lower ckt is cmng soon in ur nearest theatre....
nifty will open atleast 100 pt down....
Sunday, June 6, 2010
Friday, June 4, 2010
Nifty closes higher for 3rd consecutive day; SBI, ITC lead
he benchmark Nifty closed higher the for third consecutive day on positive European cues. The indices were consolidated in the first half of trade due to lack of Asian and US cues while in the second half of trade, they strengthened on European cues.
Financial (barring HDFC Bank), telecom (was loser in first half of trade), FMCG, auto and select technology companies' shares helped the Nifty to stay above 5100 and the Sensex above 17100 levels. However, selling in metal companies' shares along with ONGC, HDFC Bank, BHEL, Ambuja Cements, Kotak Mahindra Bank, Tata Power and Unitech capped the gains.
Portfolio Manager PN Vijay said the Nifty would trade in the 5,200-5,250 range. “We are seeing the unwinding of very big short positions that had been taken in the market in the last two weeks. With volatility coming down a wee bit globally, these shorts have to be covered because they have extremely high positions. That would take this market probably back to a base level or a normal level on fundamentals of about probably 5,200 or 5,250.”
http://www.moneycontrol.com/news/local-markets/nifty-closes-higher-for-3rd-consecutive-day-sbi-itc-lead_462198.html
Indices fell once in the last eight sessions and closed this week around 1.5% higher. Sanjay Shah, MD and Co-Head, Institutional Equity, India, Morgan Stanley said that they were bullish on the Indian outlook.
Shah said that confidence in India was boosted by the macro story while more inflow of funds from both domestic and overseas investors was likely to continue till the global economy improves. India had already seen an overseas flow of USD 14 million in the last six to eight months while an additional USD 4 million had come in as domestic funds via insurance companies and mutual funds.
The 30-share BSE Sensex closed at 17,117.69, up 95.36 points or 0.56% and the 50-share NSE Nifty rose 25 points or 0.49% to settle at 5135.50. However, the Nifty June future ended at 19 points discount, as per provisional data.
The Reserve Bank of India (RBI) has given India's largest bank State Bank of India (SBI) a year's extension to meet the 70% provision coverage ratio, sources told CNBC-TV18. CNBC-TV18 learns India's largest public sector bank is now required to meet its provision coverage ratio of 70% by September 2011. Shares of the bank gained 2.34%.
Among the other financial stocks, ICICI Bank was up 1.4% and PNB was up 1.1%. HDFC, IDFC, Axis Bank and Reliance Capital gained 0.25-0.9%. However, HDFC Bank fell 1%.
HUL from FMCG space rose 1.9% as the company will consider buyback on June 11 and ITC went up 1.9%.
Telecom companies' shares, which were losers in the first half of trade, continued their rally for the third consecutive day. Bharti Airtel was up 1%, Reliance Communications up 2.3% and Idea Cellular went up 0.45%.
Auto shares remained on buyers' radar today as well. Maruti Suzuki was up 2.5%, as the company is going to launch new small car with 1 litre engine. Hero Honda, Tata Motors and M&M gained 0.4-0.85%.
Cairn India from oil & gas space rose 3% while ONGC was down 1.76% and GAIL down 0.2%. Reliance Industries and BPCL were flat.
DLF from realty segment went up 1.2% while Unitech declined 0.56%. L&T and Siemens from capital goods space gained over 0.3% while BHEL fell 0.5%.
In the metal pack, SAIL, Jindal Steel and Sterlite Industries went down 0.5-0.8% while Hindalco gained 1.1% post numbers. Hindalco reported consolidated net profit of Rs 3,925 crore, a growth of 709.28% on year-on-year basis. Its derivatives gain stood at Rs 2,736 crore in FY10 as against Rs 2,381 crore loss at Novelis, a US-subsidiary of Hindalco.
In the midcap space, Puravankara Projects, TVS Motor, HT Media, Dish TV India and Welspun Corp were up 5-7% while Redington, Mahindra Holiday, Core Projects, Marico and Apollo Tyres fell 3-3.7%.
In the smallcap space, PVR, INOX Leisure, Sonata, GeeCee Ventures and Swaraj Mazda gained 7.6-13% while Electrotherm, Kanani Industries, Parenteral Drug, Maharashtra Elektrosmelt and Timex Group declined 4-7%.
The market breadth was mixed; about 1534 shares advanced while 1550 shares declined on the BSE. Nearly 220 shares remained unchanged.
The markets reported total turnover of Rs 78,954.64 crore. This included Rs 11,282.48 crore from the NSE cash segment, Rs 64,139.82 crore from the NSE F&O and the balance Rs 3,532.34 crore from the BSE cash segment.
At 14:52 hours IST, the 30-share BSE Sensex was trading over the 17,100 level, with a 100 points gains. Positive European cues and buying interest in banking & financial, FMCG, realty, telecom, auto and select metal companies' shares were helping the markets. European markets like CAC, DAX and FTSE went up 0.6-1%.
However, select stocks like ONGC, HDFC Bank, BHEL, Jindal Steel, GAIL, Sterlite, Ambuja Cements, Tata Power and Reliance Power were the only losers in trade.
The Sensex was trading at 17117, up 95 points and the Nifty was at 5135, up 25 points. However, the Nifty future was trading at 13 points discount.
SBI was the top gainer as well as top traded counter on bourses today, gained 2.51%. RBI gave the bank one-year extension to meet 70% Provision Coverage Ratio (PCR), reports CNBC-TV18 quoting sources. CNBC-TV18 learns that SBI will now meet PCR of 70% by September 2011.
Other top gainers - Cairn India was trading at Rs 298.70, up 2.42%; HUL was at Rs 252.85, up 2.35%; Maruti Suzuki was at Rs 1,323, up 2.02%; ITC was at Rs 290.90, up 1.89% and DLF was at Rs 283.50, up 2.11%.
