Telecom shares hit 52-week highs, Nifty ends in Green.

Shares of telecom companies are trading higher for the third straight day with Reliance Communications and Idea Cellular hitting 52-week highs after the Telecom Regulatory Authority of India (TRAI) reduces ceilings for national roaming calls and SMS.

The sector regulator also permitted flexibility to telecom service providers to customise tariffs for national roaming subscribers via Special Tariff Vouchers (STVs) and Combo Vouchers.

Analyst at Edelweiss Securities believes that this announcement as a positive as earlier TRAI had proposed abolition of national roaming charges in view of its intent of moving towards One Nation-Free Roaming.

Among the individual stocks, Reliance Communications made a high of Rs.130.10. The stock has rallied 20% in past three trading sessions compared to a 0.19% drop in benchmark Sensex.

Idea Cellular made gave a high of Rs.150.65, extending its 4.4% rally in past two days.

Bharti Airtel and Tata Teleservices (Maharahastra) were trading higher in the range of 1-3%.
Nifty closed at 5822.25 up by 8.65%.
 Hindalco, SesaGoa, Ambuja Cement, Jindal steel,Tatasteel were among the top gainers.

Tata Coffee commissions new instant coffee plant at Theni

 Tata coffee Limited today commissioned its premium coffee extraction plant at Instant Coffee manufacturing facility at Theni in Tamil Nadu. The new extraction plant, set up with an investment of Rs 80 crore, will help Tata Coffee position its Freeze dried coffee product at premium levels and increase its overall capacity by 30%.

Tata Coffee’s Instant Coffee Division is located 170 kms from Tuticorin port. This facility is a 100% EOU (Export Oriented Unit) with an installed capacity of 4,000 tons per annum. The plant produces and exports spray dried, agglomerated and freeze dried instant coffee. The new extraction plant will add 2,000 tonnes to the existing capacity.
With this, the installed capacity of Tata Coffee’s instant coffee production has gone up to 8,500 tonnes per annum. The company exports over 90% of its instant coffee to Russia, SE Asia, Korea, Japan and Central Europe among other markets.

Freeze dried coffee retains aroma better and gives excellent flavor, colour and appearance to the coffee. The company has also installed a fully automated packaging unit and supplies its instant coffee to several private labels in export markets.

Tata Coffee’s other instant coffee manufacturing plant is located in Hyderabad. The company imports green coffee from around the world and processes at these two plants.

Benign US Inflation Raised Hopes for Longer QE

The focus today is the FOMC meeting and the post-meeting press conference. Wall Street soared as weaker than expected inflation data should give the Fed more room to further stimulus. The DJIA and the S&P 500 indices rose +0.91% and +0.78% respectively. ECB President Draghi stated that the central bank is open-minded on non-standard measures. In the commodity sector, the front-month contract for WTI crude oil price added +0.69% while the Brent crude contract gained +0.52%. Gold slipped further with the benchmark Comex contract dropped to as low as 1360.2, a level not seen on May 23, before ending the day at 1366.9, down -1.17%.

Fed Chairman Ben Bernanke signaled at the Congress' Joint Economic Committee in May that the central bank "could take a step down in the next two meetings" if economic data warrants. His comments resulted in turbulent market reaction although later watered down by other policymakers. The key economic data the Fed is watching are mostly employment and inflation. The May's employment report showed that US payrolls increased +175K, up from the addition of +149K in the prior month. The jobless rate climbed modestly higher to 7.6%. Inflation has remained benign. Headline CPI in May rose +0.1%, following 2 consecutive months of contraction in April and March. On annual basis, inflation rose +1.4% from +1.1% in April. Core CPI stayed unchanged at +1.7% during the month. The Fed would only consider tapering when the number of payrolls reaches an average monthly rate of at least 175K while core inflation stopped moderating further.

Glenmark Generics receives final ANDA approval for Riluzole Tablets, 50mg

             Glenmark Generics Inc., USA the subsidiary of Glenmark Generics Limited has been granted final abbreviated new drug approval (ANDA) from the United States Food and Drug Administration (U.S. FDA) for Riluzole Tablets, 50mg. The Company will commence shipping immediately. Riluzole is indicated for the treatment of amyotrophic lateral sclerosis. Based on IMS Health sales data for the 12 month period ending March 2013, Riluzole garnered sales of USD 64 million.Glenmark’s current portfolio consists of 86 products authorized for distribution in the U.S. marketplace and 52 ANDA’s pending approval with the U.S. FDA. In addition to these internal filings, GGI continues to identify and explore external development partnerships to supplement and accelerate the growth of the existing pipeline and portfolio. 

