16 November 2010

India Morning Note - Keynote Capitals (November-16-'10)

Bookmark and Share
Visit http://indiaer.blogspot.com/ for complete details �� ��


Views on markets today
·        Indian markets snap their three-day losing streak and closed positive yesterday after markets reversed early losses and spurted in late trade as investors cheered improved trade data and easing of inflation in October 2010, shrugging off the weakness in global markets. Banks stocks led the gain as investors placed their bets on improving credit demand. The uptrend was led by buying activities in bank, pharma, IT and auto stocks while some selling pressure was witnessed in real estate and consumer durable stocks capped the markets from major gain.

·        Market breadth was however weak at ~0.76x as investors sold small and mid cap stocks. FIIs bought equities worth `3.13bn while domestic institutions sold equities of `3.39Cr.
·        Asian markets are lower today following the weak US markets. Japan's Nikkei average inched lower on Tuesday, losing steam after earlier hitting a five-month high, but exporter shares rose on a weaker yen and lent support to the overall market. Hong Kong stocks are negative with sentiment still fragile as investors expect China to implement more measures to curb inflation.
·        We expect Indian markets to open lower following the Asian markets. Global investors seem to be cautious ahead of the European worries and anticipated Chinese measures to tighten the economy.
Key events today
·        Listing of IPO of Gravita India Ltd. (NSE: GRAVITA, BSE code: 533282), issue price: Rs125 per share.
Economic and Corporate Developments
·        The WPI based Inflation declined marginally to a 10-month low of 8.58% in October.
Buzzing Stocks
·        Neyveli Lignite Corp has proposed to set up 4,000 MW coal-based power plants in the states of Orissa and Uttar Pradesh while a wind mill in Tamil Nadu, Parliament was informed.
·        Dabur India has bought US-based hair care company Namaste Laboratories and its three subsidiaries for $100 million (Rs 4.46 bn) in an all-cash deal.
·        As part of its plan to enhance its global presence, Godrej Group today said it is looking for two-three acquisitions in the next 12 months, both in the overseas and domestic markets.
·        NTPC plans to set up cement plants on its own after it failed to attract any partner for the new business.
·        The Kerala Government informed the High Court that action against Suzlon Energy Ltd, facing allegations of acquisition of tribal land, will be initiated only in accordance with law.
·        Indian Oil Corporation has lined up a Rs 25 bn capital expenditure (capex) for its marketing and distribution expansion in the current fiscal, a top company official said.
·        HPCL plans to invest Rs130 bn to almost double the capacity of its Vizag oil refinery in Andhra Pradesh to 15 million tonnes a year by 2013-14.
·        Muthoot Finance plans to raise Rs 20 bn by selling a 14% stake through an initial public offering, according to two officials with knowledge of the matter.
·        Private sector Yes Bank said that it has availed an USD 25 million term-loan from the US-based Wells Fargo Bank.
·        HCL Technologies has bagged a $ 100 million deal for its BPO unit.
·        Differences between Reliance Infrastructure (R-Infra), an Anil Dhirubhai Ambani Group company, and the Maharashtra Electricity Regulatory Commission (MERC) over the auctioning of power distribution licence have resurfaced.

No comments:

Post a Comment