Sensex, Nifty pare gains

Pharma, Infra and metal stocks continue to remain firm; Lupin surges over 4.5%. 

After exhibiting a steady movement for more than three hours, the key benchmark indices have pared some more gains in late noon deals.

The Sensex is now up 72-odd points at 28,694, as against the day's high of 28,979. The NSE Nifty is up 25-odd points at 8,711.

The India VIX (Volatility) index has declined over 6 per cent to 14.5575.

The CNX Pharma index remains firm with a gain of over 2 per cent at 13,008. The Infra and Metal indices are also up over a per cent each at 3,300 and 2,418, respectively.

Lupin has extended gains and is now up 4.5 per cent at Rs. 1,959. Asian Paints and Tata Steel have also surged nearly 4 per cent each to Rs. 845 and Rs. 344, respectively.

Gail India has rallied nearly 3 per cent to Rs. 393. Sun Pharma, NTPC, Larsen & Toubro, TCS, Cipla, NMDC and Wipro are the other major gainers.

On the flip side, Punjab National Bank and BPCL have slipped over 1.5 per cent each to Rs. 166 and Rs. 760, respectively.

Tech Mahindra has declined 1.5 per cent to Rs. 690. Bank of Baroda and HCL Technologies are down a per cent each.

A total of 38 stocks have registered a fresh 52-week high so far in trades on the NSE, while 43.

Prominent stocks at 52-week high are Aurobindo Pharma, Bosch, Dabur India, Elecon Engineering, Gillette India, GSK Healthcare, Hitachi Home and Life Solutions, HSIL, Kalyani Investment Company, KRBL, Kaveri Seed Company, Lupin, Mangalam Drugs, Page Industries, PC Jeweller, Pidilite Industries, Rajesh Exports, Ramco Systems Ranbaxy Labs, RPG Life Sciences, Shasun Pharma, Strides Arcolab, Sun Pharma, Triveni Turbine, WABCO India, Wanbury, Wockhardt and Zydus Wellness.

Amtek India, Arvind Remedies, Autoline Industries, Bhushan Steel, Dwarikesh Sugar, Elder Pharma, Globus Spirits, GTL, Indian Metals & Ferro, Jyoti Structures, Man Industries, Mold-Tek Packaging, Phoenix Lamps, Shree Renuka Sugars, Sterling Biotech, Thiru Arooran Sugars, Uttam Value Steels, Varun Shipping and Venus Remedies are the notable stocks to hit a fresh 52-week low. 

Swiss National Bank leaves monetary policy unchanged

The interest rate on sight deposits with the SNB remains at –0.75% and the exemption thresholds remain unchanged, says Swiss National Bank

The Swiss National Bank (SNB) is leaving the target range for the three-month Libor unchanged at between –1.25% and−0.25%. The interest rate on sight deposits with the SNB remains at –0.75% and the exemption thresholds remain unchanged. Negative interest helps to make it less attractive to hold investments in Swiss francs. Overall, the Swiss franc is significantly overvalued and should continue to weaken over time.

The SNB will continue to take account of the exchange rate situation, and its impact on inflation and economic developments, in formulating its monetary policy. It will therefore remain active in the foreign exchange market, as necessary, in order to influence monetary conditions.

The SNB’s conditional inflation forecast has been adjusted substantially downwards compared to the December forecast. Together with the sharp fall in oil prices, the appreciation of the Swiss franc since the minimum exchange rate was discontinued moves inflation further into negative territory for a short period.

For 2015, the SNB has revised its inflation forecast downwards by 1% percentage point to −1.1%. Inflation reaches its low point in the third quarter of 2015, at –1.2%. Thereafter, forecast inflation rises more rapidly than in the December forecast, due to the interest rate reductions since the last monetary policy assessment. Nevertheless, in 2016, inflation will amount to –0.5%, which is 0.8 percentage points lower than in the December forecast. Not until 2017 will inflation move into positive territory again, at 0.4%. The conditional forecast assumes that the three-month Libor remains at –0.75% over the entire forecast horizon, and that the Swiss franc weakens.

The global economic recovery is continuing. In the fourth quarter of 2014, growth in the US remained above potential. The favourable momentum of the economy there is also reflected in the sound growth in employment. The economy picked up somewhat in the euro area. This was primarily due to strong quarterly growth in Germany. In Japan, too, demand increased.

