Ritika Misri
Rohit Aggarwal
Romil Jain
MARKET WATCH
SENSEX 20,165.86
NIFTY 6066.5
DOLLAR Rs. 44.59
EURO Rs. 61.95
GOLD Rs. 19,355
OIL $82.96
HEADLINES
1. RESULTS OUTPACE JUN SHOW
Profit of 281 Indian companies declared there profit boost up by 23% for last three months.
There sales grew up by 21% as the same rate for the past two quartes.This causes SENSEX to boost up by 11.3%.
2. WOMEN WORKERS FACE NEW REALITIES
Recent study by Mc-Kinsey & co. estimated that nearly 530 million Indian will live in cities by 2030 which is twice the population of US.
By these trends there is mass movement of migrant workers to the cities in search of jobs and among that women remains largely invisible force who fall prey to traffickers.
3. BAJAJ BRAND JUST FOR BIKES? NOT ALL IN THE FAMILY AGREE.
Bajaj Auto MD Rajiv Bajaj wants the Bajaj name to be exclusively with the two wheelers which has been opposed by some members of the family who control group firm that sell products from hair oil to home appliances.
CAPITAL CALCULUS
4. INFLATION FIX IS UPA’S UNDERBELLY
Common sense economics states that prices increase when there is a mismatch between demand and supply.
Instead of having surplus food stock, UPA has not been able to offload the current surplus either through Public Distribution System (PDS) or the open market.
Data available on the FCI’s site reveal that in the last one year states and UT only lifted 45% of 1.46 million tonnes of Rice and little less than 2.16 million tonnes of Wheat allocated. In other words states and UT,s need to incur loss on every kilogram of food grain that they distribute through PD’s.
5. SECRETIVE WIKILEAKS FOUNDER LOSING SUPPORTORS
Founder Julian Assange is losing support on the controversy of release of Afghan War document in which the name of source Afghan secret service has not been removed and most of the supporters with even Wikileaks volunteers. They are very upset with that and also with the way they spoke about it afterwards.
6.Supreme court allows women to claim income support from there live-in partners but it has drawn protest and the lawyers say court has condemned women in vulnerable position to a “Double Punishment”.
7. The Department of Industrial Policy and Promotion (DIPP) fears the price of critical drugs may rise due to acquit ion of Indian firms by foreign pharmacy.
CORPORATE NEWS
8. Air India is planning to rebrand its international low cost subsidiary Air India Express and had shifted his HQ from Mumbai to Thiruanantpuram.
They incurred a loss of Rs. 14,000 cr. Over the past four fiscals and indebt of Rs. 18,000 cr. COO Gustav Baldauf said that we will be appointing a consultant for rebranding and airline will be changing more than its name.
9. ADOBE TWEAKS EXPANSION OF NOIDA CAMPUS
Adobe systems after waiting for 4 years to have a vacant campus in sector 25-A of NOIDA has given up plan to expand at that site.
They have occupied a new land in the sector 132 of NOIDA and will build the new facility spread over 7.5 acres.
10. SBI LIFE INSURANCE LAUNCHES LOW PREMIUM ULIP
SBI has launched third new unit linked insurance plan i.e. ‘SARAL MAHA ANAND’ with a premium starting from Rs. 15,000 onwards the product has designed to cater to investment and production of a middle and low income segment the plan has minimum yearly premium of Rs. 15,000 and maximum yearly premium of Rs. 29,000 restricted to a maximum of Rs. 7,50,000.
11. SILICON VALLEY 3.0: TECH’S NEW WAVE
The long recession only tip-toed through the 2,300-acres office park, the expanding operation over the past 18 months now the move into 6,000 sq. foot space more than the double than double its old office size.The valley’s start-up economy has quietly broadened beyond information technology.
12. ASX,SINGAPORE EXCHANGE IN MERGER TALKS
NEIL KATKOV,head of Asia for celent, a research and consultancy firm focused
On the application of IT in financial services who sees this possible merger as the first step in steady consolidation across the region.He calculates that 1% of trading,in asia take place and forecasts that figure will rise to 5%or 6% by 2015.
Monday, October 25, 2010
25th October - THE ECONOMIC TIMES
Rohit Singh
Sahil Mahajan
Samir Halder
Section - E
MARKETS
Satyam back on track under new management
Following the restatement of its results for the past two years, Mahindra Satyam is back on track under the new management. The company has started winning new projects across various IT services domains in the multi-year category, which reflects that it is successful in winning back clients’ confidence. Going ahead, the new management is expected to merge its operations with Tech Mahindra, which offers solutions to telecom vertical. This would help in creating a stronger IT solutions company with global footprint across major verticals. Satyam’s current operations are generating cash flows. The company has over 350 active clients and 27,400 employees. Though these numbers are much lower than 617 clients and 46,000 employees reported by the previous management, they reflect that the company is still able to retain a major chunk of its operations despite the accounting fiasco.
Sensex above 20400; Hindalco, Cipla, TCS, HDFC up
MUMBAI: Benchmarks gained momentum as investors took positions across the board on the back of positive earnings season and gains in Asian markets. At 11 am; Bombay Stock Exchange’s Sensex was at 20424.68, up 258.82 points or 1.28 per cent. The index touched a high of 20448.59 and low of 20199.73. National Stock Exchange’s Nifty was at 6136.55, up 70.5 points or 1.16 per cent. The index touched high of 6151.30 and low of 6094.60. The market has clearly entered a range trade between 6284-5965 in the short-term. Nifty needs to break the range between 5965 – 6165 to get back into a directional trend. Amongst the sectoral indices, BSE Metal Index gained 1.67 per cent, BSE Bankex advanced 1.22 per cent and BSE Oil&gas Index moved 1.13 per cent higher. Sensex gainers included Hindalco (3.42%), Cipla (2.71%), Sterlite Industries(2.23%), TCS (1.99%) and HDFC (1.88%) .Wipro (-2.54%) and Hero Honda (-0.23%) were the only index losers.
NEWS -
Asia car makers set for rosy earnings on brisk demand
Asia's top automakers including Toyota Motor Corp and Hyundai Motor Co will likely post big jumps in quarterly earnings thanks to better-than-expected global car demand and further cost cuts. "Global auto demand was surprisingly good," said Kurt Sanger, auto analyst at Deutsche Securities in Tokyo. "There were concerns that we would be flat to negative, but July-September saw 4-5 per cent global growth in a quarter that people expected no growth." Vehicle sales exceeded expectations in Japan and the rest of Asia, while they were in line in the United States and Europe, Goldman Sachs analyst Kota Yuzawa said.
Japan, India to sign trade, investment deal
The leaders of Japan and India were set to sign a broad economic partnership agreement on Monday, seeking to slash import taxes on a range of goods from auto parts to bonsai plants and boost investment between the two major Asian economies. Indian Prime Minister Manmohan Singh , during his three-day visit to Japan, is also pushing for a civil nuclear energy deal with Japan, which has created a dilemma for Tokyo because of India's past atomic tests.PM Singh called a civil nuclear pact, which would enable Japanese companies to export nuclear power generation technology and related equipment to India, a ``win-win proposition'' for both sides, according to Kyodo News agency. Japan will also improve market access on most products in the industrial sector, as well as several agricultural products such as durian, curry, tea leaves, lumber, shrimp and shrimp products. While,India will improve Japan's market access in auto parts, steel panels, and other industrial materials, as well as DVD players, video cameras and industrial machinery. The country will also allow greater access to miniature ``bonsai'' trees, as well as Japanese yam, peach, strawberries and persimmons.
INDUSTRY
Emaar sees no impact from penalty imposed by India
Dubai-based Emaar Properties said it would not be affected by a penalty by Indian authorities, after New Delhi said it would penalise the firm for delays and defects in the constructon of the Commonwealth Games village . "The encashment of the guarantee has no direct impact on Emaar as the guarantee has been issued through the facilities available to the company in India ," said the statement. The $230 million athletes village, built over 63.5 hectares, had come under criticism because of its shoddy construction and was delayed by several months. The Delhi Development Authority (DDA) had contracted Emaar MGF, the Indian joint venture of the firm, to build the village. DDA were yet to calculate the penalty. The amount would be deducted from an about Rs 2 billion ($44.88 million) bank guarantee given by the developer, she said. Emaar said the Games Village was built to the highest standards of quality and design.
