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RILRNRL gas row: Is govt at disadvantage by fixing price?Cuckoo Paul, Associate Editor of Forbes India and Madhu Nainan, Editor of Petrowatch comment on whether the government is putting itself at a disadvantage by sticking to a fixed price or intervening rather in the gas market in the pricing of gas and not on whether the government has been partisan.Source: Moneycontrol Top Headlines | 29 Jul 2009 | 9:09 am RNRL serves notice to Oil Min, RIL in gas disputeAfter Anil Ambani made allegations against Reliance Industries (RIL) and the Oil Ministry yesterday at the companys AGM, he today said that RILRNRL gas dispute does affect public interest as it has bearing on projects of 12,000 MW capacity. He said that Reliance Natural Resource (RNRL) has served notice to the Oil Ministry and RIL.Source: Moneycontrol Top Headlines | 29 Jul 2009 | 8:18 am RILRNRL: What exactly is the gas tussle about?At the annual general meeting of Reliance Natural Resources Limited (RNRL), Chairman Anil Ambani accused the Mukesh Ambani promoted Reliance of dishonourable conduct and questioned the Oil Ministrys motives in taking a stand in what he said was a corporate issue. He said.Source: Moneycontrol Top Headlines | 29 Jul 2009 | 7:02 am Top global steel majors report loss in June quarterGlobal steel majors are feeling the heat of recession. ArcelorMittal, the world\'s largest steelmaker reports Q2CY09 net loss of $ 800 million. EBITDA stands at $ 1.2 billion while sales at $ 15.17 billion. The company expects Q3 EBITDA of $ 1.41.8 billion.Source: Moneycontrol Top Headlines | 29 Jul 2009 | 6:49 am NIIT Tech Q1 net profit drops 58 pc; shares fall 8 pcIT firm NIIT Technologies reported a fall of nearly 58 per cent in its net profit to Rs 10.30 crore for the first quarter ended June 30, over the same period a year earlier.Source: Hindustan Times News Feeds 'Business' | 29 Jul 2009 | 6:46 am Hardening of rates due to govt borrowings a worry: Assocham!Hardening of interest rates in future due to huge market borrowings by the government remains a concern, Assocham president Sajjan Jindal said in Tokyo on Wednesday.Source: Zee News : Business | 29 Jul 2009 | 6:43 am Microsoft, Yahoo agree on ad partnership: Report!Yahoo! and Microsoft are close to forging a partnership on Internet search, and an agreement could be reached as early as Wednesday, The Wall Street Journal reported.Source: Zee News : Business | 29 Jul 2009 | 6:43 am UK cuts costs, to outsource 100 IT jobs to India!More than 100 finance and IT jobs at the British Council are to be outsourced to India as part of a cost-cutting drive to save the taxpayer money, according to a report in The Times.Source: Zee News : Business | 29 Jul 2009 | 6:43 am `Good times` Kingfisher warns staff of salary delays!It seems to be end of good times for Kingfisher Airlines as the airliner has sent a mail to its employees warning them of salary delays, media reports claimed Wednesday.Source: Zee News : Business | 29 Jul 2009 | 6:43 am Sensex opens at 15,293, down by 38 points !The Bombay Stock Exchange benchmark index Sensex on Wednesday opended 38 points lower at 15,293.19 points, as gainst Tuesday`s close at 15,331.94 points.Source: Zee News : Business | 29 Jul 2009 | 6:43 am SpiceJet sees improvement in passenger traffic in July!Budget air-carrier, SpiceJet, on Wednesday day said it has witnessed a healthy improvement in demand and expects to post a 10 percent rise in passenger traffic this month but low yields still remain a cause of concern.Source: Zee News : Business | 29 Jul 2009 | 6:43 am Nifty closes at 4500;TCS,Tata Power gain - Economic Times
Source: Business - Google News | 29 Jul 2009 | 5:57 am Indian shares fall 1 pct; Tata Steel, Sterlite drop - Reuters India
Source: Business - Google News | 29 Jul 2009 | 5:56 am Realty, metals pull down SensexThe Bombay Stock Exchange benchmark Sensex fell for the third day in a row and lost over 158 points today on heavy selling by funds in heavyweight shares.Source: Daily News & Analysis: Money News | 29 Jul 2009 | 5:50 am Tech exports seen rising 4-7 pct in FY10BANGALORE (Reuters) - India's software and services exports are seen rising 4 to 7 percent in the year to March 2010, sharply slowing from past years' robust growth on sluggish demand for outsourcing services, an industry body said on Wednesday.Source: Reuters: Money News | 29 Jul 2009 | 5:41 am Hero Honda Q1 net zooms 83% to Rs 500crHero Honda on Wednesday reported a 83.28% jump in its net profit to Rs 500.11 crore for the first quarter ended June 30, 2009.Source: India Business News | Business News - Times of India | 29 Jul 2009 | 5:41 am PNB Bank Q1 jumps on treasury gains, loan growthNew Delhi: State-run Punjab National Bank’s quarterly profit rose 63%, helped by a sharp rise in treasury income and strong loan growth. Treasury income, through trade of bonds, surged to Rs3.58 billion from Rs130 million a year ago, while loans grew an annual 38 percent during the April-June quarter. Profit jumped to Rs8.32 billion from Rs5.12 billion the year ago, while total income rose 34% to Rs61.78 billion. The bank was targeting profit of Rs37 billion for the full year, executive director Mohan Tanksale said, compared with compared with Rs30.91 billion last year. He said loans would grow an annual 22% and net interest margins would be at 3.5% for the full year. Tanksale said a buyer for a 26% stake in its fully-owned unit PNB Housing Finance would complete its due diligence process in 60 days. PNB had earlier named Dawnay Day as the buyer and said it expected Rs700-770 million from the sale. Shares in PNB closed 3.45% up at Rs747.55 in a Mumbai market that was down 1.03%. Source: LatestNews-Home - Livemint.com | 29 Jul 2009 | 5:37 am Lower cost of deposit resulted in better margins: Corp Bank - Moneycontrol.com
Source: Business - Google News | 29 Jul 2009 | 5:35 am Hero Honda net jumps 83 percentTwo-wheeler major Hero Honda Motors Wednesday reported 83 percent jump in profits to Rs.500 crore ($103 million) for the quarter ended June 30 as compared to Rs.272.8 crore in the like period last year.Source: IndiaeNews.com: Business News | 29 Jul 2009 | 5:32 am Seven more Jharkhand districts declared drought hitJharkhand Wednesday declared seven more districts as drought hit after scanty rainfall affected paddy crop in the state.Source: IndiaeNews.com: Business News | 29 Jul 2009 | 5:32 am India looking forward to hosting September trade talks: Anand SharmaCommerce Minister Anand Sharma said he was looking forward to hosting the September meeting among global trade ministers to put the derailed global trade talks back on track.Source: IndiaeNews.com: Business News | 29 Jul 2009 | 5:31 am Eight Chinese firms to participate in Chennai exhibitionEight Chinese hospital equipment makers will showcase their products in the 'Medicall' hospital equipment exhibition, which will start here Friday, organisers of the event said.Source: IndiaeNews.com: Business News | 29 Jul 2009 | 5:30 am See revenue at USD 52.5- 54.5mn in Q3: Hexaware Tech - Moneycontrol.com
Source: Business - Google News | 29 Jul 2009 | 5:29 am Close: Sensex falls 1.3%; markets record 3rd highest turnoverMumbai: Markets closed in the negative following weak cues from Chinese market as Shanghai index slumped over 7% on Wednesday. Also, caution still prevailed before the expiry of July Futures and Options contracts tomorrow. Third highest trade turnover was also recorded today at Rs1.47 trillion, the second highest recorded was on 18 October, 2007 at Rs1.48 trillion. The Bombay Stock Exchange benchmark Sensex opened lower tracking mixed global cues. However, markets managed to recover on some buying in key stocks, before once again losing ground. Among various segments, realty, consumer durable, metal, FMCG, capital goods and pharma stocks contributed to most of the selling while, IT and oil & gas stocks witnessed some buying. The BSE Sensex ended below 15,200 level and NSE Nifty closed below 4,550 mark. The 30-share Sensex closed lower by 158.48 points at 15,173.46 and the 50-share Nifty ended down by 50.60 points at 4,513.50. Leading the losers on the BSE Sensex was DLF Ltd down by 6.58% to Rs398.05, Tata Steel by 5.77% to Rs441.90, Sterlite Industries by 5.53% to Rs621.15, Sun Pharma by 5.24% to Rs1,188.25, Tata Motors by 4.96% to Rs393.65, Grasim Industries by 4.03% to Rs2,722.75 and Reliance Infra by 3.79% to Rs1,164.10. Stocks of Tata Consultancy Services Ltd led gains by 4.18% to Rs499.80, followed by Tata Power by 2.91% to Rs1,302.45 Mahindra & Mahindra Ltd by 2.31% to Rs841.80, Hindalco by 1.28% to Rs94.65 and Reliance by 0.84% to Rs1,926.30. In Asia, markets ended mostly lower. While Japan’s Nikkei gained 0.36%, Hong Kong’s Hang Seng lost 2%. Chinese stocks plunged sharply after the Chinese government cut gasoline prices, which accelerated selling of metal, energy and realty stocks. Source: Home - Livemint.com | 29 Jul 2009 | 5:27 am Hero Honda achieves highest quarterly sales, surpasses a million mark - Business Standard
