Monday, 12 January 2015

Tata Steel India registers 3% rise in Oct-Dec sales

Shares of Tata Steel was down 1% at Rs395 after its sales from its Indian operation grew by 3.05% at 2.13 million tonnes during the October-December period. The stock has hit a high of Rs400 and a low of Rs393. Total traded quantity on the counter stood at over 1.51 lk shares.

Nifty below 8,300 levels

At 9:22AM, the S&P BSE Sensex is trading at 27,400 down 57 points, while NSE Nifty is trading at 8,274 down 10 points.

The BSE Mid-cap Index was trading down 0.07%, while BSE Small-cap Index was trading flat.

Consumer Durables, FMCF, Healthcare, Teck, IT indices are the gainers, while Power, banking, capital goods, Oil and gas, PSU, metal, realty indices are losers.

GAIL, BHEL, COALINDIA,SUNPHARMA,TATASTEEL, Reliance, Hindalco are among the gainers, whereas HDFC Bank, Infosys, Axis Bank, HUL are losing sheen on BSE.

The Vibrant Gujarat Summit is underway and the Prime Minister is leaving no stone unturned to hardsell India. We will be available to hold your hands whenever you need us, Modi affirmed to the who’s who of India and global statesmen such as US Secretary of State John Kerry and UN Secretary-General Ban Ki-Moon. Indian economy is likely to grow at 6.4% in 2015 and accelerate further in the next year on the back of steps being taken by the Narendra Modi-led NDA government, World Bank President Jim Yong Kim has said.

The government plans to allow resolution of disputes in infrastructure development through arbitration in neutral places like Singapore, London and Malaysia, a step aimed at increasing the confidence of foreign investors in putting money in a sector that is key to economic growth but is struggling due to funds shortage, a report stated.

NTPC is expected to bid in next month's auctions of coal blocks, a top executive has said. The auction follows the Supreme Court's September order cancelling 214 coal blocks over charges of irregularities.

PVR group may acquire Sathyam Cinemas.

Oriental Bank of Commerce plans to raise additional tier-I or equity capital of up to Rs 1,000 crore through private placement of bonds.

Anil Agarwal is looking at merging Cairn India and Hindustan Zinc into Vedanta Group, says a report.

Oberoi Realty is set to raise Rs 650 crore to develop Oasis Tower project in Worli, says a report.

Kansai Nerolac Paints could see action as it will consider stock split later this month.

At the Vibrant Gujarat Summit inauguration function, Reliance Industries Chairman Mukesh Ambani has announced Rs 100,000 crore investment across businesses in the next 12-18 months, according to reports. Report said that the investments will be in expanding petrochemical production capacity as well as in launch the 4G broadband services.

At an award function organised by television news channel, Finance Minister Arun Jaitley said that the government will go for major disinvestment in the next two-and-a-half months. The government will stick to the fiscal deficit target of 4.1% in the current year, added FM. In 2014-15, the government has sold 5 per cent stake in steel major SAIL.

Adani Enterprises Ltd (AEL), the flagship company of the Adani Group, a global infrastructure conglomerate, has signed a Memorandum of Understanding (MoU) with Australian energy major Woodside Energy for cooperation for exploring business opportunities across a broad spectrum in the oil and gas sector in India, as part of the Vibrant Gujarat initiative.

Kumar Mangalam Birla reportedly said the Aditya Birla Group will invest Rs 20,000 crore over a period of time in the state to ramp up capacities across various existing facilities.
"We will be continuing to grow our businesses. On the anvil are brownfield expansions at our cement plant in Sevagram, says Birla.

According to SIAM, The industry produced a total of 1,850,616 vehicles including passenger vehicles, commercial vehicles, three wheelers and two wheelers in December 2014 as against 1,741,237 in December 2013, registering a growth of 6.28 percent over the same month last year.

The movement in the rupee value is not in line with improvements in the fundamentals of Indian economy, says India Ratings & Research. The twin deficits are no longer a threat to macroeconomic stability, as inflation is following the glide path. Also, capital inflow is in excess of the requirements to fund current account deficit. The economy is thus likely to achieve 5.6% growth in FY15.

Shares of SpiceJet Ltd has hit 10% upper circuit at Rs18 on reports that potential investors in the airliner, led by former promoter Ajay Singh, have submitted a rescue plan for the airline to the civil aviation ministry.

Infosys stock ended 5% upper circuit at Rs2073 after company reported net profit growth for the quarter and maintained its full-year guidance of 7-9%

Infosys Ltd has announced that the Company announced that Parvatheesam Kanchinadham, Chief Risk & Compliance Officer and Company Secretary, will be leaving the Company effective January 10, 2015.