Air Force manual describes shadowy cyberwar world
A new Air Force manual for cyberwarfare describes a shadowy, fast-changing world where anonymous enemies can carry out devastating attacks in seconds and where conventional ideas about time and space don't apply. Enemies can cloak their identities and hide their attacks amid the cascade of data flowing across international computer networks, it warns. Relentless attackers are trying to hack into home and office networks in the U.S. ``millions of times a day, 24/7.''And operating in cyberspace ``may require abandoning common assumptions concerning time and space'' because attacks can come from anywhere and take only seconds, the manual says.
INFOTECH
Spice Mobile launches India's first 3D phone at Rs 4,299
Here is the great news for them who want to buy mobile in the coming days as Spice mobile had announced to launch the India’s first 3D phone in Indian market from April/June 2010 according to IDC. Also they are looking forward to sell 38.63 million handsets in the coming period of time.
"With growing popularity of 3D content and devices, this is one segment we wanted to tap. We have created this new device for people looking for smart mobile phones," Spice Mobility vice president (Marketing) Naveen Paul said.
Wipro admits to performing lower than TCS
India's third largest IT bellwether Wipro Ltd on Friday admitted that its performance during the second quarter (July-Sept) of this fiscal was lower than industry peers TCS and Infosys Technologies sequentially and annually.A day after India's numerouso Tata Consulting Service (TCS) reported a record 11 per cent volume growth on second quarter and 7.2 per cent by Infosys Technologies a week ago, Wipro reported 6.6 per cent only.
Wipro's net profit at Rs 1,285 crore (Rs 12.85 billion) is 10 per cent higher YoY but 2.7 per cent lower sequentially from Rs 1,319 crore (Rs 13.19 billion) in first quarter (April-June) of this fiscal.The company added 2,975 employees during the quarter for IT services business, taking the total headcount to 115,900 from 112,925 at the end of first quarter and 97,891 year ago.
Using Facebook, Twitter, and YouTube 'refreshes deskbound employees'
A new Melbourne University research has concluded that Facebook, Twitter and other social media sites, as well as music and online video sites like YouTube, are the most productive ways employees can relax at work.
There is also uncertainty, according to the ACTU and human resource experts, as to what constitutes an acceptable Internet site for recreational surfing at work.Brent Coker, a lecturer in marketing at the University of Melbourne who carried out the research, said it was an extension of his findings last year that people who surf the internet for fun - for less than 20 per cent of their work time - were 9 per cent more productive than those who don't. The research was based on a sample of 300 workers with access to the Internet at work.
Apple set to revolutionize TV?
Apple has planned to launch The new Apple TV is tiny - not much bigger than iPhone - and costs just 99 pounds. Its exterior temperature is also far less alarming.The hard drive has been stripped out. To use, it's as simple as a set-top box, with Internet radio, films and your home PC video libraries popping up from a single menu. You just rent, picking from an excellent library of films for 3.49 pounds a go, reports the Daily Mail.You can also watch YouTube, although typing via a remote is an unbearable fiddle that leaves co-viewers fidgeting. Whatever you're watching, though, is colorful and clear - although it's 720p, not Full HD.And it's far better controlling it using an iPhone app than the finicky metal remote.
You could face a net blackout in emergencies
After a series of recent meetings on cyber security held at the Prime Minister’s Office (PMO) at South Block, all government departments have been asked to jointly work on developing technologies and also invest in enhancing R&D capabilities to enhance the Centre’s control on internet services within the country, officials aware of the development told ET.these steps are aimed at protecting Indian infrastructure from cyber-attacks, but analysts fear that this may lead to greater government controls over the internet as in China.The possibility of the Centre taking charge of the internet during emergencies and cyber wars was discussed at a recent meeting at the PMO, chaired by the National Security Advisor, ShivshankarMenon, with representatives from all intelligence agencies and key department such as IT, telecom, atomic energy, defense and space.
In a distributed denial of service attack, many computers attack on the same server, millions of times in a second. This makes it difficult for a firewall to block a particular IP address since millions of other IP addresses are attacking at the same time. However, switching off the internet might bring some relief temporarily to a country, till vulnerabilities are fixed.
Finance
Retail investors to be allowed Rs 2 lakh in IPO
Retail investors will get to double their bets on initial public offerings as the market regulator is set to raise the limit to Rs 2 lakh, the first revision in five years. And thisproposal had been approved by the board of the Securities & Exchange Board of India on Monday.Some say the hike will enrich the wealthy more than the middle class if it is done without an increase in the overall allocation for the retail segment, which is capped at 35%.
The rate of inflation has more than doubled to 12% in the past five years, according to a SEBI discussion paper, which suggested that hiking the retail limit might be in order. In case of public issues done on a book-building basis, the rules now in place mandate that 35% of the offering should be allotted to retail investors, 15% to non-institutional investors and the remaining 50% to institutions.
Credit appraisal determines your loan eligibility
Acredit appraisal is an important part of determining the eligibility for a home loan, and the quantum of the loan.Each bank has its own criteria to satisfy itself on the credit worthiness of the borrower. The eligibility for the loan that a person can get depends on his credit worthiness, determined in terms of the norms and standards of the bank.Being a crucial step in the loan process, a borrower needs to be careful in planning his financing modes. The credit worthiness, basically, assures the repayment capacity of the borrower - whether the borrower is capable of repaying the loan and dues on time.
Sahil Mahajan
Samir Halder
Section - E
MARKETS
Satyam back on track under new management
Following the restatement of its results for the past two years, Mahindra Satyam is back on track under the new management. The company has started winning new projects across various IT services domains in the multi-year category, which reflects that it is successful in winning back clients’ confidence. Going ahead, the new management is expected to merge its operations with Tech Mahindra, which offers solutions to telecom vertical. This would help in creating a stronger IT solutions company with global footprint across major verticals. Satyam’s current operations are generating cash flows. The company has over 350 active clients and 27,400 employees. Though these numbers are much lower than 617 clients and 46,000 employees reported by the previous management, they reflect that the company is still able to retain a major chunk of its operations despite the accounting fiasco.
Sensex above 20400; Hindalco, Cipla, TCS, HDFC up
MUMBAI: Benchmarks gained momentum as investors took positions across the board on the back of positive earnings season and gains in Asian markets. At 11 am; Bombay Stock Exchange’s Sensex was at 20424.68, up 258.82 points or 1.28 per cent. The index touched a high of 20448.59 and low of 20199.73. National Stock Exchange’s Nifty was at 6136.55, up 70.5 points or 1.16 per cent. The index touched high of 6151.30 and low of 6094.60. The market has clearly entered a range trade between 6284-5965 in the short-term. Nifty needs to break the range between 5965 – 6165 to get back into a directional trend. Amongst the sectoral indices, BSE Metal Index gained 1.67 per cent, BSE Bankex advanced 1.22 per cent and BSE Oil&gas Index moved 1.13 per cent higher. Sensex gainers included Hindalco (3.42%), Cipla (2.71%), Sterlite Industries(2.23%), TCS (1.99%) and HDFC (1.88%) .Wipro (-2.54%) and Hero Honda (-0.23%) were the only index losers.
NEWS -
Asia car makers set for rosy earnings on brisk demand
Asia's top automakers including Toyota Motor Corp and Hyundai Motor Co will likely post big jumps in quarterly earnings thanks to better-than-expected global car demand and further cost cuts. "Global auto demand was surprisingly good," said Kurt Sanger, auto analyst at Deutsche Securities in Tokyo. "There were concerns that we would be flat to negative, but July-September saw 4-5 per cent global growth in a quarter that people expected no growth." Vehicle sales exceeded expectations in Japan and the rest of Asia, while they were in line in the United States and Europe, Goldman Sachs analyst Kota Yuzawa said.
Japan, India to sign trade, investment deal
The leaders of Japan and India were set to sign a broad economic partnership agreement on Monday, seeking to slash import taxes on a range of goods from auto parts to bonsai plants and boost investment between the two major Asian economies. Indian Prime Minister Manmohan Singh , during his three-day visit to Japan, is also pushing for a civil nuclear energy deal with Japan, which has created a dilemma for Tokyo because of India's past atomic tests.PM Singh called a civil nuclear pact, which would enable Japanese companies to export nuclear power generation technology and related equipment to India, a ``win-win proposition'' for both sides, according to Kyodo News agency. Japan will also improve market access on most products in the industrial sector, as well as several agricultural products such as durian, curry, tea leaves, lumber, shrimp and shrimp products. While,India will improve Japan's market access in auto parts, steel panels, and other industrial materials, as well as DVD players, video cameras and industrial machinery. The country will also allow greater access to miniature ``bonsai'' trees, as well as Japanese yam, peach, strawberries and persimmons.