Source: Business - Google News | 29 Jul 2009 | 5:23 am Realty, metals pull down Sensex In volatile trading, the Sensex changed direction at least six times before ending with a loss of 158.48 points at 15,173.46.Source: India Business News | Business News - Times of India | 29 Jul 2009 | 5:22 am Lupin expects USFDA re-inspection at plantMumbai: Drugmaker Lupin expects US Food and Drug Administration to reinspect its manufacturing unit in Madhya Pradesh and is scouting for a India buyout worth up to Rs300 crore, a company official said on Wednesday. Last year, the regulator found 15 deficiencies at Lupin’s Cephalosporin making plant in Madhya Pradesh. “We had a meeting with the FDA, no new issues were raised. They will come for a new inspection,” said Nilesh Gupta, group president and executive director, Lupin without mentioning the inspection date. The FDA’s action did not have any effect on company’s revenue from the plant, which contributes about 30% of its Rs300 crore sales in US, he said. “There hasn’t been any business impact, but it is a problem and we have to deal with it.” Following a warning letter about the 15 deficiencies at Lupin’s plant, the US regulator had confirmed two of Lupin’s facilities were in compliance with the manufacturing standards, he said. “We are using this warning letter as a wake-up call and looking at...how we could be better.” Capex, acquisition plans The company would invest about Rs450-500 crore in 2009-10 to upgrade and expand its facilities, Gupta said. The company will also scout for a drug making plant in India and is willing to spend about Rs300 crore in addition to the 2009-10 capex, a company spokesperson said. The funds for capital expenditure and the likely buy-out will come from internal accruals, the spokesperson added. The company continues to look out for a brand buy-out in the US, besides marketing companies in Latin America, middle East and Eastern Europe, Gupta said. In March, Lupin bought 51% stake in Multicare Pharmaceuticals Philippines Inc. Earlier in the day, the company reported a 65% rise in April-June net profit on year, driven by its robust formulation sales in the US and domestic markets, Gupta said. Shares in the company ended down 0.44% to Rs944.40 in a weak Mumbai market that closed down 1.03%. Source: LatestNews-Home - Livemint.com | 29 Jul 2009 | 5:21 am Religare makes two senior appointmentsMumbai: Religare Enterprises Limited (REL) on Wednesday said it has appointed Jasmine Arora as director, Institutional and Investor Relations. Arora will be based out of its corporate headquarters in New Delhi. The company has also appointed Deepak Chhabria as president—Asia-Pacific, Religare Hitchens Harrison (RHH),and he will be based out of Singapore. Arora joins Religare from UBS AG, London, where she was director, Wealth Management. At UBS she was working with ultra-high-net-worth individuals and their family offices, a press release issued here said. With over 14 years of experience in investment banking, Arora brings a wealth of relationship and skill-sets to her role of spearheading institutional and investor relations at Religare, the release said. Chhabria joins Religare Hitchens Harrison from Collins Stewart Pte Ltd wherein he built an equities business across listed equity capital markets and private equity. He joins the organisation as a key management team and will lead the institutional sales in the Asia-Pacific region, the release said. Source: LatestNews-Home - Livemint.com | 29 Jul 2009 | 5:21 am Scrapping of Temasek succession ’unfortunate’: CEOThe chief executive of Singapore’s state investment firm said that scrapping a plan to install its first foreign head was “unfortunate” but a succession review was going ahead.Source: Hindustan Times News Feeds 'Business' | 29 Jul 2009 | 5:19 am Gold trades below 15k levelGold prices on Wednesday tumbled by Rs 190 to close at Rs 14,990 per ten grams in the bullion market on heavy selling by stockists triggered by steep fall in the precious metal in overseas markets.Source: India Business News | Business News - Times of India | 29 Jul 2009 | 5:17 am To see 20-25% increase in sales in FY10 vs FY09: Tata Steel - Moneycontrol.com
Source: Business - Google News | 29 Jul 2009 | 5:13 am RIL-RNRL gas row: Is govt at disadvantage by fixing price? - Moneycontrol.com
Source: Business - Google News | 29 Jul 2009 | 5:13 am Inflation seen at 6-7% at end FY10: EdelweissMumbai: India’s inflation could stand at 6-7% with an upward risk at end-March 2010, Edelweiss Securities projected in a note, compared with the central bank’s projection of 5%. At its quarterly policy review, the Reserve Bank of India (RBI) raised its inflation rate projection to 5% from 4%, while the growth rate estimate was maintained at 6% for fiscal year 2009-10, though with an upward bias. Edelweiss Securities estimates the economy will grow at 6-6.5% in the current fiscal. “The current policy announcement reiterates our view that the central bank has reached the end of the monetary easing cycle,” it said, adding it sees key policy rates unchanged for the rest of the calendar year. Edelweiss said calendar 2010 may witness spells of large spikes in inflation, partly due to a low base, but “given RBI’s history of low tolerance for inflation, it will be critical how the balance between the counteracting objectives of growth and price stability is maintained at that time,” it added. Source: LatestNews-Home - Livemint.com | 29 Jul 2009 | 5:11 am India to maintain growth amid global slump-finmin - Reuters India
Source: Business - Google News | 29 Jul 2009 | 5:07 am Govt to maintain growth amid global slump - MukherjeeNEW DELHI (Reuters) - The government hopes to maintain the present level of economic growth despite a global slump as a steep fall in exports has been arrested in the last two months and industrial output looks promising, senior government officials said on Wednesday.Source: Reuters: Money News | 29 Jul 2009 | 5:06 am RNRL to request SC for quick resolution of gas disputeIntimates RIL and government of its intention to make the request tomorrow; seeks government help.Source: Daily News & Analysis: Money News | 29 Jul 2009 | 5:02 am BMW pulling out of F1Munich: BMW is pulling out of Formula One at the end of this season, the second car maker to leave the series within a year as a severe global economic downturn hits new car sales and forces manufacturers to cut costs. The German company announced the decision at a news conference on Wednesday, saying it wanted to use the significant F1 budget in other areas. It will remain involved in other forms of motor sport. “Of course, this was a difficult decision for us. But it’s a resolute step in view of our company’s strategic realignment,” BMW chairman Norbert Reithofer said at the news conference. He said the Munich-based car maker would use the resources previously spent on the F1 team to advance “sustainability and environmental compatibility.” Since entering F1 as a team by taking over the Sauber team ahead of the 2006 season — it had previously acted as an engine supplier — BMW had posted just one race win, at last year’s Canadian Grand Prix. Touted as a championship contender for the 2009 season, BMW had been very disappointing, lagging well off the pace of the leading teams. Klaus Draeger, the board member responsible for development, said the team was “unable to meet expectations in the current season.” The decision came before the signing of the new Concorde Agreement, the document that governs the sport, expected this week. BMW’s withdrawal followed that of Japanese car maker Honda ahead of the 2009 season, illustrating the growing pressure upon car makers to cut costs amid the economic downturn. Their withdrawal lent credence to efforts by the FIA to significantly reduce F1 costs in order to retain existing teams and attract new entrants. The FIA, motor racing’s world governing body, said it hoped BMW was the last manufacturer to leave the series. “The FIA regrets the announcement of BMW’s intended withdrawal from Formula One, but is not surprised by it,” it said in a statement. “It has been clear for some time that motor sport cannot ignore the world economic crisis. Car manufacturers cannot be expected to continue to pour large sums of money into Formula One when their survival depends on redundancies, plant closures and the support of the taxpayer. This is why the FIA prepared regulations to reduce costs drastically.” The FIA also blamed the teams for failing to heed its warnings about the need to cut costs. “Had these regulations not been so strongly opposed by a number of team principals, the withdrawal of BMW and further such announcements in the future might have been avoided,” the governing body’s statement added. The decision to end its involvement on Formula One only came on Tuesday and BMW was still considering what to do with the staff involved with the team, Draeger said. “Of course ... would all have liked to continue this ambitious campaign and show that this season was just a hiccup following three successful years,” BMW motor sport director Mario Theissen said. “But I can understand why this decision was made from a corporate perspective. We will now focus sharply on the remaining races and demonstrate our fighting spirit and put in a good result as we bid farewell to Formula One racing.” Mercedes, the other major German car maker involved in Formula One, said it regretted BMW’s pullout, “but it will have no influence on our F1 engagement.” The decision by BMW comes at a time when auto makers worldwide are reporting lower sales amid the global economic slowdown. Consumers are reluctant to spend on big-ticket items, forcing companies to trim costs. Georg Stuerzer, an automotive analyst with UniCredit in Munich who follows BMW, told the agency that he estimated the company was spending approximately euro200 million a year on its Formula One involvement. Draeger said it was not yet clear if the decision would result in job losses in Munich and Hinwil, Switzerland. The operation employs about 700 workers. “Since we only made this decision yesterday, we cannot provide any more precise information,” he said. “We will develop and assess various scenarios and do our best to find a solution for the employees in Hinwil and the staff members involved in the Formula One project in Munich.” BMW’s withdrawal will prompt speculation about the future of drivers Robert Kubica and Nick Heidfeld. Kubica will be in strong demand for next season and will likely remain involved in F1. The future for Heidfeld is less certain, though his long stint in the sport could make him an attractive option for the new entrant teams next season, who will be looking for an experienced driver. BMW achieved eight Formula One victories from 1982 to 1985 as an engine supplier to Brabham. In 1983, Brabham won the drivers’ championship with Nelson Piquet. The last win with the famed turbo engine followed with Benetton in 1986. After quitting the series in 1987, BWM returned to F1 as engine supplier to the Williams team in 2000 and scored 10 victories until 2005, when it took over the Sauber team. In its debut season in 2006, BMW Sauber wound up fifth in the constructors’ championship. In 2007, the German-Swiss team came in second after McLaren-Mercedes’ exclusion from the points standings. The 2008 season saw the team in the hunt for the world championship until the end of the season, winding up third. Kubica had the only GP victory in Canada. So far, the BMW Sauber F1 Team has taken one pole position (Kubica in Bahrain in 2008) and 16 podium finishes. It is eighth in the constructors’ standings in the current season. Source: LatestNews-Home - Livemint.com | 29 Jul 2009 | 5:02 am Hero Honda June qtr net up 83 pctMUMBAI (Reuters) - Hero Honda Motors Ltd, India's largest motorcycle maker on Wednesday reported an 83 percent rise in net profit for the June quarter beating forecasts on high sales volumes, new product launches and lower raw material prices.Source: Reuters: Money News | 29 Jul 2009 | 4:59 am JLR for light weight bodies to cut costs - Livemint
