Thursday, February 7, 2008

Above 5200 we can see 5700 by next week

NEW SITE LAUNCHED TODAY
http://www.freewebs.com/jgs-investments/index.htm

LOTS OF OTHER INTRA-DAY , BTST CALLS FOR OUR SUBSCRIBER'S ONLY

Watch for Power stocks and fertilizer stocks are expected to continue the rally. IT stocks should see some pressure. With budget round the corner downsides are capped and we have our Support level for Sensex at 17,240 levels.

Indian Markets though went down yesterday but we take few positives from the trade. Many stocks stopped moving with the market, given the cheap valuations. Midcaps are looking strong enough for two reasons.

1. Midcaps did not participate in the last 1000 point Sensex pull back rally
2. Relatively cheap valuations

Markets are likely to trade in a range today too but we might see euphoric moves from the midcap segment. Power stocks are likely to welcome the entry of Reliance Power next monday. These are no doubt difficult times and investors are adviced to reduce expectations on the returns given the bull run in the last 4 years. Irrespective of US recession few sectors are likely to race ahead. We strongly believe India will be least affected by the US recession.

Stock in News

Glenmark, Ispat Industries, MRPL, GMR Infra, S Kumars Nationwide, Reliance Industries, Mid-day, Petronet LNG are few stocks that hit the headlines today


Glenmark Pharmaceuticals has received a milestone of USD 15 Million from Forest Labs, which is Glenmark's North American partner for Oglemilast

Petronet LNG is actively pursuing to pick up equity in liquefaction terminals in West Asia and Australia.

Mumbai based Mid-Day Multimedia is selling printing, publishing business to its unit at a price not lower than Rs 17 Crores

Reliance Industries is likely to enter realty space in a big way.

S Kumars Nationwide's retail unit Brandhouse Retails Ltd is likely to expand its total network of stores to 400 by the end of this year and to 1200 stores by FY 2010

GMR Infrastructure acquires a cyprus company Delridge Ltd for an undiclosed amount.

Ispat Industries Ltd is actively buying coal blocks in Africa

MRPL & SHELL enter into Joint Venture in Aviation Fuelling Business

Elgi Equipments Ltd has decided to open wholly owned subsidiaries in Sharjah and Brazil.

Jaypee Group will enter into a joint venture with Thailand’s Six Sense Spa for setting up a Rs150 crore resort at Greater Noida


News Snippets:

A nine company consortium including Bharti Airtel and VSNL, will build a high capacity fibre optic submarine cable from India to France via Egypt and Italy.

IOC may seek board approval for its Rs50bn Haldia paraxylene plant. (BL)

L&T plans to invest US$5bn on power generation business; targets 5,000MW capacity in next five years.

SCI may invest US$800mn in its shipbuilding foray.

Tata Motors subsidiary, TAL Manufacturing Solutions, to make floor beam for Boeing’s 787 Dreamliner aircraft.

Ispat Group has acquired two coal blocks in Mozambique.

Arvind Mills may demerge its brands and apparel retailing businesses in to separate companies.

Mundra Port to invest Rs100bn to raise cargo capacity.

Ranbaxy Laboratories gets US FDA approval to manufacture and market a paediatric drug.

Vedanta plans Rs60bn plant in Bengal.

Tata Group plans to foray into retail broking business.

Mercator Lines to acquire three dredgers for US$100mn in the next six months.

Central Bank of India may reduce retail loan rates by 50bps.

Sintex Industries raises Rs6bn through a QIP issue.

Vijaya Bank may acquire a bank in northern or western India.

Bhushan Steel to invest Rs260bn to build a 12mn tons capacity in West Bengal, Jharkhand and Orissa.

ICICI Bank is not likely to cut interest rates in near term

Maruti Suzuki India to export 250,000 cars from Mundra port.


Economic News:

3G licenses could raise US$5bn for the government in the first year itself.

The Union Cabinet is unlikely to hike fuel prices this week.

According to the Director General of Hydrocarbons (DGH), India has 2,000 tons of cubic ft gas hydrates pool.

The Government may cut excise duty on power equipments and other inputs from 16% to 8% in the upcoming Budget.

India’s domestic Information Communication Technology market may reach US$24bn by 2011, according to Gartner Inc.

The Government seeks $500mn ADB loans for Indian Railways expansion plans.

The Government may consider a profit reserve plan to offset losses incurred by exporters due to rupee appreciation.

Airport hotels in Delhi may miss the November 2010 target.

Stationery goods, electrical appliances and 46 other products may be removed from small scale industries list.

TRAI likely to recommend more FDI in FM radio segment.