BackOpening Bell | Tata Steel, Reliance, Hero MotoCorp in focus
Asian markets were trading on a mixed note on Friday morning ahead of the US jobs report later today
Premium
Mix trade in Asia
Asian markets were trading on a mixed note on Friday morning ahead of the US jobs report later today. China’s Shanghai Composite was down 0.8% and Japan’s Nikkei Stock Average slipped 1.1%, as demand for government debt saw Japan’s 10-year bond yields slide to a record low. Hong Kong’s Hang Seng was trading higher by 1%.
US markets end in the green
Overnight, the Wall Street swung in and out of the negative territory to finally close higher. The S&P 500 ended 0.2% higher, while the Dow Jones Industrial Average gained 0.5% and the Nasdaq Composite was up 0.1%. The markets will look to the US jobs data to set direction, with the employment report expected to show employers adding 190,000 jobs in January, according to the median estimate of 108 economists polled by Reuters.
Tata Steel posts wider than estimated loss in Q3
In India, Tata Steel Ltd shares will be under pressure as it posted a loss of ₹ 2,127 crore in the December quarter, far wider than analysts’ estimates as it took one-time charges, mostly related to its European assets, and cheaper imports from China weighed on profits. The ball is in now in the governments’ court for Tata Steel as the Chinese government is considering reducing steel output in 2016 and the Indian government may introduce steps to curb steel imports.
Reliance Infra to sell cement business
Reliance Infrastructure Ltd shares will be in limelight as it has agreed to sell its cement assets to Birla Corp. Ltd for ₹ 4,800 crore to pare debt and expand its new defence manufacturing business, read more.
Nasscom lower’s growth forecast for IT exports
Software industry body Nasscom estimates exports of Indian information technology services will grow at 12.3% in constant currency terms in the current fiscal year, as against its earlier guidance of 12-14%. The industry body blamed the uncertain macro-economic environment marked by volatility in equity and investment markets, currency fluctuations and political instability in global markets as well as higher visa fee in the US and the UK for lower growth estimates.
Hero MotoCorp to miss export target
Hero MotoCorp Ltd is likely to cut its projections for exports as the firm’s entry into Brazil, where it expected to sell up to 300,000 units a year, has got delayed. Other factors that have hurt Hero’s prospects include the bankruptcy of its technology partner Erik Buell Racing and stagnant global economy.
Anandiben Patel’s daughter landed a good deal
Lastly, business associates of Anar Jayesh Patel, 45, daughter of Gujarat chief minister Anandiben Patel, own a company that’s sitting on 400 acres of land near the Gir lion sanctuary in the state and 250 acres of that land was given to that company at an official rate of ₹ 15 per square metre, reports Economic Times.
Earnings in focus
Lupin Ltd, PTC Ltd, Vijaya Bank Ltd and Whirlpool Ltd shares will be in focus on account of December quarter earnings.
Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!
