Gold remains weak on global cues, subdued demand

Extending losses for the second day, gold prices today declined by another Rs 35 to Rs 28,725 per ten gram in the national capital, largely in tune with a weak trend overseas amid easing demand from jewellers. 

Traders said apart from fall in demand from jewellers and stockists, a weak trend in global markets with investors weighing tensions in the Middle East and Ukraine mainly kept pressure on gold prices. 

Gold in Singapore, which normally sets price trend on the domestic front, fell by 0.3 per cent to USD 1,305.28 an ounce and silver by 0.2 per cent to USD 19.86 an ounce. 
In Delhi, gold of 99.9 and 99.5 per cent purity eased by Rs 35 each to Rs 28,725 and Rs 28,525 per ten gram respectively. It had lost Rs 340 in the previous session. 

Sovereign remained steady at Rs 24,800 per piece of eight gram. 

Tracking gold, silver ready also declined by Rs 50 to Rs 44,000 per kg and weekly-based delivery by Rs 150 to Rs 43,430 per kg. The white metal had lost Rs 650 in last trade. 

Silver coins, however, continued to be asked at last level of Rs 77,000 for buying and Rs 78,000 for selling of 100 pieces. 

Europe shares bounce back as fears of Ukraine escalation ease

European shares rose in early trade on Monday, bouncing back from a sharp two-week slide and tracking a rally on Wall Street, after investors deemed Moscow was not about to send troops into Ukraine - a move which would intensify sanctions. 

Late on Friday, Russia's Defence Ministry said it had ended military exercises in southern Russia which the United States had criticised as a "provocative" step, sparking a sharp rally on Wall Street. 

Germany's DAX outperformed on Monday, up 1.4 per cent, with Daimler up 2.2 per cent and Adidas up 1.2 per cent. German companies are seen as the most vulnerable to tensions between the West and Russia because of the strong economic links between the two nations. 

The situation on the ground remains uncertain, though, meaning any relief rally could be fragile. 

Bosch Q2 net up 21.85 per cent at Rs 306.68 crore

Auto component maker Bosch today posted a 21.85 per cent in its net profit at Rs 306.68 crore for the quarter ended June 30, 2014. 

The company had posted a net profit of Rs 251.68 crore in the same period of the previous fiscal. 

Net sales of the company rose 3.61 per cent to Rs 2,354.61 crore during the second quarter.

The company follows the January-December financial year. Overall expenses during the quarter increased 1.15 per cent to Rs 2,052.24 crore, as against Rs 2,028.74 crore in the same period a year ago. 

Bosch shares were trading at Rs 13,772 apiece on the BSE, up 1.63 per cent from its previous close. 

Bank of India raises Rs 2,500 crore from bonds

 State-owned Bank of India (BoI) has raised Rs 2,500 crore from Tier I bonds to fund its business expansion plans. 

Funds have been raised through Basel III compliant Tier-1 bonds by way of private placement of Rs 1,250 crore with a green shoe option of Rs 1,250 crore, BoI said in a statement today. 

These bonds will be listed on the wholesale debt market (WDM) segment of the NSE, it said. 

BoI reported a 16.39 per cent drop in its net profit to Rs 806 crore in the June quarter. 

The bank had posted a net profit of Rs 964.18 crore during the corresponding quarter in the previous fiscal. 

Total income of the bank increased to Rs 11,328.73 crore for the quarter ended June 30, from Rs 9,722.01 crore in the year-ago period. 

Godrej Industries gains over 3% on strong Q1 results

Shares of Godrej Industries gained over 3 per cent in trade after the company reported 45.91 per cent jump in consolidated net profit to Rs 77.70 crore for the quarter ended April-June 2014. 

It had reported a net profit of Rs 53.25 crore in the corresponding quarter last fiscal. 

Net sales of in quarter ended June 2014 rose to Rs 2,290.88 crore in Q1, 2014-15, up 23.67 per cent as compared to Rs 1,852.4 crore in the same period last fiscal. 

Rupee up 13 paise against the US dollar

The rupee strengthened by 13 paise to 61.02 against the dollar in early trade at the Interbank Foreign Exchange market today on increased selling of the American currency by exporters and banks. 

Besides, the dollar's weakness against other currencies overseas and a higher opening in the domestic equity market also supported the rupee 

The rupee had gained seven paise to close at 61.15 on Friday on suspected RBI intervention in the forex market. 

Adani Enterprises jumps on April-June earnings

Shares of Adani Enterprises opened with a gap-up and surged over 5 per cent in early trade after the company announced its first quarter results last Saturday. 

The company posted consolidated net profit of Rs 556.74 crore for the quarter ended June 30, 2014 as compared to a net loss of Rs 278.30 crore in the corresponding quarter last fiscal. 

Total Income increased to Rs 16671.55 crore in June, 2014 quarter as against Rs 11835.54 crore in year-ago period. 

Meanwhile, the company has set aside about Rs 126 crore as payment to authorities on account of delay in starting commercial operations of its Tiroda thermal power plant in Maharashtra. 

The third 660 MW unit of the project was commissioned in June last year. The company intends to sell power from this plant under the long term PPAs (power purchase agreements) as well as in the open market. 

Gold dips on firmer equities; Middle East

Gold slipped further from a three-week high on Monday as investors eyed firmer equity markets and outflows from the world's top bullion fund, but held above $1,300 an ounce on concern over the Middle East and Ukraine. 

Spot gold fell 0.2 per cent to $1,306.30 an ounce by 0348 GMT, after hitting a three-week high of $1,322.60 on Friday. U.S. gold slipped about $3 to $1,307.80. 

Physical buying in top consumers China and India has also been sluggish, while strong economic data in the United States has stoked fears of a tightening in monetary policy. 

Brent holds above $105, Iraq oil output steady despite conflict

Brent crude hovered above $105 a barrel on Monday, dropping from a one-week high hit on Friday, as U.S. intervention in Iraq eased concerns over the risk of disruption to supply from OPEC's second-largest producer. 

U.S. air strikes on Islamic State targets in northern Iraq over the weekend could help enforce stability in Iraq, curbing the risk of supply disruptions. Iraqi Kurdistan said on Friday that its oil output remained unaffected. 

September Brent crude had edged up 3 cents to $105.05 a barrel by 0329 GMT. The contract jumped more than $1 to hit a weekly high of $106.85 on Friday before settling 42 cents lower. 

U.S. crude gained 21 cents to $97.86 a barrel. 

RBI to transfer Rs 52,679 crore surplus profit to government

The Reserve Bank will transfer to the Centre its surplus profit of Rs 52,679 crore, about 60 per cent more than the amount given last year. 

"The Central Board of Directors of the Reserve Bank of India...approved the transfer of surplus amounting to Rs 526.79 billion for the year ended June 30, 2014 to the Government of India," the central bank said in a statement adding the transfer will take place today. 

Last year, the RBI had transfered its Rs 33,010 crore surplus profit to the Centre. 

The amount will provide some help to the government, which proposes to bring down the fiscal deficit to 4.1 per cent of GDP this fiscal from 4.5 per cent last year.