Aditya Birla group's flagship company Hindalco Industries has reported consolidated net profit of Rs 3,925 crore as against Rs 485 crore, a growth of 709.28% (YoY), on derivatives gain of Rs 2,736 crore as against Rs 2,381 crore loss at Novelis, a US-subsidiary of Hindalco. The stock gained 1.1%.
Tata Steel, Reliance Communications, Educomp Solutions, Sesa Goa, Reliance Industries and ONGC were the most active shares on bourses.
Sensex strengthens on European cues; SBI leads
At 13:40 hours IST, after a consolidation in the first half of trade, the benchmark Sensex strengthened and gained nearly 100 points following positive European cues. CAC, DAX and FTSE were up 0.7-0.85%.
Financial (barring HDFC Bank), technology, FMCG, auto, healthcare and realty companies' shares were helping the markets to trade higher. ACC and Reliance Industries were other gainers.
However, telecom and metal companies' shares along with ONGC, HDFC Bank and BHEL were putting some pressure and continued to aid volatility.
The Sensex was trading at 17107, up 85 points and the Nifty was at 5135, up 25 points. The Nifty June futures' discount also trimmed to 11 points from 16-20 points.
Shares of India's largest bank SBI, today's top traded counter, gained over 2% after RBI gave the bank one-year extension to meet 70% Provision Coverage Ratio (PCR), reports CNBC-TV18 quoting sources. CNBC-TV18 learns that SBI will now meet PCR of 70% by September 2011.
Tata Steel, Sesa Goa, Reliance Capital, Reliance Communications, Reliance Industries, ONGC and Tata Motors were other most active shares on bourses.
In the midcap space, Man Infra, Dish TV India, Gujarat Flourochem, Welspun Corp (bagged order worth Rs 700 crore) and TVS Motor went up 4-7.8%. However, Apollo Tyres, Bajaj Finserv, Educomp Solutions, Redington and Trent fell 2-3%.
In the smallcap space, GeeCee Ventures, Phillips Carbon, Man Industries, Dhampur Sugar and Zandu Realty gained 6-10.7% while Electrotherm, Shristi Infra, Kanani Industries, Maharashtra Ele and Intra Infotech lost 4.7-5.7%.
Nifty lacklustre; ITC, ICICI Bank, HUL, Cairn top gainers
At 12:10 hours IST - the 50-share NSE Nifty was completely lacklustre in trade and was hovering around its previous closing value. On the one side, shares of telecom, metal, capital goods, technology and realty companies were pulling the markets down.
However, FMCG, financial (barring HDFC Bank) and healthcare companies' shares were supporting the markets. Cairn, ACC and Jaiprakash Associates were other gainers. Auto and power sectors were mixed in trade.
Lack of global cues was another reason for today's consolidation. Asian markets were quiet in trade.
The Sensex was trading at 17013, down 9.5 points and the Nifty was at 5109, down 0.85 points. The Nifty June future was trading at 17 points discount.
Top gainers - HUL was trading at Rs 251.75, up 1.90%; Reliance Capital was at Rs 684, up 1.63%; Cairn India was at Rs 296.25, up 1.58%; ITC was at Rs 289.95, up 1.56%; Hero Honda was at Rs 2,001.90, up 1.13%; ICICI Bank was at Rs 862.10, up 1.10%; Maruti Suzuki was at Rs 1,309.25, up 0.96% and ACC was at Rs 849.30, up 0.83%.
Top losers - Sterlite Industries was trading at Rs 639.30, up 1.91%; Reliance Communications was at Rs 161.95, up 1.73%; Ambuja Cements was at Rs 112.60, up 1.4%; BPCL was at Rs 572, up 1.36%; Reliance Power was at Rs 159.50, up 1.3%; M&M was at Rs 574.85, up 1.36%; Tata Power was at Rs 1,233, up 1.11% and Hindalco was at Rs 144.55, up 1.03%.
Top percentage gainers - Karur KCP was locked at 20% upper circuit. ANG Auto, GeeCee Ventures, EuroMult, Donear Industries and Integ Fin Ser were up 12-18%.
Sensex trades in narrow range; telecom, metals dip
At 10:41 hours IST, the benchmark Sensex was trading in a narrow range of 16970-17050, while the Nifty was hovering around the 5100 level. Telecom, technology, capital goods, power, metal and realty companies' shares were under pressure. HDFC Bank and Reliance Industries were also in the red.
However, FMCG, healthcare, select financial and auto companies' shares were witnessing buying interest and capped the losses to some extent. Public sector undertakings like ONGC, GAIL, BPCL and Chennai Petroleum were up 0.4-0.6% ahead of meeting on deregulation of oil prices. HPCL, IOC and Oil India gained 1.5-2.2%.
The Empowered Group of Ministers headed by Finance Minister Pranab Mukherjee is scheduled to meet on June 7, 2010 to discuss deregulation of fuel prices. The panel would take into account the recommendations put forth by the Kirit Parikh Committee on the issue.
Optimistic about significant measures being taken in the June 7 meet, Kirit Parikh, Member of the Planning Commission said he was hopeful that both petrol and diesel would be freed. “The government can free diesel prices and cut excise. But raising price without freeing it will not be of much gain. Also, hiking prices of LPG will not happen if petrol is freed without excise cuts,” he said, adding that the consumers could bear hike in LPG prices.
The Sensex was trading at 16980, down 42 points and the Nifty was at 5093, down 13 points. The Nifty June future was trading at 16 points discount.
HUL rose 1.5% as the company will consider buyback in a board meeting on June 11.
Tata Steel, Colgate, Sesa Goa, Havells India, SBI, ICICI Bank and Reliance Communications were the most active shares on bourses.
In the midcap space, Gujarat Flourochem, Syndicate Bank, TV18, IOB and IBN18 Broadcast gained 3-5.5% while Educomp Solutions, Indiabulls Real, Deccan Chronicle, Sintex India and Apollo Tyres lost 2-3.5%.