Consumer price inflation edged down worldwide due to lower oil prices. In many advanced economies, inflation moved into negative territory at the beginning of 2015

Aurobindo Pharma receives USFDA tentative approval for Lacosamide, stock trade higher

Aurobindo (incl. Aurolife) now has a total of 193 ANDA approvals (165 Final approvals and 28 Tentative approvals) from USFDA.

Aurobindo Pharma Limited announced that US Food & Drug Administration (USFDA) has granted the tentative approval for Lacosamide Tablets 50mg, 100mg, 150mg and 200mg (ANDA 204994).

Lacosamide Tablets are the generic equivalent of USB Inc’s Vimpat® Tablets and used in the treatment of partial-onset seizures in patients with epilepsy aged 17 years and older with a market size of approximately US$ 593 Million for the twelve months ending January 2015 according to IMS.

This ANDA contains a Paragraph IV certification and is currently under litigation in the United States District Court for the District of Delaware [UCB Inc, UCB Pharma GMBH Research Corporation Technologies Inc. and Harris FRC Corporation v. Aurobindo Pharma Ltd. and Aurobindo Pharma USA Inc, Civil Action No. 1:13-cv-01210-UNA].

Aurobindo (incl. Aurolife) now has a total of 193 ANDA approvals (165 Final approvals and 28 Tentative approvals) from USFDA.

At 2:28 PM, the stock were trading higher 2.3% at Rs.1,272. The stock has hit a high of Rs. 1,279 and a low of Rs.1,250.

Total traded quantity on the counter stood at over 1.05 lk shares on BSE.

Meanwhile, the benchmark BSE Sensex is trading at 28,707 up 85 points

MF houses seek tax sops for pension products

The Budget has made an additional tax break of Rs. 50,000 into the NPS investment

Mutual fund houses have said that tax benefits for retirement products should be provided on the lines of the New Pension System (NPS) as they are planning to enter pension funds sector, according to a media report.

The Budget 2015-16 has made an additional tax break of Rs. 50,000 into the NPS investment under section 80CC(D) of the Income Tax Act 1961.

Currently, three MF houses, out of a total of 45, are having products in the pension segment. These include UTI MF, Franklin Templeton and Reliance Mutual Fund.

The central government had launched New Pension System (NPS) on 1st May 2009 and Pension Fund Regulatory and Development Authority (PFRDA) is the regulator.

Xpress Money launches Direct Account Credit services to India

The brand has introduced the ‘Direct Account Credit’ service, which allows customers to send money directly to any bank account in India, making money transfer even more convenient for both the sender and receiver. 

Xpress Money, one of the world’s most dependable money transfer brands, added a new mode of money transfer for its customers sending money to India. The brand has introduced the ‘Direct Account Credit’ service, which allows customers to send money directly to any bank account in India, making money transfer even more convenient for both the sender and receiver. Introduced from UK, Greece, Belgium, Ireland, Romania, Cyprus, Italy, Spain, Denmark, Sweden, France, Malta, Turkey, Germany, Netherlands, Gibraltar and Norway in the initial phase, the brand has plans to roll out this service in other markets that have a large Indian diaspora.
 
To avail of this service, a customer can walk into any Xpress Money location in the mentioned countries and ask for the money to be sent to their beneficiary’s account through the ‘Direct Account Credit’ service. Once the transaction has been processed, the amount will be credited to their beneficiary’s account within 24 to 48 hours. The remitter also will receive an SMS confirmation, as soon as the money is credited to the selected account, ensuring a hassle-free transaction. Beneficiaries can choose to withdraw the remitted money from close to 150,000 ATMs in India, or from their designated bank branches in the country.
 
Sudhesh Giriyan, COO, Xpress Money, says, “Indian migrants, the world over, regularly send money to their loved ones back home, making India the largest recipient of remittances in the world. India also has a robust and extensive banking network that facilitates the remittance receiving process. Thousands of Indian migrants living in these countries, remit money regularly; it is therefore imperative that we offer our customers different options to choose from, while remitting money to their loved ones, here in India. The Direct Account Credit service is not only convenient but also encourages saving, as beneficiaries here can withdraw only the required amount while the rest can be saved in the account. As a brand, we aim to provide hassle-free and efficient money transfer facilities to all our customers across the world.

