Tuesday, April 10, 2012
It was a dull session, with the Indian markets moving in a range whole day and closing the session on a positive note. Sensex ended with 22 points gain and the Nifty closed 9 points higher.
IGL gets Rs1K cr hit from regulator
Car sales rise 20% in March, while bikes 1%
Jhunjhunwala ups stake in Viceroy Hotels
FMCG -stock-in-demand/da423881-634c-4d76-a8d1-4ffb0042e331/MustKnowNews/161/News.htm'> FMCG stock in demand
F&O turnover rises
Nifty April 2012 futures were at 5264.40, at a premium of 20.80 points over spot closing of 5243.60. Turnover on NSE's futures & options (F&O) segment rose to Rs 82561.13 crore from Rs 78269.85 crore on Monday, 9 April 2012.
State Bank of India (SBI) April 2012 futures were at 2,165.15, at a premium compared to spot closing of 2,148.25.
Indraprastha Gas April 2012 futures were at 232.30, near spot closing of 231.20.
Key benchmark indices eked out small gains on reports the monsoon rains, crucial to farm output, will arrive in time this year. The market snapped two-day losing streak. The barometer index, BSE Sensex, rose 21.70 points or 0.13%, off close to 30 points from the day's high and up about 110 points from the day's low. The market breadth, indicating the overall health of the market was negative.
The Sensex had lost 375.28 points or 2.13% in two trading sessions to settle at 17,222.14 on Monday, 9 April 2012, from a recent high of 17,597.42 on 3 April 2012. The Sensex has fallen 160.36 points or 0.92% so far in April 2012 (till 10 April 2012). The index has surged 1,788.92 points or 11.57% in calendar 2012 so far (till 10 April 2012). From a 52-week low of 15,135.86 on 20 December 2011, the Sensex has risen 2,107.98 points or 13.92%. From a 52-week high of 19,737.33 on 13 April 2011, the Sensex has lost 2,493.49 points or 12.63%.
PNGRB has notified the network charges and compression tariffs for IGL’s network – 60% lower than the demanded tariffs
PNGRB today notified the network charges and compression tariffs for IGL’s network, the same comes as a significant negative surprise to us. The tariffs are around 60% lower than the IGL’s bid. Against the tariffs filed by IGL of Rs8.7/scm, PNGRB has notified the tariffs of Rs3.4/scm. Our earlier interaction with IGL had highlighted that difference in the estimates of company and PNGRB’s consultant of around Rs1.5/scm, thus the difference of Rs5.3/scm comes as a major surprise. IGL’s management has not specified the future course of action to be taken with regards to the PNGRB tariff. We believe, the future earnings of the IGL would be largely a function of the marketing margins (not regulated by PNGRB currently) allowed to be earned on the sales of the natural gas. We expect a major gap down for IGL in the tomorrow’s trading sessions. We will update our view on the stock based on the management interaction, thus we currently rate the stock as under-review.
(Rs. 1 Lac
(Rs. 2 Lac
(Rs. 5 Lac
2.50 to 3 (Seller)
MT Educare Ltd
74 to 80
3.50 to 4
Tracking some gains in the Asian region, the Indian markets may begin today’s trade on a flat note.
Headlines for the day:
Redect Consultancy sells 3.25 mn shares in KFA.
Rakesh Jhunjhunwala hikes stake in Viceroy Hotels to 13.4%.
iGate accepts delisting of Patni.
India Inc raises $2.6 bn from overseas markets in Feb.
HC issues contempt notice to Sesa Goa.
Tatra case: CBI examines 3 senior BEML officials.
Coal India is likely to sign FSAs with at least 50 power companies after a board meeting next week. (BS)
Maruti Suzuki India Ltd, is set to challenge the dominance of the Toyota Innova with the launch of Ertiga, an (MUV). (BS)
ONGC says its JV company has won a third of the estimated US$3bn global contract to clean the 60 million cubic metres of Kuwait contaminated by the huge oil spills. (BS)
Indraprastha Gas Ltd may have to take a hit of around Rs10bn as the gas board orders cuts in rates, charges for CNG & PNG to Delhi consumers; firm may challenge directive. (BS)
Bajaj Hindusthan approved a modification in the draft merger scheme as per which only Bajaj Eco-Tec Products will be merged with it. The proposed amalgamation excludes Bajaj Aviation. (BS)
Three Rules of Work: Out of clutter find simplicity; From discord find harmony; In the middle of difficulty lies opportunity.- Albert Einstein.
There remains a lot of clutter in terms of news flow. A weaker-than-expected US jobs report served as the backdrop for the latest pullback in global equities. China’s higher-than-estimated inflation data and reports of discord with North Korea resuming nuclear tests added to the gloom. US stock indices lost ~1% each. European markets were shut due to extended Easter holidays.
Asian markets are mixed today with those not open for trading on Monday falling and others more stable. We see a steady opening for our markets. The key stock indices may trade sideways in a range today. The next few sessions will see them react to IIP and inflation data apart from the Infosys results. Market participants are also cautious ahead of next week’s RBI policy meeting. External cues will also continue to play a role in driving the sentiment in the near-term.
Gold ends moderately higher but silver slips
Bullion metal prices ended mixed on Monday, 09 April 2012 at Comex. Gold prices ended moderately higher but silver prices slipped. As U.S. stocks and commodity markets were closed on last Friday, in observance of Good Friday, Monday was the first opportunity for investors to react to the disappointing employment data. U.S stocks opened lower and oil traded lower. The weaker U.S. dollar index Monday was friendly for precious metals markets.
Gold for June delivery ended higher by $13.8 or 0.9%, to end at $1,643.9 an ounce on the Comex division of the New York Mercantile Exchange on Monday. The metal had shed 2.5% last week.
Prices drop in tandem with equities following disappointing job data
Crude prices dropped and ended at seven week low on Monday, 09 April 2012 at Nymex. Prices fell following disappointing job report that hit the wires at Wall Street on last Friday, 05 April. Crude prices fell in tandem with US stocks on Monday. As U.S. stocks and commodity markets were closed on last Friday, in observance of Good Friday, Monday was the first opportunity for investors to react to the disappointing employment data.
The market may edge higher in early trade as most Asian stocks rose. Trading of S&P CNX Nifty futures on the Singapore stock exchange indicates a gain of 16 points at the opening bell.
Tata Steel on Monday said sales from its Indian operations rose 3.3% to 1.77 million tonnes in Q4 March 2012 over Q4 March 2011. The Indian operations account for about a quarter of the group's total annual global capacity of about 28 million tonnes, which includes unit Corus, Europe's second-largest steelmaker. The company's crude steel production in India rose 2.6% to 1.82 million tonnes in Q4 March 2012 over Q4 March 2011. Sales from the Indian operations rose 3.4% for the financial year ended March 2012 (FY 2012) to 6.63 million tonnes, helped by a 6% jump in sales of flat products, used in cars and consumer goods.