            Glenmark Generics Limited (GGL) is a subsidiary of Glenmark Pharmaceuticals Limited (Glenmark) and aims to be a global integrated Generic and API leader. GGL has an established presence in North America and developing an EU presence. It primarily sells its FDF products in the United States ("US") and the European Union ("EU"), as well as its oncology FDF products in South America. The Company supplies APIs to customers in approximately 80 countries, including the US, various countries in the EU, South America and India.

Gujarat annual Plan fixed at Rs 59,000 cr

After Andhra Pradesh, Gujarat has raised the issue of pricing and availability of coal and natural gas in a meeting with the Planning Commission. The annual plan for the Gujarat has been fixed at Rs 59,000 crore, higher by 15 per cent from the previous year.

GAS, COAL PRICING

According to sources, Gujarat Chief Minister Narendra Modi, in his meeting with Deputy Chairman of the Planning Commission, Montek Singh Ahluwalia, asked why State utilities of Gujarat have to pay more for the gas and coal produced in the State.

Modi also point out that the Gujarat units are given priority in the allocation of these locally produced fuels. But, ironically, units from outside the State get fuel not only at a cheaper price, but also on priority. Montek is understood to have said that the Planning Commission will take up these issues with the concerned departments. At the same time, he is also believed to have said that price revision of gas and coal can provide a solution to this issue.

After the meeting, Modi announced that Planning Commission has approved Rs 59,000 crore plan for Gujarat, compared to the Rs 58,500 crore sought by the State. However, he sparred with the Centre over social sector development in the State, as he countered the Planning Commission’s assessment that lot more needs to be done.

In the presence of Modi, Ahluwalia said Gujarat needs to do more in social sectors. “There was a lot of discussion on the social sector. I think generally it has been our view that Gujarat needs, in order to bring its social sector performance up to the economic size, to have some special attention to this area,” he remarked. When his turn came, the Gujarat Chief Minister retorted back saying the State spends 42 per cent of its budget on social sector with a moto of “Sabka Saath, Sabka Vikas.”

Bharti Airtel’s arm enters into tie-up with J&K Bank

Bharti Airtel’s subsidiary - Airtel M Commerce Services (AMSL), has entered into a tie-up with Jammu and Kashmir Bank to offer ‘airtel money’ services through the bank’s 800 Khidmat Centres across the state. Through airtel money, the users can load cash on their mobile devices and spend it to pay utility bills, recharge mobile phones, shop at merchant outlets and transact online.

Besides, this alliance marks a unique joint commitment by both the companies towards taking the power of ‘airtel money’ to the masses and further promotes the nation’s financial inclusion agenda.

J&K Bank has taken the Khidmat Centres e-governance project to make information and knowledge reaches all corners of the state as well as to ensure growth for both urban and rural sections of the society.

Increased oil, coal output and restraining gold consumption can contain CAD: FM

In order to  increase production and contain the current account deficit (CAD), Finance Minister P Chidambaram said, the country should get its policies and priorities right as long-term measures and the only way to contain CAD is to increase the domestic production of oil & coal and restrain the consumption of gold.

Chidambaram said the main reason for India's large CAD is that the country has huge dependence on import of certain items like oil, coal and gold. Touching a record high of 6.7% of GDP in the third quarter of 2012-13, India’s CAD is likely to be around 5% in the 2012-13 fiscal. Further, high CAD is also impacting the domestic currency, which recently fell to its lifetime low level of over 58.90 against dollar.      However, as per the apex bank - RBI, India can sustain CAD of around 2.5%.

However, finance minister is of view that India continues to remain a desired destination for FDI and FII, despite recession in major economies. By adding further he said, in spite all probability the government was able to finance the CAD and also added around $3 billion to the forex reserves in 2012-13 and expressed confidence that in 2013-14 also CAD will be financed without dipping into reserves.

Gold could rule flat, pausing for US Fed meet.

Gold prices on domestic and futures market are likely to rule flat on Tuesday as the market looks for direction from a key meeting of the US Federal Reserve. But investors continue to be bearish, further paring their holdings in electronic formats on gold exchange-traded funds.