In the smallcap space, GeeCee Ventures, Phillips Carbon, Dhampur Sugar, Sonata and Transformers went up 6.6-13.4% while Electrotherm, Kanani Industries, Panoramic Universal, Maharashtra Ele and EIH Associated Hotel declined 4.6-6%.
Nifty hovers around 5100; PSU oil cos on buyers' radar
The benchmark Nifty started the day on a quiet note due to lack of global cues. The markets were consolidating after recent run-up.
At 9:02 hours IST, the Sensex was trading at 17001, down 20 points and the Nifty was at 5101, down 8.75 points.
The CNX Midcap fell 6 points to 7842 while BSE Smallcap Index gained 7 points at 8634. About 349 shares advanced while 305 shares declined on the NSE.
Among the frontliners, HUL ralied 3%. The company will consider buyback on June 11.
There were reports that government gave ONGC and OIL freedom to price gas. BPCL, ONGC, Cairn and GAIL went up 1% each. Oil India rose 2%.
Hero Honda, Reliance Power, HCL Tech, Axis Bank, ICICI Bank, ACC,
However, Reliance Communication, Sterlite India, Hindalco, Tata Steel, Suzlon Energy, Bharti Airtel, DLF, Jindal Steel & Power, Idea Cellular and Sterlite Industries were under pressure.
Midcap & Smallcap space:
Rana Sugars was up 3% and Shree Renuka up 1%. Lakshmi Vilas Bank, UCO Bank and Yes Bank were in green.
Howver, Sesa Goa and Gujarat NRE Coke were down 1.5% each.
Havells lost 0.65% on profit booking.
Godrej Consumer was down 0.5%, as there were reports that the company is looking to raise Rs 600 crore.
Global cues:
Asian markets were quiet in trade.
The US markets ended flat amid volatile trade and economic data. Large-cap technology stocks showed strength.
The Dow Jones Industrial Average ended up 6 points at 10255, after seeing swing of 140 points during the day.
The Nasdaq ended up 22 points at 2303, after witnessing swing of 33 points during the day. The S&P 500 ended up 4.5 points at 1103, after seeing swing of 13 points during the day.
Commodities
Crude oil was up 2.4% at USD 74.61 a barrel.
Crude oil inventories for the week ended May 28 had a draw of 1.90 million barrels against no change.
Natural Gas was up 5.9% at USD 4.69 per MMBtu.
Gold was down 1% at USD 1210/ounce.
Silver was down 2.5% at USD 17.86/ounce.
Baltic Dry Index fell 2.7%.
Market cues:
FIIs were net sellers of USD 27 million in equities on June 2
NSE F&O Open Int was up Rs 4937 crore at Rs 1.17 lakh crore
As per provisional data of June 3, FIIs were net buyers of Rs 406 crore; DIIs were net buyers of Rs 79 crore in cash markets. FIIs were net buyers of Rs 2,150 crore in F&O.
F&O cues:
Futures Open Int up Rs 1147 crore
Options Open Int up Rs 3789 crore
Nifty Futures shed 2.7 lakh shares in Open Int
Nifty Futures at 14-point discount
Nifty Open Int PCR at 1.35 versus 1.30
Nifty Puts add 51 lakh shares in Open Int
Nifty Calls add 17 lakh shares in Open Int
Nifty 5000 Put adds 18 lakh shares in Open Int
Nifty 5100 Put adds 18 lakh shares in Open Int
Nifty 5200 Call adds 5.7 lakh shares in Open Int
Nifty 5300 Call adds 5.3 lakh shares in Open Int
Stock Futures add 1 cr shares in Open Int
Financial (barring HDFC Bank), telecom (was loser in first half of trade), FMCG, auto and select technology companies' shares helped the Nifty to stay above 5100 and the Sensex above 17100 levels. However, selling in metal companies' shares along with ONGC, HDFC Bank, BHEL, Ambuja Cements, Kotak Mahindra Bank, Tata Power and Unitech capped the gains.
Portfolio Manager PN Vijay said the Nifty would trade in the 5,200-5,250 range. “We are seeing the unwinding of very big short positions that had been taken in the market in the last two weeks. With volatility coming down a wee bit globally, these shorts have to be covered because they have extremely high positions. That would take this market probably back to a base level or a normal level on fundamentals of about probably 5,200 or 5,250.”
http://www.moneycontrol.com/news/local-markets/nifty-closes-higher-for-3rd-consecutive-day-sbi-itc-lead_462198.html
Indices fell once in the last eight sessions and closed this week around 1.5% higher. Sanjay Shah, MD and Co-Head, Institutional Equity, India, Morgan Stanley said that they were bullish on the Indian outlook.
Shah said that confidence in India was boosted by the macro story while more inflow of funds from both domestic and overseas investors was likely to continue till the global economy improves. India had already seen an overseas flow of USD 14 million in the last six to eight months while an additional USD 4 million had come in as domestic funds via insurance companies and mutual funds.
The 30-share BSE Sensex closed at 17,117.69, up 95.36 points or 0.56% and the 50-share NSE Nifty rose 25 points or 0.49% to settle at 5135.50. However, the Nifty June future ended at 19 points discount, as per provisional data.
The Reserve Bank of India (RBI) has given India's largest bank State Bank of India (SBI) a year's extension to meet the 70% provision coverage ratio, sources told CNBC-TV18. CNBC-TV18 learns India's largest public sector bank is now required to meet its provision coverage ratio of 70% by September 2011. Shares of the bank gained 2.34%.
Among the other financial stocks, ICICI Bank was up 1.4% and PNB was up 1.1%. HDFC, IDFC, Axis Bank and Reliance Capital gained 0.25-0.9%. However, HDFC Bank fell 1%.
HUL from FMCG space rose 1.9% as the company will consider buyback on June 11 and ITC went up 1.9%.
Telecom companies' shares, which were losers in the first half of trade, continued their rally for the third consecutive day. Bharti Airtel was up 1%, Reliance Communications up 2.3% and Idea Cellular went up 0.45%.