INDUSTRY
Emaar sees no impact from penalty imposed by India
Dubai-based Emaar Properties said it would not be affected by a penalty by Indian authorities, after New Delhi said it would penalise the firm for delays and defects in the constructon of the Commonwealth Games village . "The encashment of the guarantee has no direct impact on Emaar as the guarantee has been issued through the facilities available to the company in India ," said the statement. The $230 million athletes village, built over 63.5 hectares, had come under criticism because of its shoddy construction and was delayed by several months. The Delhi Development Authority (DDA) had contracted Emaar MGF, the Indian joint venture of the firm, to build the village. DDA were yet to calculate the penalty. The amount would be deducted from an about Rs 2 billion ($44.88 million) bank guarantee given by the developer, she said. Emaar said the Games Village was built to the highest standards of quality and design.
Air Force manual describes shadowy cyberwar world
A new Air Force manual for cyberwarfare describes a shadowy, fast-changing world where anonymous enemies can carry out devastating attacks in seconds and where conventional ideas about time and space don't apply. Enemies can cloak their identities and hide their attacks amid the cascade of data flowing across international computer networks, it warns. Relentless attackers are trying to hack into home and office networks in the U.S. ``millions of times a day, 24/7.''And operating in cyberspace ``may require abandoning common assumptions concerning time and space'' because attacks can come from anywhere and take only seconds, the manual says.
INFOTECH
Spice Mobile launches India's first 3D phone at Rs 4,299
Here is the great news for them who want to buy mobile in the coming days as Spice mobile had announced to launch the India’s first 3D phone in Indian market from April/June 2010 according to IDC. Also they are looking forward to sell 38.63 million handsets in the coming period of time.
"With growing popularity of 3D content and devices, this is one segment we wanted to tap. We have created this new device for people looking for smart mobile phones," Spice Mobility vice president (Marketing) Naveen Paul said.
Wipro admits to performing lower than TCS
India's third largest IT bellwether Wipro Ltd on Friday admitted that its performance during the second quarter (July-Sept) of this fiscal was lower than industry peers TCS and Infosys Technologies sequentially and annually.A day after India's numerouso Tata Consulting Service (TCS) reported a record 11 per cent volume growth on second quarter and 7.2 per cent by Infosys Technologies a week ago, Wipro reported 6.6 per cent only.
Wipro's net profit at Rs 1,285 crore (Rs 12.85 billion) is 10 per cent higher YoY but 2.7 per cent lower sequentially from Rs 1,319 crore (Rs 13.19 billion) in first quarter (April-June) of this fiscal.The company added 2,975 employees during the quarter for IT services business, taking the total headcount to 115,900 from 112,925 at the end of first quarter and 97,891 year ago.
Using Facebook, Twitter, and YouTube 'refreshes deskbound employees'
A new Melbourne University research has concluded that Facebook, Twitter and other social media sites, as well as music and online video sites like YouTube, are the most productive ways employees can relax at work.
There is also uncertainty, according to the ACTU and human resource experts, as to what constitutes an acceptable Internet site for recreational surfing at work.Brent Coker, a lecturer in marketing at the University of Melbourne who carried out the research, said it was an extension of his findings last year that people who surf the internet for fun - for less than 20 per cent of their work time - were 9 per cent more productive than those who don't. The research was based on a sample of 300 workers with access to the Internet at work.
Apple set to revolutionize TV?
Apple has planned to launch The new Apple TV is tiny - not much bigger than iPhone - and costs just 99 pounds. Its exterior temperature is also far less alarming.The hard drive has been stripped out. To use, it's as simple as a set-top box, with Internet radio, films and your home PC video libraries popping up from a single menu. You just rent, picking from an excellent library of films for 3.49 pounds a go, reports the Daily Mail.You can also watch YouTube, although typing via a remote is an unbearable fiddle that leaves co-viewers fidgeting. Whatever you're watching, though, is colorful and clear - although it's 720p, not Full HD.And it's far better controlling it using an iPhone app than the finicky metal remote.
You could face a net blackout in emergencies
After a series of recent meetings on cyber security held at the Prime Minister’s Office (PMO) at South Block, all government departments have been asked to jointly work on developing technologies and also invest in enhancing R&D capabilities to enhance the Centre’s control on internet services within the country, officials aware of the development told ET.these steps are aimed at protecting Indian infrastructure from cyber-attacks, but analysts fear that this may lead to greater government controls over the internet as in China.The possibility of the Centre taking charge of the internet during emergencies and cyber wars was discussed at a recent meeting at the PMO, chaired by the National Security Advisor, ShivshankarMenon, with representatives from all intelligence agencies and key department such as IT, telecom, atomic energy, defense and space.
In a distributed denial of service attack, many computers attack on the same server, millions of times in a second. This makes it difficult for a firewall to block a particular IP address since millions of other IP addresses are attacking at the same time. However, switching off the internet might bring some relief temporarily to a country, till vulnerabilities are fixed.
Finance
Retail investors to be allowed Rs 2 lakh in IPO
Retail investors will get to double their bets on initial public offerings as the market regulator is set to raise the limit to Rs 2 lakh, the first revision in five years. And thisproposal had been approved by the board of the Securities & Exchange Board of India on Monday.Some say the hike will enrich the wealthy more than the middle class if it is done without an increase in the overall allocation for the retail segment, which is capped at 35%.
The rate of inflation has more than doubled to 12% in the past five years, according to a SEBI discussion paper, which suggested that hiking the retail limit might be in order. In case of public issues done on a book-building basis, the rules now in place mandate that 35% of the offering should be allotted to retail investors, 15% to non-institutional investors and the remaining 50% to institutions.
Credit appraisal determines your loan eligibility
Acredit appraisal is an important part of determining the eligibility for a home loan, and the quantum of the loan.Each bank has its own criteria to satisfy itself on the credit worthiness of the borrower. The eligibility for the loan that a person can get depends on his credit worthiness, determined in terms of the norms and standards of the bank.Being a crucial step in the loan process, a borrower needs to be careful in planning his financing modes. The credit worthiness, basically, assures the repayment capacity of the borrower - whether the borrower is capable of repaying the loan and dues on time.
25th October - BUSINESS LINE
Ritesh singh
Rakesh sinha
Rajeev
Section-F
Centre may open sugar export window for extra 10 lakh tonnesStiff terms likely for consignments beyond re-export obligations. The Centre may permit sugar exports of 10 lakh tonnes beyond the re-export obligations of advance licence holders ...
United Stock Exchange launch peps up currency derivatives tradingAverage daily volumes shoot up 90% since the exchange's entry in Sept. The two-year-old exchange-traded currency derivative market, which has been growing since the NSE and the MCX-SX began operating in the second half of 2008, has seen a sharp ...
Coal India IPO issue price decision todayA decision on the issue price for Coal India's initial public offering is now expected ...
Gold corrects, silver collapses as dollar gains“If China sneezes, the world commodity market catches cold” is by now a cliché. The Asian major's influence over the markets was reaffirmed again last week when as a knee-jerk reaction to China raising its lending rate, ...
Gold to test support, riseComex gold futures ended sharply lower on Friday as the dollar rose ahead of the G20 meet and FOMC on November 2nd. Before this week, gold reached an all-time high as the dollar declined. The metal has gained 21 per cent this year. Gold ...
Banking sector in India put up a good show during global financial crisisThe performance of various bank groups as on March 2009 and March 2010 had been impressive despite constraints faced by them due to slow down in the economy because of the global financial crisis and adverse real economic scenario witnessed ...
Narrow movement seen in Polaris SoftwareI bought one lot of IDBI Bank 170 call at Rs 3 and a TCS 1020 put at Rs 11. What is a good strategy? ...
Inflows may buoy marketsDoubts over global and local fundamentals bother Indian investors. Dalal Street is likely to overcome the weakness seen last week and the key indices may forge ahead on ...
NTPC to sharpen focus on core generation bizGo slow on diversification due to delays in project deliveries. NTPC Ltd plans to put some of its diversified operations, including its entry into the gas value chain, electricity distribution sector and its hydro power venture, on ...
TCS keen to improve pace of growth in ChinaWe want more stability about India model: CEO. In spite of delivering a stellar performance in the quarter gone by, Tata Consultancy Services still has concerns about volatility in business from emerging markets such as China ...