Source: Business - Google News | 29 Jul 2009 | 4:56 am Siam Cement Q2 profit beats forecasts, sales to dropBangkok: Siam Cement PCL, Thailand’s biggest industrial conglomerate, posted a 5% fall in second-quarter profit on Wednesday as the recession hurt cement and paper earnings, but that was much better than expected. Wider petrochemical spreads for the second quarter helped limit the drop in earnings. Siam Cement earns up to half its profit from petrochemicals, analysts said. However, chemical spreads may narrow in the second half of this year when new petrochemical capacity emerges in China and West Asia, they said, and the outlook for the global economy remained highly uncertain. Against that, a recovery in domestic demand could lift earnings and, over the longer term, Siam Cement’s investment in alternative energy would help reduce costs, they added. Siam Cement still expected 2009 sales to fall 20-25%, in part due to lower prices of petrochemical products, president Kan Trakuhoon told reporters. The company was in talks about buying three or four businesses and expected to conclude the deals in 2010, he added. This is part of the company’s plan to expand in Southeast Asia. Its April-June net profit came to 6.84 billion baht ($201 million), below a year-earlier profit of 7.2 billion baht but above the 5.2 billion baht forecast by six analysts polled by Reuters. Siam Cement, which also makes paper, cement and building materials, posted a 5.2 billion baht net profit in the first quarter. Its net profit for the first six months fell 16% to 12 billion baht while sales for the period dropped 29% to 112 billion baht. Source: LatestNews-Home - Livemint.com | 29 Jul 2009 | 4:55 am India’s tech exports seen rising 4-7% in FY10Bangalore: India’s software and services exports are seen rising 4 to 7% in the year to March 2010, sharply slowing from past years’ robust growth on sluggish demand for outsourcing services, an industry body said on Wednesday. Export of software and back-office outsourcing services will rise to $48 billion to $50 billion in this fiscal year, up from $46.3 billion last year, the National Association of Software and Service Companies (Nasscom) said. A Nasscom spokeswoman said the growth in percent terms was calculated before rounding off the target of $48-$50 billion. The sector’s export earnings grew 16% in the fiscal year ending March 2009, having grown by more than 20% in previous years. Nasscom said in a statement the demand environment remained weak and global information technology spending was expected to fall further this year and next, with Indian companies facing pricing pressure. India’s export-driven outsourcing companies have thrived for years by winning contracts from overseas clients, helped by a large pool of English-speaking engineering workforce and cheaper wages. But a downturn in the United States, which accounts for more than half of the sector’s export revenue, and turmoil in the global financial sector have halted the scorching pace of growth. Infosys Technologies, India’s No. 2 software services exporter, has forecast its first annual revenue fall for the year to March 2010 as some of its overseas clients cutback on outsourcing and demand fee cuts in a tough business environment. Sector leader Tata Consultancy Services, Infosys and third-ranked Wipro offer services such as system integration, application development, supply chain design and back-office services. The firms face stiff competition from bigger global rivals such as IBM and Accenture in winning large outsourcing deals. Nasscom said total revenue of the export-driven sector, which employs more than 2 million people, grew by 13% to $58.8 billion in the year to March 2009. Source: LatestNews-Home - Livemint.com | 29 Jul 2009 | 4:55 am India to maintain growth amid global slump: FMNew Delhi: India hopes to maintain the present level of economic growth despite a global slump as a steep fall in exports has been arrested in the last two months and industrial output looks promising, senior government officials said on Wednesday. Finance minister Pranab Mukherjee told Parliament that economic growth was showing certain signs of improvement, and commerce minister Anand Sharma said efforts were being made to reduce the trade deficit. Asia’s third-largest economy grew by 6.7% in 2008-09 (April-March), and Mukherjee said: “I do hope this level of growth we will be able to maintain.” On Tuesday, the Reserve Bank of India (RBI) projected growth in 2009-10 at 6% with an upward bias. The Indian economy has been hit hard by the global financial crisis and world slowdown, with its growth rate slowing from 9% or more seen between 2005-06 and 2007-08. Mukherjee said steps taken since late 2008 by the RBI and the government had prevented a further deterioration in the economy. Exports, Industry Outlook The commerce minister said efforts were being made to diversify India’s exports and explore new markets in Africa and Latin America. Exports started declining in annual terms in October 2008, and in May were down 29.2% from a year earlier. The Indian economy is mainly domestic-demand driven, and latest infrastructure data has shown improvement in economic activity in recent months. “It (June industrial data) looks promising. We expect improvement,” industry secretary Ajay Shankar said. Shankar also said an improving economy should attract more foreign direct investment (FDI). “We think, with liquidity improving globally and confidence in the Indian economy rising, these numbers should pick up.” India attracted about $2.2 billion in FDI in May, he said. FDI in India rose 11% to $27.31 billion in 2008-09, while the inflows in the first two months of the current financial year stood at $4.43 billion. Source: Home - Livemint.com | 29 Jul 2009 | 4:51 am ArcelorMittal to push India projects forward to meet demand - Economic Times
Source: Business - Google News | 29 Jul 2009 | 4:43 am Anand Sharma to consult FM on foreign trade policyNew Delhi: Commerce and industry minister Anand Sharma on Wednesday said he will hold consultations with the finance minister Pranab Mukherjee shortly before finalising the foreign trade policy. Replying to questions in Rajya Sabha, he said the export-import or foreign trade policy for 2009-10 fiscal would be announced in August. “We will be discussing again with finance minister before we roll out foreign trade policy in August,” he said. The discussions with finance minister would be on the fiscal and monetary measures that may be required for exports to tide over global economic slowdown. Sharma, however, did not say when he would be meeting Mukherjee. Slowdown in developed and industrialised economies has “adversely impacted our trade,” he said adding exports had sharply declined since October 2008. But during last two months they have recovered, he said pointing to arresting of the steep fall. World Trade Organisation has projected that global trade will shrink by 9-11% because of the recession in developed countries like the US, Europe and Japan. IMF has projected 12% drop. “The decline is sharper in developed countries where economy, for first time in 30 years, will go in negative because of fall in demand and drop in prices of capital goods,” he said. Sharma said the monthly trade deficit was $10 billion per month last year which during the past three months of current year has halved to $5 billion. Efforts are being made to increase exports by diversifying market away from the traditional markets of US and Europe, he said. The minister said the global slowdown has had adverse impact on some labour intensive sectors like gems and jewellery, handlooms, textiles and leather. The two stimulus packages announced constituted 3.5% of the GDP and has been effective in arresting the fall in exports. He said during 2003-04, India’s merchandise trade was around $142 billion — with exports around $64 billion and imports around $78 billion. This has in 2008-09 increased to around $456 billion, with exports at $169 billion and imports at $287 billion. “Accordingly, during the policy period 2004-09, India’s merchandise trade increased more than three times,” he said. India’s share in global trade has increased from 0.92% in 2003 to 1.53% in 2007. The WTO has not released figures for 2008 but India’s share is likely to be around 1.60%, he added. Source: LatestNews-Home - Livemint.com | 29 Jul 2009 | 4:41 am Tata Steel Q1 net dips 47% to Rs 790crTata Steel on Wednesday reported a 47% drop in net profit to Rs 789.83 crore for the first quarter ended June 30.Source: India Business News | Business News - Times of India | 29 Jul 2009 | 4:37 am Mahindra Holidays Q1 net up on higher sales, lower costsMumbai: Mahindra Holidays & Resorts India Ltd on Wednesday reported a 38% rise in June quarter net profit helped by growth in income from new memberships and cost control measures. The vacation home operator posted a net profit of Rs337.45 million in April-June, compared with Rs243.75 million a year ago. Total income rose to Rs1.35 billion from 1.14 billion. “In terms of new membership growth there is an increase in income of about 10% even though we lost on volumes, primarily because the average unit recovery is higher,” managing director Ramesh Ramanathan said. Recoveries per unit (or apartments offered to members) rose to Rs254,000 from Rs220,000 