Opening bell 7 April3 min read . Updated: 07 Apr 2011, 08:48 AM IST
Opening bell 7 April
Opening bell 7 April
Mumbai: Risk appetite has returned. Investors are buying everything under the sun. Equities, gold and crude oil are all moving up, though for different reasons. Here’s a list of things to watch out for before trading starts.
Overnight US stocks rallied taking the Dow Jones Industrial Average to its highest level since 2008. Technology and lenders led the rally. Even as gold and crude prices rose to record levels as fears of inflation resurfaced. Gold hit $1,463 an ounce in New York trading. Crude oil hit a 30-month high in New York as fighting in Libya intensified. Brent crude oil is hovering at $121.8 a barrel in Asian energy markets.
The positive closing in the US markets has helped Asian stocks. Stock markets in Japan and Hong Kong opened on a positive note. The Nikkei rose 0.45% to 9,627 in morning deals as the Yen weakened against major currencies.
Meanwhile in India, the Cairn-Vedanta deal is stuck for some more time. The government is divided about royalty payment. The cabinet committee on economic affairs has now referred the deal to a group of ministers headed by the finance minister.
The Hero group is working on an entry level motorcycle that will be priced below ₹ 40,000. The low priced bikes will help the company maintain its grip on the entry-level segment.
The tax man is knocking on FII doors. The income tax department has issued a ₹ 2,000-crore tax claim notice on 15 FIIs. The claims are for the 2008-09 assessment year.
It’s recall time for Maruti Suzuki. India’s largest car maker said it would recall 13,157 cars to examine a possible faulty engine part. The recalls include Swift Dzire, Swift and Ritz models.
As part of a debt restructuring plan, a consortium of 13 bankers will be allotted a 23.37% stake in Kingfisher Airlines. The airline allotted 116 million shares at a conversion price of ₹ 64.48 per share. The stock closed at ₹ 48.05 on Wednesday.
NTPC reported a 24.2% jump in March quarter net profits. Net sales for the latest quarter rose 17.7% to ₹ 14,488 crore. The company is planning to invest ₹ 26,400 crore in 2011-12. Read Mint’s review...
There is some good news on food inflation front. According to the government, pulses production is set to see a record growth in this year. Due to shortage, the prices of these pulses rose sharply last year. With the government predicting a bumper crop, one can hope for softer food inflation in the coming months. Read more...
Asian Development Bank has downgraded its growth forecast for India to 8.2%. Earlier the bank was expecting the Indian economy to grow at 8.7% in 2011-12.
Idea Cellular might be slapped with a fine of ₹ 300 crore. The telecom ministry has reportedly accepted the recommendations of Additional Solicitor General to fine the company for holding more than 10% stake in two mobile companies. Read more...
A government panel has recommended that BSNL be merged with MTNL and ITI. The latter makes telecom hardware.
The Ministry of Environment and Forests has lifted the ban on development projects in the Talcher area of Orissa. This paves the way for Coal India’s expansion projects in the area.
And finally, tap water in Delhi can be more dangerous than one can imagine. A study found the tap water to contain bacteria that is resistant to almost all medicines. The drug-evading bacteria are a cause of worry for researchers. The bug is expected to travel along with people. As people travel out of the country the bug is also expected to be transported.