Friday, February 19, 2010
सेन्सेक्स (16191.63) -136.21 अंक गिरकर, नीफ़्टी (4844.90) -42.85 अंक गिरकर, बंद..
Delivery Call ..
Buy on dips :Videocon Inds at 220-240 hold for Target Rs255: The stock continues to be in an uptrend after breaking out a downward-sloping trend line since January 2010. The momentum indicator RSI is exhibiting positive movement suggesting further upside in the near term. We believe a move past Rs244 will see the stock testing January 2010 peak. Keeping in mind the above mentioned technical parameters, we recommend traders to buy the stock in the range of Rs220-240 with SL of Rs217 for target of Rs255 and Rs260 plus in coming days.
Strategy Note: Budget Preview 2010-11 – ‘Tightening Purse Strings’
We expect significant positive measures for the rural economy, in line with the government’s agenda of inclusive growth, infrastructure development and educational reform. Announcement on disinvestment and GST roadmap will be tracked closely. The budget is unlikely to cause any negative impact for equities. However, it may fall short of the triggers to boost the markets. The expected excise hike could act as a near-term depressant for certain sectors
Fiscal prudence is expected to be the primary agenda of Budget 2010-11. This is certainly not the year for industry-specific freebies or any galloping gross budgetary support. Instead, the Finance Minister will aim at bringing down fiscal deficit, largely through stimulus withdrawals, disinvestments and 3G auctions, among others. Inflation control measures (mainly food inflation) will also be a focus area.
Keep profit booking at higher levels, hold delivery, do not over trade stay light, siting on cash will WIN. Budget my surprise all either way. Avoid this pre budget positions.
Happy Budgeting.. oh!! Happy trading..
‘Tightening Purse Strings’
Corporate Snippets ..
SAIL in talks with some companies for acquiring coking coal blocks in Australia, New Zealand, Mozambique and Indonesia to achieve its production targets. (BL)
RIL may ask for more time to sweeten LyondellBasell bid. (FE)
Tata Motors appoints Ralf Speth as CEO of Jaguar Land Rover with the overall responsibility for its operations. (ET)
Swiss loan puts Wockhardt in a spot of bother. (ET)
Three international investors have decided to sell their holdings in Vedanta on concerns over its human rights record. (ET)
Navratna companies such as IOC, NTPC, ONGC and SAIL are likely to get ‘Maharatna’ status within the next 60-90 days. (ET)
Government allows ONGC and GAIL India to take 8.4% and 4.2% stake respectively, in a pipeline that China is building in Myanmar to transport gas from offshore blocks A-1 and A-3. (BL)
BPCL arm strikes gas in Mozambique. (FE)
Dr Reddys’ Laboratories to move 25% more Betapharm production to India. (BS)
M&M’s farm equipment sector is looking for local partners to outsource the assembly of its newly-launched low-cost 15HP tractor, Yuvraj. (FE)
Dishman Pharma has entered into a strategic alliance with a California-based biotech company Codexis. (ET)
Pre Market Commentary ..
We expect a weak start in India amid concerns on monetary tightening worldwide. One needs to be careful amid constant flow of news and heightened market volatility across asset classes. Inflation is threatening to touch double digits though the RBI maintains it won’t hike rates before April. But then the RBI too could surprise if inflation shoots up sharply.
The bears will be pleasantly surprised as investors find themselves in a season of surprises. After China’s unexpected second hike in the reserve ratio last week, the Fed has increased the discount rate by 25 basis points. The US central bank said the move reflects improvements in the US economy and does not reflect a change in policy.
Late last week, Fed chief Ben Bernanke had indicated a move was coming, but no many anticipated any action between meetings. The dollar is up while gold prices have slipped further. Crude oil too is also up. The Fed move came after Wall Street trading, where US stocks gained in a volatile session. European shares advanced but Asian markets are mixed. China market remains shut.
Nestle India, SKF India and Wyeth will announce their results today.
FIIs were net sellers in the cash segment on Thursday at Rs3.51bn on a provisional basis while the local funds were net sellers of Rs1.22bn, according to figures published on the NSE's web site. In the F&O segment, the foreign funds were net sellers of Rs479.9mn. On Wednesday, FIIs were net buyers of Rs12.24bn in the cash segment, while Mutual Funds were net buyers at Rs2.62bn, according to SEBI web site.