Obama's visit to Mumbai: Filled with symbolism and businessTo address business community on November 6. When the United States President, Mr Barack Obama, lands in Mumbai, early November, the city will still be alive with the fireworks ...
Extra checks for screening IPOsThe Indian investor, once in a few years, gets drenched by initial public offers (IPOs). This is again happening now and, looking at the list of applications filed with SEBI, this deluge will continue for some more time. Some of the IPOs are ...
Mining lessons in leadershipAble leadership and team spirit kept the 33 trapped miners focussed on the goal of escaping from their underground prison.. On August 5, 2010, a portion of the San Jose copper mine in Chile collapsed leaving 33 miners trapped at a depth of half ...
Full steam ahead — on land!Thus wrote poet Coleridge in his long lyrical ballad “The Rime of the Ancient Mariner” two centuries ago, when seafaring adventures were steeped in mystery. We have come a long way indeed from those days and shipping, at least ...
Monsoon withdrawal process to resumeConditions are becoming favourable for resumption of the process of withdrawal of southwest monsoon from East and Central India, Gujarat and some parts ...
Rakesh sinha
Rajeev
Section-F
Centre may open sugar export window for extra 10 lakh tonnesStiff terms likely for consignments beyond re-export obligations. The Centre may permit sugar exports of 10 lakh tonnes beyond the re-export obligations of advance licence holders ...
United Stock Exchange launch peps up currency derivatives tradingAverage daily volumes shoot up 90% since the exchange's entry in Sept. The two-year-old exchange-traded currency derivative market, which has been growing since the NSE and the MCX-SX began operating in the second half of 2008, has seen a sharp ...
Coal India IPO issue price decision todayA decision on the issue price for Coal India's initial public offering is now expected ...
Gold corrects, silver collapses as dollar gains“If China sneezes, the world commodity market catches cold” is by now a cliché. The Asian major's influence over the markets was reaffirmed again last week when as a knee-jerk reaction to China raising its lending rate, ...
Gold to test support, riseComex gold futures ended sharply lower on Friday as the dollar rose ahead of the G20 meet and FOMC on November 2nd. Before this week, gold reached an all-time high as the dollar declined. The metal has gained 21 per cent this year. Gold ...
Banking sector in India put up a good show during global financial crisisThe performance of various bank groups as on March 2009 and March 2010 had been impressive despite constraints faced by them due to slow down in the economy because of the global financial crisis and adverse real economic scenario witnessed ...
Narrow movement seen in Polaris SoftwareI bought one lot of IDBI Bank 170 call at Rs 3 and a TCS 1020 put at Rs 11. What is a good strategy? ...
Inflows may buoy marketsDoubts over global and local fundamentals bother Indian investors. Dalal Street is likely to overcome the weakness seen last week and the key indices may forge ahead on ...
NTPC to sharpen focus on core generation bizGo slow on diversification due to delays in project deliveries. NTPC Ltd plans to put some of its diversified operations, including its entry into the gas value chain, electricity distribution sector and its hydro power venture, on ...
TCS keen to improve pace of growth in ChinaWe want more stability about India model: CEO. In spite of delivering a stellar performance in the quarter gone by, Tata Consultancy Services still has concerns about volatility in business from emerging markets such as China ...
Obama's visit to Mumbai: Filled with symbolism and businessTo address business community on November 6. When the United States President, Mr Barack Obama, lands in Mumbai, early November, the city will still be alive with the fireworks ...
Extra checks for screening IPOsThe Indian investor, once in a few years, gets drenched by initial public offers (IPOs). This is again happening now and, looking at the list of applications filed with SEBI, this deluge will continue for some more time. Some of the IPOs are ...
Mining lessons in leadershipAble leadership and team spirit kept the 33 trapped miners focussed on the goal of escaping from their underground prison.. On August 5, 2010, a portion of the San Jose copper mine in Chile collapsed leaving 33 miners trapped at a depth of half ...
Full steam ahead — on land!Thus wrote poet Coleridge in his long lyrical ballad “The Rime of the Ancient Mariner” two centuries ago, when seafaring adventures were steeped in mystery. We have come a long way indeed from those days and shipping, at least ...
Monsoon withdrawal process to resumeConditions are becoming favourable for resumption of the process of withdrawal of southwest monsoon from East and Central India, Gujarat and some parts ...
25th October - THE FINANCIAL EXPRESS
Rajeev Goyal
Raju Sharma
Rahul Yadav
Section - I
Banking
ICICI AND AMERICAN EXPRESS LAUNCH CASH CARD:
India's second-largest ICICI Bank, and American Express, today announced the launch of the ICICI Bank American Express Prepaid Travel Card, a smart alternative to cash when travelling, offering convenience and valuable services and benefits.
The new card is aimed at the fast-expanding customer segment of discerning travellers who have frequent travel schedules for both business and leisure.
Sbi raises lending Rates:
The country’s largest bank State Bank of India (SBI) has finally increased its lending rates including the base rate, which it has raised for the for the first time. The bank has hiked its base rate — the minimum lending rate by the bank — by 10 bps from 7.50 per cent to 7.60 per cent while the bank’s Benchmark Prime Lending Rate (BPLR) has gone up 25 bps from 12.25 per cent to 12.50 percent.
v Politics
Through Rahul Gandhi in Ganges: Sharad Yadav
JD(U) leader Sharad Yadav today launched an unusually strong personal attack on the Gandhi-Nehru family and said Rahul Gandhi should be thrown in the Ganges.
He said it is country’s unfortunate that people are supporting his family.
v Markets
Coal India IPO
The primary market has seen good retail participation after a long time. Around 17 lakh retail investors applied for the mega public issue of Coal India, leading to oversubscription of 2.31 times in the retail quota. This means retail investors have put in bids for 45.86 crore shares worth Rs 11,235 crore.
Shara IPO will come when market condions would be favourable: Subrata Roy
Sahara's real estate company, Sahara Prime City Ltd (SPCL), has been mulling an Initial Public Offering (IPO) to raise funds from the capital market for quite some time. The company had filed DRHP with SEBI last October but did not go ahead with the IPO due to bearish conditions.
Economy
Food inflation makes the central to rise its policy by 25 bps.
Govt. for soaps to few exports sectors:The government will review in December performance of the country's export and consider giving support to the sectors which remain under pressure:Mr. Anand Sharma
Raju Sharma
Rahul Yadav
Section - I
Banking
ICICI AND AMERICAN EXPRESS LAUNCH CASH CARD:
India's second-largest ICICI Bank, and American Express, today announced the launch of the ICICI Bank American Express Prepaid Travel Card, a smart alternative to cash when travelling, offering convenience and valuable services and benefits.
The new card is aimed at the fast-expanding customer segment of discerning travellers who have frequent travel schedules for both business and leisure.
Sbi raises lending Rates:
The country’s largest bank State Bank of India (SBI) has finally increased its lending rates including the base rate, which it has raised for the for the first time. The bank has hiked its base rate — the minimum lending rate by the bank — by 10 bps from 7.50 per cent to 7.60 per cent while the bank’s Benchmark Prime Lending Rate (BPLR) has gone up 25 bps from 12.25 per cent to 12.50 percent.
v Politics
Through Rahul Gandhi in Ganges: Sharad Yadav
JD(U) leader Sharad Yadav today launched an unusually strong personal attack on the Gandhi-Nehru family and said Rahul Gandhi should be thrown in the Ganges.
He said it is country’s unfortunate that people are supporting his family.
v Markets
Coal India IPO
The primary market has seen good retail participation after a long time. Around 17 lakh retail investors applied for the mega public issue of Coal India, leading to oversubscription of 2.31 times in the retail quota. This means retail investors have put in bids for 45.86 crore shares worth Rs 11,235 crore.
Shara IPO will come when market condions would be favourable: Subrata Roy
Sahara's real estate company, Sahara Prime City Ltd (SPCL), has been mulling an Initial Public Offering (IPO) to raise funds from the capital market for quite some time. The company had filed DRHP with SEBI last October but did not go ahead with the IPO due to bearish conditions.
Economy
Food inflation makes the central to rise its policy by 25 bps.
Govt. for soaps to few exports sectors:The government will review in December performance of the country's export and consider giving support to the sectors which remain under pressure:Mr. Anand Sharma
25th October - BUSINESS STANDARD
SAHIL BANSAL
SAJAN KUMAR
SANDEEP SINGH
Group- 19 (Section - G)
(1)-RBI wants lock-in period for FDI in hotels, tourism
# At present 100% FDI is allowed in the hotel and tourism.
# RBI suggested that a quarterly or annual on the receipt and
usages of foreign inward remittance , granting permission or licence
for running a hotel under which construction of the hotel should be
completed within a simulated period.
