Please Share:: 
India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��
Cairn India: Awaiting approvals; production ramp-up in 2HCY11 [Harshad Katkar]
Cairn Energy Plc announced its full year results for 2010 today. Cairn Energy has now guided for exit-CY11 oil production at Rajasthan of 165k bpd. This is lower than the 175k bpd guided by Cairn India management in their Q3FY11 (December 2010 quarter) conference call. The cut in guidance is likely on account of delay in getting approval for increasing Mangala peak production to 150k bpd from 125k bpd currently. The company, however, has reiterated its belief that the total resource base at Rajasthan supports a combined potential oil production of 240k bpd, subject to further investment and Government of India (GoI) and JV partner approvals.
Industry update: Indian auto sector: Takeaways from plant visits of five players [Srinivas Rao]
We covered around 65% of India’s car manufacturing capacity in our recent visits to the facilities of Hyundai, Ford, General Motors, Volkswagen and Maruti. Our key takeaways: 1) sector leaders Maruti and Hyundai face capacity constraints in the medium term and have to trade domestic market share for exports; 2) indigenization is a key priority for other players to close the profitability gap with sector leaders; 3) supply constraints at vendors have eased over last 6 months; 4) except for Maruti’s Gurgaon plant, all others are capable of three-shift operations.
India Economics Weekly: Monetary policy and inflation [Taimur Baig]
RBI committee report on operating procedure of monetary policy. The RBI formed a committee last year to review the framework of monetary policy operation. The recommendations of the committee, published earlier this week, include: Repo rate should be the single policy rate to signal monetary policy stance. The optimal width of the policy rate corridor should be 150bps.
India Equity Strategy: Indian market reaching an inflection point? [Abhay Laijawala]
Barring oil prices and any systemic risk arising from the fallout of the nuclear accident in Japan, we believe that the sharp underperformance of the Indian equity market (YTD Sensex has underperformed MSCI Asia by 700bps) may be bottoming. We see the markets reaching an inflection point in April-May and a directional shift upwards setting in, during 2H2011. Apr-May are likely to be important for the Indian equity markets on account of (1) release of Indian monsoon forecast by Meteorological Department.
US Daily Economic Notes: Weakening dollar is fueling goods inflation [Joseph LaVorgna]
The Fed is showing considerably less inclination to exit its current monetary policy stance compared to many of our key trading partners. As a result, the broad trade-weighted dollar continues to depreciate in large part due to expectations of a widening interest rate differential. As of the middle of March, the nominal trade-weighted dollar was at a cyclical low-down roughly 5% from year-ago levels. The inflation-adjusted trade-weighted dollar is at a multi-decade low. We are concerned about the strength of the dollar, because it directly impacts import prices and eventually can translate into higher consumer prices-as the following chart illustrates. The correlation between the trade-weighted dollar and import prices is particularly robust (84%) after adjusting for a three month lead on the former.
India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��
Cairn India: Awaiting approvals; production ramp-up in 2HCY11 [Harshad Katkar]
Cairn Energy Plc announced its full year results for 2010 today. Cairn Energy has now guided for exit-CY11 oil production at Rajasthan of 165k bpd. This is lower than the 175k bpd guided by Cairn India management in their Q3FY11 (December 2010 quarter) conference call. The cut in guidance is likely on account of delay in getting approval for increasing Mangala peak production to 150k bpd from 125k bpd currently. The company, however, has reiterated its belief that the total resource base at Rajasthan supports a combined potential oil production of 240k bpd, subject to further investment and Government of India (GoI) and JV partner approvals.
Industry update: Indian auto sector: Takeaways from plant visits of five players [Srinivas Rao]
We covered around 65% of India’s car manufacturing capacity in our recent visits to the facilities of Hyundai, Ford, General Motors, Volkswagen and Maruti. Our key takeaways: 1) sector leaders Maruti and Hyundai face capacity constraints in the medium term and have to trade domestic market share for exports; 2) indigenization is a key priority for other players to close the profitability gap with sector leaders; 3) supply constraints at vendors have eased over last 6 months; 4) except for Maruti’s Gurgaon plant, all others are capable of three-shift operations.
India Economics Weekly: Monetary policy and inflation [Taimur Baig]
RBI committee report on operating procedure of monetary policy. The RBI formed a committee last year to review the framework of monetary policy operation. The recommendations of the committee, published earlier this week, include: Repo rate should be the single policy rate to signal monetary policy stance. The optimal width of the policy rate corridor should be 150bps.
India Equity Strategy: Indian market reaching an inflection point? [Abhay Laijawala]
Barring oil prices and any systemic risk arising from the fallout of the nuclear accident in Japan, we believe that the sharp underperformance of the Indian equity market (YTD Sensex has underperformed MSCI Asia by 700bps) may be bottoming. We see the markets reaching an inflection point in April-May and a directional shift upwards setting in, during 2H2011. Apr-May are likely to be important for the Indian equity markets on account of (1) release of Indian monsoon forecast by Meteorological Department.
US Daily Economic Notes: Weakening dollar is fueling goods inflation [Joseph LaVorgna]
The Fed is showing considerably less inclination to exit its current monetary policy stance compared to many of our key trading partners. As a result, the broad trade-weighted dollar continues to depreciate in large part due to expectations of a widening interest rate differential. As of the middle of March, the nominal trade-weighted dollar was at a cyclical low-down roughly 5% from year-ago levels. The inflation-adjusted trade-weighted dollar is at a multi-decade low. We are concerned about the strength of the dollar, because it directly impacts import prices and eventually can translate into higher consumer prices-as the following chart illustrates. The correlation between the trade-weighted dollar and import prices is particularly robust (84%) after adjusting for a three month lead on the former.
No comments:
Post a Comment