ABB has won an order worth about Rs.256 crore from Ceylon Electricity Board (CEB) to supply two new 220-kilovolt (kV) substations and upgrade an existing substation in Sri Lanka.The order was booked in the quarter ending December 2014 by ABB India.The stock down 2% at Rs1267.

Cabinet will decide on reserve price for 2,100 MHz by Jan 15, report says. - See more at: http://www.indiainfoline.com/article/news-top-story/nifty-below-8-300-levels-115011200029_1.html#sthash.J6VCiWCX.dpuf

Friday, 9 January 2015

Top corporate news of the day - January 09, 2015

SAIL has charted investment of Rs.1500bn till 2030-31 to ramp up steel production from 23mn tonnes to 50mn tonnes.
 
The Maharashtra Food & Drug Administration has issued an order to suspend two drug licenses of Dr Reddy's Laboratories for violations and serious lapses at its storage premises at Bhiwandi near Thane.
 
Shareholders of Kotak Mahindra Bank gave their approval to merge ING Vyaya Bank with itself.
 
Mahindra Two Wheelers Limited is working on several models and expects to launch its much awaited Mojo super bike early next financial year.
 
Reliance Industries has finalised its 2015 gasoil and jet fuel term contracts at lower premiums than last year.
 
Suzlon Energy said that the wind turbine maker was in talks with potential buyers for an about $2.5bn sale of its German unit was "baseless and false".
 
Deepak Fertilisers, which sold its 2.2% stake in Mangalore Chemicals, is low on fuel to pursue the takeover battle of Mangalore Chemicals and Fertiliser as it's facing sagging financial metrics for the last one year due to stoppage of gas supply at its plant. 
 
Infrastructure Leasing and Financial Services Ltd is set to invest about Rs.350bn for setting up 6,000 MW of power generation capacities in Kutch – Gujarat. 
 
The Government will go for its stake sale in ONGC after finalising a new subsidy sharing formula as it would help in fetching better price in the market.
 
Moody's has upgraded Tata Steel Ltd’s corporate family rating to Ba1 with a stable outlook.

Top economic news of the day - January 09, 2015

The government revised downward its estimate of coffee production by 4% to 0.33mn tonnes for this year, citing crop damage in Karnataka, Andhra Pradesh and Odisha due to continuous rain after dry spell and 'Hud Hud' cyclone.

The ambitious ultra mega power project scheme has received a set back with centre cancelling the bids for the two proposed plants at Odisha and Tamil Nadu due to tepid private sector response and funding issues raised by bankers.

Cotton Corporation of India has procured 4.1mn bales of cotton so far this year at the minimum support price from key growing states like Andhra Pradesh and Maharashtra.

An inter-ministerial panel has requested the Telecom Regulatory Authority of India to take up the role or suggest if there is a need for a separate regulator for e-commerce.

Nifty above 8,300 levels

At 9:23 AM, the S&P BSE Sensex is trading at 27,477 up 202 points, while NSE Nifty is trading at 8,299 up 65 points.

The BSE Mid-cap Index and BSE Small-cap Index was trading up at 1%.

Auto, Consumer Durables, Power, banking, capital goods, FMCG, Oil and gas, healthcare metal, realty indices are the gainers.

Infosys could clock constant currency revenue growth of 2 to 2.5% qoq while the reported dollar revenues could be flat. Adverse cross currency movement and a weaker‐than‐expected core revenue momentum may compel Infosys to lower its annual growth guidance. How much of that is discounted by the investors we will see when the numbers are out and the commentary is made by Sikka and team

After zooming around 350 points, the Sensex will look at another similar run today. The outlook is a strong start. Global cues are supportive today. US markets clocked gains with the Dow adding 1.84%, the S&P 500 gaining 1.8% and Nasdaq jumping 1.8%. Asian indices are also well in the green with Japan's Nikkei 225 up 0.6% while Hong Kong's Hang Seng index is up almost a percent.

The RBI (Reserve Bank of India) decided to increase the quantum of loan that could be granted under the Gold Loan – Bullet Repayment scheme, from Rs. 1 lakh to Rs. 2 lakh

The Bombay high court allowed Reliance Infrastructure led Mumbai Metro One Private Limited (MMOPL) to charge higher fares ranging between Rs 10 and 40, according to reports.

YES Bank is planning to raise around Rs. 5,500 crore over next one year. According to the report it will raise between Rs. 2,500 crore and Rs. 3,000 crore around March this year through infrastructure bonds.

Thursday, 8 January 2015

SEBI meets IT cos to discuss regulatory hurdles

The Securities and Exchange Board of India (SEBI) met new technology companies to discuss the problems they face in raising capital in the primary market, according to a media report.

SEBI wants to encourage domestic companies to consider listing in the home market instead of foreign ones, the report added.

