and Europe to expand its contract manufacturing biz. (ET)
Nicholas Piramal may sell small stake in its research company to private equity funds. (ET)
Rodere Holdings, the Cyprus-based private equity investor, to invest Rs2bn in Orbit Corp. (ET)
Ratnagiri Gas & Power plans to raise funds via IPO. (ET)
Delhi-based realty firm BPTP outbids DLF to bag largest land deal worth Rs50.06bn in Noida. (ET)
PNB plans to sell nearly 26% stake in its subsidiary PNB Housing Finance. (ET)
SBI may raise US$200-500mn in bonds denominated in Malaysia ringgits for international operations. (ET)
Bajaj Auto to change name to Bajaj Holdings and Investments and will exit from benchmark Sensex and Nifty from March 14. (FE)
Centrum, Future Holdings enters in a strategic partnership. (FE)
Tata Chemicals to invest Rs7.5bn in the next three to four years to foray into Ethanol sector. (FE)
Economic News
Banks operating in India had US$3.16tn of derivatives on their books as on December 2007. (Mint)
Unions resort to non-cooperation to protest grounding of old airports. (Mint)
Government mulls lower user fees at new private airports. (BS)
DoT to keep landline, internet services revenue out; while calculating spectrum fee. (ET)
RBI may ban hiring of loan recovery agents by banks. (ET)
Government to act on a proposal to attach securities lying in frozen Demat accounts of investors if PAN not submitted. (ET)
Commerce and Industry minister would provide some relief to sectors hit by rupee appreciation in the forthcoming Foreign Trade Policy (FTP). (FE)
Government may opt for public private partnership model in housing sector. (FE)
In House :
Nifty at a resistance at 5050 and 5370 levels.
Cash : Buy REL above 1288 TGT 1390 with S/L 1265
Cash : Buy Infosys above 1429 TGT 1474 with S/L 1406.
Future : Buy Tata communication above 484 TGT 500 with S/L 478
Future : Buy REL above 1290 TGT 1350 with S/L 1270
Reliance , Rel capital TISCO and L & T looks good.
Out House :
Markets at a support of 15786 & 15858 and resistance at 16543 & 16661 levels .
Buy : Tisco and Sail
Buy : RPL & MRPL
Buy : Hindalco & Nalco
Buy : RIL & RelCap
Buy : Sterlite & ITC
Buy : LT & Titan
Buy : IBulls & JPAsso
Dark Horse : RIL , ITC , SBIN , LT , Aban , Sail , Sterlite , Noida & HLL
BSE Bullet : LKPMerc & Coreproject
All the emerging markets ended sharply higher. The Bovespa in Brazil surged 3.95% to 62,367 while the IPC index in Mexico jumped 4.5% to 29,466. The RTS index in Russia was up 2.3% at 2058 while the ISE National-30 index in Turkey soared 5% to 53,884.
Bulls hope to build on gains
After being on the receiving end for several trading sessions, markets staged a recovery on Tuesday with the 30-share benchmark Sensex gaining 1.2% ending above the 16k mark. Major laggards were the telecom companies, Bharti Airtel and Tata Communications, Maruti Suzuki and Satyam. The IT sector as a whole was under pressure. The NSE Nifty closed at 4,865 gaining 65 points. Among the 50-stocks of Nifty index, Tata Power, GAIL and Siemens were the top gainers, spurting over 6% each.
Overall about 2,101 stocks advanced, 611 stocks declined while 35 stocks remained unchanged. Among the BSE 30 index 20 stocks advanced while 10 stocks declined. RIL, L&T and DLF were among the major gainers, while; ICICI Bank, HDFC and Bharti were among the major laggards.
BEML rallied by over 5% to Rs1178 as reports stated that it would finalise its German JV to make wagons and other railway components by end-March. The scrip touched an intra-day high of Rs1194 and a low of Rs1097 and recorded volumes of over 18,000 shares on NSE.
GAIL surged by over 7% to Rs421 after the company said that it would spend Rs23bn this financial year. The scrip touched an intra-day high of Rs437 and a low of Rs391 and recorded volumes of over 28,00,000shares on NSE.
L&T surged by over 7% to Rs2916 after the company said that it secured Scada Systems contract from ONGC. The scrip touched an intra-day high of Rs2950 and a low of Rs2650 and recorded volumes of over 14,00,000 shares on NSE.
JSW Steel slipped by a percent to Rs910. According to reports, the company would issue one equity share for every 22 held in Southern Iron and Steel Company for merger of the two companies. The scrip touched an intra-day high of Rs948 and a low of Rs909 and recorded volumes of over 5,00,000 shares on NSE.
Lanco Infratech surged by over 4% to Rs390. The company on Monday announced that it awarded Rs500mn contract to a unit of Punj Lloyd Ltd to build a facility in the southern city of Hyderabad. The scrip touched an intra-day high of Rs404 and a low of Rs352 and recorded volumes of over 19,00,000 shares on NSE.
REL gained by 2% ton Rs1287 after reports stated that 35 lakh shares of REL change hands on BSE at Rs1247. The scrip touched an intra-day high of Rs1308 and a low of Rs1211 and recorded volumes of over 47,00,000 shares on BSE.
After staging a gradual come back on Tuesday, bulls would hope to hang on to their gains. Global scenario also looks a bit supportive with the Asian markets closing on a positive note and the European markets also hanging on to their gains. For tomorrow, markets may carry on the momentum. However, one should not over leverage their positions and be cautious as you never know what can hit you from which part of the world while you are sleeping.
Despite Weak Global Market In past we are earning in market
Everyday, We People are Trying Hard to Deliver You , Excellent TRADING CALLLS
We're Expecting our this FRIENDSHIP , LIFE LONG
Visit for today update at http://www.freewebs.com/jgs-investments/marketwhisper.htm
BSE Sensex is likely to gain no less than 500 points today
Gap up open ,Majority of the beaten down stocks are likely to see action and as said the two close above the technical level
OUR TRADING CALL OF JP ASS
ALSO FLARED LIKE AGNI MISSILE AND HIT 257 MARK, OH GOD, WHAT A GAIN, WHAT A GAIN.
Shares of Rural Electrification Corp. (REC) will get listed today. The public sector term lender for rural power projects had fixed the issue price at Rs105 per share. The issue was subscribed by nearly 28 times amid dire times for the primary market. The stock may benefit from the general feel-good and good prospect for the power sector.
FIIs were net sellers of Rs5.39bn (provisional) in the cash segment yesterday while local funds pumped in Rs3.03bn. In the F&O segment, foreign funds were net buyers of Rs6.22bn yesterday. On Monday, FIIs were net sellers to the tune of Rs11.38bn in the cash segment. Mutual funds were net buyers of Rs3.36bn on the same day.
Corporate Front Page
Reliance Entertainment plans to launch 20 television channels. (Mint)
NTPC expected to sign agreement with NHPC, PFC and TCS to form a second electricity exchange in India. (Mint)
GMR Infrastructure has confirmed closure of commercial operations of the Begumpet airport in Hyderabad from March 16. (Mint)
Marico has sold its processed food division, SIL, to Denmark’s Good Food group. (Mint)
Tata Steel’s third quarter profit including that of Corus group stood at Rs14bn. (Mint)
ING Vysya bank seeks to double deposit base and raise customer base over five times in two years. (Mint)
Government says the proposed JV of BHEL and NTPC to be called NTPC-BHEL Power Projects. (BS)
Bajaj Hindustan plans foray into molasses based chemical business. (BS)
Gail plans new arm for city gas supply, to be set up in 2-3 months. (BS)
TCS targets US$2bn revenues from emerging markets by 2011-12. (BS)
Essar group may not pitch for stake in Prize Petroleum. (BL)
Exide Industries to double capacity in two years. (BL)
Nicholas Piramal rechristened Piramal Healthcare. (BL)
ONGC to seek further extension for Bengal offshore drilling. (BL)
Celebrity Fashions enters pact with Jeans Knit for plant sale. (BL)
Bongaigaon Refinery gets shareholders' approval for merger with IOC. (BL)
BSNL repays Rs30bn government loan. (BL)
Satyam in pursuit of Oracle based deals in area of government, civil aviation and financial services. (BL)
United Spirits to increase focus on premium brands; aims at 100mn cases in two years. (BL)
Apollo Tyres’ diversification plans in Kerala hits roadblock. (BL)
Allied Digital to acquire 51% stake in Bangalore-based Digicom for Rs200mn. (ET)
Nicholas Piramal looking for acquisition opportunities in US and Europe to expand its contract manufacturing biz. (ET)
Nicholas Piramal may sell small stake in its research company to private equity funds. (ET)
Rodere Holdings, the Cyprus-based private equity investor, to invest Rs2bn in Orbit Corp. (ET)
Ratnagiri Gas & Power plans to raise funds via IPO. (ET)
Delhi-based realty firm BPTP outbids DLF to bag largest land deal worth Rs50.06bn in Noida. (ET)
PNB plans to sell nearly 26% stake in its subsidiary PNB Housing Finance. (ET)
SBI may raise US$200-500mn in bonds denominated in Malaysia ringgits for international operations. (ET)
Bajaj Auto to change name to Bajaj Holdings and Investments and will exit from benchmark Sensex and Nifty from March 14. (FE)
Centrum, Future Holdings enters in a strategic partnership. (FE)
Tata Chemicals to invest Rs7.5bn in the next three to four years to foray into Ethanol sector. (FE)
Economic News
Banks operating in India had US$3.16tn of derivatives on their books as on December 2007. (Mint)
Unions resort to non-cooperation to protest grounding of old airports. (Mint)
Government mulls lower user fees at new private airports. (BS)
DoT to keep landline, internet services revenue out; while calculating spectrum fee. (ET)
RBI may ban hiring of loan recovery agents by banks. (ET)
Government to act on a proposal to attach securities lying in frozen Demat accounts of investors if PAN not submitted. (ET)
Commerce and Industry minister would provide some relief to sectors hit by rupee appreciation in the forthcoming Foreign Trade Policy (FTP). (FE)
Government may opt for public private partnership model in housing sector. (FE)
In House :
Nifty at a resistance at 5050 and 5370 levels.