The US Federal Reserve meets on Tuesday with speculation rife of an imminent paring of pumping cash into the economy. The US Fed buys treasury and other bonds worth $85 billion every month. The speculation has already resulted in the dollar gaining. The movement of the rupee against the Greenback will also have a say on how gold behaves since a weak rupee results in commodities such as gold, crude oil and vegetable oils turning costlier.

In early Asian trade in Singapore, spot gold ruled at $1,384.72 an ounce, while gold futures maturing in August quoted at $1,384.
In the domestic market on Monday, gold for Jewellery (99.5% purity) slipped to Rs 27,840 for 10 gm and pure gold (99.9% purity) to Rs 27, 985.

On MCX, gold August contracts could range between Rs 27,800 and Rs 27,900.
Meanwhile, holdings in the SPDR Gold Trust, the biggest gold-backed exchange-traded product, dropped to 1,003.17 tonnes on Monday, the lowest in 52 months.

Crude Oil

Fears that stockpiles in the US could be lower are likely to drive crude oil up in almost all markets on Tuesday.

It was reflected in early Asian trade where Brent crude for delivery in August was up at $105.59 a barrel, while Western Texas Intermediate crude July contracts rose to $97.84 a barrel.

Oils and Oil-seeds

The oils and oilseeds complex will head lower despite Malaysia reporting higher exports. This is because the weather in the US is conducive to planting more soyabean, while Indian monsoon’s progress is seen positive for soyabean and other oilseeds.

Chicago Board of Trade soyabean for delivery in November quoted at $12.90 a bushel, while crude palm oil in Bursa Malaysia Derivatives Exchange to be delivered in August rose to 2,475 ringgit ($784.5) a tonne in early trade.

Grains complex

Though wheat and corn (industrial maize) slipped last night on favourable weather for the US crop, in early trade CBOT wheat for delivery in September rose to $6.85 a bushel, while corn for delivery in December quoted at $5.40 a bushel.

Rubber

With Thailand, Indonesia and Malaysia, the top three rubber producing nations, not able to decide on curbing exports, rubber is headed lower on fears of supply glut.

On the Tokyo Commodity Exchange, rubber for delivery in November fell to 235 yen or Rs 144 a kg.

Nikkei turns down as market wary ahead of Fed outcome.

Japan's Nikkei average reversed early gains on Tuesday, underscoring the volatility that has roiled the market lately, as investors awaited the outcome of a Federal Reserve meeting for clues on whether it will continue to support the US economy.
 By the midday break, the Nikkei slipped 0.7% to 12,941.80 after trading as high as 13,139.48. It climbed 2.7% on Monday, lifting the index out of a bear market.
 Many investors have been cutting their long Japanese equities and short yen positions on concerns that the Fed will scale back its stimulus this year and after the Nikkei had rallied more than 80 % from mid-November to its 5-1/2 year peak hit on May 23. Since then, trading in Japanese equities has been extremely volatile.

Disappointment over a growth strategy unveiled by the Japanese government recently and worries over slowing growth in China have also contributed to the market tumult.

Underscoring the volatility, since May 23 the Nikkei has had 15 sessions where intraday swings exceeded 2.5%, compared with 16 such trading days for the year up to May 22 and four such days in the whole of 2012. The U.S. S&P 500 only has had one such trading day in 2013, and the Euro STOXX 50 index has 11.

WABAG BAGS INR 262 CRORE ORDER FROM NEPAL.

 VA TECH

WABAG LIMITED, a leading Indian MNC, in a joint venture with Pratibha Industries Limited has won an INR 262 crore order from Melamchi Water Supply Development Board, Nepal. The scope of work comprises
construction of Water Treatment Plant at Sundarijal, Nepal which will
have an initial capacity of 85 MlD and will be designed to be expanded to 170 MlD, and to 510 MLD
at a later stage. The water treatment plant at Sundarijal is part of the Melamchi Water Supply
Project, under the auspices of the Melamchi Water Supply Development Board (MWSDB). The
project has been funded by the Japan International Cooperation Agency (JICA).This Project will treat
water from the Melamchi River and discharge the treated water through pipeline upto battery limits.

  The WABAG Group represents a leading multinational player with a workforce of over 1,500 and has
companies and offices in more than 20 countries. It disposes over unique technological know-how,
based on innovative, patented technologies and long-term experience.