# Company would not be allowed to sell undeveloped plots.
(2)-Brokers eye FII refund money from Coal India
# FIIs will be sitting on a massive amount of cash ,courtesy the huge
Over-subscription and the mechanism of proportionate allotment.
# Invest in index stocks across the world have put in huge bids on
Expectation that the stock will be include in Sensex and nifty by
virtue of its sheer size.
#Market capitalisation of Coal India would be around 55 lakh
Crore, making it the seventh-largest listed entity.
(3)-SESA Goa plans foray into steel
# Vedanta Group firm Sesa Goa is planning an investment of
30,000 crore in the steel space in orissa and Jharkhand and many
rope in a global company to jointly run the venture.
# Anil agarwal had said that group would partner a “strong” steel
Company as and when it decide to foray into manufacturing of this
Commodity.
(4)- Birla, RUIA say MP projects will take shape next year.
# The company is setting up one of the biggest alumina projects in
Singrauli district with an investment of 20,000 crore .
# Essar group is also setting up a ferro alloy plant with an investment
Of 350 in M.P. Company signed a deal for the project today in Khajuraho.
(5)- R-Power gives Samalkot power equipment order to GE
# - Anil Ambani’s Reliance Power (R-Power) has placed an order with US-based power equipment maker GE Energy for its 2,400 Mw gas-based project planned at Samalkot in Andhra Pradesh.
# - This is the largest order for GE Energy in India. In addition to supply of equipment, comprising six gas turbines, three steam turbines and generators, GE will be providing maintenance services. All the six gas turbines are scheduled to be commissioned before March 2012, said a company statement.
(6)- Metal firms expect lower growth in Q2
# Ferrous and non-ferrous metal companies are expected to post only single-digit growth in sales and profit in the quarter ended September, due to a decline in steel prices, flat London Metal Exchange prices and higher input cost.
The cost of coking coal rose 7.5 per cent in the quarter. However, the consolidated performance of Tata Steel and Hindalco is likely to push profit of the sector by a little over 150 per cent.
#Domestic steel companies are likely to show eight per cent rise in net sales due to lower realisations, as prices decline in the first two months of the second quarter. However, during the past month, with production cuts announced in China, steel prices have rallied by $50-100/tonne in various regions.
(7) Vijaya Bank net up 33% in Q2
#Vijaya Bank, the Bangalore-based public sector lender, has reported a 33.08 per cent growth in its net profit at Rs 144.30 crore for the second quarter-ended September 30, 2010, over the corresponding quarter last year. The growth in profit was mainly on account of a 33.5 per cent year-on-year increase in net interest income, which went up to Rs 487.2 crore and negligible provisioning during the quarter
#The total income of the bank, however, was marginally up 4.3 per cent to Rs 1,520.9 crore in the second quarter as against Rs 1,457.6 crore in the year ago period.
(8) FMC preparing governance norms for spot exchanges
# Official sources explained that this would form part of the guidelines FMC was preparing for granting exemption to spot exchanges from the Forward Contracts Regulation Act (FCRA) while undertaking one-day futures and intra-day netting.
# Officials said the bigger objective of the measure is to drive the spot exchanges to become catalysts of growth in the commodity business, since they maintain various linkages from the farmer to the end user. They are linked with farmers, warehouses, banks, retailers, exporters and various other end-users. However the linkage is not very strong due to the infrastructure bottleneck and the farmer today gets only 25-30 per cent of the market realisation of the produce
(9)- Go digital this Diwali
# A Bluetooth headset that comes with a self-charging case, a camera that doubles up as a projector just some of the gadgets that truly stand out amid the modern electronics crowd.
# BlackBerry’s biggest innovation in Torch is a 3.5-inch capacitive touchscreen display that shares hands-on interface duties with Research in Motion’s familiar slider keyboard.
# The N8, clearly, has the best camera and video phone. Its 12-megapixel capability can singularly outclick almost all other digital cameras out there. The N8 also has a built-in graphics processor which, combined with its accelerometer, makes for an intuitive game play
# Headsets with charging case Rs 5,499The single-most impressive feature of Plantronics Discovery 975 is its styling, which is both cool and professional. The company has packed a new audio technology and a distinctive combination of a carrying as well as a charging case, making it a truly interesting new Bluetooth headset for smartphone users. According to Plantronics, the headset has a 20-band equaliser that produces a true natural sound, rather than giving you a metallic voice. It also has the ability to connect to two phones at once and a two-battery array that provides a total of 15 hours of talk time. Discovery 975’s case has a spring-loaded release latch to pop the earpiece out when not charging, plus an indicator that shows the power levels of both the earpiece and battery.
SAJAN KUMAR
SANDEEP SINGH
Group- 19 (Section - G)
(1)-RBI wants lock-in period for FDI in hotels, tourism
# At present 100% FDI is allowed in the hotel and tourism.
# RBI suggested that a quarterly or annual on the receipt and
usages of foreign inward remittance , granting permission or licence
for running a hotel under which construction of the hotel should be
completed within a simulated period.
# Company would not be allowed to sell undeveloped plots.
(2)-Brokers eye FII refund money from Coal India
# FIIs will be sitting on a massive amount of cash ,courtesy the huge
Over-subscription and the mechanism of proportionate allotment.
# Invest in index stocks across the world have put in huge bids on
Expectation that the stock will be include in Sensex and nifty by
virtue of its sheer size.
#Market capitalisation of Coal India would be around 55 lakh
Crore, making it the seventh-largest listed entity.
(3)-SESA Goa plans foray into steel
# Vedanta Group firm Sesa Goa is planning an investment of
30,000 crore in the steel space in orissa and Jharkhand and many
rope in a global company to jointly run the venture.
# Anil agarwal had said that group would partner a “strong” steel
Company as and when it decide to foray into manufacturing of this
Commodity.
(4)- Birla, RUIA say MP projects will take shape next year.
# The company is setting up one of the biggest alumina projects in
Singrauli district with an investment of 20,000 crore .
# Essar group is also setting up a ferro alloy plant with an investment
Of 350 in M.P. Company signed a deal for the project today in Khajuraho.
(5)- R-Power gives Samalkot power equipment order to GE
# - Anil Ambani’s Reliance Power (R-Power) has placed an order with US-based power equipment maker GE Energy for its 2,400 Mw gas-based project planned at Samalkot in Andhra Pradesh.
# - This is the largest order for GE Energy in India. In addition to supply of equipment, comprising six gas turbines, three steam turbines and generators, GE will be providing maintenance services. All the six gas turbines are scheduled to be commissioned before March 2012, said a company statement.
(6)- Metal firms expect lower growth in Q2
# Ferrous and non-ferrous metal companies are expected to post only single-digit growth in sales and profit in the quarter ended September, due to a decline in steel prices, flat London Metal Exchange prices and higher input cost.
The cost of coking coal rose 7.5 per cent in the quarter. However, the consolidated performance of Tata Steel and Hindalco is likely to push profit of the sector by a little over 150 per cent.
#Domestic steel companies are likely to show eight per cent rise in net sales due to lower realisations, as prices decline in the first two months of the second quarter. However, during the past month, with production cuts announced in China, steel prices have rallied by $50-100/tonne in various regions.
(7) Vijaya Bank net up 33% in Q2
#Vijaya Bank, the Bangalore-based public sector lender, has reported a 33.08 per cent growth in its net profit at Rs 144.30 crore for the second quarter-ended September 30, 2010, over the corresponding quarter last year. The growth in profit was mainly on account of a 33.5 per cent year-on-year increase in net interest income, which went up to Rs 487.2 crore and negligible provisioning during the quarter
#The total income of the bank, however, was marginally up 4.3 per cent to Rs 1,520.9 crore in the second quarter as against Rs 1,457.6 crore in the year ago period.
(8) FMC preparing governance norms for spot exchanges
# Official sources explained that this would form part of the guidelines FMC was preparing for granting exemption to spot exchanges from the Forward Contracts Regulation Act (FCRA) while undertaking one-day futures and intra-day netting.