Cash : Buy REL above 1288 TGT 1390 with S/L 1265
Cash : Buy Infosys above 1429 TGT 1474 with S/L 1406.
Future : Buy Tata communication above 484 TGT 500 with S/L 478
Future : Buy REL above 1290 TGT 1350 with S/L 1270
Reliance , Rel capital TISCO and L & T looks good.
Out House :
Markets at a support of 15786 & 15858 and resistance at 16543 & 16661 levels .
Buy : Tisco and Sail
Buy : RPL & MRPL
Buy : Hindalco & Nalco
Buy : RIL & RelCap
Buy : Sterlite & ITC
Buy : LT & Titan
Buy : IBulls & JPAsso
Dark Horse : RIL , ITC , SBIN , LT , Aban , Sail , Sterlite , Noida & HLL
BSE Bullet : LKPMerc & Coreproject
All the emerging markets ended sharply higher. The Bovespa in Brazil surged 3.95% to 62,367 while the IPC index in Mexico jumped 4.5% to 29,466. The RTS index in Russia was up 2.3% at 2058 while the ISE National-30 index in Turkey soared 5% to 53,884.
Bulls hope to build on gains
After being on the receiving end for several trading sessions, markets staged a recovery on Tuesday with the 30-share benchmark Sensex gaining 1.2% ending above the 16k mark. Major laggards were the telecom companies, Bharti Airtel and Tata Communications, Maruti Suzuki and Satyam. The IT sector as a whole was under pressure. The NSE Nifty closed at 4,865 gaining 65 points. Among the 50-stocks of Nifty index, Tata Power, GAIL and Siemens were the top gainers, spurting over 6% each.
Overall about 2,101 stocks advanced, 611 stocks declined while 35 stocks remained unchanged. Among the BSE 30 index 20 stocks advanced while 10 stocks declined. RIL, L&T and DLF were among the major gainers, while; ICICI Bank, HDFC and Bharti were among the major laggards.
BEML rallied by over 5% to Rs1178 as reports stated that it would finalise its German JV to make wagons and other railway components by end-March. The scrip touched an intra-day high of Rs1194 and a low of Rs1097 and recorded volumes of over 18,000 shares on NSE.
GAIL surged by over 7% to Rs421 after the company said that it would spend Rs23bn this financial year. The scrip touched an intra-day high of Rs437 and a low of Rs391 and recorded volumes of over 28,00,000shares on NSE.
L&T surged by over 7% to Rs2916 after the company said that it secured Scada Systems contract from ONGC. The scrip touched an intra-day high of Rs2950 and a low of Rs2650 and recorded volumes of over 14,00,000 shares on NSE.
JSW Steel slipped by a percent to Rs910. According to reports, the company would issue one equity share for every 22 held in Southern Iron and Steel Company for merger of the two companies. The scrip touched an intra-day high of Rs948 and a low of Rs909 and recorded volumes of over 5,00,000 shares on NSE.
Lanco Infratech surged by over 4% to Rs390. The company on Monday announced that it awarded Rs500mn contract to a unit of Punj Lloyd Ltd to build a facility in the southern city of Hyderabad. The scrip touched an intra-day high of Rs404 and a low of Rs352 and recorded volumes of over 19,00,000 shares on NSE.
REL gained by 2% ton Rs1287 after reports stated that 35 lakh shares of REL change hands on BSE at Rs1247. The scrip touched an intra-day high of Rs1308 and a low of Rs1211 and recorded volumes of over 47,00,000 shares on BSE.
After staging a gradual come back on Tuesday, bulls would hope to hang on to their gains. Global scenario also looks a bit supportive with the Asian markets closing on a positive note and the European markets also hanging on to their gains. For tomorrow, markets may carry on the momentum. However, one should not over leverage their positions and be cautious as you never know what can hit you from which part of the world while you are sleeping.
Tuesday, March 11, 2008
Intra-day volatility still exist
Intra-day volatility may see the market swing both ways and hold back the local players from taking fresh positions. The market may slip initially following overnight slump in the US markets and weak Asian indices in morning trades. As the overall sentiment remains bearish, the market may not overcome from early weakness. The Nifty may witness resistance at 5100 on the upside while the near-term support at 4620 is seen on the downside. The Sensex has a likely support at 15700 and could witness resistance at 16150.
Despite a sharp fall in the early trades, markets staged a stellar come back. The benchmark Sensex recovered over 500 points and Nifty index recouped over 150 points from their days low. This swift recovery was seen after the momentum stocks like RPL, Bharti, ACC, Bajaj Auto and Rcom witnessed buying interest. Also a recovery in the Hang Seng index in Hong Kong lifted to sentiments partially. Finally, the 30-share Sensex closed at 15,923 losing 51 points. While the NSE Nifty added 29 points to close at 4,800.
Overall about 753 stocks advanced, 1,910 stocks declined while 44 stocks remained unchanged. Among the BSE 30 index 16 stocks advanced while 14 stocks declined.
Among the BSE Sectoral indices; BSE Metal index (up 2.2%), BSE Oil & Gas index (up 2%) and Auto index (up 0.5%). However, the BSE Capital Good index (down 4.8%) and the BSE Power index (down 2%).
Ceat rallied by over 12% to Rs140 after the company said that it would sell Mumbai Land for Rs1.3bn and would develop 6.91 acres of land with Ashford Infotech in Mumbai. The scrip touched an intra-day high of Rs150 and a low of Rs115 and recorded volumes of over 40,000 shares on BSE.
L&T plummeted by over 8% to Rs2728 after media reports stated that the company’s overseas arm may incur a loss of rs2bn from commodity trading. The scrip touched an intra-day high of Rs2950 and a low of Rs2610 and recorded volumes of over 34,00,000 shares on NSE.
Hindustan Zinc slipped by 3.5% to Rs575. The company announced that it increased lead prices by Rs1,300, or 0.9%, to Rs149,600 per metric ton from March 8. The price of zinc was left unchanged at Rs127,300 a ton. The scrip touched an intra-day high of Rs600 and a low of Rs558 and has recorded volumes of over 1,00,000 shares on NSE.
Mastek slipped by 0.5% to Rs264 as the company on March 08, 2008 announced that it acquired Systems Task Group (STG) International Ltd. This acquisition is the second such initiative by Mastek during the current financial year, and follows the acquisition of another insurance-focused IT Company Vector Insurance Services in July 2007. The scrip touched an intra-day high of Rs264 and a low of Rs247 and recorded volumes of over 15,000 shares on NSE.
Gitanjali Gems slipped by over 6% to Rs264. The company announced that it acquired "Renaissance Retail Venture Pvt Ltd" (RRVPL) through its wholly owned subsidiary Gitanjali Lifestyle Ltd. The company announced that it set up subsidiary for gold loans. The scrip has touched an intra-day high of Rs273 and a low of Rs258 and recorded volumes of over 2,00,000 shares on NSE.
UTV Software gained by 1.5% to Rs810 after the company announced that its founder Screwvala has raised stake in the company. The scrip touched an intra-day high of Rs810 and a low of Rs785 and recorded volumes of over 77,000 shares on NSE.
BEML also recovered by almost 3% from its lows and ended down by only 1% to Rs1118 after the company said that it would set up Assembly plant in Brazil for Earthmoving gear and its German Venture will build rail coaches, equipment. The scrip touched an intra-day high of Rs1150 and a low of Rs1072 and recorded volumes of over 16,000 shares on NSE.