Thursday, February 18, 2010
सेन्सेक्स (16327.28) -101.07 अंक गिरकर, नीफ़्टी (4887.75) -26.25 अंक गिरकर, बंद..
Food Inflation steady near 18%
MOSERBAER: Our delivery call, NOW ON MOVE...
LOOKING GOOD ON
CHARTS
hold...................for ............
BLAST...........SAVE THIS MESSAGE
Sector Watch : Metal, Educational, Food Based, Healthcare, Sugar, Cement Stocks
Corporate Snippets
± BHEL to hire 8,000 people in the next two years to meet growing domestic demand. (ET)
± Abbott labs has announced an open offer to acquire 20% of Solvey Pharma India at Rs3,054 per share. (ET)
± Union Bank of India will price its public issue in a range of Rs60-66 per share. (ET)
± JK Lakshmi Cement to raise Rs6bn via ECBs and rupee term loans in the next quarter to finance its Greenfield projects. (ET)
± Mahindra Satyam is looking to hire around 5,000 people, including freshers and experienced professionals, by the end of next month. (BS)
± Havells India plans to produce ceramic metal halide (CMH) lamps which are designed for indoor and outdoor lighting applications. (BS)
± Novartis is looking to buy out the remaining stake in US-based eye care group Alcon by the end of this year. (BS)
± Areva T&D India has been awarded a Rs1.2bn contract for electrical Balance of Plant (eBOP) by L&T Power for state utility, Madhya Pradesh Power Generating Company Ltd. (BS)
± L&T General Insurance is ready to launch its operations in the next three-five months. (BS)
± SpiceJet will start flights on international routes by this year if it receives all the requisite approvals. (BL)
± Chettainad Cement is planning to raise its capacity to 25mtpa by 2020 from 8.5mtpa currently. (ET)
Economic snippets
± Government to ban FDI in Tobacco sector. (ET)
± Prime minister’s economic advisory council has pitched for a single Cenvat rate, which would be higher than the current 8%. (ET)
± India has retained its top slot in gold consumption. (ET)
± Tax heavens pose a threat to security because of their complex and secret laws, says the finance ministry. (ET)
± Government is considering selling part of its stake in PSU banks to LIC and GIC. (FE)
± Banks want the deadline for the implementation of base rate to be extended by three months. (FE)
± The government is confident that food prices will start easing from April when the rabi harvest hits the market. (BS)
FIIs were net buyers in the cash segment on Wednesday at Rs5.2bn on a provisional basis while the local funds were net buyers of Rs1.97bn, according to figures published on the NSE's web site. In the F&O segment, the foreign funds were net buyers of Rs7.77bn. On Tuesday, FIIs were net buyers of Rs2.57bn in the cash segment, while Mutual Funds were net sellers at Rs590mn, according to SEBI web site.
Market Commentary ...
Today,we expect a subdued opening owing to mixed global cues. Asian markets are down mostly, barring Japan. Chinese markets will resume trading next week. US stocks closed higher and European stocks rose for a third straight session. We expect a choppy session with a slightly positive bias. The run-up if any to the budget can be used to get out of event-related counters.
The spurts of green in recent times give some confidence that the world has weathered the financial storm well so far. We still have to get out of the woods and on to a highway. For every 2-3 good news is encountered with a set of bad news, which sometimes triggers unnecessary panic. China is overheated while Europe is facing certain debt issues. The US is growing but the quality of recovery is questionable. Unemployment is still pretty high in the matured economies.
For India, the big issue is inflation and its broader economic fallout. Interest rates are set to head north, slowly but surely; need not be steadily though. The Government has limited elbow room on account of a bloated fiscal deficit. With the economy doing well, a partial rollback of fiscal stimulus is definitely on the cards.
Wednesday, February 17, 2010
सेन्सेक्स (16415.91) 189.23 अंक चढ्कर, नीफ़्टी (4910.75)55.00.. अंक चढ्कर, बंद..
NIFTY : Our call trading srtong, hold for 4945 Intraday
JOIN US!!
Send SMS for "STUDY" on 09825677777