last year, helped by a price increase last year, he said. The firm, which operates 27 resorts across India and Thailand, had implemented an average price increase of 12% last October which pushed up its income. The owner of Club Mahindra also saw an average occupancy level of 83% this quarter, up by 1% from last year, Ramanathan added. “Last year we had 769 units, this year we have 1,261 units. So there are about 500 units more and we have managed to increase occupancies,” he said. However, the number of new members added in the quarter fell to 5,399 from 5,742 members last year, down 6%. Ramanathan also said that effective cost control measures helped boost operating margins to 43.8% this quarter from 37.5% a year ago. Its sales and marketing expenses declined to Rs329.5 million this quarter from Rs352.51 million a year ago, while employee costs as a percentage of income fell to 11% from 11.8%. Mahindra Holidays, which listed on the stock exchanges earlier in July, has 98,224 members as of 30 June. Shares closed down 4.13% at Rs366.85 in a weak Mumbai market. Source: LatestNews-Home - Livemint.com | 29 Jul 2009 | 4:36 am Hero Honda June net up 83% with higher salesMumbai: Hero Honda Motors Ltd, India’s largest motorcycle maker on Wednesday reported an 83% rise in net profit for the June quarter beating forecasts on high sales volumes, new product launches and lower raw material prices. The company, in which Japan’s Honda Motor Co holds 26% stake, reported a net profit of Rs500 crore ($103 million), up from Rs273 crore a year earlier. Net sales rose to Rs3,811 crore from Rs2,844 crore year-ago. A Reuters poll of 14 brokerage had forecast an average net profit of 4.59 billion rupees on net sales of Rs3,937 crore. Source: Home - Livemint.com | 29 Jul 2009 | 4:35 am Anil Ambani seeks early end to Reliance gas disputeA day after accusing the oil ministry of adopting a partisan stand in the Reliance gas dispute, Anil Ambani Wednesday said his company had served a notice to the parties and will move court for an early resolution of the matter.Source: IndiaeNews.com: Business News | 29 Jul 2009 | 4:33 am Profit booking pulls Sensex down 203 pointsProfit booking and a crash at the Chinese bourses pulled down a key index of Indian equities markets 203 points and into the red Wednesday.Source: IndiaeNews.com: Business News | 29 Jul 2009 | 4:32 am Tata Steel net profit dips 46 percentSteel major Tata Steel's net profit fell 46.93 percent in the quarter ended June 30 to Rs.789.83 crore ($163 million) from Rs.1,488.4 crore in the like period last year.Source: IndiaeNews.com: Business News | 29 Jul 2009 | 4:32 am Peugeot Citroen reports 962 million euros H1 lossParis: Automaker PSA Peugeot Citroen on Wednesday posted a €962 million ($1.37 billion) net loss in the first half as the global economic crisis continued to ravage car sales and said it doesn’t expect the European car market to recover before the end of next year. The loss compares to a €733 million profit a year earlier. The maker of the Peugeot 207 and Citroen’s C4 Picasso said it expects to remain loss-making this year, after already losing €343 million in 2008. The company is shedding jobs and replaced its chief executive in March in a desperate bid to face off the wost crisis the car industry has faced in decades. The “first half results reflect the impact of adverse conditions in the European markets, which were only partially mitigated by the benefits from performance action plans and new model launches,” CEO Philippe Varin said in a statement. The former steel industry executive took over from Christian Streiff after reports that Streiff had lost the confidence of the Peugeot family, the company’s founder and largest shareholder. France’s largest auto maker said incentives for scrapping old cars for new, less-polluting models in some European countries gave a needed boost to lagging car sales and led to increased production in May and June. European manufacturers’ group ACEA reported a 2.4% rise in European car sales in June, the first increase after 14 months of falling sales, thanks to government “cash-for-clunkers” handouts. It said sales at Europe’s top seller Volkswagen AG rose 9.5%, while Italy’s Fiat SpA saw a 11.7% gain as its cheaper small cars sold strongly. Peugeot Citroen sales increased 4.4%, Ford Motor Co. rose 2.2% and Renault was up 3.4%. Peugeot Citroen repeated a 23 June warning that it expects to record a recurring operating loss this year of between €1 billion and €2 billion. It expects the European automotive market will decline by around 12% this year, with a 7% drop in the second half. Recovery “should take place toward the end of 2010,” Varin said. In the first half, the recurring operating loss was €826 million compared with a profit of €1.115 billion in the same period of 2008. Revenues fell 21.8% to €23.497 billion from €30.066 billion a year earlier. Peugeot Citroen’s automotive division and car parts supplier Faurecia were hardest hit, whereas the Banque PSA Finance arm “has shown good resilience,” the company said. The company said it spent €294 million in the first half on restructuring charges mainly from its voluntary redundancy plan. The carmaker plans to cut 11,000 jobs this year, after losing 18,000 jobs — about 10% of the work force — since the start of its turnaround plan two years ago. Source: LatestNews-Home - Livemint.com | 29 Jul 2009 | 4:30 am Bank credit up 14.7 pct on yr on July 17 - RBIMUMBAI (Reuters) - Bank loans grew about 14.7 percent on the week to July 17, according to provisional data released by the Reserve Bank of India on Wednesday.Source: Reuters: Money News | 29 Jul 2009 | 4:29 am Indian cos draw $1.6 bn deal from Japanese firmsIndia has attracted investment worth $1.6 billion for projects in the fields of power, steel, construction and engineering SEZs from Japanese companies.Source: Hindustan Times News Feeds 'Business' | 29 Jul 2009 | 4:28 am Templeton may invest up to $10 bln in Russia - MobiusVOLGOGRAD, Russia (Reuters) - Templeton Asset Management may raise its investment in Russia five-fold to as much as $10 billion within 2 years, its veteran fund manager Mark Mobius said on Wednesday.Source: Reuters: Money News | 29 Jul 2009 | 4:26 am Tata Steel Q1 India net down 47 pct, misses forecastMUMBAI (Reuters) - Tata Steel Ltd, the world's No. 8 steel maker by output, on Wednesday reported a larger-than-expected 47 percent fall in June quarter profit from its Indian operations as realisations fell sharply on lower commodity prices.Source: Reuters: Money News | 29 Jul 2009 | 4:20 am PNB Q1 net profit up 62 per cent at Rs 832 croreState-run lender Punjab National Bank reported 62.39 per cent growth in net profit at Rs 832.05 crore for the first quarter ended June 30, 2009.Source: Hindustan Times News Feeds 'Business' | 29 Jul 2009 | 4:19 am Wockhardt to sell nutrition business to AbbottWockhardt in pact to sell its nutrition business to Abbott. The deal with Abbott includes sale of Protinex, Farex brands. Wockhardt expects the deal to close in 2nd half of 2009.Source: Moneycontrol Top Headlines | 29 Jul 2009 | 4:15 am Cadbury H1 profit nearly triplesCandy and gum maker Cadbury PLC said its profit nearly tripled in the first half of the year compared to 2008, boosted by a healthy gain on the sale of its beverage business.Source: Hindustan Times News Feeds 'Business' | 29 Jul 2009 | 4:10 am Gas Dispute | RNRL seeks final hearing on 1 SeptemberNew Delhi: Amid an intense legal and public battle for ensuring gas supply from RIL to his group company, industrialist Anil Ambani on Wednesday said RNRL would on Thursday approach Supreme Court seeking final hearing on the matter on 1 September. The company separately served notices on RIL and the petroleum ministry, which Anil had on Tuesday accused of siding with his elder brother Mukesh group firm in the dispute. “Today RNRL has served notice on petroleum ministry and Reliance Industries that RNRL counsel will be mentioning the matter before the Supreme Court on Thursday. The Supreme Court will be requested to take up the matter for final hearing on 1 September,” Anil told reporters who joined a telephonic conference call. Supreme Court was scheduled to hear on 1 September the cross-appeals by both RNRL and RIL on a Bombay high court judgement, as also a petition by the petroleum ministry to stay the high court order on gas supply at $2.34 per mmBtu. Accusing RIL of deliberately dragging its feet on gas supply despite the contract being upheld thrice by the Bombay high court, he cautioned the oil ministry that it should not be influenced by the delaying tactics of RIL. “I will be personally happy to be proven wrong if RIL also agrees to our request tomorrow if it genuinely wants to resolve the issue expeditiously.” Anil’s announcement to move Supreme Court on Thursday comes a day after his scathing attack on petroleum minister Murli Deora, although he did not take any names, and the petroleum ministry for colluding with RIL which he claimed stands to benefit by Rs50,000 crore by way of super-profit. “Since the petroleum ministry has reiterated on several occasions that the matter is of national importance, RNRL will request them to support (our request for early final hearing) and not get misled and misguided by RIL who we believe only wants to delay the matter probably indefinitely,” he said. Shortly after Anil’s allegations on Tuesday, finance minister Pranab Mukherjee had on Tuesday night called a meeting with Deora and law minister Veerappa Moily to presumably discuss the government’s position. The gas supply dispute between RNRL and RIL widely affects the public interest and the matter concerns power projects of national importance with a capacity of 12,000 MW and entailing investment of over Rs50,000 crore as also the interest of over 10 million shareholders, Anil said. Noting that Supreme Court has been gracious to fix 1 September as the date for hearing the preliminary aspects of the matter, Ambani said: “RNRL would like to have an early resolution of the matter expeditiously.” Source: Home - Livemint.com | 29 Jul 2009 | 4:10 am BSE Sensex provisionally falls 1.3 pctMUMBAI (Reuters) – The