What India's Stocks Market Will Watch - Mar 13

[K.Karthik Raja]

What India's Stocks Market Will Watch - Mar 13
Thursday, Mar 13 - Morning brief for the stock market:
.
BIG PICTURE
* India's industrial growth slowed down to 5.3% in January from 11.6%
a year ago, the Central Statistical Organisation said today. (NW18)
* Corporate India may be faced with $3 bln-$5 bln notional loss on its
exposure to foreign exchange derivatives. (BS)
.
.
TOP EVENTS TODAY
* Board meetings of:
+ Mercator Lines to consider and approve dividend on cumulative
redeemable
preference shares and full and final redemption shares on
maturity.
+ Vakrangee Softwares to consider and approve conversion of
warrants.
+ Vivimed Labs to consider proposal of investment in a subsidiary.
.
.
INDICATORS (previous session)
* Institutional net buy/(sale) in mln rupees, Mar 11: FIIs (1,724),
MFs 3,184.
* Sensex 16128, up 4.83 points; Nifty 4,872, up 6.10 points.
* Other markets: Crude oil: $109.75/bbl; rupee: 40.4550; gold: $985.88/
ounce;
10-yr yield: 7.5397%
.
.
OUTLOOK
* Shares seen down as the U.S. market ended down Wednesday and Asian
markets
have fallen 1-3% on worries over a U.S. recession. Also, a
steeper-than-expected fall in January industrial growth to 5.3% from
11.6% a
year ago has left investors worried about growth here.
.
.
GLOBAL STOCK MARKETS
* U.S. shares ended down as concerns about recession in the world's
largest
economy grew after crude oil rose above $110 per barrel.
* Most Asian indices were down on fears U.S. demand for goods could
fall as
consumer spending may be curbed due to a rise in oil prices to over
$110 a
barrel.
.
.
IPO WATCH
* Gammon Infrastructure Projects Ltd's 16.55-mln-share initial public
offer
subscribed 1.9 times at the end of the third day. (NW18)
.
SECTOR NEWS
FARM WAIVER: Government Wednesday proposed to set up a Farmers' Debt
Relief
Fund with an initial corpus of 100 bln rupees to fund the 600-bln-
rupee loan
waiver scheme announced for farmers in the Budget for 2008-09 (Apr-
Mar).
(NW18)
.
FOREIGN INVESTMENT: Government notified new foreign direct investment
policy
for several sectors including civil aviation, oil, mining,
construction,
credit information companies and commodity exchanges.
.
OIL AND GAS: Government Wednesday sought Parliament approval to issue
an
additional tranche of 90.8 bln rupees of bonds to state-owned oil
marketing
firms. (NW18)
India's crude oil basket continued its upward march and rose past
$101-a-barrel-mark at $101.20 a barrel (about 4,078 rupees) on
Tuesday, up
$1.03 a barrel from a day earlier. (NW18)
.
TELECOM: Department of Telecommunications unlikely to stop Blackberry
services. (BL)
.
STOCKS
* ACCEL FRONTLINE: Singapore-based Frontline Tech plans to up stake in
Accel
Frontline to 51% from 42% now at up to 121 rupees a share. (NW18)
.
* ALOK INDUSTRIES: Company has taken a 50% stake in Ashford Infotech,
a part
of the Ashford Group, through a wholly owned subsidiary, Alok
Infrastructure
Pvt Ltd, for the joint development of realty projects. (NW18)
.
* GOLDSTONE TECHNOLOGIES: Plans to roll out Internet Protocol
Television
services in 11 countries by the end of 2008-09 (Apr-Mar). (NW18)
.
* HINDUSTAN PETROLEUM CORP: Raised only 150 mln rupees through sale of
7.47%,
2012 oil bonds in the secondary market on Tuesday vs target of 4 bln
rupees.
.
* HIKAL: To invest 2 bln rupees to set up four new manufacturing
facilities
in Bangalore and Mumbai and a research centre in Pune. (BS)
.
* INDIAN OIL CORP: Company will invest close to 5 bln rupees in
research and
development activity for the downstream hydrocarbon sector by 2011-12.
(NW18)
.
* INDUS FILA: To appoint independent valuer to value its proposed buy-
out of
Tulip Apparels. (NW18)
.
* MAHINDRA AND MAHINDRA: Mahindra Intertrade, a wholly-owned
subsidiary
of the company, commissioned its 300-mln-rupee electrical steel
processing
plant in Vadodara, Gujarat. (NW18)
.
* RANBAXY: Supreme Court did not give any relief to the company in the
case
pertaining to its advertisement on its product Volini.
.
* SCOOTERS INDIA: Is planning to get into electric two-wheeler
segment. (BS)
.
* TATA COMMUNICATIONS: Governement seeks Parliament nod to refund
793.2 mln
rupees to the company. (NW18)
.
* TATA POWER: Will soon sign a joint venture deal with Coal India for
producing 12MW power from waste methane gas emitted from coalmines.
(NW18)
.
* TATA STEEL: In advance stage of negotiations to procure chrome ore
from Iran
for its upcoming ferrochrome plant in South Africa. (NW18)
.
* TATA CONSULTING Services: Forms a joint venture with Bangkok-based
Thai
Re-Insurance Public Corporation to set up a company called Firstech
Solutions. (BL)
.
* TITAGARH INDUSTRIES: Private equity fund Blackstone has acquired a
minority
stake in Titagarh Industries' arm Titagarh Wagons for 672 rupees a
share.
.
* VOLTAS: Has said its profit margins are squeezed because of rising
costs of
input materials such as steel, copper, and crude oil. (NW18) End
.
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K.Karthik Raja
Research Analyst
www.kences1.blogspot.com