SEBI chairman UK Sinha said that it would address any regulatory hurdles with regard to fund raising.

Last year, SEBI had also introduced a discussion paper on crowd funding, but has not yet finalised any framework in that regard.

McNally Bharat stock up 4%

Shares of McNally Bharat Engineering Company surged by nearly 4 per cent to a high of Rs. 80.30 on BSE after the company has informed BSE that MBE Coal & Minerals Technology GmbH, Cologne, a 100% step subsidiary of the Company has received an order from VALE group for an amount of Euro 5.1 million [INR 38 crores (approx)] for supply of spare parts to optimize iron ore beneficiation activities

 The stock has hit a high of Rs. 81 and a low of Rs. 77.30.

 Total traded quantity on the counter stood at over 0.20 lk shares.

Top corporate news of the day - January 08, 2015

Praj Industries said it has bagged an order from Uganda’s Kakira Sugar to build an ethanol plant with a capacity of 60,000 litres per day.

After a gap of three months, Mangalore Chemicals and Fertilizers Ltd re-started operations at its plant. In all probability, the company will be able to come out with urea production in another five days.

After a gap of almost seven years, Reliance Industries is gaining a foothold in supplying diesel to the Indian Railways.

Coal India Ltd struggled to produce and ship less than half of its daily target on the first day of a five-day worker strike hampering government efforts to reform the country's coal industry and ease its power crisis.

After Reliance Industries demanded interest on KG-D6 gas payments flowing into gas pool account operated by GAIL, the state-owned firm has agreed to invest the receivables in short-term interest bearing deposits with public sector banks.

Godrej Appliances and Panasonic have hiked prices of their products by 3-5%, becoming the first among their ilk to hike prices after excise duty was raised by 2% from 1 January.

Hero MotoCorp said the strike by transporters in Haryana has hit half of its despataches from Gurgaon and Dharuhera plants.

Five months after the formal announcement, Adani Power's Rs.60bn acquisition of Lanco Infratech's 1200-mw thermal power plant in Udupi seems to have run into rough weather and delays.

Employees' unions at ING Vysya Bank staged a protest with demands for 'job security' in the wake of its proposed merger with Kotak Mahindra Bank.

On the backdrop of increase in demand and GDP growth, Ashok Leyland Ltd has said that it will outperform the industry's targeted growth of 10% end of this fiscal.

Gearing up to enter new segments this year, an upbeat Maruti Suzuki India says that the price hikes following the withdrawal of excise duty sops will not affect auto sales.

Top economic news of the day – January 08, 2015

Inter-ministerial panel Telecom Commission has decided to send back Trai's recommendations on 3G spectrum pricing for a reconsideration.

The Finance Minister has said infrastructure sectors such as coal, power and cement have been recording double digit growth in the last few months while growth in the manufacturing sector is still patchy.

The Government has allowed fertiliser firms to produce 100% neem-coated urea, a move aimed at helping farmers boost income and reducing subsidy bill by up to Rs 65bn.

Sensex surges nearly 300 points

At 9:17AM, the S&P BSE Sensex is trading at 27,218 up 309 points, while NSE Nifty is trading at 8,197 up 95 points.

The BSE Mid-cap Index and BSE Small-cap Index was trading up at 1%.

Auto, Consumer Durables, Power, banking, capital goods, FMCG, Oil and gas, healthcare metal, realty indices are gainers.

In the eurozone, inflation data for December showed consumer prices fell 0.2%, marking the first negative reading since late 2009, says a report. This led to a recovery in the European stock markets as investors expect European Central Bank will launch quantitative easing at its Jan. 22 meeting. US crude oil finally saw a rebound after falling below the $47 a barrel.

Infosys will be on the watchlist ahead of its results tomorrow.

US markets staged a comeback. The Dow Jones rose 212.88 points, or 1.23 percent, to 17,584.52, while the S&P 500 gained 23.29 points, or 1.16 percent, to 2,025.9 and the Nasdaq Composite added 57.73 points, or 1.26 percent, to 4,650.47.

Asian markets are firm with the Nikkei 225 up over 1.5% while Hong Kong's Hang Seng index has gained around half a percent. China's Shanghai index, which is however in the red.

HDFC Bank could see action on reports that it has appointed Bank of America-Merrill Lynch as the lead banker for its sale of shares. HDFC Bank is expected to raise ~Rs 10,000 crore from domestic and foreign investors, the report added.

Promoters of CDSL and top officials of the depository had met some time ago to discuss the valuations and other details, the sources said. In addition to BSE, other large shareholders of CDSL include Standard Chartered Bank, HDFC Bank, State Bank of India and Canara Bank, among others.

The stakeholders are seeking premium valuations due to regulatory restrictions in setting up such a new venture and the oligopolistic nature of depository operations in India.