Auto shares remained on buyers' radar today as well. Maruti Suzuki was up 2.5%, as the company is going to launch new small car with 1 litre engine. Hero Honda, Tata Motors and M&M gained 0.4-0.85%.
Cairn India from oil & gas space rose 3% while ONGC was down 1.76% and GAIL down 0.2%. Reliance Industries and BPCL were flat.
DLF from realty segment went up 1.2% while Unitech declined 0.56%. L&T and Siemens from capital goods space gained over 0.3% while BHEL fell 0.5%.
In the metal pack, SAIL, Jindal Steel and Sterlite Industries went down 0.5-0.8% while Hindalco gained 1.1% post numbers. Hindalco reported consolidated net profit of Rs 3,925 crore, a growth of 709.28% on year-on-year basis. Its derivatives gain stood at Rs 2,736 crore in FY10 as against Rs 2,381 crore loss at Novelis, a US-subsidiary of Hindalco.
In the midcap space, Puravankara Projects, TVS Motor, HT Media, Dish TV India and Welspun Corp were up 5-7% while Redington, Mahindra Holiday, Core Projects, Marico and Apollo Tyres fell 3-3.7%.
In the smallcap space, PVR, INOX Leisure, Sonata, GeeCee Ventures and Swaraj Mazda gained 7.6-13% while Electrotherm, Kanani Industries, Parenteral Drug, Maharashtra Elektrosmelt and Timex Group declined 4-7%.
The market breadth was mixed; about 1534 shares advanced while 1550 shares declined on the BSE. Nearly 220 shares remained unchanged.
The markets reported total turnover of Rs 78,954.64 crore. This included Rs 11,282.48 crore from the NSE cash segment, Rs 64,139.82 crore from the NSE F&O and the balance Rs 3,532.34 crore from the BSE cash segment.
At 14:52 hours IST, the 30-share BSE Sensex was trading over the 17,100 level, with a 100 points gains. Positive European cues and buying interest in banking & financial, FMCG, realty, telecom, auto and select metal companies' shares were helping the markets. European markets like CAC, DAX and FTSE went up 0.6-1%.
However, select stocks like ONGC, HDFC Bank, BHEL, Jindal Steel, GAIL, Sterlite, Ambuja Cements, Tata Power and Reliance Power were the only losers in trade.
The Sensex was trading at 17117, up 95 points and the Nifty was at 5135, up 25 points. However, the Nifty future was trading at 13 points discount.
SBI was the top gainer as well as top traded counter on bourses today, gained 2.51%. RBI gave the bank one-year extension to meet 70% Provision Coverage Ratio (PCR), reports CNBC-TV18 quoting sources. CNBC-TV18 learns that SBI will now meet PCR of 70% by September 2011.
Other top gainers - Cairn India was trading at Rs 298.70, up 2.42%; HUL was at Rs 252.85, up 2.35%; Maruti Suzuki was at Rs 1,323, up 2.02%; ITC was at Rs 290.90, up 1.89% and DLF was at Rs 283.50, up 2.11%.
Aditya Birla group's flagship company Hindalco Industries has reported consolidated net profit of Rs 3,925 crore as against Rs 485 crore, a growth of 709.28% (YoY), on derivatives gain of Rs 2,736 crore as against Rs 2,381 crore loss at Novelis, a US-subsidiary of Hindalco. The stock gained 1.1%.
Tata Steel, Reliance Communications, Educomp Solutions, Sesa Goa, Reliance Industries and ONGC were the most active shares on bourses.
Sensex strengthens on European cues; SBI leads
At 13:40 hours IST, after a consolidation in the first half of trade, the benchmark Sensex strengthened and gained nearly 100 points following positive European cues. CAC, DAX and FTSE were up 0.7-0.85%.
Financial (barring HDFC Bank), technology, FMCG, auto, healthcare and realty companies' shares were helping the markets to trade higher. ACC and Reliance Industries were other gainers.
However, telecom and metal companies' shares along with ONGC, HDFC Bank and BHEL were putting some pressure and continued to aid volatility.
The Sensex was trading at 17107, up 85 points and the Nifty was at 5135, up 25 points. The Nifty June futures' discount also trimmed to 11 points from 16-20 points.
Shares of India's largest bank SBI, today's top traded counter, gained over 2% after RBI gave the bank one-year extension to meet 70% Provision Coverage Ratio (PCR), reports CNBC-TV18 quoting sources. CNBC-TV18 learns that SBI will now meet PCR of 70% by September 2011.
Tata Steel, Sesa Goa, Reliance Capital, Reliance Communications, Reliance Industries, ONGC and Tata Motors were other most active shares on bourses.
In the midcap space, Man Infra, Dish TV India, Gujarat Flourochem, Welspun Corp (bagged order worth Rs 700 crore) and TVS Motor went up 4-7.8%. However, Apollo Tyres, Bajaj Finserv, Educomp Solutions, Redington and Trent fell 2-3%.
In the smallcap space, GeeCee Ventures, Phillips Carbon, Man Industries, Dhampur Sugar and Zandu Realty gained 6-10.7% while Electrotherm, Shristi Infra, Kanani Industries, Maharashtra Ele and Intra Infotech lost 4.7-5.7%.
Nifty lacklustre; ITC, ICICI Bank, HUL, Cairn top gainers
At 12:10 hours IST - the 50-share NSE Nifty was completely lacklustre in trade and was hovering around its previous closing value. On the one side, shares of telecom, metal, capital goods, technology and realty companies were pulling the markets down.
However, FMCG, financial (barring HDFC Bank) and healthcare companies' shares were supporting the markets. Cairn, ACC and Jaiprakash Associates were other gainers. Auto and power sectors were mixed in trade.
Lack of global cues was another reason for today's consolidation. Asian markets were quiet in trade.
The Sensex was trading at 17013, down 9.5 points and the Nifty was at 5109, down 0.85 points. The Nifty June future was trading at 17 points discount.