KEC International jumped by over 13% to Rs770 after the company said they won US$120.7mn contract from Saudi Electric. The scrip has touched an intra-day high of Rs815 and a low of Rs617 and recorded volumes of over 16,000 shares on NSE.
Dr Reddy’s Lab gained by a percent to Rs575 after the company said that it entered into drug discovery collaboration with 7TM Pharma. The scrip touched an intra-day high of Rs579 and a low of Rs476 and recorded volumes of over 1,00,000 shares on NSE.
Gujarat Fluorochemicals surged by over 8% to Rs207 after the company said that it would consider buyback of shares ion March 21. The scrip touched an intra-day high of Rs220 and a low of Rs183 and recorded volumes of over 74,000 shares on NSE.
Aban Offshore was down by over 5% to Rs3461. The company said that it would raise Rs1.94bn selling shares. The scrip touched an intra-day high of Rs3612 and a low of Rs3399 and recorded volumes of over 1,00,000 shares on NSE.
Whats In
Private oil Companies, Reliance Industries, Essar Oil and Shell India, have filed a joint petition against the PSU oil companies for indulging in unfair and restrictive trade practices in the sale of transportation fuels.
Bajaj Auto Finance may spin off two-wheeler financing business as a subsidiary of Bajaj Auto.
Aban Offshore plans to raise funds to the tune of Rs1.94bn through issue of securities under private placement basis.
Videocon Industries is making an initial investment of Rs60bn for rolling out GSM services.
JSW Steel will issue one equity share for every 22 held in Southern Iron and Steel Co. for their merger .
Tata Chemicals plans to borrow US$850mn to fund purchase of US based General Chemical Industrial Products Inc.
Sobha Developers plans to take up 12 million square feet of development during fiscal 2008-09 for about Rs22bn.
The Mukesh Ambani-controlled Navi Mumbai SEZ has been charged with indulging in illegal land-filling activity.
Cals Refineries is in talks with BP for a crude supply and product offtake deal.
Triton Corp is close to acquiring a UK based IT &Telecom services firm for a consideration of ~Rs4.8bn.
TVS Motor has re-launched Flame, a 125cc motorbike, with a single-spark plug ignition system.
Reliance Energy's Board has approved the change of the company’s name to Reliance Infrastructure Ltd.
The move to withdraw tax holiday to new refineries will result in lowering of profitability of IOC’s Rs240bn Paradip refinery.
Shah Alloys is reported to be in talks with Posco’s Indian subsidiary, Posco India, for a possible tie-up.
Ferro Silicon and Indsil Electrosmelts have entered into a JV with GoodEarth Group of companies to operate a mine in Indonesia.
M&M group is close to finalizing a JV with an international fresh produce supply-chain heavyweight through Mahindra ShubhLaabh Services.
Electrotherm, an Ahmedabad-based manufacturer of steel and electric bikes, is embarking on a Rs3bn expansion plan.
Ceat expects to hike raise tyre prices by 2-3% in April to offset higher raw material prices.
Maruti Suzuki India has inked a pact with Shriram City Union Finance.
Country Club India is contemplating merging or acquiring its associate companies
Royal Orchid Hotels is all set to open the first Ramada hotel brand in India next month.
RCF plans to earn carbon credits from phospho-gypsum, a by-product of its manufacturing process.
Reliance General Insurance, the third largest player in terms of gross premium, clocked a 125% growth in business last year.
Taj-GVK Hotels would open a star hotel in Chennai, fifth for the Group, in May.
Congnizant has signed a US$05mn agreement with AstraZeneca.
Economic News
The amount of loans to small and marginal farmers that commercial banks, cooperatives and regional rural banks have been asked to waive is likely to be slightly over Rs230bn less than half that estimated by Finance Minister P Chidambaram in his Budget speech.
Tractor manufacturers in north India have decided to increase prices in the next financial year.
The petroleum ministry has asked the finance ministry for clarification on the proposal to withdraw the 7-year income tax holiday on production of oil and gas with effect from April 1.
Telecom Minister A Raja has told Parliament that there is no “contractual agreement” between government and telecom operators to allot spectrum beyond 6.2 MHz.
The RBI has directed banks to permit customers of one bank free use of ATMs of other banks for all transactions from April 1, 2009.
Japan has extended a Rs70.7bn long-tenure loan at low-interest to fund India’s infrastructure investments.
New consumer price index is likely to be launched by May 2009.
Finance Minister P Chidambaram has said he will inform the Parliament on Friday how the government would compensate banks for the losses incurred on account of the farm loan waiver worth Rs600bn.
The Government has postponed the last date of bidding for oil and gas blocks offered under the latest round of Nelp to April 25.
The Government is planning to fund the farm loan waiver package over the next 24 months and at least 25% of the total Rs600bn package will be met through government borrowings.
India's leading GSM-based mobile operators added 5.9mn users in February 2008.
tax holiday for software technology parks is unlikely to be extended beyond March 2009.
Sugar production during Oct-Feb’08 remained almost flat at 16.9mn tons.
Despite a sharp fall in the early trades, markets staged a stellar come back. The benchmark Sensex recovered over 500 points and Nifty index recouped over 150 points from their days low. This swift recovery was seen after the momentum stocks like RPL, Bharti, ACC, Bajaj Auto and Rcom witnessed buying interest. Also a recovery in the Hang Seng index in Hong Kong lifted to sentiments partially. Finally, the 30-share Sensex closed at 15,923 losing 51 points. While the NSE Nifty added 29 points to close at 4,800.
Overall about 753 stocks advanced, 1,910 stocks declined while 44 stocks remained unchanged. Among the BSE 30 index 16 stocks advanced while 14 stocks declined.
Among the BSE Sectoral indices; BSE Metal index (up 2.2%), BSE Oil & Gas index (up 2%) and Auto index (up 0.5%). However, the BSE Capital Good index (down 4.8%) and the BSE Power index (down 2%).
Ceat rallied by over 12% to Rs140 after the company said that it would sell Mumbai Land for Rs1.3bn and would develop 6.91 acres of land with Ashford Infotech in Mumbai. The scrip touched an intra-day high of Rs150 and a low of Rs115 and recorded volumes of over 40,000 shares on BSE.
L&T plummeted by over 8% to Rs2728 after media reports stated that the company’s overseas arm may incur a loss of rs2bn from commodity trading. The scrip touched an intra-day high of Rs2950 and a low of Rs2610 and recorded volumes of over 34,00,000 shares on NSE.
Hindustan Zinc slipped by 3.5% to Rs575. The company announced that it increased lead prices by Rs1,300, or 0.9%, to Rs149,600 per metric ton from March 8. The price of zinc was left unchanged at Rs127,300 a ton. The scrip touched an intra-day high of Rs600 and a low of Rs558 and has recorded volumes of over 1,00,000 shares on NSE.
Mastek slipped by 0.5% to Rs264 as the company on March 08, 2008 announced that it acquired Systems Task Group (STG) International Ltd. This acquisition is the second such initiative by Mastek during the current financial year, and follows the acquisition of another insurance-focused IT Company Vector Insurance Services in July 2007. The scrip touched an intra-day high of Rs264 and a low of Rs247 and recorded volumes of over 15,000 shares on NSE.
Gitanjali Gems slipped by over 6% to Rs264. The company announced that it acquired "Renaissance Retail Venture Pvt Ltd" (RRVPL) through its wholly owned subsidiary Gitanjali Lifestyle Ltd. The company announced that it set up subsidiary for gold loans. The scrip has touched an intra-day high of Rs273 and a low of Rs258 and recorded volumes of over 2,00,000 shares on NSE.
UTV Software gained by 1.5% to Rs810 after the company announced that its founder Screwvala has raised stake in the company. The scrip touched an intra-day high of Rs810 and a low of Rs785 and recorded volumes of over 77,000 shares on NSE.
BEML also recovered by almost 3% from its lows and ended down by only 1% to Rs1118 after the company said that it would set up Assembly plant in Brazil for Earthmoving gear and its German Venture will build rail coaches, equipment. The scrip touched an intra-day high of Rs1150 and a low of Rs1072 and recorded volumes of over 16,000 shares on NSE.
KEC International jumped by over 13% to Rs770 after the company said they won US$120.7mn contract from Saudi Electric. The scrip has touched an intra-day high of Rs815 and a low of Rs617 and recorded volumes of over 16,000 shares on NSE.
Dr Reddy’s Lab gained by a percent to Rs575 after the company said that it entered into drug discovery collaboration with 7TM Pharma. The scrip touched an intra-day high of Rs579 and a low of Rs476 and recorded volumes of over 1,00,000 shares on NSE.
Gujarat Fluorochemicals surged by over 8% to Rs207 after the company said that it would consider buyback of shares ion March 21. The scrip touched an intra-day high of Rs220 and a low of Rs183 and recorded volumes of over 74,000 shares on NSE.