Spectrum Auctions! Windfall gains for Government

CARE Ratings expects that the operators will further leverage themselves, while the consumers will have to bear the brunt of tariff hikes which will become inevitable for the operators to realise returns on these huge investments.

With the 2015 auctions of spectrum reaching their final phase with aggressive bidding being seen across the frequency bands, the government is set for a windfall gain which will be even higher than what the government realised during its most successful spectrum auctions of 2010. The spectrum offered for bidding includes frequencies in the 800 MHz, 900 MHz, 1,800 MHz and 2,100 MHz bands

In the earlier auctions, the spectrum on offer was either freshly released by the government or became vacant as a result of the order of Supreme Court, while these auctions, especially for spectrum in 900 MHz and 1,800 MHz bands, are for spectrum which is currently in use by the operators whose 20-year licenses are slated to expire in the next few months. The high bids are therefore not surprising as these operators face the unenviable task of protecting their large investments and revenue streams from these circles for which the auctions are happening.

CARE Ratings expects that the operators will further leverage themselves, while the consumers will have to bear the brunt of tariff hikes which will become inevitable for the operators to realise returns on these huge investments.

Tech Mahindra trades ex-bonus-cum-split

The stock is down 1.4 per cent in morning trade.

Tech Mahindra is trading in the negative zone after been adjusted for the bonus-cum-split.

The company had fixed 20 March, 2015, as the record date for its 1:1 bonus issue and 2:1 stock split, each stock with the face value of Rs. 10 to be sub-divided into two equity shares of Rs. 5 each.

The stock touched a low of Rs. 687 at the opening bell, thereafter recouped losses and rebounded into the positive zone to touch a high of Rs. 701.

The stock is now down 1.4 per cent at Rs. 690. The counter has seen trades of around 394,000 shares so far on the BSE.

Meanwhile, the Sensex has gained 278 points at 28,900. 

Axis Bank surges in early trade

The stock has surged nearly 3 per cent to Rs. 595.

Axis Bank has surged nearly 3 per cent to Rs. 595 in early trade on back of positive momentum in the market.

According to reports, the bank has also announced a 25 basis points cut in deposit rates.

The stock is now trading at the highest point of the day, and around 204,000 shares have changed hands at the counter on the BSE.

Meanwhile, the Sensex has soared 323 points to 28,945. 

Brand Trust Report: Google leads for 5th year; Facebook falls; Twitter misses the bus

The online shopping portals increasing popularity indicate a rising usage of online shopping as a definitive medium of shopping, given its convenience and cost advantages. 

For the fifth consecutive year, Google, the American multinational specializing in internet-related services and products has been declared the Most Trusted Internet Brand by The Brand Trust Report, India Study, 2015.Amazon, the online shopping portal, saw a new appearance in the 2015 trust rankings coming in at 146^th rank overall and 2^nd rank in the Internet category. Snapdeal grabbed the third position in the Internet category jumping 917 ranks to 174^thrank across India. The online shopping portals increasing popularity indicate a rising usage of online shopping as a definitive medium of shopping, given its convenience and cost advantages. Flipkart rose nearly 900 ranks to overall rank 212^nd. This rising popularity however does not manifest in other internet related categories - a startling example being the social networking website Facebook, which sees a decline of 12 ranks in 2015.

 
These revelations were a result of The Brand Trust Report, India Study - 2015, the fifth in its series, published by TRA (formerly known as Trust Research Advisory), a leading research organization dedicated to brand analytics. This year’s study involved 13000 hours of fieldwork covering 2373 consumer-influencers across 16 cities in India and generated 5 million datapoints and 19,000 unique brands from which the top 1000 brands have been listed in this year’s report. The 190 page, hardbound report is available for Rs. 14000/-. 
 
Commenting on this sudden flurry of activity in the internet category, N. Chandramouli, CEO, TRA stated, “The medium of internet is completely disruptive and it not surprising that the e-brands see upheavals in trust also. Something new is happening all the time and engaging consumers has never been so challenging as well as exciting before this. Internet brands today need to be very careful given that there are online conversations happening beyond the knowledge and control of the brand. There is always something new happening. This year there are some new entrants to the trust list in the internet category such as RedBus.in in Online bus booking, Zivame in Online lingerie store and Hopscotch.in in Online baby products.” 
 