BSE Sensex provisionally fell 1.3 percent on Wednesday, as a late sell-off on Shanghai's stock market depressed emerging-market stocks and took Asian shares off multi-month peaks.Source: Reuters: Money News | 29 Jul 2009 | 4:07 am PM upset over Anil Ambanis allegations against Oil MinPrime Minister Manmohan Singh is believed to be upset over Anil Ambani\'s allegation against the Petroleum Ministry, reports CNBCTV18. Finance Minister Pranab Mukherjee will meet Petroleum Minister Murli Deora and Law Minister Veerappa Moily at the Prime Minister\'s instance.Source: Moneycontrol Top Headlines | 29 Jul 2009 | 3:59 am Top steelmakers post losses, see slow recoveryBrussels/Tokyo: The world’s top two steelmakers posted quarterly losses and warned the climb back to growth from the bottom of the economic slump would be gradual, with China setting the pace of recovery. Global leader ArcelorMittal and second-ranked Nippon Steel Corp said weak demand and inventory writedowns had depressed earnings, sending shares in both companies lower. Japan’s Nippon said on Wednesday its loss in the six months to September would be worse than expected while its bigger rival forecast only a slow pick-up over the rest of 2009. The steel industry is seen as a broad gauge of an economy’s strength, and demand for the metal has slumped as activity in the key automotive and construction sectors has tumbled. Cash-strapped customers have also tended to run down stocks rather than buy fresh steel, leaving many steel mills running at half capacity, though that process appears to be drawing to an end. ArcelorMittal chief financial officer Aditya Mittal said he expected global demand for steel to fall 10% this year, though the company had seen initial signs of recovery, with destocking drawing to a close and price rises in various markets. “We are expecting the first half will be the bottom of the cycle. In the second half we should be see gradual demand growth and price increases -- clearly from very low levels though,” he told a conference call. “A full recovery will be slow and progressive,” he said. Rabo Securities analyst Frank Claassen said: “It’s a meagre outlook. There’s recovery, but it’s not as fast and as great as expected.” ArcelorMittal’s much-watched core profit (earnings before interest, tax, depreciation and amortisation or EBITDA) slid 85% in the second quarter to $1.22 billion, beating analyst forecasts, as it made a worse-than-expected net loss of $792 million. Nippon Steel said its recurring loss for April-June came to ¥56.7 billion ($600.7 million), widened its forecast for its April-September loss by ¥10 billion and warned uncertainties in the market placed its full-year forecast of breakeven under threat. “Our full-year forecast figures could prove temporary given the unclear environment in the second half,” Shinichi Taniguchi, executive vice president of Nippon Steel, said at a news conference. CHINA DEMAND The results contrasted with Japanese peer JFE Holdings Inc, which forecast on Tuesday that it would post a profit this year as its core steel business recovers, triggering a sharp rally in its stock. JFE is expected to benefit most among Japanese steelmakers from recent spikes in export prices and the potential for stronger demand in China, industry watchers said, as exports account for about 40% of its sales. ArcelorMittal CFO Aditya Mittal said demand for steel in China -- where the government has committed to spending around $585 billion on stimulus measures focused on building and infrastructure -- was running 10% higher than last year. STAINLESS OPTIONS He also said the company is considering options for its operations in stainless steel -- a sector dogged by overcapacity and viewed by analysts as ripe for consolidation. Acquisitions or a joint venture were possible, though it would not consider selling the assets, he said. Spain’s Acerinox’s, a leading stainless steel manufacturer, could be hit by fresh writedowns when it reports what is expected to be a first-quarter net loss later on Wednesday, analysts say. The firm, which has cut output by 50%, is also expected to see little improvement in its fortunes before the third quarter. At 0934 GMT, ArcelorMittal shares were down 4.2% at €24.25 and Acerinox up 0.7 % at 13.98, against a DJ Stoxx European basic resources index down 0.8%. Nippon Steel closed down 3.45% at ¥364. Source: World Business - Livemint.com | 29 Jul 2009 | 3:59 am Sanofi ups earnings growth goal, plans cost cutsParis: French drugmaker Sanofi-Aventis raised its earnings growth goal for the year and outlined new cost savings to help it cope with the effect on profit of patent expiries on a number of its top drugs. Sanofi beat the average of analysts’ forecasts for its second-quarter earnings on Wednesday when it raised its growth forecast for adjusted earnings per share (EPS) to around 10% at constant exchange rates from at least 7%. The group, world leader in flu vaccines, will get a boost from increased demand due to the spread of H1N1 swine flu, though the sales impact in 2009 may be limited. Cost savings of €2 billion by 2013 as well as support from key growth drivers such as vaccines, diabetes products like Lantus and emerging markets should help Sanofi achieve a net profit and sales level similar to that in 2008. Net profit excluding selected items was €7.2 billion in 2008, on sales of 27.6 billion. Sanofi is anticipating a bleak few years when several of its key drugs will lose patent protection, allowing rivals to produce cheaper copies that the company has said could take out about a fifth of its sales. “It’s been a very good quarter short term, but we have also moved to position ourselves for long-term growth,” chief executive Chris Viehbacher said at a news conference. “We hit on all the objectives we wanted to achieve.” Sanofi shares rose as much as 2.5% but were flat again by 0855 GMT, but still ahead of the DJ Stoxx healthcare index, which was down 0.3%. “It is good to see they’re serious about restructuring and cleaning out the pipeline; that is coming down to the new leadership team,” Helvea analyst Karl Heinz Koch said. Since Viehbacher’s appointment in December, the world’s fourth-largest drugmaker by sales has closed a number of partnerships to discover new drugs, embarked on takeovers in generics and overhauled its research and development. Viehbacher stuck to his strategy of focusing on takeovers of up to €15 billion while not entirely ruling out a bigger deal. Some analysts believe Sanofi needs to make a major move to balance out sales lost to generic competition. “I don’t think the cost savings are enough to counterbalance a possible loss in generics, and I still think they need a bigger deal to deal with all the potential generic losses,” Koch said. DITCHES TWO MORE PRODUCTS On top of the 14 products it had already dropped from its pipeline, Sanofi said it had ditched two more -- Phase II schizophrenia treatment AVE1625 and Phase III cancer side-effects drug xaliproden. On the other hand, four new drug candidates entered clinical development. Sanofi said there had been no significant changes in the prescription of flagship drug Lantus following studies that linked the insulin with cancer. US and European Union health regulators did not support the studies and independent experts invited by Sanofi concluded the studies were flawed. Sanofi’s second-quarter net profit rose 29.4% to €2.3 billion, bolstered by 11.2% higher sales at 7.48 billion, as well as by contributions from acquisitions. Along with Lantus, group sales benefited from forecast-beating growth for four other key products, including blood thinner Plavix and cancer drug Eloxatin. Those drugs, however, could face early generic arrivals. A US court in June cleared the path for cheaper copies to Eloxatin to appear, and in May the European Medicines Agency gave the green light to six generic versions of Plavix, which is marketed by Bristol-Myers Squibb in the United States. Viehbacher said Sanofi had received major orders from the US and France for H1N1 flu vaccines and was in discussion with more than 30 countries about supplies. But he cautioned 2009 sales might not be that large, since supply depended on variable vaccine yields and it would take time to process orders. “At the moment, we don’t think the H1N1 sales will necessarily be that significant this year,” he said. Source: World Business - Livemint.com | 29 Jul 2009 | 3:51 am Bubbly markets are OK while Asia waits on exportsSingapore: Ignoring increasingly frothy asset markets may not be the most prudent strategy to adopt when the world is still healing from a financial crisis, but Asia’s monetary authorities seem set to do precisely that. Awash in cheap cash that central banks and governments have pumped into the ailing global economy, the prices of shares and property have jumped to levels that belie weakness in other parts of Asia. House prices in Singapore and Seoul are estimated to have jumped 10 to 40% in the past year or so, while their stock markets have climbed by some 50 to 80% since March. Both economies bounced back in the second quarter, Singapore from its deepest recession on record, yet it was a patchy recovery with conspicuous weakness in exports and labour markets and disproportionate contribution from policy stimulus. Some of the region’s share markets sank on Wednesday under a heavy bout of profit-taking stoked by fears that authorities may curb robust bank lending. Yet, the lopsided economic picture has market participants believing that central banks in Asia will not tighten policy soon for fear of derailing nascent recoveries, even if they sense there are asset market bubbles in the making. “It is a question of what they should do and what they will do,” said HSBC’s regional economist Frederic Neumann. Ideally, central banks should be raising policy rates as well as allowing their currencies to appreciate — to minimise the inflationary impact of the cash chasing those surging assets and to make it more expensive to dabble in markets. Neumann reckons policy rates ought to rise by as much as 3 to 4 percentage points on average to effectively rein in property and share