Gold Holds Around $1230 Ahead Of Weekend

Gold Holds Around $1230 Ahead Of Weekend

MCX Gold futures witnessed a strong surge in the early moves today as the global pricesrecovered in Asian trades. The latest figures from World Council (WGC) indicated yesterdaythat the gold demand around the world picked up in Q4 2014 though overall interest inphysical gold remained muted following a massive slide in Jewellery demand.

 The metal haswitnessed a recovery after testing its one month low this week and currently trades at$1230.10 per ounce, up $9.40 per ounce on the day. MCX Gold futures are trading at Rs26687 per 10 grams up Rs 168 per 10 grams on the day.

Asian markets are mostly up today following supportive overnight cues. US stocks jumpedThursday, sending the S&P 500 to its highest close this year and within shoutingdistance of the record close reached on December 29th 2014. 

Stocks managed to surgedespite a lackluster retail sales reading as traders eyed reports of a cease-fireagreement between Russia and Ukraine and possibilities of more monetary easing from majorglobal central banks.

Meanwhile, the global gold market ended 2014 on a strong footing, according to a latestupdate from the World Gold Council (WGC). Q4 demand grew from 930.0t to 987.5t (+6%).However, the annual total of 3,923.7t was down 4% year-on-year – not surprising asconsumer demand in 2014 was never likely to match 2013’s record surge says the WGC.

Jewellery demand was down 10% to 2,152.9t, but 5% above its five-year average. Investmentrose 2% to 904.6t, although bar and coin fell from the 2013 record. Central banks bought477.2t, close to a 50-year high.

Continued substitution pushed technology to an 11-year low of 389t. Total supply wasflat: mine production was a record 3,114.4t while recycling fell to a seven-year low asprices plummeted to lowest in half a decade. According to the WGC, year-on-yearcomparisons for the last few quarters have been coloured by the singular strength injewellery, bar and coin demand in 2013. Total supply for 2014 at 4,278.2t was littlechanged; an increase in mine supply was balanced by a further decline in recyclingvolumes.

Indian demand for gold jewellery rose by 8% to 662 tonnes in 2014 - making it the bestyear of jewellery demand since records began in 1995, the WGC stated in its latest golddemand trends update. Overall gold demand stood at 842.7 tonnes in 2014, of which goldjewellery demand alone was 662.1 tonnes, according to the WGC. The fourth quarter growthwas concentrated in October (Diwali) and November (wedding season), before the sudden andunexpected removal of import restrictions at the end of the month threw the market intodisarray, it said.

However, total demand for gold in India fell by 14% in 2014 led by a sharp contractionin investment demand, which fell in response to restrictions on gold imports, which werein place most of the year. The country’s gold demand for 2014 stood at 842.7 tonnescompared with 974.8 tonnes in 2013. Total investment demand fell by 50% to 180.6 tonnes.

Continued selling pressure was witnessed in gold last week as the metal failed to holdonto its modest rallies. Massive strength in the US dollar and continued global economicworries hurt the metal despite signs that speculative buying is emerging at the lowerlevels. The yellow metal has been on a downward trajectory after hitting its five monthhighs above $1300 per ounce in the third week of January 2015. The counter witnessed amassive slide after the US nonfarm payrolls turned in a strong performance and witnessed adrop of around $30 in a single session.

SBI soars 3% ahead of Q3 numbers

The stock has now gained over 2.9 per cent on the BSE. 

State Bank of India (SBI) continues to trade on a gung-ho note on the BSE, on expectations of a strong show on the earnings front.

The company is scheduled to announce its Q3 results today.

At 11:28 AM, the stock was up 3% at Rs. 293. The stock has hit a high of Rs. 295 and a low of Rs. 286.

Total traded quantity on the counter stood at over 16.49 lk shares.

Meanwhile, the BSE Sensex is quoted at 28,905 - up 100 points.

Jagran Prakashan stock up 1%

The stock so far has jumped to a high of Rs. 145 on the BSE

Jagran Prakashan has strengthened its gains in early trade and jumped to a high of Rs. 145, after 20 lakh equity shares changed hands in two new block deals around Rs. 138 today on the BSE and NSE.

At 10:54 AM, the stock was up 0.80% at Rs. 139. The stock has hit a high of Rs. 145 and a low of Rs. 135. Total traded quantity on the counter stood at over 14.92 lk shares.

Meanwhile, the BSE Sensex is up 78 points at 28,883 

Reliance Infra signs MoU with US-based Co Innovari Inc

The stock has hit a high of Rs. 452 and a low of Rs. 439.10.

Shares of Reliance Infra was up 0.82% at Rs. 445. The company had signs MoU with US based Innovari Inc. to expand Automatic Demand Side Management (ADSM).

The stock has hit a high of Rs. 452 and a low of Rs. 439.10.

Total traded quantity on the counter stood at over 1.63 lk shares.

Meanwhile, the Sensex is up 111 points at 28,916.

RCOM, Suzlon Energy results in focus

The results which are expected today are SBI, BPCL, HPCL, IOCL, RCOM, BEML, M&M, Suzlon Energy, SREI Infra, Fortis Healthcare, Gammon India, Guj State Petronet, GVK Power, Den Networks, MCX, Cox & Kings, Eicher Motors, Educomp Solutions, Essar Shipping, Electrosteel, Eros, Marg, Petron Engg, Pratibha Inds, Agro Dutch Industries.