Notable mention is the 592 rank fall that is seen by Yahoo, a brand once the closest competition to Google. Wechat and Line, social networking apps too have not made an impact while the only surviving brand in the category WhatsApp falls by 200 ranks. Social media platform Twitter is a no-show in this year’s listings.

L&T bags orders worth Rs. 1255 Crores

The stock was up 2% at Rs 1728.

L&T Construction has bagged Orders worth Rs. 1255 Crores.

The stock was up 2% at Rs 1728.

The stock has hit a high of Rs 1729 and a low of Rs 1716.

Total traded quantity on the counter stood at over 0.30 lk shares. 

Spectrum auction: Vodafone to pay back Reliance Jio

The overall bids reached Rs. 107,709 crore as auctions entered the last leg 

After Reliance Jio Infocomm pushed Vodafone India, Bharti Airtel and Idea Cellular into a bidding war for the 900 MHz band, Vodafone India is planning to pay back Jio as the spectrum auction enters its last leg, according to a media report.

The overall bids reached Rs. 107,709 crore as auctions entered the last leg, the report added.

Earlier, Jio had pushed Vodafone, Airtel & Idea into a bidding war for 900 MHz airwaves, the report further said.

Now, Vodafone with the support of its UK-based parent is using the same strategy against Jio. It has pushed up prices of 800MHz band sought by Jio to deploy 4G.  

Good Health! Wockhardt soars to fresh 52-week high

The stock has rallied 5.5 per cent in early deals on clean chit from the US FDA L1-Chikalthana plant inspection. 

Wockhardt rallied nearly 5.5 per cent to hit a fresh 52-week high at Rs. 1,980 this morning on the back of positive news flow.

According to a release issued by the company to the BSE, Wockhardt has reported that the US FDA reported No findings with regards to its inspection on data security at L1-Chikalthana.

The stock is now up 3.9 per cent at Rs. 1,953. The counter has seen trades of around 90,000 shares as against the two-week daily average volume of around 286,000 shares on the BSE.

Meanwhile, the Sensex has surged 186 points to 28,808 

Sensex, Nifty spike at start

The BSE Mid-cap Index is trading up 0.76% at 10,932, whereas BSE Small-cap Index is trading up 0.68% at 11,238. 

The market’s happy expectations, even if temporary have come like a dove from the Fed. The word patience is dropped from commentary even as Fed Chair Janet Yellen says, the modification of the forward guidance should not be read as indicating that the committee has decided on the timing of the initial increase in the target range for the federal funds rate.  So the room is now wide open for a hike in rates in the next couple of months and there is no surprise here. The Fed has cut its inflation outlook for 2015 and reduced expected US economic growth.



At 9:27 AM, the S&P BSE Sensex is trading at 28,831 up 209 points, while NSE Nifty is trading at 8,733 up 47 points.

The BSE Mid-cap Index is trading up 0.76% at 10,932, whereas BSE Small-cap Index is trading up 0.68% at 11,238.

Axis Bank, Wipro, L&T, TCS, Tata steel and Sesa Sterlite are among the gainers, whereas NTPC and Infosys are losing sheen on BSE.

Global cues are mixed for now. The Dow gained 1.27% and S&P 500 was up 1.21%. Nasdaq closed with gains close to a percent. Asian markets are mostly lower.

The government has firmed up a list of PSUs for divestment of minority stakes in the fiscal beginning next month. Topping the charts is BHEL. TPG Capital has reportedly put its 20% stake in Shriram City Union on the block, says a reports. GTL Infrastructure could be in action again on reports that the promoter is looking at exiting the business.

Tata Sons Chairman  Ratan Tata, bullish on Jaguar Land Rover, hinted at Tatas manufacturing these marquee brands in the country, in Eastern Europe and in the US, according to reports. Tata reported that the group would do more than just assembling these marquee car brands in India.

The delay in implementation of 224 central sector infrastructure projects resulted in cost overruns to the tune of Rs 2.11 lakh crore, government reportedly said.

Domestic natural gas prices are likely to be reduced by over 10% to $5.02 per unit from April 1, according to reports.Report said that the new rate will be around $5.02 per million British thermal unit (mmBtu) as compared to the current price of $5.61.