prices. Rate rises of that magnitude would draw more money into Asia, pushing up its currencies. And a loss in terms of trade is the last thing the region’s trade-dependent economies want now, when a slump in global demand has already depressed export incomes. Given the heavy resistance to higher rates or currencies, Neumann says he is ultimately left with “policy makers remaining behind the curve and bubbles blowing larger and larger”. Is it a bubble? For a start, no one is sure if the extraordinary run up in markets will be sustained long enough to be termed a bubble, or if indeed markets are getting ahead of themselves in pricing in future economic growth and improvements in corporate earnings. An additional challenge for Asian authorities, whose policies have timelessly been geared towards growth, is deciding at which point they interrupt the party. Asset reflation is already making consumers feel richer and helping banks repair balance sheets. Retail ownership of stocks and property in Asia is far lower than in the developed world, minimising the impact of rising asset prices on inflationary expectations in the short term. Only 10% of households own equities in India, where the main stock market has surged 84% since March. There is also the question of how far rate rises can really tame asset markets. Whether a percentage point or 2 of increases in funding costs will deter investors looking to reap between 30 to 100% returns on property or stocks is highly debatable. Still, in a world nursing its wounds from a crisis that sprouted in an overvalued US property market, it would be unbecoming of central banks to brush aside threats of a bubble. Sterilization Average interest rates in Asia, excluding Japan, are just above 4%, meaning the spread over near-zero dollar rates is sufficiently attractive for investors seeking yield. But widening that spread by 3 to 4 percentage points, which is the kind of tightening analysts believe is needed when markets get too bubbly, would put upward pressure on the currency in other ways. For a start, domestic investors would keep their money at home and businesses would borrow more abroad. Morgan Stanley analyst Chetan Ahya says this is why the more cyclical and open economies, such as Malaysia, Singapore, Taiwan and Hong Kong, will have difficulty tightening policy until they see a pick up in global demand. If they raised rates, their large current account surpluses would balloon further, unless they let their currencies appreciate. “For them, the challenge is bigger precisely because these countries are dependent on external demand which is weak and therefore they don’t have capacity utilisation at levels tight enough to pose inflation risk. This makes it more difficult to lift policy rates,” Ahya said. For now, analysts say policy makers in the more hawkish countries, such as India and Korea, would merely tinker with monetary settings, by raising bank reserve requirements, issuing more short-term bonds or other direct controls on lending. China has already embarked on that path, having started issuing more bills and restraining banks from lending recklessly. But such moves, known as monetary sterilisation, have their limits. In 2007 and 2008 Korea and India tried in vain to halt spiralling property markets and ran fast out of instruments to soak up cash from the market. “Right now we are not in a bubble stage,” said Ahya. “But in six to 12 months’ time, if the asset markets have already gone up and external demand has not recovered, that is when the real policy dilemma will come. “There are risks, but it is hard to quantify that now. At this stage, they will probably let this first round of reflation continue.” Source: Home - Livemint.com | 29 Jul 2009 | 3:46 am ArcelorMittal posts $792,000 lossSteel maker ArcelorMittal SA says it had a loss of $792,000 in the second quarter as it wrote down the value of steel stocks and paid off redundant workers.Source: Hindustan Times News Feeds 'Business' | 29 Jul 2009 | 3:42 am Oil falls below $66 after inventories riseLondon: Oil fell below $66 a barrel on Wednesday after US data showed an unexpected rise in crude inventories and triggered a second day of selling. US crude fell $1.56 to $65.67 a barrel by 3:00pm, after falling more than a dollar on Tuesday. London Brent slid $1.23 to $68.65. Traders were waiting to see whether government data for release at 8:00pm, would confirm industry figures published late on Tuesday, which showed a 4.1 million barrel increase in commercial crude stocks. “The overall build of just over 4 million barrels is probably the main reason that we’ve fallen,” said Christopher Bellew of Bache Commodities in London. Analysts had predicted data would show a decline in crude inventories following lower imports. They also expected increases in inventories of gasoline and distillates, which include diesel. Demand during the US driving season has so far been insufficient to draw down high levels of inventory. According to the American Petroleum Institute figures released late on Tuesday, crude stocks are 49.8 million barrels above levels a year ago. Oil traders have been looking to equity markets for an indication of when the economy will recover and drive up demand for fuel. Stock markets climbed to their highest levels this year on Tuesday following positive corporate earnings. On Wednesday, a sell-off on Shanghai’s stock market depressed emerging market stocks, but European equities held firm. Analysts have predicted commodity markets will continue to be strongly influenced by the stock markets for as long as economic recovery is in doubt. In turn, too rapid a rally on commodities could knock equities lower as a potential threat to incipient economic recovery. “Below $70 is probably a level equity markets can live with. When oil prices go too far above $70 that tends to dampen equity markets, and then that dampens oil prices,” Bellew said. Oil markets hit this year’s high of above $73 a barrel at the end of June. Source: Home - Livemint.com | 29 Jul 2009 | 3:42 am Airlines urged to follow Indian rules for security checksAirlines should follow the law of the land while frisking passengers in India, Civil Aviation Minister Praful Patel said Wednesday.Source: IndiaeNews.com: Business News | 29 Jul 2009 | 3:31 am Jindal Steel net profit dips 25 percentJindal Steel and Power Wednesday reported a 25 percent dip in net profit to Rs.300 crore for the first quarter this fiscal as compared to Rs.402.3 crore in the same period last year.Source: IndiaeNews.com: Business News | 29 Jul 2009 | 3:30 am Tata Steel Q1 net down 47%, misses forecastMumbai: Tata Steel Ltd, the world’s No. 8 steel maker by output, on Wednesday reported a larger-than-expected 47% fall in June quarter profit from its Indian operations as realisations fell sharply on lower commodity prices. Tata Steel, which acquired Europe’s second-largest steelmaker Corus in 2007, said standalone net profit fell to Rs790 crore ($163 million) for the fiscal first quarter ended June, from Rs1,488 crore reported a year earlier. Net sales fell to Rs5,550 crore from Rs6,170 crore. A Reuters poll of 11 analysts had estimated a standalone net profit of Rs815 crore on net sales of Rs5,492 crore. Source: Home - Livemint.com | 29 Jul 2009 | 3:16 am China IPOs soar; Japan retail sales disappointSHANGHAI/TOKYO (Reuters) - Two Chinese companies racked-up big gains in their trading debuts on Wednesday as investors chased exposure to China's stimulus-fuelled growth, but a fall in Japan's retail sales suggested official efforts there to lift the economy were having a more limited impact.Source: Reuters: Money News | 29 Jul 2009 | 3:14 am Rupee extends fall on lower stocksMumbai: The Indian rupee extended losses to a one-week low in afternoon trade on Wednesday as domestic shares fell more than 2% while some month-end dollar demand from refiners also weighed. At 2:45pm, the partially convertible rupee was at Rs48.41/42 per dollar, off a low of Rs48.52, its lowest since 22 July and below Tuesday’s close of Rs48.21/22. Shares were trading down about 1.3% after having dropped more than 2% earlier, on waning market momentum across Asia and as weak results from Reliance Industries and Hindustan Unilever hit sentiment. One-month offshore non-deliverable forward contracts were quoting at Rs48.43/53, marginally below the onshore spot rate. In the currency futures market, the most traded near-month contract on the National Stock Exchange and MCX-SX were both quoting at Rs48.51, with the total traded volume on the two exchanges at about $1.2 billion. Source: Home - Livemint.com | 29 Jul 2009 | 3:13 am Sensex back in positive zone on short-covering, up 43 pointsThe 30-share index, which had opened lower by 138 points, bounced back by 42.77 points to 15,374.71 at 1115 hrs with auto and oil and gas sectors stocks leading the recovery.Source: Hindustan Times News Feeds 'Business' | 29 Jul 2009 | 3:11 am Housing Development and Infrastructure net profit dips 66 percentHousing Development and Infrastructure Ltd (HDIL) Wednesday reported a 66.19 percent fall in its net profit to Rs.107.47 crore in the quarter ended June 30, compared to Rs.317.94 crore in the same period last fiscal.Source: IndiaeNews.com: Business News | 29 Jul 2009 | 3:01 am Slowdown will impact new graduates: Infosys CEOThe slowdown that the IT and BPO industry faces is bound to throw up challenges for the graduating classes of 2010 and possibly 2011, said Mr S. Gopalakrishnan, CEO and MD of Infosys Technologies.Source: Moneycontrol Top Headlines | 29 Jul 2009 | 2:47 am Gold demand picks up as prices fallMumbai: India’s gold demand picked up on Wednesday after days of lull as prices fell further and traders sought to replenish their stock for the upcoming festival season, dealers said. “There is some business after yesterday’s decline,” said a dealer with a private bank in Mumbai. “Traders are building stocks ahead of festivals.” The most-traded August gold contract was 0.16% lower at Rs14,731 at 2:17pm on weak crude oil, dimming the yellow metal’s appeal as a hedge against inflation. A firm dollar overseas also weighed on prices. The contract had lost 1.2% in the