Top gainers - HUL was trading at Rs 251.75, up 1.90%; Reliance Capital was at Rs 684, up 1.63%; Cairn India was at Rs 296.25, up 1.58%; ITC was at Rs 289.95, up 1.56%; Hero Honda was at Rs 2,001.90, up 1.13%; ICICI Bank was at Rs 862.10, up 1.10%; Maruti Suzuki was at Rs 1,309.25, up 0.96% and ACC was at Rs 849.30, up 0.83%.
Top losers - Sterlite Industries was trading at Rs 639.30, up 1.91%; Reliance Communications was at Rs 161.95, up 1.73%; Ambuja Cements was at Rs 112.60, up 1.4%; BPCL was at Rs 572, up 1.36%; Reliance Power was at Rs 159.50, up 1.3%; M&M was at Rs 574.85, up 1.36%; Tata Power was at Rs 1,233, up 1.11% and Hindalco was at Rs 144.55, up 1.03%.
Top percentage gainers - Karur KCP was locked at 20% upper circuit. ANG Auto, GeeCee Ventures, EuroMult, Donear Industries and Integ Fin Ser were up 12-18%.
Sensex trades in narrow range; telecom, metals dip
At 10:41 hours IST, the benchmark Sensex was trading in a narrow range of 16970-17050, while the Nifty was hovering around the 5100 level. Telecom, technology, capital goods, power, metal and realty companies' shares were under pressure. HDFC Bank and Reliance Industries were also in the red.
However, FMCG, healthcare, select financial and auto companies' shares were witnessing buying interest and capped the losses to some extent. Public sector undertakings like ONGC, GAIL, BPCL and Chennai Petroleum were up 0.4-0.6% ahead of meeting on deregulation of oil prices. HPCL, IOC and Oil India gained 1.5-2.2%.
The Empowered Group of Ministers headed by Finance Minister Pranab Mukherjee is scheduled to meet on June 7, 2010 to discuss deregulation of fuel prices. The panel would take into account the recommendations put forth by the Kirit Parikh Committee on the issue.
Optimistic about significant measures being taken in the June 7 meet, Kirit Parikh, Member of the Planning Commission said he was hopeful that both petrol and diesel would be freed. “The government can free diesel prices and cut excise. But raising price without freeing it will not be of much gain. Also, hiking prices of LPG will not happen if petrol is freed without excise cuts,” he said, adding that the consumers could bear hike in LPG prices.
The Sensex was trading at 16980, down 42 points and the Nifty was at 5093, down 13 points. The Nifty June future was trading at 16 points discount.
HUL rose 1.5% as the company will consider buyback in a board meeting on June 11.
Tata Steel, Colgate, Sesa Goa, Havells India, SBI, ICICI Bank and Reliance Communications were the most active shares on bourses.
In the midcap space, Gujarat Flourochem, Syndicate Bank, TV18, IOB and IBN18 Broadcast gained 3-5.5% while Educomp Solutions, Indiabulls Real, Deccan Chronicle, Sintex India and Apollo Tyres lost 2-3.5%.
In the smallcap space, GeeCee Ventures, Phillips Carbon, Dhampur Sugar, Sonata and Transformers went up 6.6-13.4% while Electrotherm, Kanani Industries, Panoramic Universal, Maharashtra Ele and EIH Associated Hotel declined 4.6-6%.
Nifty hovers around 5100; PSU oil cos on buyers' radar
The benchmark Nifty started the day on a quiet note due to lack of global cues. The markets were consolidating after recent run-up.
At 9:02 hours IST, the Sensex was trading at 17001, down 20 points and the Nifty was at 5101, down 8.75 points.
The CNX Midcap fell 6 points to 7842 while BSE Smallcap Index gained 7 points at 8634. About 349 shares advanced while 305 shares declined on the NSE.
Among the frontliners, HUL ralied 3%. The company will consider buyback on June 11.
There were reports that government gave ONGC and OIL freedom to price gas. BPCL, ONGC, Cairn and GAIL went up 1% each. Oil India rose 2%.
Hero Honda, Reliance Power, HCL Tech, Axis Bank, ICICI Bank, ACC,
However, Reliance Communication, Sterlite India, Hindalco, Tata Steel, Suzlon Energy, Bharti Airtel, DLF, Jindal Steel & Power, Idea Cellular and Sterlite Industries were under pressure.
Midcap & Smallcap space:
Rana Sugars was up 3% and Shree Renuka up 1%. Lakshmi Vilas Bank, UCO Bank and Yes Bank were in green.
Howver, Sesa Goa and Gujarat NRE Coke were down 1.5% each.
Havells lost 0.65% on profit booking.
Godrej Consumer was down 0.5%, as there were reports that the company is looking to raise Rs 600 crore.
Global cues:
Asian markets were quiet in trade.
The US markets ended flat amid volatile trade and economic data. Large-cap technology stocks showed strength.
The Dow Jones Industrial Average ended up 6 points at 10255, after seeing swing of 140 points during the day.
The Nasdaq ended up 22 points at 2303, after witnessing swing of 33 points during the day. The S&P 500 ended up 4.5 points at 1103, after seeing swing of 13 points during the day.
Commodities
Crude oil was up 2.4% at USD 74.61 a barrel.
Crude oil inventories for the week ended May 28 had a draw of 1.90 million barrels against no change.
Natural Gas was up 5.9% at USD 4.69 per MMBtu.
Gold was down 1% at USD 1210/ounce.
Silver was down 2.5% at USD 17.86/ounce.
Baltic Dry Index fell 2.7%.
Market cues:
FIIs were net sellers of USD 27 million in equities on June 2
NSE F&O Open Int was up Rs 4937 crore at Rs 1.17 lakh crore
As per provisional data of June 3, FIIs were net buyers of Rs 406 crore; DIIs were net buyers of Rs 79 crore in cash markets. FIIs were net buyers of Rs 2,150 crore in F&O.