# Officials said the bigger objective of the measure is to drive the spot exchanges to become catalysts of growth in the commodity business, since they maintain various linkages from the farmer to the end user. They are linked with farmers, warehouses, banks, retailers, exporters and various other end-users. However the linkage is not very strong due to the infrastructure bottleneck and the farmer today gets only 25-30 per cent of the market realisation of the produce
(9)- Go digital this Diwali
# A Bluetooth headset that comes with a self-charging case, a camera that doubles up as a projector just some of the gadgets that truly stand out amid the modern electronics crowd.
# BlackBerry’s biggest innovation in Torch is a 3.5-inch capacitive touchscreen display that shares hands-on interface duties with Research in Motion’s familiar slider keyboard.
# The N8, clearly, has the best camera and video phone. Its 12-megapixel capability can singularly outclick almost all other digital cameras out there. The N8 also has a built-in graphics processor which, combined with its accelerometer, makes for an intuitive game play
# Headsets with charging case Rs 5,499The single-most impressive feature of Plantronics Discovery 975 is its styling, which is both cool and professional. The company has packed a new audio technology and a distinctive combination of a carrying as well as a charging case, making it a truly interesting new Bluetooth headset for smartphone users. According to Plantronics, the headset has a 20-band equaliser that produces a true natural sound, rather than giving you a metallic voice. It also has the ability to connect to two phones at once and a two-battery array that provides a total of 15 hours of talk time. Discovery 975’s case has a spring-loaded release latch to pop the earpiece out when not charging, plus an indicator that shows the power levels of both the earpiece and battery.
24th October - THE FINANCIAL EXPRESS
Priyanka Mittal
Rahul Balachandran
Qumar Luqman
Section - I
TOP NEWS:
1.IT hiring rises to pre-crisis levels, attrition comes down: The just-concluded earnings season of the country’s top four IT firms reveals that the recruitment levels in the $60-billion IT industry has returned to its October-December 2007 peak. Infosys Technologies, the country’s second largest IT exporter, added 7,646 employees during the July-September quarter, TCS added 10,717 employees compared to 7,522 in October-December 2007,the highest and Wipro Technologies at 2,975 during the quarter was relatively lower compared to its peers, the company surpassed net additions of 2,389 made during October-December 2007.
2. AP govt to act tough against erring MFIs: Microfinance institutions in Andhra Pradesh have come under the scanner after the state government said over 20 suicides reported in the last few weeks were a fallout of high interest rates and coercive methods of recovery followed by microfinance institutions that lend to women self-help groups (SHGs).Andhra Pradesh Chief Minister K Rosaiah directed District collectors in the state to act tough against microfinance institutions (MFIs) that fleece poor borrowers, particularly in rural areas. He claimed that MFIs charged exorbitant rates of interest and adopted illegal means to recover dues from borrowers.
3. Government for sops to few export sectors: The government will review in December performance of the country's export and consider giving support to the sectors which remain under pressure. Commerce and Industry Minister Anand Sharma expressed hope that the export target of USD 200 billion for the current fiscal would be met. During April-August this fiscal, exports posted a growth rate of 28.6 per cent to USD 85.27 billion on a year-on-year basis.
4. Sensex up by 41 %: Despite high volatility the BSE benchmark Sensex managed to end in positive terrain after two-week losing string, in view of good Q2 results from key corporates, excellent response from Coal India IPO, sustained buying by foreign funds and fall in food inflation.
5. NAC suggests food security net for 75% population :The National Advisory Council (NAC) headed by ruling Congress Party chief Sonia Gandhi suggested widening subsidies to 75 percent of the billion-plus population to Prime Minister Manmohan Singh who is struggling with stubbornly high food prices that threaten to erode the Congress' political support,
MARKETS
1. Indian ADRs shed $4.82 billion: 15 Indian entities listed as American Depository Receipts (ADRs) together lost USD 4.82 billion from their market capitalization (m-cap). Among the 15 Indian entities listed on the New York Stock Exchange and Nasdaq, only four of them -- including auto giant Tata Motors and drug-maker Dr Reddy's Laboratories – saw gains in their market capitalization.
2 SEBI TO CRACK DOWN ON OVER PRICED IPOs : Market watchdog SEBI is mulling over ways to rein in erring merchant bankers regarding overpricing of IPOs and hyping public issues through misleading advertisements and media reports outside the regulatory ambit. The regulator is actively considering bringing out soon a discussion paper on the matter, wherein it would seek public comments on draft regulations to curb the menace of overpricing and hyping public offers, sources close to the development said.
3. SHARE PLEDGING PICKS UP IN Q2: India Inc is on a pledging spree. An analysis of recent disclosures to stock exchanges for the quarter ended September 2010 reveals that promoters of 101 out of 1,620 companies had pledged more shares over the June quarter. The value of the pledged shares increased 8% during the quarter to Rs 1,57,000 crore.
4. SKS MICROFINANCE SHARES TANK 5PC: Shares of SKS Microfinance, the only listed microfinance entity in the country, took a sharp hit and plunged by 5.11 per cent to touch a month's low of Rs 1,050 on the BSE in the noon trade.
COMPANIES
1. NSC aims Rs 600 cr revenue in 2010-11: Buoyed by increase in seed production, state-run National Seeds Corporation aims to achieve a turnover of Rs 600 crore in 2010-11, over 27 per cent higher than that in the previous fiscal. Roongta said that seed production is also expected to rise by 20 per cent to 18 lakh quintals in 2010-11 fiscal against 15 lakh quintals in the last fiscal.
2. Top 6 companies add rs 34.546 crores in m cap: The combined market capitalization (m-cap) of six of the top-10 companies went up by Rs 34,546 crore in the past week, with the maximum gain being registered by software giant Tata Consultancy Services. India's largest software exporter Tata Consultancy Services (TCS), enlarged its m-cap to Rs 2,03,56,837 crore and emerged as the best performer in the list of the top-10 companies as per their market valuations.
3. Reddy’s net up by 32%: Pharma major Dr Reddy's Laboratories has reported a net profit of Rs 290 crore for the second quarter ended September 30, up by 32 per cent over the same period last year.
4. PIRAMAL HEALTH CARE TO BUY BACK SHARES: Piramal Healthcare, which in May sold its domestic formulations business to US-based Abbott Laboratories for Rs 17,000 crore, said on Friday it will reward its shareholders through a share buyback. The company would buy back up to 4.18 crore shares of face value Rs 2 each (representing 20% of the total number of shares), from its shareholders through the tender offer route
ECONOMY
1. India’s IMF notches up 3 ranks: India will improve its rank by three notches to the 8th position in IMF, as the group of 20 nations (G-20) decided to increase the quota of emerging markets in the multi-lateral lending agency by over six per cent.
2.FDI investments plunge by 60%: Foreign direct investment in August dipped by about 60 per cent to USD 1.33 bn, the lowest in this fiscal, industry department data released today showed as compared to during the first five months of 2010-11, the inflows declined by 35 per cent to USD 8.88 billion compared to USD 13.76 billion in the same period last year.
3. Govt for SOPS to few export houses: The government will review in December performance of the country's export and consider giving support to the sectors which remain under pressure,
WORLD NEWS
1. CHINA concerned over parts of WTO ruling: China expresses concern over some views and rulings made by the (WTO) expert panel. China brought the case to the WTO in 2008, challenging the United States for placing punitive duties on goods from China including pipes, tubes and tyres.
2. UK Court backs heiress, upholds pre- nup: Britain's Supreme Court on Wednesday ruled in favour of a German heiress, seeking to protect her considerable fortune from her ex-husband — a decision that gives new strength to pre-nuptial agreements in England. The ruling marks a potential turning point in the legal battle over pre-nuptial agreements in England, where courts have generally refused to recognize them as valid, binding agreements.
SPORTS
1. Congress govt gave Emaar- Mgf rs 760 cr
In the run-up to the Commonwealth Games, the Centre had cleared a bailout package of Rs 760 crore to real estate major Emaar-MGF for completion of the Games Village project. The construction of Games Village was going on at a snail's pace and the builder was facing a financial crunch due to various reasons. So, a bailout package was necessary to complete the project in time
Rahul Balachandran
Qumar Luqman
Section - I
TOP NEWS:
1.IT hiring rises to pre-crisis levels, attrition comes down: The just-concluded earnings season of the country’s top four IT firms reveals that the recruitment levels in the $60-billion IT industry has returned to its October-December 2007 peak. Infosys Technologies, the country’s second largest IT exporter, added 7,646 employees during the July-September quarter, TCS added 10,717 employees compared to 7,522 in October-December 2007,the highest and Wipro Technologies at 2,975 during the quarter was relatively lower compared to its peers, the company surpassed net additions of 2,389 made during October-December 2007.