Aban Offshore was down by over 5% to Rs3461. The company said that it would raise Rs1.94bn selling shares. The scrip touched an intra-day high of Rs3612 and a low of Rs3399 and recorded volumes of over 1,00,000 shares on NSE.
Whats In
Private oil Companies, Reliance Industries, Essar Oil and Shell India, have filed a joint petition against the PSU oil companies for indulging in unfair and restrictive trade practices in the sale of transportation fuels.
Bajaj Auto Finance may spin off two-wheeler financing business as a subsidiary of Bajaj Auto.
Aban Offshore plans to raise funds to the tune of Rs1.94bn through issue of securities under private placement basis.
Videocon Industries is making an initial investment of Rs60bn for rolling out GSM services.
JSW Steel will issue one equity share for every 22 held in Southern Iron and Steel Co. for their merger .
Tata Chemicals plans to borrow US$850mn to fund purchase of US based General Chemical Industrial Products Inc.
Sobha Developers plans to take up 12 million square feet of development during fiscal 2008-09 for about Rs22bn.
The Mukesh Ambani-controlled Navi Mumbai SEZ has been charged with indulging in illegal land-filling activity.
Cals Refineries is in talks with BP for a crude supply and product offtake deal.
Triton Corp is close to acquiring a UK based IT &Telecom services firm for a consideration of ~Rs4.8bn.
TVS Motor has re-launched Flame, a 125cc motorbike, with a single-spark plug ignition system.
Reliance Energy's Board has approved the change of the company’s name to Reliance Infrastructure Ltd.
The move to withdraw tax holiday to new refineries will result in lowering of profitability of IOC’s Rs240bn Paradip refinery.
Shah Alloys is reported to be in talks with Posco’s Indian subsidiary, Posco India, for a possible tie-up.
Ferro Silicon and Indsil Electrosmelts have entered into a JV with GoodEarth Group of companies to operate a mine in Indonesia.
M&M group is close to finalizing a JV with an international fresh produce supply-chain heavyweight through Mahindra ShubhLaabh Services.
Electrotherm, an Ahmedabad-based manufacturer of steel and electric bikes, is embarking on a Rs3bn expansion plan.
Ceat expects to hike raise tyre prices by 2-3% in April to offset higher raw material prices.
Maruti Suzuki India has inked a pact with Shriram City Union Finance.
Country Club India is contemplating merging or acquiring its associate companies
Royal Orchid Hotels is all set to open the first Ramada hotel brand in India next month.
RCF plans to earn carbon credits from phospho-gypsum, a by-product of its manufacturing process.
Reliance General Insurance, the third largest player in terms of gross premium, clocked a 125% growth in business last year.
Taj-GVK Hotels would open a star hotel in Chennai, fifth for the Group, in May.
Congnizant has signed a US$05mn agreement with AstraZeneca.
Economic News
The amount of loans to small and marginal farmers that commercial banks, cooperatives and regional rural banks have been asked to waive is likely to be slightly over Rs230bn less than half that estimated by Finance Minister P Chidambaram in his Budget speech.
Tractor manufacturers in north India have decided to increase prices in the next financial year.
The petroleum ministry has asked the finance ministry for clarification on the proposal to withdraw the 7-year income tax holiday on production of oil and gas with effect from April 1.
Telecom Minister A Raja has told Parliament that there is no “contractual agreement” between government and telecom operators to allot spectrum beyond 6.2 MHz.
The RBI has directed banks to permit customers of one bank free use of ATMs of other banks for all transactions from April 1, 2009.
Japan has extended a Rs70.7bn long-tenure loan at low-interest to fund India’s infrastructure investments.
New consumer price index is likely to be launched by May 2009.
Finance Minister P Chidambaram has said he will inform the Parliament on Friday how the government would compensate banks for the losses incurred on account of the farm loan waiver worth Rs600bn.
The Government has postponed the last date of bidding for oil and gas blocks offered under the latest round of Nelp to April 25.
The Government is planning to fund the farm loan waiver package over the next 24 months and at least 25% of the total Rs600bn package will be met through government borrowings.
India's leading GSM-based mobile operators added 5.9mn users in February 2008.
tax holiday for software technology parks is unlikely to be extended beyond March 2009.
Sugar production during Oct-Feb’08 remained almost flat at 16.9mn tons.
Monday, March 10, 2008
Subscribe to know more Add sheth_jg@yahoo.com
NIFTY DAILY BASED :RESI.-4815-4997-5180-5360 SUPORT-4635-4460-4295
NIFTY WEEKLY BASED-RESI-4790-5180-5573 SUPPORT-4395-4020
NIFTY MONTHLY BASED:RESI-4956-5423 SUPPORT-4491--3925
Market is on a deciding level... 4710 - 4720 ....
Break of 4710 and trade below this will be a highly alert signal....
On the downside after break of 4710 I see a minor support at 4630 break of this take can take Nifty to 4400 in near term
On the upside we find a resistance at 4863 break of this can take to 4950
Trading Strategy --- Not necessary to trade everyday to be safe better avoid the day, because tomorrow may take any side. In both the cases (buy or sell) you can be trapped, if playing either Hedge it
Pick No 1 - Suzlon (CMP 247.45) --- Wait for the market to stable first market, and then look to buy around 244 - 245.. final stop loss and target only to clients.
Pick No 2 - Hindustan Construction (CMP 147.55) --- Wait for the market to stable first market, and then look to buy around 145 - 146.. final stop loss and target only to clients.
Indian Markets continued the slide given the weak global markets and lack of retail participation and We expect a bounce back today after an initial slide.Nifty March
Futures have witnessed addition of fresh short positions. March
Futures added 14 lakh shares in open interest along with a
significant increase in discount from 17.30 points to 45.35 points.
On the Options front, both Call and Put options witnessed fresh
buying keeping the direction undetermined. However, Nifty 4700
Put and Call options have seen highest addition of open interest
at 4.65 and 4.72 lakh shares respectively along with an increase
in implied volatility
We have a Volatile view on Nifty; we recommend a Long Straddle strategy
o Buy One Nifty Mar 4700 CE @ 210 – 215
o Buy One Nifty Mar 4700 PE @ 190-195
o UBEP: 5110; LBEP: 4290; SL: 250 (total premium)
o Investment: Rs. 20500
o Time Frame: Expiry
Stock in Action -
1.) ICICI Bank: ICICI bank Feb Futures witnessed closure of long position and fresh build up of short position in the
last trading session. The stock had seen 2.29 percent addition in open interest with cost of carry turned negative to
4.90 percent from 3.28 percent. Short positions can be assumed in the stock at 895-902 levels with a stop loss
placed at above 915 for targets of 870 and 850 levels.
2.) SBIN: The stock shed -2.83 percent in open interest along with a decrease in cost of carry from 7.76 percent to -
0.94 percent indicating closure of long positions. Short position can be assumed in the stock below 1840 levels for
targets of 1800 and 1770 levels with final stop loss placed at 1862 levels.
3.) Rel Capital: Rel Capital Futures have witnessed 7.31 percent decrease in open interest along with a decrease in
cost of carry from 6.37percent to -8.37 percent indicating closure of long positions and fresh build up of short
positions. Short positions in the stock can be assumed at 1410-1425 levels for targets of 1350 and 1310 levels with a
final stop loss placed above 1450 levels
4.) RPower: RPower has witnessed fresh build up of short positions in Friday’s trade. The stock has seen 19.15
percent addition in open interest with a steep fall in cost of carry from -5.74 percent to -44.16 percent. The stock
made it life time low at 330 levels in the last trading session. Short position can be assumed in stock below 330
levels for targets of 315 and 305 levels with a final stop loss placed above 342 levels.
5) REL: The stock shed 0.45 percent in open interest and fell by 13 percent in last trading session suggesting
closure of long positions in the stock. Short positions can be assumed in stock if it doesn’t hold 1250 levels for
downside targets of 1200 and 1180 levels with final stop loss placed at 1280 levels.
6) Maruti: The stock witnessed fresh build up of long positions in Friday’s trade. The stock has seen 3.62 percent
addition in open interest with cost of carry remained flat. Long position can be assumed in the stock on correction at
895-902 levels for upside targets of 920 and 935 levels with a final stop loss placed at 880 levels.
7) Bajaj Auto: Bajaj Auto had witnessed fresh accumulation of short positions in Friday’s trading session. The stock
has seen 9.40 percent addition in open interest with decrease in cost of carry from 0.47 percent to -3.77 percent.
Short position can be assumed in stock at 1890-1910 levels for downside targets of 1830 and 1800 levels with final
stop loss placed above 1950 levels.
8) Sterlite: STER has seen fresh build up of long position in last trading session. The stock had seen 5.96 percent
addition in open interest with cost of carry decreased marginally to 1.57 percent. Long position can be assumed in
stock at 730-740 for targets of 765 and 780 levels with final stop loss placed at 715 levels.