F&O cues:
Futures Open Int up Rs 1147 crore
Options Open Int up Rs 3789 crore
Nifty Futures shed 2.7 lakh shares in Open Int
Nifty Futures at 14-point discount
Nifty Open Int PCR at 1.35 versus 1.30
Nifty Puts add 51 lakh shares in Open Int
Nifty Calls add 17 lakh shares in Open Int
Nifty 5000 Put adds 18 lakh shares in Open Int
Nifty 5100 Put adds 18 lakh shares in Open Int
Nifty 5200 Call adds 5.7 lakh shares in Open Int
Nifty 5300 Call adds 5.3 lakh shares in Open Int
Stock Futures add 1 cr shares in Open Int
Thursday, June 3, 2010
NSE reduces charges for investors in rural, semi-urban areas-
In a major initiative to encourage investors from the rural and semi urban areas to participate in the equity market, the National Stock Exchange (NSE) on Monday announced reduction of connectivity charges and waiver of transaction charges.
The move to reduce charges will make it more cost- effective for common investors, especially located in the semi-urban and rural areas, NSE said in a statement here.
Currently, members taking leased-line connectivity from the rural and semi-urban areas to connect to the Exchange have to pay an amount of Rs 1 lakh, annually, on a recurring basis.
http://economictimes.indiatimes.com/markets/stocks/market-news/NSE-reduces-charges-for-investors-in-rural-semi-urban-areas/articleshow/5995776.cms
Post today's announcement, the exchange has decided to waive the transaction charges pertaining to the trades generated from these leased lines to the extent of the annual leased line connectivity cost of Rs 1 lakh, it said.
This move is mainly to facilitate trading members to establish trading terminals in these semi-urban and rural areas as at a reasonable cost.
http://economictimes.indiatimes.com/
It is expected that there are around 300 leased lines in these areas which are used by members and they will benefit from this. Also, it is expected to benefit a large number of investors in these regions.
The move to reduce charges will make it more cost- effective for common investors, especially located in the semi-urban and rural areas, NSE said in a statement here.
Currently, members taking leased-line connectivity from the rural and semi-urban areas to connect to the Exchange have to pay an amount of Rs 1 lakh, annually, on a recurring basis.
http://economictimes.indiatimes.com/markets/stocks/market-news/NSE-reduces-charges-for-investors-in-rural-semi-urban-areas/articleshow/5995776.cms
Post today's announcement, the exchange has decided to waive the transaction charges pertaining to the trades generated from these leased lines to the extent of the annual leased line connectivity cost of Rs 1 lakh, it said.
This move is mainly to facilitate trading members to establish trading terminals in these semi-urban and rural areas as at a reasonable cost.
http://economictimes.indiatimes.com/
It is expected that there are around 300 leased lines in these areas which are used by members and they will benefit from this. Also, it is expected to benefit a large number of investors in these regions.
Wednesday, June 2, 2010
Experts expect mkts to bounce back, advice buy on dips
The markets showed resilience today and surged in the eleventh hour after a tepid day of trade. For most of the day, the Nifty gyrated between 4,950 and 5,000 levels, but managed to end the day above the 5000 mark. India performed much better than its Asian peers. At closing bell, the Nifty was up 50 points while the Sensex surged 170 points.
Speaking on today's trade, Mitesh Thacker, Technical Analyst, miteshthacker.com, said the Nifty tried to take out 5,000 levels two-three times during the course of the day but failed to sustain above that. "After breaking down with such large force yesterday, it is important that these technical levels recapture as fast as possible. In case we do not get close above 5,010 over the next 3--5 days, then it could be negative. The weight of averages would probably come into play and you would see a re-test of recent lows or probably even lower levels."
Road ahead for markets:
Experts feel the effect of the global crisis can be a good buying opportunity in India as the markets will bounce back eventually after some volatility. Dharmesh Dalal of Antique Stock Broking said India is trading in line with what is happening in the markets. "We have to be in tandem for a short while considering what plays out in the international markets. But we will bounce back that's for sure."
He advises investors to adopt a buying on dips strategy. "I would utilize every dip to buy. Each bad news in the international market provides a good opportunity to add. I would be a cautious buyer and wouldn't be investing the entire money that I have. I would be keeping cash not knowing whether I will get a better opportunity tomorrow again."
Rahul Chadha of Mirae Asset Management too sees the markets correcting in the near-term on global concerns. "The markets would remain volatile for the next couple of months. What we have seen over the last 15 months is strong cyclical recovery and sovereign debt concerns. What we used to talk about has now come to the forefront. We believe that this crisis remains confined to southern Europe. But with sovereign debt concerns, we will see the developed world growing below trend levels of growth and hence we will continue to see a near-term correction in the markets."
Krishna Kumar Karwa, MD, Emkay Global Financial Services, said global concerns remain and we will still see them panning out. "The domestic economy is doing very well and we have projections of almost 8.5% GDP growth. We have seen the kind of robust auto numbers which have come out for May. So, the domestic economy is doing phenomenally well. The question is what about global concerns on eurozone, China, and a possible slowdown in the US. Valuations being where it is, there is hardly any upside on current prices. What we are seeing is a rangebound market with 5,400 being the top and 4,700 on the downside. So, we are in a consolidation kind of a phase."
Courtesy:moneycontrol.com
Speaking on today's trade, Mitesh Thacker, Technical Analyst, miteshthacker.com, said the Nifty tried to take out 5,000 levels two-three times during the course of the day but failed to sustain above that. "After breaking down with such large force yesterday, it is important that these technical levels recapture as fast as possible. In case we do not get close above 5,010 over the next 3--5 days, then it could be negative. The weight of averages would probably come into play and you would see a re-test of recent lows or probably even lower levels."
Road ahead for markets:
Experts feel the effect of the global crisis can be a good buying opportunity in India as the markets will bounce back eventually after some volatility. Dharmesh Dalal of Antique Stock Broking said India is trading in line with what is happening in the markets. "We have to be in tandem for a short while considering what plays out in the international markets. But we will bounce back that's for sure."