2. AP govt to act tough against erring MFIs: Microfinance institutions in Andhra Pradesh have come under the scanner after the state government said over 20 suicides reported in the last few weeks were a fallout of high interest rates and coercive methods of recovery followed by microfinance institutions that lend to women self-help groups (SHGs).Andhra Pradesh Chief Minister K Rosaiah directed District collectors in the state to act tough against microfinance institutions (MFIs) that fleece poor borrowers, particularly in rural areas. He claimed that MFIs charged exorbitant rates of interest and adopted illegal means to recover dues from borrowers.
3. Government for sops to few export sectors: The government will review in December performance of the country's export and consider giving support to the sectors which remain under pressure. Commerce and Industry Minister Anand Sharma expressed hope that the export target of USD 200 billion for the current fiscal would be met. During April-August this fiscal, exports posted a growth rate of 28.6 per cent to USD 85.27 billion on a year-on-year basis.
4. Sensex up by 41 %: Despite high volatility the BSE benchmark Sensex managed to end in positive terrain after two-week losing string, in view of good Q2 results from key corporates, excellent response from Coal India IPO, sustained buying by foreign funds and fall in food inflation.
5. NAC suggests food security net for 75% population :The National Advisory Council (NAC) headed by ruling Congress Party chief Sonia Gandhi suggested widening subsidies to 75 percent of the billion-plus population to Prime Minister Manmohan Singh who is struggling with stubbornly high food prices that threaten to erode the Congress' political support,
MARKETS
1. Indian ADRs shed $4.82 billion: 15 Indian entities listed as American Depository Receipts (ADRs) together lost USD 4.82 billion from their market capitalization (m-cap). Among the 15 Indian entities listed on the New York Stock Exchange and Nasdaq, only four of them -- including auto giant Tata Motors and drug-maker Dr Reddy's Laboratories – saw gains in their market capitalization.
2 SEBI TO CRACK DOWN ON OVER PRICED IPOs : Market watchdog SEBI is mulling over ways to rein in erring merchant bankers regarding overpricing of IPOs and hyping public issues through misleading advertisements and media reports outside the regulatory ambit. The regulator is actively considering bringing out soon a discussion paper on the matter, wherein it would seek public comments on draft regulations to curb the menace of overpricing and hyping public offers, sources close to the development said.
3. SHARE PLEDGING PICKS UP IN Q2: India Inc is on a pledging spree. An analysis of recent disclosures to stock exchanges for the quarter ended September 2010 reveals that promoters of 101 out of 1,620 companies had pledged more shares over the June quarter. The value of the pledged shares increased 8% during the quarter to Rs 1,57,000 crore.
4. SKS MICROFINANCE SHARES TANK 5PC: Shares of SKS Microfinance, the only listed microfinance entity in the country, took a sharp hit and plunged by 5.11 per cent to touch a month's low of Rs 1,050 on the BSE in the noon trade.
COMPANIES
1. NSC aims Rs 600 cr revenue in 2010-11: Buoyed by increase in seed production, state-run National Seeds Corporation aims to achieve a turnover of Rs 600 crore in 2010-11, over 27 per cent higher than that in the previous fiscal. Roongta said that seed production is also expected to rise by 20 per cent to 18 lakh quintals in 2010-11 fiscal against 15 lakh quintals in the last fiscal.
2. Top 6 companies add rs 34.546 crores in m cap: The combined market capitalization (m-cap) of six of the top-10 companies went up by Rs 34,546 crore in the past week, with the maximum gain being registered by software giant Tata Consultancy Services. India's largest software exporter Tata Consultancy Services (TCS), enlarged its m-cap to Rs 2,03,56,837 crore and emerged as the best performer in the list of the top-10 companies as per their market valuations.
3. Reddy’s net up by 32%: Pharma major Dr Reddy's Laboratories has reported a net profit of Rs 290 crore for the second quarter ended September 30, up by 32 per cent over the same period last year.
4. PIRAMAL HEALTH CARE TO BUY BACK SHARES: Piramal Healthcare, which in May sold its domestic formulations business to US-based Abbott Laboratories for Rs 17,000 crore, said on Friday it will reward its shareholders through a share buyback. The company would buy back up to 4.18 crore shares of face value Rs 2 each (representing 20% of the total number of shares), from its shareholders through the tender offer route
ECONOMY
1. India’s IMF notches up 3 ranks: India will improve its rank by three notches to the 8th position in IMF, as the group of 20 nations (G-20) decided to increase the quota of emerging markets in the multi-lateral lending agency by over six per cent.
2.FDI investments plunge by 60%: Foreign direct investment in August dipped by about 60 per cent to USD 1.33 bn, the lowest in this fiscal, industry department data released today showed as compared to during the first five months of 2010-11, the inflows declined by 35 per cent to USD 8.88 billion compared to USD 13.76 billion in the same period last year.
3. Govt for SOPS to few export houses: The government will review in December performance of the country's export and consider giving support to the sectors which remain under pressure,
WORLD NEWS
1. CHINA concerned over parts of WTO ruling: China expresses concern over some views and rulings made by the (WTO) expert panel. China brought the case to the WTO in 2008, challenging the United States for placing punitive duties on goods from China including pipes, tubes and tyres.
2. UK Court backs heiress, upholds pre- nup: Britain's Supreme Court on Wednesday ruled in favour of a German heiress, seeking to protect her considerable fortune from her ex-husband — a decision that gives new strength to pre-nuptial agreements in England. The ruling marks a potential turning point in the legal battle over pre-nuptial agreements in England, where courts have generally refused to recognize them as valid, binding agreements.
SPORTS
1. Congress govt gave Emaar- Mgf rs 760 cr
In the run-up to the Commonwealth Games, the Centre had cleared a bailout package of Rs 760 crore to real estate major Emaar-MGF for completion of the Games Village project. The construction of Games Village was going on at a snail's pace and the builder was facing a financial crunch due to various reasons. So, a bailout package was necessary to complete the project in time
23rd October - THE MINT
PUNEET
RAGHURAJ SINGH
RAHUL SINGH
Section - H
EXPANSION PLAN
Hindujas look to buy stake in German power company Steag
Hinduja group has submitted a bit to acquire 5th largest power production in Germany. The acquisition will give $ 23 billion London headquarter to management capabilities and technology could be transformed to India rs 45000 Cr to build 10,000 MW of capacity. Hinduja national power corp. Ltd is building 1040 MW coal based power plant in Visakhapatnam ,Andra pradesh and is on final stage typing finance. The others in the race are energetic by Prumyslovy Holding of Czech Republic, Remondis AG of germany and park holding of turkey winner will be decided in November.
Steag has 9400MW in germany out of that 7700MW is in Germany rest is in Turkey,Columbia and Philippines. Hinduja's advisedly BNP Paribas and JP Morgan Chase & Co. Investment banker to Evonik Industries. Value of steag AG is between Euro 3.8-4 billionSteag operation in emerging markets like Columbia, Philippines and Turkey . Indian companies to purchase there are no synergies as power is a localized business and cash flows depends on demand and supply in country. For overseas acquisition depend on cheap finance and cheap assets with better cash flows.
WIPRO Q2 RESULT'S DISSAPPOINT
India's No.3 outsourcing firm Wipro Ltd under performed & sending its shares down more than 5%.
As with Economic Uncertainty & Currency Volatility are the biggest Challenges that these IT companies would face in near term.
However competitors Tata Consultancy Service Ltd rose as much as 5.8 % to a record high forecast -beating profit.
“ Macro Economics continues to be Uncertain whereas Micro Economic has a high degree of confidence” says Wipro chairman Azim Premji.
Wipro shares have fisen about 11% in the year versus a 19% jump in the sector index and a 16% rise in broader Mumbai market.
International news -
Google launches music player download service in India-
Google launched a music service in India to help users to search for legal online streams and downloads,a move aimed at combating digital piracy.
The US giant with 3 other partners have thousands of indian tracks, from Bollywood to Indian classical.
The three partners are Saregama India Ltd.,Saavn and In.com.
Google hopes that this effort of providing online music to the users will help to reduce the level of piracy. Google is also eager to build up broadband usage in India and sees music -which is the subject of large percentage of searches in the country.
The partners hope the deal will bring an influx of traffic to theis websites which user will be able to click through to from Google's search results. These partners will hope to increase their revenue through online advertisements.