previous session. Oil slid below $67 a barrel, extending losses from the more than $1 retreat the day before, on renewed concerns over the US economy after a drop in consumer confidence and bearish API crude data. Dealers and traders hope that upcoming festivals and weddings, which will start by August-end, would revive sagging gold demand already reeling under the throes of an economic slowdown and high prices. “I have plenty of advanced orders in between $925-930 (an ounce),” said another dealer with a state-run bank. Source: Home - Livemint.com | 29 Jul 2009 | 2:43 am Drugmakers keen to blow the whistle on spurious tradeSpurious drugs result in murder most foul, says Novartis head in India, Mr Ranjit Shahani, welcoming the Union Health Minister Mr Ghulam Nabi Azads recent statement in Parliament on a whistleblower scheme to reward tipoffs on such medicines.Source: Moneycontrol Top Headlines | 29 Jul 2009 | 2:41 am Jet, Kingfisher bet on global routes for forex advantageHave seats, go phoren. Notwithstanding the economic downturn, two private airlines are going international all out to shore up their bottomlines.Source: Moneycontrol Top Headlines | 29 Jul 2009 | 2:32 am Kingfisher Q1 net loss widens, to raise Rs500 crMumbai: Kingfisher Airlines Ltd said on Wednesday its quarterly loss widened, hit by falling passenger demand due to the global slowdown, adding that it has appointed bankers to help it raise up to Rs5 billion. Its net loss in April-June widened to Rs2.4 billion compared with a loss of Rs1.58 billion a year ago. Income from operations fell to Rs13.13 billion against Rs13.98 billion a year ago as it cut back its capacity by 23% due to the adverse economic conditions, it added. India’s airlines suffered a cumulative $2 billion of losses in 2008/09 on high operating costs and a fall in demand amid a global slowdown. Kingfisher has reported a net loss of Rs16.09 billion for the year ended 31 March. It has returned aircraft and also postponed deliveries, and has moved 70% of its network to single class low fare options, it said. The airline also said it plans to raise Rs5 billion through a rights issue, a follow on public offering or a placement of depository receipts. At 12:25pm, Kingfisher shares were down 0.77% at Rs51.35 in a weak Mumbai market. Source: Home - Livemint.com | 29 Jul 2009 | 2:16 am Kingfisher Airlines posts loss, issues pay delay warningPrivate carrier Kingfisher Airlines has warned its 6000 employees of delay in salaries. The private carrier, which is reeling under the debt of almost Rs 8,000 crore, has also trimmed its fleet from 89 to 69. The airline has sent an email to the employees that it is in a tight situation and the salaries may be delayed but never beyond the 7th.Source: Hindustan Times News Feeds 'Business' | 29 Jul 2009 | 2:11 am Sensex dips below 15K level as funds dump stocksThe 30-share index, which remained volatile in the early trade, plunged by 443.53 points to 14,888.41 points at 1245 hrs with most of heavyweight stocks trading in the negative zone.Source: India Business News | Business News - Times of India | 29 Jul 2009 | 2:04 am Microsoft on verge of Yahoo search deal: ReportMicrosoft Corp appears to have finally locked up rival Yahoo Inc in a long-awaited Internet search partnership aimed at narrowing Google Inc's commanding lead in the most lucrative piece of the online advertising market.Source: Hindustan Times News Feeds 'Business' | 29 Jul 2009 | 1:28 am Kingfisher Q1 net loss widens; to raise 5 bln rupeesMUMBAI (Reuters) - Kingfisher Airlines Ltd said on Wednesday its quarterly loss widened, hit by falling passenger demand due to the global slowdown, adding that it has appointed bankers to help it raise up to 5 billion rupees.Source: Reuters: Money News | 29 Jul 2009 | 1:00 am Anil Ambani says KG gas price will increase power cost by Rs 1Anil Ambani says the price of gas suggested by government will have to come from the pocket of the consumer.Source: Daily News & Analysis: Money News | 29 Jul 2009 | 1:00 am India industrial output, FDI flows to improve - secyNEW DELHI (Reuters) - India's June industrial output looks "promising" while foreign direct investment (FDI) inflows should improve with ample liquidity and rising confidence on the economy, the industry secretary said on Wednesday.Source: Reuters: Money News | 29 Jul 2009 | 12:22 am Kingfisher Airlines posts FY09 loss, issues pay delay warning to staff Kingfisher Airlines posted a net loss of 16.09 billion rupees on net sales of 52.7 billion rupees for the year-ended March 31, 2009.Source: India Business News | Business News - Times of India | 29 Jul 2009 | 12:17 am Sponge iron arm sale boosts Grasim netMumbai, July 28 Aditya Birla Group company Grasim Industries has reported a 61 per cent rise in its consolidated net profit at Rs 1,080 crore in the first-quarter ended June 30, 2009 against Rs 672 crore in the same period lastSource: Business Line - Home Page | 29 Jul 2009 | 12:00 am HUL net down 2.7% as other income declinesHindustan Unilever Ltd (HUL) has reported a 2.7 per cent decline in net profit for the quarter ended June 2009. Higher exceptional income in the same year-ago quarter accounted for the profit decline, the companySource: Business Line - Home Page | 29 Jul 2009 | 12:00 am Hindustan Construction (Rs 115.8): BuyWe recommend buying Hindustan Construction Company (HCC) from a short-term horizon. It is evident from the charts of HCC that after bottoming around Rs 29 in early March, it has been on an intermediate-term uptrend. However, following aSource: Business Line - Home Page | 29 Jul 2009 | 12:00 am Day Trading GuideThe near-term outlook remains positive as long as DLF trades above Rs 412. We recommend a buy with tight stop at Rs 412. The near-term stance is bearish for ICICI Bank and SBI. We recommendSource: Business Line - Home Page | 29 Jul 2009 | 12:00 am RBI keeps rates where they areThe Reserve Bank of India on Tuesday left key policy rates unchanged even as it placed GDP growth for the current fiscal at 6 per cent with an upward bias.Source: Business Line - Home Page | 29 Jul 2009 | 12:00 am Drugmakers keen to blow the whistle on spurious tradeMumbai, July 28 Spurious drugs result in murder most foul, says Novartis head in India, Mr Ranjit Shahani, welcoming the Union Health Minister Mr Ghulam Nabi Azad’s recent statement in Parliament on a ‘whistleblower scheme’ toSource: Business Line - Home Page | 29 Jul 2009 | 12:00 am Ministry should not try to fix gas price: Anil AmbaniMumbai, July 28 The Petroleum Ministry can approve valuation of gas from the Reliance Industries-controlled Krishna-Godavari Basin gas field, but should not attempt to fix the sale price, charged Mr Anil Ambani, Chairman of the Anil DhirubhaiSource: Business Line - Home Page | 29 Jul 2009 | 12:00 am NHPC fixes IPO price band at Rs 30-36Mumbai, July 28 The price band of the state run power company National Hydroelectric Power Corporation has been fixed at Rs 30-36; the company in its filing with the Registrar of Companies (ROC) said the public issue will open on August 7 andSource: Business Line - Home Page | 29 Jul 2009 | 12:00 am Zensar Tech plans stock buybackPune, July 28 The board of directors of Zensar Technologies has announced a stock buyback plan with a maximum price of Rs 165 a share and a minimum outlay of Rs 40 crore.Source: Business Line - Home Page | 29 Jul 2009 | 12:00 am Mahindra Satyam turns profitable for L&TLarsen & Toubro’s investment in shares of Mahindra Satyam (erstwhile Satyam Computer Services) is currently back in the black, with the company’s scrip appreciating sharply. The Satyam shares, bought over December and January atSource: Business Line - Home Page | 29 Jul 2009 | 12:00 am Microsoft, Yahoo agree on ad partnership: sourceSeattle: Microsoft Corp and Yahoo Inc have agreed to an online search and advertising partnership, in an attempt to rival Google Inc, that will be announced within 24 hours, a source familiar with the situation said on Thursday. Microsoft will not pay an upfront fee to Yahoo, and the focus of the deal is on sharing revenue between the two companies, said the source, who did not want to be identified because a formal announcement has not been made. The news and details of the expected deal were first reported by the AllThingsDigital blog and Advertising Age. Microsoft and Yahoo declined comment. The two companies have talked for months about cooperating in the online advertising market, dominated by Google. Microsoft tried to buy Yahoo last year but its $47.5 billion bid was rebuffed and Yahoo’s attempt to seal a search advertising deal with Google Inc fell apart under regulatory scrutiny. Under the expected deal, Microsoft’s new Bing search engine will power Yahoo’s searches, according to Advertising Age, while Yahoo will handle the advertising sales, using Microsoft technology. The deal should give Bing a giant boost in competing with Google’s search engine. Google’s search engine dominates the marketplace with 65% of US Internet searches, according to figures provided by research firm ComScore. Last month, Microsoft had only 8.4% of the market and Yahoo 19.6%. There is a chance a deal combining the powers of the second and third-ranked search engine companies would be blocked by antitrust regulators. Google and Yahoo dropped plans for an advertising partnership last year under opposition from the US Department of Justice. Shareholders of both Microsoft and Yahoo have been urging the two to strike a deal for some time. Earlier this month, activist investor Carl Icahn, who owns about 5% of Yahoo and is a director on its board, spoke out in favor of a search deal, as talks between the two companies appeared to regain momentum. Source: Tech News - Livemint.com | 28 Jul 2009 | 11:04 pm Rupee falls by 21 paise in early tradeThe Indian rupee fell by 21 paise against the dollar in early trade due to strong demand for the US currency from refiners and importers amid the greenback firming against other Asian currencies.Source: India Business News | Business News - Times of India | 28 Jul 2009 | 10:34 pm 'RPL got Rs5.33K cr in tax benefits'Reliance Petroleum Ltd (RPL) is the biggest beneficiary