He advises investors to adopt a buying on dips strategy. "I would utilize every dip to buy. Each bad news in the international market provides a good opportunity to add. I would be a cautious buyer and wouldn't be investing the entire money that I have. I would be keeping cash not knowing whether I will get a better opportunity tomorrow again."
Rahul Chadha of Mirae Asset Management too sees the markets correcting in the near-term on global concerns. "The markets would remain volatile for the next couple of months. What we have seen over the last 15 months is strong cyclical recovery and sovereign debt concerns. What we used to talk about has now come to the forefront. We believe that this crisis remains confined to southern Europe. But with sovereign debt concerns, we will see the developed world growing below trend levels of growth and hence we will continue to see a near-term correction in the markets."
Krishna Kumar Karwa, MD, Emkay Global Financial Services, said global concerns remain and we will still see them panning out. "The domestic economy is doing very well and we have projections of almost 8.5% GDP growth. We have seen the kind of robust auto numbers which have come out for May. So, the domestic economy is doing phenomenally well. The question is what about global concerns on eurozone, China, and a possible slowdown in the US. Valuations being where it is, there is hardly any upside on current prices. What we are seeing is a rangebound market with 5,400 being the top and 4,700 on the downside. So, we are in a consolidation kind of a phase."
Courtesy:moneycontrol.com
Tuesday, June 1, 2010
Can ULIPs really give 30% returns?
THIS product can give you fantastic returns, Sir. The earlier version of this plan had given a 32 per cent return. It is a fantastic investment option, even though it is an insurance policy”, an insurance agent was telling Ravi when I came in. The agent was just leaving. He had left behind some colourful brochures.
Ravi turned to me and asked skeptically, “Are such high returns possible from this ULIP?”
“Everything is possible in certain timeframes. What you need to have asked is, in which period it gave that return and what was the return of the benchmark in that period. That would have given you an indication of whether this fund has performed well or not.” I continued. “You also need to look at the charges. The charges are supposed to have come down. But the charges in the first few years are still high. In one of the plans, the premium allocation charges for the first three years are respectively, 30 per cent, 15 per cent and 10 per cent”.
Ravi was amazed, “But, I understand that the difference in gross and net yields should be no more than 3 per cent for policies of term 10 years or less and 2.25 per cent for policy term over 10 years. I thought it will be low due to this regulation”. I was able to understand the confusion. “That will apply over the tenure of the policy, not year on year”, I said.
“There are other charges as well, if you want to know. Policy Administration Charges is another head, you would want to look at carefully. In the same policy, the Policy Administration Charges are 0.4 per cent per month, for the entire tenure ie, 4.8 per cent per annum, throughout the policy term”, ventured I.
“That high? “, gasped Ravi. Today was his day of surprises. “Yes. It is. And there are products where it is higher. Policy Administration Charges would be charged as a percentage of the premium, which penalizes those who pay higher premiums. ”, I said.
“So, what has come down then?” Ravi wanted to know. I did not have a readymade answer to this. “ Fund Management Charges have come down a bit. Very high charge products (Premium Allocation Charges in some were as high as 70 per cent) have been weeded out. There are still charges which may not even come under the purview of the new regime. For instance, any cost associated with investment guarantee is excluded from the calculation of net yield. So, guaranteed NAV products have an element of cost that is open to creative use. Also, if you were to surrender after 5 years, most of the front loaded charges would have been paid and yet the regulation restricting the difference between gross yield and net yield, does not apply. Hence, it will be a big handicap for those who want to surrender early.” I concluded. Ravi was absorbing all this intently. I now moved away to get my cup of tea.
Disclaimer: While we have made efforts to ensure the accuracy of our content (consisting of articles and information), neither this website nor the author shall be held responsible for any losses/ incidents suffered by people accessing, using or is supplied with the content
Courtesy-Moneycontrol.com
Ravi turned to me and asked skeptically, “Are such high returns possible from this ULIP?”
“Everything is possible in certain timeframes. What you need to have asked is, in which period it gave that return and what was the return of the benchmark in that period. That would have given you an indication of whether this fund has performed well or not.” I continued. “You also need to look at the charges. The charges are supposed to have come down. But the charges in the first few years are still high. In one of the plans, the premium allocation charges for the first three years are respectively, 30 per cent, 15 per cent and 10 per cent”.
Ravi was amazed, “But, I understand that the difference in gross and net yields should be no more than 3 per cent for policies of term 10 years or less and 2.25 per cent for policy term over 10 years. I thought it will be low due to this regulation”. I was able to understand the confusion. “That will apply over the tenure of the policy, not year on year”, I said.
“There are other charges as well, if you want to know. Policy Administration Charges is another head, you would want to look at carefully. In the same policy, the Policy Administration Charges are 0.4 per cent per month, for the entire tenure ie, 4.8 per cent per annum, throughout the policy term”, ventured I.
“That high? “, gasped Ravi. Today was his day of surprises. “Yes. It is. And there are products where it is higher. Policy Administration Charges would be charged as a percentage of the premium, which penalizes those who pay higher premiums. ”, I said.
“So, what has come down then?” Ravi wanted to know. I did not have a readymade answer to this. “ Fund Management Charges have come down a bit. Very high charge products (Premium Allocation Charges in some were as high as 70 per cent) have been weeded out. There are still charges which may not even come under the purview of the new regime. For instance, any cost associated with investment guarantee is excluded from the calculation of net yield. So, guaranteed NAV products have an element of cost that is open to creative use. Also, if you were to surrender after 5 years, most of the front loaded charges would have been paid and yet the regulation restricting the difference between gross yield and net yield, does not apply. Hence, it will be a big handicap for those who want to surrender early.” I concluded. Ravi was absorbing all this intently. I now moved away to get my cup of tea.