NIFTY WEEKLY BASED-RESI-4790-5180-5573 SUPPORT-4395-4020
NIFTY MONTHLY BASED:RESI-4956-5423 SUPPORT-4491--3925
Market is on a deciding level... 4710 - 4720 ....
Break of 4710 and trade below this will be a highly alert signal....
On the downside after break of 4710 I see a minor support at 4630 break of this take can take Nifty to 4400 in near term
On the upside we find a resistance at 4863 break of this can take to 4950
Trading Strategy --- Not necessary to trade everyday to be safe better avoid the day, because tomorrow may take any side. In both the cases (buy or sell) you can be trapped, if playing either Hedge it
Pick No 1 - Suzlon (CMP 247.45) --- Wait for the market to stable first market, and then look to buy around 244 - 245.. final stop loss and target only to clients.
Pick No 2 - Hindustan Construction (CMP 147.55) --- Wait for the market to stable first market, and then look to buy around 145 - 146.. final stop loss and target only to clients.
Indian Markets continued the slide given the weak global markets and lack of retail participation and We expect a bounce back today after an initial slide.Nifty March
Futures have witnessed addition of fresh short positions. March
Futures added 14 lakh shares in open interest along with a
significant increase in discount from 17.30 points to 45.35 points.
On the Options front, both Call and Put options witnessed fresh
buying keeping the direction undetermined. However, Nifty 4700
Put and Call options have seen highest addition of open interest
at 4.65 and 4.72 lakh shares respectively along with an increase
in implied volatility
We have a Volatile view on Nifty; we recommend a Long Straddle strategy
o Buy One Nifty Mar 4700 CE @ 210 – 215
o Buy One Nifty Mar 4700 PE @ 190-195
o UBEP: 5110; LBEP: 4290; SL: 250 (total premium)
o Investment: Rs. 20500
o Time Frame: Expiry
Stock in Action -
1.) ICICI Bank: ICICI bank Feb Futures witnessed closure of long position and fresh build up of short position in the
last trading session. The stock had seen 2.29 percent addition in open interest with cost of carry turned negative to
4.90 percent from 3.28 percent. Short positions can be assumed in the stock at 895-902 levels with a stop loss
placed at above 915 for targets of 870 and 850 levels.
2.) SBIN: The stock shed -2.83 percent in open interest along with a decrease in cost of carry from 7.76 percent to -
0.94 percent indicating closure of long positions. Short position can be assumed in the stock below 1840 levels for
targets of 1800 and 1770 levels with final stop loss placed at 1862 levels.
3.) Rel Capital: Rel Capital Futures have witnessed 7.31 percent decrease in open interest along with a decrease in
cost of carry from 6.37percent to -8.37 percent indicating closure of long positions and fresh build up of short
positions. Short positions in the stock can be assumed at 1410-1425 levels for targets of 1350 and 1310 levels with a
final stop loss placed above 1450 levels
4.) RPower: RPower has witnessed fresh build up of short positions in Friday’s trade. The stock has seen 19.15
percent addition in open interest with a steep fall in cost of carry from -5.74 percent to -44.16 percent. The stock
made it life time low at 330 levels in the last trading session. Short position can be assumed in stock below 330
levels for targets of 315 and 305 levels with a final stop loss placed above 342 levels.
5) REL: The stock shed 0.45 percent in open interest and fell by 13 percent in last trading session suggesting
closure of long positions in the stock. Short positions can be assumed in stock if it doesn’t hold 1250 levels for
downside targets of 1200 and 1180 levels with final stop loss placed at 1280 levels.
6) Maruti: The stock witnessed fresh build up of long positions in Friday’s trade. The stock has seen 3.62 percent
addition in open interest with cost of carry remained flat. Long position can be assumed in the stock on correction at
895-902 levels for upside targets of 920 and 935 levels with a final stop loss placed at 880 levels.
7) Bajaj Auto: Bajaj Auto had witnessed fresh accumulation of short positions in Friday’s trading session. The stock
has seen 9.40 percent addition in open interest with decrease in cost of carry from 0.47 percent to -3.77 percent.
Short position can be assumed in stock at 1890-1910 levels for downside targets of 1830 and 1800 levels with final
stop loss placed above 1950 levels.
8) Sterlite: STER has seen fresh build up of long position in last trading session. The stock had seen 5.96 percent
addition in open interest with cost of carry decreased marginally to 1.57 percent. Long position can be assumed in
stock at 730-740 for targets of 765 and 780 levels with final stop loss placed at 715 levels.
Saturday, March 8, 2008
Stocks you can pick up
Tata Steel
CMP: Rs 773
Target Price: Rs 1,038
HDFC Securities has given a ‘buy’ on Tata Steel on expectations of economies of scale and growing steel demand. According to the brokerage, the valuations are compelling with increased integration milestone achievements and a bullish outlook on steel prices. It expects the demand for steel in Asia and Europe to grow at 4.8% and 1.4% compound annual growth rate (CAGR) respectively.
“Steel prices are expected to remain firm due to high raw material prices and rising supply constraints. Supply constraints in terms of poor port facilities at Australia and Brazil and high freight rates, will also keep the prices firm,” says the brokerage in a note to its clients.
Additionally, the synergies from the Corus acquisition is expected to start reflecting from financial year 2009, coupled with a reduction in concerns on financial leverage. Key risk factors include increased environmental awareness and exchange rates movements.
Allied Digital
CMP: Rs 697
Target Price: Rs 1,200
Broking house JP Morgan has initiated coverage with an ‘overweight’ on Allied Digital (ALDS). “ALDS is a play on the strong domestic demand for IT services with more than 90% of its revenues coming from India. We expect the stock to deliver more sedate gains over the next 9-12 months, backed by high growth potential and management’s decent execution track record,” the brokerage said.
Indian domestic IT services is a $5 billion industry. It is expected to grow at a CAGR of 23% over the next five years to over $10 billion. JP Morgan believes the domestic IT exposure shields ALDS from concerns about a US slowdown, rupee appreciation and expiry of STPI tax benefits in FY10. The key drivers would be strong financial performance and possible acquisitions, using a part of the IPO proceeds, along with increased capacity utilisation of its remote IT management centres.
BHEL
CMP: Rs 2,026
Target Price: Rs 2,529
Citigroup has reiterated its ‘buy’ on BHEL, but with a downward revision in price target as it feels that its operating leverage which is largely over and the cost reduction efforts are working against it. “BHEL expanded EBIT margins from 0% in FY01 to 18% in FY07 and right-sized its workforce from 75,000 to 42,000 in four successive voluntary retirement schemes (VRS) from 1999 to 2003, cutting down operational costs and benefited from operating leverage,” said the brokerage in a note to clients.
Capital goods companies significantly expand margins when there is spare capacity and sales grow at a rapid pace benefiting from operating leverage.
“We believe that there is great likelihood of BHEL’s earning before interest tax (EBIT) margins peaking in FY08E. Once this happens, earnings growth has to largely track sales growth and will not benefit from operating leverage benefits,” it adds. The brokerage, however, terms BHEL its top pick in the Indian electric equipment rated universe.
Container Corp
CMP: Rs 1698
Target Price: NA
Merrill Lynch has retained its ‘sell’ recommendation on Container Corporation of India on not so attractive valuations, given muted growth prospects. However, the company does have some huge capex plans.
“We are raising earnings per share (EPS) driven by upward revision to volumes and lower margin erosion. Still, we expect muted 12% EPS compound annual growth rate (CAGR) over FY08-10, compared with 9% growth this year,” said the brokerage. The company is yet to finalise its scaled up capex plans of Rs 40 billion (from Rs 20 billion), to be spent over the next three years.
The brokerage believes that this will be largely directed towards initiatives across the value chain and through joint ventures, which will protect existing volumes and reduce project risk. However, the uncertainty and lag effect of benefits could impact stock performance. It believes that the stock is not attractively valued on traditional parameters, even though the stock trades at 13 times its one-year forward PE multiple.
CMP: Rs 773
Target Price: Rs 1,038
HDFC Securities has given a ‘buy’ on Tata Steel on expectations of economies of scale and growing steel demand. According to the brokerage, the valuations are compelling with increased integration milestone achievements and a bullish outlook on steel prices. It expects the demand for steel in Asia and Europe to grow at 4.8% and 1.4% compound annual growth rate (CAGR) respectively.
“Steel prices are expected to remain firm due to high raw material prices and rising supply constraints. Supply constraints in terms of poor port facilities at Australia and Brazil and high freight rates, will also keep the prices firm,” says the brokerage in a note to its clients.
Additionally, the synergies from the Corus acquisition is expected to start reflecting from financial year 2009, coupled with a reduction in concerns on financial leverage. Key risk factors include increased environmental awareness and exchange rates movements.