The results which are expected today are SBI, BPCL, HPCL, IOCL, RCOM, BEML, M&M, Suzlon Energy, SREI Infra, Fortis Healthcare, Gammon India, Guj State Petronet, GVK Power, Den Networks, MCX, Cox & Kings, Eicher Motors, Educomp Solutions, Essar Shipping, Electrosteel, Eros, Marg, Petron Engg, Pratibha Inds, Agro Dutch Industries, Advik Laboratories, Aditya Ispat, Accel Transmatic, Abg Infralogistics, Abc India, Aarvee Denims, Anil Ltd, Anant Raj, Ambalal Sarabhai Enterprises, Alps Motor Finance, Allsoft Corporation, Alchemist, Ajmera Realty & Infra, Advance Metering Technology, Asian Oilfield Services, Amit Spinning, Ashiana Housing, Archies, Bisil Plast, BGR Energy Systems, Avonmore Capital, Cosmo Films, CCCL, Dynacons Technologies, Dishman Pharmaceuticals, DB Realty.

M&M clarifies on Pipavav Defence acquisition

Mahindra & Mahindra Ltd clarified "It examines/pursues various opportunities in different areas, from time to time on a continuing basis and it is not practicable to comment upon every opportunity at every stage. 

Mahindra & Mahindra Ltd clarified to the exchange that it examines various opportunities in different areas, from time to time on a continuing basis and it is not practicable to comment upon every opportunity at every stage. 

Given the policy of the Company of not commenting on speculative news/reports, they will not be able to comment on the same.

As in the past, the Company would continue to inform stock exchanges about any price sensitive information before the same is made public."

Earlier Exchange had sought clarification from Mahindra & Mahindra Ltd with respect to news article appearing in The Economic Times on February 12, 2015 titled "M&M to Acquire Pipavav Defence in Rs 3,000-cr Deal"

Coal Auctions to proceed as per schedule: Anil Swarup

Delhi High Court had held yesterday that the change of end use for Utkal B1, Utkal B2 and Gare IV/6, all belonging to JSPL, should not be done.

In a press briefing, Coal Secretary Anil Swarup confirmed that auction of the coal blocks will go on as per schedule, and that the high court orders do not question the ordinance on coal, per se, but raises concerns about the change in the end-use of the allotted mines.

confirming that the list of qualified bidders will be issue soon, Swarup gave a snapshot that 86 qualified bidders have submitted their bids for 19 Unregulated mines, while 48 bidders have qualified in technical bids for the regulated sector. Now total of 110 Blocks are to be auctioned or allotted

Regarding the order of the Delhi and Jabalpur High Court, Swarup said that Gotitoria East & West Blocks been put on hold. So, these coal blocks will not be auctioned in the present schedule. Similarly, in Schedule-II of the auctions, 3 coal blocks have been hold.

Delhi High Court had held yesterday that the  change of end use for Utkal B1, Utkal B2 and Gare IV/6, all belonging to JSPL, should not be done.

For the mines which will not be auctioned till March 31, 2015, the government will appoint a custodian, so that the production of those mines are not hampered. However, contours of the custodian, its duties, etc. have not been figured out.

10 Coal mines are under litigation in various courts. 

Bank, FMCG keep Sensex, Nifty lower

The government will announce CPI and IIP data after 5.30 pm today.

At 11:45 AM, the S&P BSE Sensex is trading at 28,534 down 98 points, while NSE Nifty is trading at 8,609 down 19 points. The government will announce CPI (Consumer Price Index) and IIP (Index of Industrial Production) data after 5.30 pm today.

The equity market has extended losses in the late morning deals, owing to weakness in bank, FMCG, metal and oil & gas shares.

The Key benchmark indices have touched a fresh intra-day low at 28,406 and 8,600, respectively.

The broader market remain firm, the CNX Smallcap index has advanced 1.5 per cent at 5,505. The Midcap and Nifty Junior indices have gained almost a per cent each at 3,394 and 19,477, respectively.

The Volatility index - India VIX has spurted by 1.4 per cent at 20.8000.

In sectoral indices, the PSU Bank index has shed around a per cent at 3,700. The Bank Nifty and FMCG shares have declined 0.5 per cent each at 18,833 and 21,151, respectively.

The Metal, Energy and Finance have moved down 0.3 per cent each.

On the other hand, the Realty index has jumped nearly 2 per cent at 229. The Auto index has spurted over a per cent at 8,615. The Pharma index has also gained 0.5 per cent at 11,451.

The breadth is positive in late morning deals - out of 1,692 stocks traded on the NSE so far 910 stocks have advanced, while 503 stocks have declined 

Infosys invests $15 million in DreamWorks' spin-off

This is Infy's first investment from the $500 million innovation fund set up last year.

According to media reports, Infosys has invested $15 million in a start-up, which is a spin-off of the animation major, DreamWorks.

This is Infy's first investment from the $500 million innovation fund set up last year.

The reports added that the new company is yet unnamed. Infy is the first and the only investor in the company.

“They (the spin-off of DreamWorks) have recently brought their amazing animation technology to industries like retail and so on. So we are the only investor in this company,” Sikka said at the Goldman Sachs Technology and Internet Conference held at San Francisco on Tuesday.

We will do things of that nature and we think the information technology needs of the world require a different type of mindset for startups. More and more the innovations that businesses are looking for are going to come from start-up companies,” he added during the Goldman Sachs event.  

I-T dept to pull up socks to meet tax collection target

Recently, the income-tax officers had received verbal instruction to hold back tax refunds till March 31

Tax officials in various commissionerates in the country are pressurized to meet the income tax collection target, according to a media report.

Recently, the income-tax officers had received verbal instruction to hold back tax refunds till March 31.

The total income-tax target for the financial year ended 31 March 2014 is Rs. 7.35 trillion. The government is expected to raise Rs. 2.84 trillion from personal income-tax, while Rs. 4.51 trillion is expected to be collected from the corporate tax for FY14.

But the actual tax collected is Rs. 1.66 trillion from personal income-tax, while the collection for corporate tax stands at Rs. 2.77 trillion between April and December, the report further said.