CBI on Wednesday summoned Anil Ambani (ADAG Group) over 2G probe
Government sets up panel for direct transfer of subsidy
Jain Irrigation inaugurates micro-irrigation unit in Bhavnagar, Gujarat
iramal Glass to invest Rs 260 crore over next 2 years for expansion of capacities
RCom to kick off multi-lingual mobile portal
Opto Circuits’ foray into US, Japan stent market meets regulatory hurdles
Jindal Steel and Power gets MoEF’s nod for steel project in Orissa
Supreme Infrastructure secures three prestigious work orders worth Rs 238.95 crore
MARKET INDISE
On Wednesday 16 Feb 10, 2011, Indian equity markets witnessed quiet session of trade today. Benchmark equity indices after swaying in and out of the green territory snapped the fourth successive day of trade on somewhat optimistic note. However, the trade remained quite listless today with investors not showing any interest in building up positions, but, instead were seen using small rallies to lighten commitments. Impressive results from Tata Steel and short covering of position from speculators and commendable reversal trend of Realty sector followed by the smart gains of stocks from Metal, Consumer Durable and Capital Goods space held the equity markets momentum in green as the 30 share index--Sensex--on BSE clocked in gain of 40 points while the widely followed 50 scrip index--Nifty--on NSE ended flat but yet on a affirmative note.
The BSE Sensex gained 27.10 points or 0.15% to settle at 18,300.90 and NSE 50-share Nifty closed almost flat at 5481.70 with 0.70 pints or 0.01%.Broader indices ended in a good shape. The BSE Mid-cap and Small-cap indices garnered a gain of 0.53% and 1.01%, respectively. In BSE sectoral space Realty up 2.12%, Metal up 1.49%, Consumer Durables (CD) up 1.02%, Capital Goods (CG) up 0.56% and Bankex up 0.17% and were the major gainers. On the other hand, Healthcare down 0.58%, Auto down 0.37%, PSU down 0.20% and Oil & Gas down 0.11% were the only losers on the BSE sectoral space..
European markets were trading in the green. FTSE gained 0.58%, CAC-40 advanced 0.77% and DAX climbed 0.27 %. Majority of the Asian markets made a positive close on Wednesday, though the trade remained choppy but most of the indices were able snap the session in green. The Chinese markets moved higher supported by the spike up in the steel stocks while the Japanese markets surged to touch their fresh nine months high helped by a softer yen against the dollar, the dollar climbed against the yen to its highest in eight weeks on Tuesday. On the other hand, the Korean market was worst performer of the day as the major indices there were pressured by a second straight session of foreign selling and fall in automakers and crude refining stocks.
Meanwhile, the government has kick-started the deliberations for the much talked direct subsidy transfer mechanism. It has set up a high-level task force under Nandan Nilenkani, the UID chairman, to explore the possibility of directly transferring subsidy being provided in domestic cooking gas, kerosene and fertilizers to consumers. At present, the biggest criticism of the subsidy policy of the government is its untargeted nature. For instance, the subsidy given in diesel is meant for public transportation and farm use, but the same is also availed by rich people driving multi-utility vehicles. Clearly, there is a need to target the subsidies in a better way so that only the needy ones are the beneficiaries while market prices of products is charged from other people.
MARKET OUTLOOK- CAUTIOUSLY OPTIMISTIC