Allied Digital
CMP: Rs 697
Target Price: Rs 1,200
Broking house JP Morgan has initiated coverage with an ‘overweight’ on Allied Digital (ALDS). “ALDS is a play on the strong domestic demand for IT services with more than 90% of its revenues coming from India. We expect the stock to deliver more sedate gains over the next 9-12 months, backed by high growth potential and management’s decent execution track record,” the brokerage said.
Indian domestic IT services is a $5 billion industry. It is expected to grow at a CAGR of 23% over the next five years to over $10 billion. JP Morgan believes the domestic IT exposure shields ALDS from concerns about a US slowdown, rupee appreciation and expiry of STPI tax benefits in FY10. The key drivers would be strong financial performance and possible acquisitions, using a part of the IPO proceeds, along with increased capacity utilisation of its remote IT management centres.
BHEL
CMP: Rs 2,026
Target Price: Rs 2,529
Citigroup has reiterated its ‘buy’ on BHEL, but with a downward revision in price target as it feels that its operating leverage which is largely over and the cost reduction efforts are working against it. “BHEL expanded EBIT margins from 0% in FY01 to 18% in FY07 and right-sized its workforce from 75,000 to 42,000 in four successive voluntary retirement schemes (VRS) from 1999 to 2003, cutting down operational costs and benefited from operating leverage,” said the brokerage in a note to clients.
Capital goods companies significantly expand margins when there is spare capacity and sales grow at a rapid pace benefiting from operating leverage.
“We believe that there is great likelihood of BHEL’s earning before interest tax (EBIT) margins peaking in FY08E. Once this happens, earnings growth has to largely track sales growth and will not benefit from operating leverage benefits,” it adds. The brokerage, however, terms BHEL its top pick in the Indian electric equipment rated universe.
Container Corp
CMP: Rs 1698
Target Price: NA
Merrill Lynch has retained its ‘sell’ recommendation on Container Corporation of India on not so attractive valuations, given muted growth prospects. However, the company does have some huge capex plans.
“We are raising earnings per share (EPS) driven by upward revision to volumes and lower margin erosion. Still, we expect muted 12% EPS compound annual growth rate (CAGR) over FY08-10, compared with 9% growth this year,” said the brokerage. The company is yet to finalise its scaled up capex plans of Rs 40 billion (from Rs 20 billion), to be spent over the next three years.
The brokerage believes that this will be largely directed towards initiatives across the value chain and through joint ventures, which will protect existing volumes and reduce project risk. However, the uncertainty and lag effect of benefits could impact stock performance. It believes that the stock is not attractively valued on traditional parameters, even though the stock trades at 13 times its one-year forward PE multiple.
Friday, March 7, 2008
Oh not again ! Get ready for another day of pain
Subscribe for not loosing in this market add sheth_jg@yahoo.com
Indian Markets are most likely to open gap down in a big way and continue to trade down though volatility is not ruled out. Inflation figures to be announced late in the day will add no good to the markets. Though markets tend to surprise when all the pointers are looking bleak, unlikely to happen this time. Blood continues to spill in the midcap domain, where stocks are flying all over in the beginning of January 2008. We expected a huge correction in January or February but the extent of the correction is definitely beyond our expectations. Lack of retail participation only added to the woes of the falling market.
Blackstone is likely to increase stake to 12.2 percent in Nagarjuna Constructions reports a pink paper. The US private equity giant continued to add stakes in companies like Gokaldas Exports, Allcargo Global.
Stay on sidelines but long term investors are encouraged to add on dips as market continues its journey to reach Mr.Bottom. We are suffering since our neighbours are suffering. Our house is never safe if neighbours house catches fire! Internally our fundamentals are still strong.Nifty has tested 4800 twice and bounced. Hope we dont fall below it else the U would become even more flatter.We sees a recovery only in April and after
We saw some tired looking recovery on Wednesday. Will this sustain is another
question. The FII's have been continuously selling for the sake of meeting the redemption pressures from their investors. Many call up ask me why are FII's selling? Dont they find value in this mkt? The answer is that they do find values but the investors for the sake of safety and in panic keep redeeming their investments and hence FII's have no other option but to sell at what ever levels they can.
The next obvious question is when will this money return? Like the previous
crashes we may not have sharp recoveries. We always have been seeing a V shaped fall and a recovery this time it would be a U shaped and that too a U with a flat bottom, something like this... “ I_I “ and how long will this bottom be depends on the state of US economy. As of now we are not falling or rising on out own fundamentals or technicals we just see how US and Asia and EU mkts are doing and react to them.
People are now realising there is value in the market but theres no money to buy. Nifty has tested 4800 twice and bounced. Hope we dont fall below
it else the U would become even more flatter.We sees a recovery only in April and after
Stock in News- Petronet, GSS America, Advanta, KEC International, Adhunik Metalliks and many more stocks hit the headlines today.
Advanta India Ltd has acquired Garrison & Townsend (GT), a US company producing and marketing sorghum.
Mumbai based Parsvnath Developers is venturing into luxury malls segment in Metro Cities.
Reports are abuzz that MCX, in which Financial Technologies hold majority stake might delay the IPO due to Commodities Transaction Tax levied in the budget.
GAIL India Ltd is likely to pick up Asian Development Bank’s 5.2 per cent stake in Petronet LNG Ltd.
FM suggested the banks to lower the interest rates on housing loans of up to Rs 20 lakh.
Tech company GSS America Infotech is listing on the bourses today.
KEC International is planning to acquire a US based mid-sized company from the same segment (EPC) it operates in
Reports indicate Tata's are on the look out for USD 3 billion loans for the acquisition of Jaguar, Land Rover
Indian Markets are most likely to open gap down in a big way and continue to trade down though volatility is not ruled out. Inflation figures to be announced late in the day will add no good to the markets. Though markets tend to surprise when all the pointers are looking bleak, unlikely to happen this time. Blood continues to spill in the midcap domain, where stocks are flying all over in the beginning of January 2008. We expected a huge correction in January or February but the extent of the correction is definitely beyond our expectations. Lack of retail participation only added to the woes of the falling market.
Blackstone is likely to increase stake to 12.2 percent in Nagarjuna Constructions reports a pink paper. The US private equity giant continued to add stakes in companies like Gokaldas Exports, Allcargo Global.
Stay on sidelines but long term investors are encouraged to add on dips as market continues its journey to reach Mr.Bottom. We are suffering since our neighbours are suffering. Our house is never safe if neighbours house catches fire! Internally our fundamentals are still strong.Nifty has tested 4800 twice and bounced. Hope we dont fall below it else the U would become even more flatter.We sees a recovery only in April and after
We saw some tired looking recovery on Wednesday. Will this sustain is another
question. The FII's have been continuously selling for the sake of meeting the redemption pressures from their investors. Many call up ask me why are FII's selling? Dont they find value in this mkt? The answer is that they do find values but the investors for the sake of safety and in panic keep redeeming their investments and hence FII's have no other option but to sell at what ever levels they can.
The next obvious question is when will this money return? Like the previous
crashes we may not have sharp recoveries. We always have been seeing a V shaped fall and a recovery this time it would be a U shaped and that too a U with a flat bottom, something like this... “ I_I “ and how long will this bottom be depends on the state of US economy. As of now we are not falling or rising on out own fundamentals or technicals we just see how US and Asia and EU mkts are doing and react to them.
People are now realising there is value in the market but theres no money to buy. Nifty has tested 4800 twice and bounced. Hope we dont fall below
it else the U would become even more flatter.We sees a recovery only in April and after
Stock in News- Petronet, GSS America, Advanta, KEC International, Adhunik Metalliks and many more stocks hit the headlines today.
Advanta India Ltd has acquired Garrison & Townsend (GT), a US company producing and marketing sorghum.
Mumbai based Parsvnath Developers is venturing into luxury malls segment in Metro Cities.
Reports are abuzz that MCX, in which Financial Technologies hold majority stake might delay the IPO due to Commodities Transaction Tax levied in the budget.
GAIL India Ltd is likely to pick up Asian Development Bank’s 5.2 per cent stake in Petronet LNG Ltd.
FM suggested the banks to lower the interest rates on housing loans of up to Rs 20 lakh.
Tech company GSS America Infotech is listing on the bourses today.
KEC International is planning to acquire a US based mid-sized company from the same segment (EPC) it operates in
Reports indicate Tata's are on the look out for USD 3 billion loans for the acquisition of Jaguar, Land Rover
Wednesday, March 5, 2008
NOT MUCH DOWNSIDE RECOVERY
Subscribe to know more add - sheth_jg@yahoo.com
Indian Markets yet again proved to be the weakest among the Emerging markets and most importantly the Asian pack. Sensex tumbled to a 5 month low yesterday after a private TV channel tried to expose the subprime link of ICICI Bank, which the bank later denied. However ICICI Bank and its overseas banking subsidiaries have an aggregate exposure of USD 2.2 billion in credit derivatives.As of January 31, 2008, the mark-to-market negative on this portfolio due to movement of credit spreads was about US$ 155 million. The current declines should be used by long term investors to buy the stock. With ICICI Securities IPO coming up and demerger of many of the subsidaries will unlock the value in the stock.