Power Shift: Govt to strip RBI of power to regulate bonds

The government recently proposed to amend the RBI Act to take away money market regulatory powers from RBI and bring it under the purview of SEBI

The government plans to strip the Reserve Bank of India (RBI) of its powers to regulate government bonds, according to a media report.

The objective is to push financial sector reforms that aim to deepen bond markets by increasing the participation of retail investors, the report further said.

The government recently proposed to amend the Reserve Bank of India (RBI) Act to take away money market regulatory powers from RBI and bring it under the purview of SEBI.

The Finance Bill seeks amends in Sections 45U and 45W of the RBI Act to enable the shift of powers from RBI to SEBI. The proposed amendment to section 45W says: "Any direction issued by the Reserve Bank, in respect of security, under chapter III D of the RBI Act, shall stand repealed." This means that the RBI will cease to regulate government bonds and other money market instruments. These powers were given to the central bank after amending the RBI Act in 2005-06, to enable it better ensure financial stability.

Both these proposals are part of the Financial Sector Legislative Reforms Commission prepared by Justice BN Srikrishna and submitted in March 2013.

Indices to open positive

The market’s happy expectations, even if temporary have come like a dove from the Fed.The Fed has cut its inflation outlook for 2015 and reduced expected US economic growth. 

The market’s happy expectations, even if temporary have come like a dove from the Fed. The word patience is dropped from commentary even as Fed Chair Janet Yellen says, the modification of the forward guidance should not be read as indicating that the committee has decided on the timing of the initial increase in the target range for the federal funds rate.  So the room is now wide open for a hike in rates in the next couple of months and there is no surprise here. The Fed has cut its inflation outlook for 2015 and reduced expected US economic growth.

The outlook is a strong start. The indices could come lower soon as profit booking is bound to happen at higher levels. Global cues are mixed for now. The Dow gained 1.27% and S&P 500 was up 1.21%. Nasdaq closed with gains close to a percent. Asian markets are mostly lower.

The government has firmed up a list of PSUs for divestment of minority stakes in the fiscal beginning next month. Topping the charts is BHEL. TPG Capital has reportedly put its 20% stake in Shriram City Union on the block, says a reports. GTL Infrastructure could be in action again on reports that the promoter is looking at exiting the business.

Tata Sons Chairman  Ratan Tata, bullish on Jaguar Land Rover, hinted at Tatas manufacturing these marquee brands in the country, in Eastern Europe and in the US, according to reports. Tata reported that the group would do more than just assembling these marquee car brands in India.

The delay in implementation of 224 central sector infrastructure projects resulted in cost overruns to the tune of Rs 2.11 lakh crore, government reportedly said. 

Domestic natural gas prices are likely to be reduced by over 10% to $5.02 per unit from April 1, according to reports.Report said that the new rate will be around $5.02 per million British thermal unit (mmBtu) as compared to the current price of $5.61.

Wockhardt shed 2.2 per cent at Rs. 1,878 on reports that the patent office has refused a patent for an oral salt form of diacerein, used to treat osteoarthritis, invented by Wockhardt, on grounds that the claims in the application lack inventive step.

IT stocks led by Wipro and Tech Mahindra were the major losers, down 2 per cent each at Rs. 630 and Rs. 2,807, respectively. 

Yes Bank stock ended 2% higher at Rs. 853. The bank in a filing to BSE yesterday said that the board of directors has approved the proposal to seek approval from the regulators for setting up asset management business.

Cement majors - ACC and Ambuja Cements also declined 2 per cent each to Rs. 1,580 and Rs. 254, respectively. 

Dynamatic Technologies stock hits 10% upper circuit at Rs. 3,316 after the Central Bank (RBI) lifted its ban on fresh purchases of the stock by FIIs. Reports added, that FIIs can now buy up to 25 per cent of the equity stake in Dynamatic Technologies.

VHCL was locked at the 10% upper circuit at Rs. 6.67 after the company fixed 27 March, 2015, as the record date for the proposed 3:1 bonus share issue.

Indigo is planning to launch an initial public offer (IPO) of at least $400 mn or Rs 2,500 crore in first quarter (April-June) of the next financial year (2015-16), according to reports.

Report said that BHEL divestment is likely in April. The Disinvestment Department has completed overseas roadshows for BHEL stake sale in London, Singapore and Hong Kong, says report.

Report said that the sale of over 12.23 crore shares in BHEL would fetch around Rs 3,200 crore to the exchequer.