A quiet opening for the Indian markets due to mixed global cues. The Asian indices are holding steady after Alcoa's results beat estimates and EU finance ministers agreed to agreed to give Spain 30billion by the end of this month. Oil declined after Norway ended a strike by energy workers. In addition, China's trade surplus widened in June as exports jumped and imports fell. US and European markets finished lower on Monday.
The Sensex has opened marginally higher, up 54 points at 17444 levels and the Nifty is trading 15 points higher, below the 5300 level at 5288.The rupee was marginally higher today, but weaker global risk assets, including the euro, could be a drag on the local currency after China reported much slower-than-expected growth in imports last month.At 9.01 a.m., the partially convertible rupee was at 55.88/92 to a dollar versus its 55.92/93 close on Monda. India depends on capital inflows to bridge its current account gap, and the high-yielding currency is thus sensitive to global risk sentiment, especially given the country runs a wide current account deficit and is seeing slowing growth.
BSE realty index is the top sectoral gainer, up 0.7 percent, followed by the metals index. Infosys, Wipro, TCS, Coal India,Bharti Airtel, Tata Steel, Tata Motors, SBI, Hindalco Inds are among the gainers in Sensex and Nifty.
Tata Power, NTPC and ITC are among the losers in Sensex and Nifty.
Notwithstanding stubbornly high inflation and elevated fiscal deficit, bankers and India Inc are pleading with the RBI for a fresh dose of monetary easing to revive the so-called "animal spirits". However, the RBI Governor is unlikely to oblige when it meets on July 31, unless Manmohan pulls a rabbit out of the hat.
Even Prime Minister's Economic Advisory Council chief C Rangarajan has said that RBI will find it difficult to cut interest rates in its monetary policy review later in this month in absence of softening of inflation
IIP and inflation data will have some bearing on the central bank's stance, and so will the Rupee and global commodity prices.
On the positive side, direct tax collections, net of refunds, increased by 47.2 percent to Rs 84,273 crore during April-June 2012-13, against Rs 57,267 crore in the corresponding period of last financial year.
There will be some stock specific actions and some result announcement too, to keep the markets buzzing.
Stocks in news
Essar Oil has agreed to pay a principal amount of Rs 6169 crore post the Supreme Court order. The company will pay Rs 1,000 crore immediately to show its bonafide intent. The company says it is surprised by the Gujarat government's step of attaching its oil accounts. Yet the stock is down 2.5 percent.
Coal India's board will meet on July 17 to discuss issues related to signing of Fuel Supply Agreements (FSA). Other issues to be discussed are import of coal and price pooling.
OVL plans Rs 5000 crore IPO via the secondary market route. ONGC's board will consider the proposal in the board meeting this week, reports the Economic Times.
SAIL and Kobe Steel of Japan is set to formally ink a 50:50 joint venture agreement on
Tuesday in Tokyo for Rs 1500 crore and 0.5 mn tonne a year iron nugget plant at Durgapur in West Bengal.
The Warburg Pincus - Future Capital deals hits the FIPB wall after the latter was asked to hive off its real estate arm before the deal, reports the Economic Times.
OnMobile down 2 percent as CEO Arvind Rao has resigned. This comes after reports of financial irregularities at the company. Kpmg which was the internal auditor, worked with legal experts to come out with a special review on these allegations. Mouli Raman, another co-founder, is named interim managing director as the company initiates a search for a new CEO.
Wipro rejigs its telecom business on falling sales, reports the Economic Times.
TVS Motor (TVSL) is in talks with BMW's motorcycle division, BMW Motorrad, for a
technological tie-up for high-end bikes. As per media reports, the partnership will
likely involve a technology-sharing pact and may also extend to joint marketing.
Rural Electrification Corporation has raised Rs 3085 crore through a private bond issue with tenures of five and seven years.
After months of delay, Reliance Industries began supplying natural gas to Pragati Power Corp's Bawana power project, easing power deficit in the national capital. RIL began supplying natural gas from its eastern offshore KG-D6 fields to the 750 MW Bawana power plant. Bawana is getting about 40-45% of the 0.836 million standard cubic meters per day of gas it had signed for, as KG-D6 production is half of the volumes RIL had contracted for.
Varun Shipping jumps 10 percent as co recasts nearly Rs 2,000 crore of debt by transferring some of its ships to overseas subsidiaries
Published Date: Jul 10, 2012 09:47 am | Updated Date: Dec 20, 2014 06:37 pm