Tata Motors is setting ambitious targets for Nano. The company is looking aggressively to export Nano to US and European markets. The stock is likely to outperform the market in the coming years on exports.
SEBI will meet today under the chairmanship of Mr.CB Bhave. SEBI is likely to slash all regulatory charges and approve realty Mutual Funds. FM remarked on Tuesday that FII's are not behind the recent market crash and there was no proposal to ban them.
It is high time for a bounce in the Indian Markets but technically we have no supports in place till 15,880 levels. Stay away from the markets till normalcy returns. There will not be any run away rallies this time
Stock in news - PNB, IRB Infra, Essar Oil, Deccan Aviation, Tata Communications, Hindalco and many more stocks hit the headlines today.
Tata Motors is looking out for the possibility of global licencing Nano.
Reports suggest Hindalco Industries has raised aluminium prices by Rs 5,000 a tonne on rising global aluminium prices.
Essar Oil has bagged an offshore gas block in Vietnam's prolific Song Hong basin. The company also plans to invest $60 million in hydrocarbon prospecting.
Arun Jain, CEO of Polaris in an interview with NewsWire18 acknowledged that banks in the US east coast are holding back projects aftermath subprime.
Tata Communications(VSNL) is planning to invest $500 million in Wimax.
BS reports that Vijay Mallya is planning to dilute 15-20 per cent of his 76 per cent holding in the merged airline (Kingfisher-Deccan).
IRB Infra was awarded the maintenance and operating contract of the entire road infrastructure in Kolhapur city, Maharashtra.
ET reports that Punjab National Bank is planning to sell a 26% stake in its primary dealership subsidiary, PNB Gilts.
The following notable stocks created nightmares for the investors in the last one week.
Stock Name Percent Lost Current Price (Rs.)
Suzlon Energy 23.5 240.25
Reliance Capital 22.3 1,521.20
Global Broadcast 22.3 170.45
Adlabs Films 21.1 709.15
Bombay Rayon 19.2 269.40
First Source 19.1 43.75
DLF Limited 18.9 676.45
India Infoline 18.9 909.95
Kotak Bank 18.6 685.95
Motilal Oswal 16.6 815.35
Jaiprakash Asso 16.6 225.10
Unitech 16.5 326.50
Nagarjuna Fert 16.3 45.15
Indian Markets yet again proved to be the weakest among the Emerging markets and most importantly the Asian pack. Sensex tumbled to a 5 month low yesterday after a private TV channel tried to expose the subprime link of ICICI Bank, which the bank later denied. However ICICI Bank and its overseas banking subsidiaries have an aggregate exposure of USD 2.2 billion in credit derivatives.As of January 31, 2008, the mark-to-market negative on this portfolio due to movement of credit spreads was about US$ 155 million. The current declines should be used by long term investors to buy the stock. With ICICI Securities IPO coming up and demerger of many of the subsidaries will unlock the value in the stock.
Tata Motors is setting ambitious targets for Nano. The company is looking aggressively to export Nano to US and European markets. The stock is likely to outperform the market in the coming years on exports.
SEBI will meet today under the chairmanship of Mr.CB Bhave. SEBI is likely to slash all regulatory charges and approve realty Mutual Funds. FM remarked on Tuesday that FII's are not behind the recent market crash and there was no proposal to ban them.
It is high time for a bounce in the Indian Markets but technically we have no supports in place till 15,880 levels. Stay away from the markets till normalcy returns. There will not be any run away rallies this time
Stock in news - PNB, IRB Infra, Essar Oil, Deccan Aviation, Tata Communications, Hindalco and many more stocks hit the headlines today.
Tata Motors is looking out for the possibility of global licencing Nano.
Reports suggest Hindalco Industries has raised aluminium prices by Rs 5,000 a tonne on rising global aluminium prices.
Essar Oil has bagged an offshore gas block in Vietnam's prolific Song Hong basin. The company also plans to invest $60 million in hydrocarbon prospecting.
Arun Jain, CEO of Polaris in an interview with NewsWire18 acknowledged that banks in the US east coast are holding back projects aftermath subprime.
Tata Communications(VSNL) is planning to invest $500 million in Wimax.
BS reports that Vijay Mallya is planning to dilute 15-20 per cent of his 76 per cent holding in the merged airline (Kingfisher-Deccan).
IRB Infra was awarded the maintenance and operating contract of the entire road infrastructure in Kolhapur city, Maharashtra.
ET reports that Punjab National Bank is planning to sell a 26% stake in its primary dealership subsidiary, PNB Gilts.
The following notable stocks created nightmares for the investors in the last one week.
Stock Name Percent Lost Current Price (Rs.)
Suzlon Energy 23.5 240.25
Reliance Capital 22.3 1,521.20
Global Broadcast 22.3 170.45
Adlabs Films 21.1 709.15
Bombay Rayon 19.2 269.40
First Source 19.1 43.75
DLF Limited 18.9 676.45
India Infoline 18.9 909.95
Kotak Bank 18.6 685.95
Motilal Oswal 16.6 815.35
Jaiprakash Asso 16.6 225.10
Unitech 16.5 326.50
Nagarjuna Fert 16.3 45.15
Tuesday, March 4, 2008
After the Bear storm Bulls stay calm
See what we have written yesterday To know more add sheth_jg@yahoo.com
Live calls during market hour are only given to client. Some time we give free calls in week (2 calls generally) and market updates for free
Many people say that Nifty will come to 4400 in near term, I don't disagree with them as anything can happen in market, but being a technical analyst I will only say that thinking of 4400 as of now is too early to say or too early to predict, market still looks good, only successful break below 4740 - 4760 will make me think of 4400 but as of now I will not support a point.
On the upside market is going to face resistance at 5035 - 5040 upon crossing this level we can look towards 5120 and after this crossing it can even target 5200 above this is not seen in tomorrow trade.
Pharma sector (Pharma: Healthy prescription for your portfolio) is in the pink of health yesterday as investors/funds rushed to take comfort in the defensive sector. Auto stocks continued to make merry after the budget sops. Gold is running and so is Crude and Silver. Copper hits a 22 month high. There is a huge rush for precious metals across the globe. Commodity analysts predict the continuation of the secular bull run in the precious metals space.
Retail Investors are reluctant to participate in the markets and rumours are flying at a rapid pace that BSE Sensex will kiss 12,000 levels. Looking at the trading volumes one cannot deny those rumours but when the reversal happens it doesn't given an indication too. This is a dangerous market to short too. Take a break. Pick your favourite destination and enjoy your holiday as the current markets will drive you nuts.
The street is likely to be subdued today with a 200 point range and the brokerage stocks hammering likely to continue further. As Merrill Lynch said yesterday that the resilience the US market despite of the continuous negative news flow is really surprising and at the same time the Emerging Markets are succumbing to the same news flow. As mentioned number of times no one can predict the bottoms. Long term investors should continue the bargain hunting
Stock in news - Infosys, TVS Motors, Sintex Industries, Gammon Infra, TCS and many more stocks hit the headlines today.
TVS Motors Feb vehicles sales fell 21 percent year on year
ET reports that Infosys is looking actively scouting for acquisitions in Europe and Japan.
Indian exports posted 20.47 percent growth in January.
Gujarat-based Sintex Industries iss on the lookout for an aquisition. The company ear marked Rs.595 crores for the same.
International ratings agency Moody’s has upgraded private sector major HDFC Bank.
Mint reports that Jignesh P. Shah, CEO of Multi Commodity Exchange of India Ltd, appears to be under investigation by the market regulator for alleged violation of insider trading regulation. Financial Technologies holds major stake in MCX.
Rupee hits a 5 month low against the US Dollar. Rupee ended the day at 40.40/41 levels, down from Friday’s closing levels of 40.01/02 against the US dollar.
TCS signs a multi-million euro deal with Nokia Siemens Networks.
Gammon India group company Gammon Infra IPO will open on Mar 10.
Steel Companies and Cement Companies are ready to hike prices in response to FM's budget
Live calls during market hour are only given to client. Some time we give free calls in week (2 calls generally) and market updates for free
Many people say that Nifty will come to 4400 in near term, I don't disagree with them as anything can happen in market, but being a technical analyst I will only say that thinking of 4400 as of now is too early to say or too early to predict, market still looks good, only successful break below 4740 - 4760 will make me think of 4400 but as of now I will not support a point.