of the state government's tax deferment schemes that was first introduced in 1980.Source: Daily News & Analysis: Money News | 28 Jul 2009 | 8:40 pm Deora serving Mukesh's greed: Anil AmbaniThe unprecedented attack by a business tycoon on a minister came in the form of a long speech delivered at the annual general meeting of RNRL.Source: India Business News | Business News - Times of India | 28 Jul 2009 | 7:38 pm JSW cuts long steel price on demand blipJSW Steel has cut long steel product prices due to sluggish demand, Seshagiri Rao, joint managing director and group CFO, JSW Steel, said.Source: Daily News & Analysis: Money News | 28 Jul 2009 | 4:28 pm Andhra HC stays award of new Hyd Metro contractThe selection of a new contractor for the Rs 12,000 crore Hyderabad Metro project is in trouble after Maytas Infra approached the Andhra Pradesh High Court.Source: Daily News & Analysis: Money News | 28 Jul 2009 | 4:27 pm Lie detector tests on Raju deferredThe Central Bureau of Investigation (CBI) has suffered a set back to its planned lie detector and brain mapping test on B Ramalinga Raju, his brother Rama Raju and ex-CFO Srinivas Vadlamani.Source: Daily News & Analysis: Money News | 28 Jul 2009 | 4:25 pm Selloff mulled in few profitable PSUsFinance minister Pranab Mukherjee on Tuesday said the government is considering divestment in some public sector undertakings with high profits.Source: Daily News & Analysis: Money News | 28 Jul 2009 | 4:23 pm Mukesh greedy, oil ministry biased: Anil AmbaniThe Ambani family drama, running for over three years, is now in climax mode. Anil Ambani publicly castigated both his elder brother Mukesh and petroleum minister Murli Deora at the Birla Matoshri Auditorium in South Mumbai on Tuesday, report Anupama Airy and Devraj Uchil. Point, counterpointSource: Hindustan Times News Feeds 'Business' | 28 Jul 2009 | 4:21 pm Ulips: Life cos to move Irda this weekLife insurance companies are likely to feel a pressure on their margins with the Insurance Regulatory & Development Authority's (Irda) directive scrapping multiple charges on unit-linked plans.Source: Daily News & Analysis: Money News | 28 Jul 2009 | 4:07 pm Slowdown hastens Continental AG's roll-insThe $24 billion German major is also looking to expand its revenue base in the country which at present forms a minuscule portion of its overall sales.Source: Daily News & Analysis: Money News | 28 Jul 2009 | 3:50 pm Gas tussle: RIL counsel says will battle in court not mediaAfter Anil Ambani launched a scathing attack on RIL and even the government in its battle versus Reliance Natural Resources (RNRL), Harish Salve, the RIL counsel, said they would prefer to slug it out in court than respond to Anil Ambanis verbal barrage.Source: Moneycontrol Top Headlines | 28 Jul 2009 | 2:59 pm Tele EGoM meet uncertainThe meeting of the empowered group of ministers (EGoM) on telecom, which was scheduled for July 31 may now be rescheduled with three ministers unable to attend.Source: India Business News | Business News - Times of India | 28 Jul 2009 | 1:07 pm Govt plans to net Rs 12k cr from selloffThe government is hopeful of collecting at least Rs 12,000 crore by divesting in profit making PSUs by the end of the current financial year.Source: India Business News | Business News - Times of India | 28 Jul 2009 | 1:07 pm Anil Ambani lashes out at oil ministry, RILReliance Natural Resources (RNRL) Chairman Anil Ambani today lashed out at the petroleum ministry and Reliance Industries (RIL), controlled by his brother Mukesh Ambani, for their role in the Krishna-Godavari (KG) basin gas pricing controversy.Source: Business Standard | Front Page Headlines | 28 Jul 2009 | 1:07 pm Delhi Metro seeks ban on GammonDelhi Metro, the countrys most ambitious infrastructure project, has served Mumbai-based construction giant Gammon India a show-cause notice, asking why it should not be banned for two years and debarred from bidding for contracts under phase IV of the project.Source: Business Standard | Front Page Headlines | 28 Jul 2009 | 1:03 pm RBI sees recovery, but wary of inflationThe Reserve Bank of India (RBI) today said prospects of an economic recovery in the middle of the financial year had improved, but laced the optimism with caution.Source: Business Standard | Front Page Headlines | 28 Jul 2009 | 1:00 pm A quest for advanced batteries to alter the energy equationAllentown, Pennsylvania: In a gleaming white factory here, Bob Peters was gently feeding sheets of chemical-coated foil one afternoon recently into a whirring machine that cut them into precise rectangles. It was an early step in building a new kind of battery, one smaller than a cereal box but with almost as much energy as the kind in a conventional automobile.  Industrial revolution: A coater operator at International Battery in Allentown, Pennsylvania. The firm is in a global competition to develop small, cost-effective batteries for electric cars, windmills and solar cells. Justin Maxon / NYT This summer the Obama administration plans to announce how it will distribute some $2 billion (around Rs9,640 crore) in stimulus grants to companies that make such advanced batteries for hybrid or all-electric vehicles and related components. International Battery is vying for a modest chunk of it. The hope is that the grants will spur far higher levels of experimentation and production, pushing down costs that have prevented these batteries from entering the mass market. The batteries would not only replace the fuel tanks in millions of cars and trucks, but would also make windmills and solar cells more practical, by absorbing excess energy when their production jumps and giving it back when the wind suddenly dies or the sun goes behind a cloud. But first, companies such as International Battery will have to tweak the chemistry of their devices and improve the manufacturing process, bolstering the batteries’ capabilities. And prices will have to come down—a problem that is far more daunting when it comes to batteries for vehicles and the grid, because the packs are hundreds or thousands of times the size of those for handheld electronics. Nearly all battery research now focuses on lithium ion batteries, which made their consumer debut in 1991 and have since replaced nickel-cadmium and nickel-metal-hydride technologies in many portable electronics. Lithium is the third lightest element on the periodic table, which allows for far greater energy density. A lithium ion battery that will move a car a mile weighs less than half as much as a nickel metal hydride and one-sixth as much as lead acid. Advanced battery makers are mostly based in Japan, China, Taiwan and South Korea, where laptop computers and similar devices are built. “The battery is an enabler” of electric vehicles and other technologies, said Ted J. Miller, a technical specialist at the Ford Motor Co., referring to the models beinlg produced in Allentown and others relying on different chemistry. Miller represents Ford at the Advanced Battery Consortium, an organization formed with federal encouragement in 1991 to coordinate research on technology. Ford, Chrysler and General Motors have contributed, often with research scientists and facilities, and the energy department has written cheques. Auto makers need improvements in batteries “everywhere we can get it”, Miller said. When the Advanced Battery Consortium was founded, it set a near-term target for developing a battery that would cost $150 per kWh of storage. (A kWh sells for about a dime and will move a car three or four miles.) Eighteen years later, prices are in the range of $750 to $1,000. By comparison, a lead-acid battery in a conventional car costs less than $100 for that much capacity, although it is much too heavy to build an electric car around and not durable enough. Now the energy department has a new goal: $500 by 2012. “We think we can make that,” said Patrick Davis, the programme manager at the energy department’s vehicle technologies programme. One reason for the optimism is the infusion of money that Washington is preparing to get the job done. The $2 billion in new grants planned this summer includes $1.2 billion for companies making battery cells and packs, $350 million for electric drive component manufacturing and $25 million for battery recycling. Some industry experts say that simply getting electric cars to market will touch off a cycle of new research, investment and product improvement. But when it comes to a genuine mass market for an affordable plug-in hybrid or all-battery car, “we don’t quite know how to get there,” said Miller, of Ford. ©2009/THE NEW YORK TIMES Source: World Business - Livemint.com | 28 Jul 2009 | 11:48 am China to ban violent online gamesBeijing: China has banned websites from advertising or linking to games that glamourise violence, another step in the country’s censorship campaign aimed at ensuring social stability ahead of the 60th anniversary of communist rule on 1 October. A notice posted on the culture ministry website on Monday said games that promote drug use, obscenities, gambling, or crimes such as rape, vandalism and theft are “against public morality and the nation’s fine cultural traditions.” “Such online games promote glorification of mafia life ... and are a serious threat to the moral standards of society causing vulnerable young people to be adversely affected,” the notice said. The ban on the websites starts immediately. No details were given on how the law would be implemented, but the notice called for law enforcement bodies to ensure websites adhere to the new law. China has the world’s largest population of Internet users, more than 298 million, and the world’s most extensive system of web monitoring and censorship. While the government claims the main targets of its web censorship are pornography, online gambling, and other sites deemed harmful to society, critics say that often acts as cover for detecting and blocking sensitive political content that can be found on sites such as Facebook, YouTube and Twitter, which are all blocked in China. Source: Tech News - Livemint.com | 28 Jul 2009 | 6:32 am
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