Fresh MoU prunes sweat equity, may give new lease to Kochi IPL
Rendezvous Sports World Pvt. Ltd has reduced its shareholding in the Kochi franchise of the Indian Premier League (IPL) from the original 26% to 10%.
A new memorandum of understanding (MoU) has been signed by all the shareholders and the franchise has been renamed as Kochi Cricket Pvt. Ltd, three persons in the know of the developments who did not want to be identified confirmed.
The six investors in the Kochi franchise were Rendezvous Sports World (26%; 25% was sweat equity), Anchor Group (27%), Parinee Developers (26%), Film waves (12%), Anand Shyam (8%) and Vivek Venugopal (1%).
Five of the investors had come together and demanded that Rendezvous Sports dilute its holding to 10%. However, the investor refused to comply, leading to a deadlock. The officials of Rendezvous Sports did not respond to queries.
Auto news
JRL launches armoured vehicles
Tata Motors owned Jaguar Land Rover(JRL) launched a new armoured range of land rover and discovery sport utility vehicle with indicative price of rs.4.75 crore and rs.3.75 crore respectively.
PM to meet Wen in Hanoi amid rising tensions
After seeing a conflict between India and China, both countries’ prime minister is going for meet next week trying to reduce the differences between two countries. The meeting between Manmohan Singh and Chinese prime minister wen jiabao will take place after Manmohan Singh’s visit to Malaysia and Japan where he announces the key cooperation pact.
SC stays hike in spectrum usage charge
The Supreme Court on Friday stayed an order of the Telecom Disputes Settlement and Appellate Tribunal (TDSAT) that allowed a hike in usage charges for radio spectrum, but asked petitioners Bharti Airtel Ltd, Vodafone Essar Ltd and Idea Cellular Ltd to deposit 50% of the increased fees with the tribunal.
The apex court also asked the firms to furnish bank guarantees for the remaining 50%. The deposits and the guarantees have to be furnished within two weeks, it said.
On 25 February, the department of telecommunications (DoT) had increased spectrum usage charge from 2-6% to 3-8% of the adjusted gross revenue (AGR) based on the quantum of spectrum being used by the telcos..
AGR refers to the revenue of the mobile telephony firms after deducting items such as interconnection charges and service tax that does not accrue directly to them.
Vodafone has to pay `135 crore while Idea and Bharti have to pay `220 crore each due to the hike in the charges.
The operators contested the DoT decision at TDSAT, arguing that there was a contractual agreement between them and the government in which the rates for air waves are fixed, and therefore cannot be altered.
TDSAT has decided on September that the government was within its rights to increase fees. The firms then took the matter to the Supreme Court.
“The hike in spectrum did not lead to an increase in tariffs due to the ongoing tariff war in the country but led to an additional squeeze on the margins of the operators,“ a Mumbai-based analyst with a multinational brokerage said on condition of anonymity because he is not authorized to speak with the media. The wireless operators were seeing a payout of as much as `500 crore per quarter, he added.
Bharti, India's largest telecom firm, said at the end of its first quarter results that its net profit declined about `104 crore due to the increased charges.
RAGHURAJ SINGH
RAHUL SINGH
Section - H
EXPANSION PLAN
Hindujas look to buy stake in German power company Steag
Hinduja group has submitted a bit to acquire 5th largest power production in Germany. The acquisition will give $ 23 billion London headquarter to management capabilities and technology could be transformed to India rs 45000 Cr to build 10,000 MW of capacity. Hinduja national power corp. Ltd is building 1040 MW coal based power plant in Visakhapatnam ,Andra pradesh and is on final stage typing finance. The others in the race are energetic by Prumyslovy Holding of Czech Republic, Remondis AG of germany and park holding of turkey winner will be decided in November.
Steag has 9400MW in germany out of that 7700MW is in Germany rest is in Turkey,Columbia and Philippines. Hinduja's advisedly BNP Paribas and JP Morgan Chase & Co. Investment banker to Evonik Industries. Value of steag AG is between Euro 3.8-4 billionSteag operation in emerging markets like Columbia, Philippines and Turkey . Indian companies to purchase there are no synergies as power is a localized business and cash flows depends on demand and supply in country. For overseas acquisition depend on cheap finance and cheap assets with better cash flows.
WIPRO Q2 RESULT'S DISSAPPOINT
India's No.3 outsourcing firm Wipro Ltd under performed & sending its shares down more than 5%.
As with Economic Uncertainty & Currency Volatility are the biggest Challenges that these IT companies would face in near term.
However competitors Tata Consultancy Service Ltd rose as much as 5.8 % to a record high forecast -beating profit.
“ Macro Economics continues to be Uncertain whereas Micro Economic has a high degree of confidence” says Wipro chairman Azim Premji.
Wipro shares have fisen about 11% in the year versus a 19% jump in the sector index and a 16% rise in broader Mumbai market.
International news -
Google launches music player download service in India-
Google launched a music service in India to help users to search for legal online streams and downloads,a move aimed at combating digital piracy.
The US giant with 3 other partners have thousands of indian tracks, from Bollywood to Indian classical.
The three partners are Saregama India Ltd.,Saavn and In.com.
Google hopes that this effort of providing online music to the users will help to reduce the level of piracy. Google is also eager to build up broadband usage in India and sees music -which is the subject of large percentage of searches in the country.
The partners hope the deal will bring an influx of traffic to theis websites which user will be able to click through to from Google's search results. These partners will hope to increase their revenue through online advertisements.
Fresh MoU prunes sweat equity, may give new lease to Kochi IPL
Rendezvous Sports World Pvt. Ltd has reduced its shareholding in the Kochi franchise of the Indian Premier League (IPL) from the original 26% to 10%.
A new memorandum of understanding (MoU) has been signed by all the shareholders and the franchise has been renamed as Kochi Cricket Pvt. Ltd, three persons in the know of the developments who did not want to be identified confirmed.
The six investors in the Kochi franchise were Rendezvous Sports World (26%; 25% was sweat equity), Anchor Group (27%), Parinee Developers (26%), Film waves (12%), Anand Shyam (8%) and Vivek Venugopal (1%).
Five of the investors had come together and demanded that Rendezvous Sports dilute its holding to 10%. However, the investor refused to comply, leading to a deadlock. The officials of Rendezvous Sports did not respond to queries.
Auto news
JRL launches armoured vehicles
Tata Motors owned Jaguar Land Rover(JRL) launched a new armoured range of land rover and discovery sport utility vehicle with indicative price of rs.4.75 crore and rs.3.75 crore respectively.
PM to meet Wen in Hanoi amid rising tensions
After seeing a conflict between India and China, both countries’ prime minister is going for meet next week trying to reduce the differences between two countries. The meeting between Manmohan Singh and Chinese prime minister wen jiabao will take place after Manmohan Singh’s visit to Malaysia and Japan where he announces the key cooperation pact.
SC stays hike in spectrum usage charge
The Supreme Court on Friday stayed an order of the Telecom Disputes Settlement and Appellate Tribunal (TDSAT) that allowed a hike in usage charges for radio spectrum, but asked petitioners Bharti Airtel Ltd, Vodafone Essar Ltd and Idea Cellular Ltd to deposit 50% of the increased fees with the tribunal.
The apex court also asked the firms to furnish bank guarantees for the remaining 50%. The deposits and the guarantees have to be furnished within two weeks, it said.
On 25 February, the department of telecommunications (DoT) had increased spectrum usage charge from 2-6% to 3-8% of the adjusted gross revenue (AGR) based on the quantum of spectrum being used by the telcos..
AGR refers to the revenue of the mobile telephony firms after deducting items such as interconnection charges and service tax that does not accrue directly to them.
Vodafone has to pay `135 crore while Idea and Bharti have to pay `220 crore each due to the hike in the charges.
The operators contested the DoT decision at TDSAT, arguing that there was a contractual agreement between them and the government in which the rates for air waves are fixed, and therefore cannot be altered.
TDSAT has decided on September that the government was within its rights to increase fees. The firms then took the matter to the Supreme Court.
“The hike in spectrum did not lead to an increase in tariffs due to the ongoing tariff war in the country but led to an additional squeeze on the margins of the operators,“ a Mumbai-based analyst with a multinational brokerage said on condition of anonymity because he is not authorized to speak with the media. The wireless operators were seeing a payout of as much as `500 crore per quarter, he added.
Bharti, India's largest telecom firm, said at the end of its first quarter results that its net profit declined about `104 crore due to the increased charges.
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