On the upside market is going to face resistance at 5035 - 5040 upon crossing this level we can look towards 5120 and after this crossing it can even target 5200 above this is not seen in tomorrow trade.
Pharma sector (Pharma: Healthy prescription for your portfolio) is in the pink of health yesterday as investors/funds rushed to take comfort in the defensive sector. Auto stocks continued to make merry after the budget sops. Gold is running and so is Crude and Silver. Copper hits a 22 month high. There is a huge rush for precious metals across the globe. Commodity analysts predict the continuation of the secular bull run in the precious metals space.
Retail Investors are reluctant to participate in the markets and rumours are flying at a rapid pace that BSE Sensex will kiss 12,000 levels. Looking at the trading volumes one cannot deny those rumours but when the reversal happens it doesn't given an indication too. This is a dangerous market to short too. Take a break. Pick your favourite destination and enjoy your holiday as the current markets will drive you nuts.
The street is likely to be subdued today with a 200 point range and the brokerage stocks hammering likely to continue further. As Merrill Lynch said yesterday that the resilience the US market despite of the continuous negative news flow is really surprising and at the same time the Emerging Markets are succumbing to the same news flow. As mentioned number of times no one can predict the bottoms. Long term investors should continue the bargain hunting
Stock in news - Infosys, TVS Motors, Sintex Industries, Gammon Infra, TCS and many more stocks hit the headlines today.
TVS Motors Feb vehicles sales fell 21 percent year on year
ET reports that Infosys is looking actively scouting for acquisitions in Europe and Japan.
Indian exports posted 20.47 percent growth in January.
Gujarat-based Sintex Industries iss on the lookout for an aquisition. The company ear marked Rs.595 crores for the same.
International ratings agency Moody’s has upgraded private sector major HDFC Bank.
Mint reports that Jignesh P. Shah, CEO of Multi Commodity Exchange of India Ltd, appears to be under investigation by the market regulator for alleged violation of insider trading regulation. Financial Technologies holds major stake in MCX.
Rupee hits a 5 month low against the US Dollar. Rupee ended the day at 40.40/41 levels, down from Friday’s closing levels of 40.01/02 against the US dollar.
TCS signs a multi-million euro deal with Nokia Siemens Networks.
Gammon India group company Gammon Infra IPO will open on Mar 10.
Steel Companies and Cement Companies are ready to hike prices in response to FM's budget
Monday, March 3, 2008
Time for another plunge ?or BLACK MONDAY
For budget review sectorial wise visit http://www.freewebs.com/jgs-investments/newslinks.htm
Add sheth_jg@yahoo.com for subscribtion and get online calls
Due Global conditions we are expected to open negative today butwith a gap down
On the downside we find immediate support at 5200 but that is not expected to be held, and we may drag down straight between 5110 - 5130.
The zone between 5110- 5130 should act as a good support and any break below this and trade below this level for sometime can create panic and we could see 4880 - 4920on Nifty.
The zone between 5360 - 5410 is acting as a very good resistance and many time I kept on saying that. And why we say that --- see market is taking reversal either coming nearer to this zone or by entering and then reversing. Let us have a few look at it
On 25th Jan market saw a high of 5399 and close at 5383. and then on 28 Jan (as 26 and 27 Jan we holidays) we saw market reversing even came down to 5071 but closed at 5274 The next day 29 Jan again market went high to 5391 then again reversal happened and market close at 5280
On 4th Feb Market again tried to cross 5400 and this time it was successful and even went high up to 5545 but then close at 5463 and the next trading day (6th Feb) we saw reversal and market came down and close at 5322 by hitting a low of 5257
On 19th Feb, market went high to 5368 and then it saw a reversal from there and from there market went down to as low as 5116 on 20th Feb.
And recently on 27 Feb, market again went high again to 5368 and then a reversal from there made market went low to 5098 on 29 Feb.
Let market give the direction clear and then enter. Expected to play between 5110 - 5200 any side breakout should then be carefully taken
Chidambaram, Indian Finance Minister as expected announced more reforms, wasting a golden oppurtunity to boost the reeling Dalal Street. Though there were not much of expectations from the budget this year negative global cues might have a say on the street today. Trading volumes reduced by as much as 30 percent in the last two months. Brokerage stocks are likely to be impacted negatively on the news of increase of STT.
Few midcaps are likely to continue the run on positive implications from the budget. Indian markets are going through a bad patch, inline with their global peers. We are still positive on the economy and favour the Bulls. We expect a worst case scenario of BSE Sensex slipping to 14,000 levels in case of a recession. But value investors should not be concerned about the same.
Watch for VSNL (Tata Communications), Tata Teleservices and GTC Industries in today's trade
Stock in news - GTC Industries, ICSA, Kinetic Engineering,Tata Teleservices, VSNL are the stocks in news today.
Shipping Corporation in reported to be in talks with Korea’s STX for a shipbuilding Joint Venture.
Tata Communications Ltd, formerly Videsh Sanchar Nigam Ltd, is in discussions with Temasek Holdings Pvt. Ltd for a possible stake sale in its retail and broadband business.
Cigarette manufacturer GTC Industries announced that its board of directors has considered and granted an in-principle approval to demerge the tobacco and the real estate business into two separate entities.
ICSA is eyeing Rs 100 crores from oil and gas infrastructure projects.
Spice Communications registered Rs 399.92 crores net profit in Q3
Reports say ICICI Securities Ltd, the broking arm of ICICI Bank Ltd is planing to sell about 3% of its equity to institutional investors through private placement.
Tata Teleservices will launch Virgin Mobile, a UK based Virigin Group Company in 50 cities initially and in more than 1,000 cities by the year end.
Pune based Kinetic Engineering sold 14.5 percent stake to AIG.
Add sheth_jg@yahoo.com for subscribtion and get online calls
Due Global conditions we are expected to open negative today butwith a gap down
On the downside we find immediate support at 5200 but that is not expected to be held, and we may drag down straight between 5110 - 5130.
The zone between 5110- 5130 should act as a good support and any break below this and trade below this level for sometime can create panic and we could see 4880 - 4920on Nifty.
The zone between 5360 - 5410 is acting as a very good resistance and many time I kept on saying that. And why we say that --- see market is taking reversal either coming nearer to this zone or by entering and then reversing. Let us have a few look at it
On 25th Jan market saw a high of 5399 and close at 5383. and then on 28 Jan (as 26 and 27 Jan we holidays) we saw market reversing even came down to 5071 but closed at 5274 The next day 29 Jan again market went high to 5391 then again reversal happened and market close at 5280
On 4th Feb Market again tried to cross 5400 and this time it was successful and even went high up to 5545 but then close at 5463 and the next trading day (6th Feb) we saw reversal and market came down and close at 5322 by hitting a low of 5257
On 19th Feb, market went high to 5368 and then it saw a reversal from there and from there market went down to as low as 5116 on 20th Feb.
And recently on 27 Feb, market again went high again to 5368 and then a reversal from there made market went low to 5098 on 29 Feb.
Let market give the direction clear and then enter. Expected to play between 5110 - 5200 any side breakout should then be carefully taken
Chidambaram, Indian Finance Minister as expected announced more reforms, wasting a golden oppurtunity to boost the reeling Dalal Street. Though there were not much of expectations from the budget this year negative global cues might have a say on the street today. Trading volumes reduced by as much as 30 percent in the last two months. Brokerage stocks are likely to be impacted negatively on the news of increase of STT.
Few midcaps are likely to continue the run on positive implications from the budget. Indian markets are going through a bad patch, inline with their global peers. We are still positive on the economy and favour the Bulls. We expect a worst case scenario of BSE Sensex slipping to 14,000 levels in case of a recession. But value investors should not be concerned about the same.
Watch for VSNL (Tata Communications), Tata Teleservices and GTC Industries in today's trade
Stock in news - GTC Industries, ICSA, Kinetic Engineering,Tata Teleservices, VSNL are the stocks in news today.
Shipping Corporation in reported to be in talks with Korea’s STX for a shipbuilding Joint Venture.
Tata Communications Ltd, formerly Videsh Sanchar Nigam Ltd, is in discussions with Temasek Holdings Pvt. Ltd for a possible stake sale in its retail and broadband business.
Cigarette manufacturer GTC Industries announced that its board of directors has considered and granted an in-principle approval to demerge the tobacco and the real estate business into two separate entities.
ICSA is eyeing Rs 100 crores from oil and gas infrastructure projects.
Spice Communications registered Rs 399.92 crores net profit in Q3
Reports say ICICI Securities Ltd, the broking arm of ICICI Bank Ltd is planing to sell about 3% of its equity to institutional investors through private placement.
Tata Teleservices will launch Virgin Mobile, a UK based Virigin Group Company in 50 cities initially and in more than 1,000 cities by the year end.
Pune based Kinetic Engineering sold 14.5 percent stake to AIG.
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