Disclaimer: While we have made efforts to ensure the accuracy of our content (consisting of articles and information), neither this website nor the author shall be held responsible for any losses/ incidents suffered by people accessing, using or is supplied with the content
Courtesy-Moneycontrol.com
The games that insurance agents play-Beware of an Agent
THIS is the third call I’m getting today from an insurance company”, Shashank fretted to his friend Sudhir. Sudhir looked up from his work and just said, ”What’s new? I got four calls today, myself”.
Not surprising. For many it is a new calling (pun unintended). Insurance has become the refuge of many a mutual fund distributor, as that business has folded up since August 2009. The insurance agents have quite a few tricks up their sleeve. Not everyone is bad and uses these unsavory tricks. But, you better know them. Here they are:
1) Old wine in a new bottle
The agent is constantly on the lookout for business. If organic growth becomes a problem, existing patrons come in handy! That is when you get calls to surrender the three year old ULIP (unit linked insurance plan) to put it in, what else but another ULIP or ULIP based pension plan. Only that the insurance product charges are front loaded and you would have just completed paying most of the charges in the first product and now you could start off with the second one.
2) Government guarantee!
This is a ploy used by LIC (Life Insurance Corporation) agents. They keep talking about sovereign guarantee. Guarantee in a traditional product is only for the sum assured. Every insurance company (including private players) guarantees the payout of the sum assured. It is only the bonus payout that is not guaranteed. For ULIPs, this anyway does not apply. So, this is a total con game.
3) New products that no one has heard of
Heard of Jeevan Amrit or Jeevan Sadhana? These are not LIC plans. They are plans conjured-up by putting together a few insurance products of LIC . Also, interestingly, the payouts which come in at various points are assumed to be invested in National Savings Certificate, Public Provident Fund, RBI Bonds etc. Then they calculate the returns and tell you that their Jeeven Amrit or Sadhana gives 8 -10%. Don’t be misled by this. The higher returns are because of these other products, not insurance. I have still not understood why they should show reinvestment in other products, when they are talking about insurance. And, how someone falls for these.
4) 6 & 10% returns in a traditional product
Recently, I found that a client of mine has gone for Jeeven Saral, a traditional policy of LIC. However, the agent had given an illustration with 6% & 10% returns! This was to be used for ULIP policies, where this is a possibility. In traditional policies, 10% return is virtually impossible. You would readily understand, why they use it then.
Must read: Beat your bank deposits with endowment policies
5) Insurance on the child
There are products for the benefit of the child, where the child is the insured. It’s absurd, as the child is a dependant and insurance on the child is of no practical use. Yet, these kind of products are sold and are bought by emotionally charged parents, ending up with a bloomer.
Sudhir clutched his head when he came to know of these. He just bought a child insurance on his daughter and he remembers buying a Jeevan Aradhana or some such product, which is one of those 'intelligently' packaged ones.
For those buying financial products, a basic level of financial literacy would help. Studying and doing some basic research, is a good idea too. If one is not sure, get an unbiased opinion from someone who knows about insurance. Else, it becomes a costly mistake, which lingers around for years.
Disclaimer: While we have made efforts to ensure the accuracy of our content (consisting of articles and information), neither this website nor the author shall be held responsible for any losses/ incidents suffered by people accessing, using or is supplied with the content.
Courtesy-Moneycontrol.com
Not surprising. For many it is a new calling (pun unintended). Insurance has become the refuge of many a mutual fund distributor, as that business has folded up since August 2009. The insurance agents have quite a few tricks up their sleeve. Not everyone is bad and uses these unsavory tricks. But, you better know them. Here they are:
1) Old wine in a new bottle
The agent is constantly on the lookout for business. If organic growth becomes a problem, existing patrons come in handy! That is when you get calls to surrender the three year old ULIP (unit linked insurance plan) to put it in, what else but another ULIP or ULIP based pension plan. Only that the insurance product charges are front loaded and you would have just completed paying most of the charges in the first product and now you could start off with the second one.
2) Government guarantee!
This is a ploy used by LIC (Life Insurance Corporation) agents. They keep talking about sovereign guarantee. Guarantee in a traditional product is only for the sum assured. Every insurance company (including private players) guarantees the payout of the sum assured. It is only the bonus payout that is not guaranteed. For ULIPs, this anyway does not apply. So, this is a total con game.
3) New products that no one has heard of
Heard of Jeevan Amrit or Jeevan Sadhana? These are not LIC plans. They are plans conjured-up by putting together a few insurance products of LIC . Also, interestingly, the payouts which come in at various points are assumed to be invested in National Savings Certificate, Public Provident Fund, RBI Bonds etc. Then they calculate the returns and tell you that their Jeeven Amrit or Sadhana gives 8 -10%. Don’t be misled by this. The higher returns are because of these other products, not insurance. I have still not understood why they should show reinvestment in other products, when they are talking about insurance. And, how someone falls for these.
4) 6 & 10% returns in a traditional product
Recently, I found that a client of mine has gone for Jeeven Saral, a traditional policy of LIC. However, the agent had given an illustration with 6% & 10% returns! This was to be used for ULIP policies, where this is a possibility. In traditional policies, 10% return is virtually impossible. You would readily understand, why they use it then.
Must read: Beat your bank deposits with endowment policies
5) Insurance on the child
There are products for the benefit of the child, where the child is the insured. It’s absurd, as the child is a dependant and insurance on the child is of no practical use. Yet, these kind of products are sold and are bought by emotionally charged parents, ending up with a bloomer.
Sudhir clutched his head when he came to know of these. He just bought a child insurance on his daughter and he remembers buying a Jeevan Aradhana or some such product, which is one of those 'intelligently' packaged ones.
For those buying financial products, a basic level of financial literacy would help. Studying and doing some basic research, is a good idea too. If one is not sure, get an unbiased opinion from someone who knows about insurance. Else, it becomes a costly mistake, which lingers around for years.
Disclaimer: While we have made efforts to ensure the accuracy of our content (consisting of articles and information), neither this website nor the author shall be held responsible for any losses/ incidents suffered by people accessing, using or is supplied with the content.
Courtesy-Moneycontrol.com
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