Mumbai: The International Monetary Fund pared India’s growth forecast by 10 basis points, to 5.9% for 2013 citing slower recovery in the world economy and lesser space for further monetary easing as policy uncertainty and supply bottlenecks continue to weigh.
Overnight, US markets ended in the green following better than expected results by Google Inc. Also a vote to suspend the government’s debt limit until May added to the positive sentiment, reported Financial Times. The Dow Jones Industrial Average gained 0.5%, S&P 500 added 0.2% and Nasdaq Composite was up 0.3%. Apple Inc. shares slumped 10% in after hours trading after it missed Wall Street forecast for the first time in many years.
Asian markets were trading in the red on Thursday morning on back of losses in technology suppliers following disappointing results by Apple. Japan’s Nikkei Stock Average was down 0.2%, China’s Shanghai Composite was flat and Hong Kong’s Hang Seng declined 0.2%, reports MarketWatch.
In India, telecom shares will continue to remain in focus after Bharti Airtel Ltd raised mobile-phone-call tariffs for the first time in more than three years. Idea Cellular, too, increased call charges in some service areas. Both companies have reduced the discounts and freebies on offer to customers across the country, reported Mint.
Reliance Communication Ltd may be under pressure after it reported worse-than-expected net profit decline of 43% to Rs.105 crore due to a sharper drop in non-operating income and higher finance cost.
While some of the IT companies have posted stellar results, they are adding fewer staff as attrition rate and revenue growth has declined, reported Mint. India’s top 10 software services exporters will hire around 150,000 engineers this year, compared to 200,000 last year.
Exide Industries may be in the limelight after the company said it would acquire the remaining 50% stake in ING Vysya Life Insurance Company, reported Business Standard. With this acquisition, ING Group will exit its insurance business in India as part of its global restructuring strategy.
Infosys Ltd may see some action after the company said it has received an order from a unit of British Telecom Group to provide a software product that helps businesses save costs in their customer-service operations, reported Wall Street Journal India.
Jaypee Infratech will be in the focus following reports that its parent will sell up to 98.5 million shares on Thursday to raise up to $94 million to meet the market regulator’s guidelines on minimum public shareholding.
Lastly, at the Jaipur literature festival that starts on Thursday, there will be more substance and less froth as some of the top scholars are attending a session on “What is a Classic”. The festival opens with chants from Buddhist monks, followed by an appearance by the Dalai Lama, reported Wall Street Journal India.