The union government once again made it clear that Aadhaar number is not mandatory to avail LPG subsidy and the consumer can receive the subsidy in his bank account under MDBTL scheme
Nifty has to close above 8270 for a short rally
Nifty opened shaprly lower today following a huge fall in the US markets on Friday, but managed to recover and end with a marginal loss. In Friday's closing report we mentioned that Nifty has to close above 8,280 for a short rally. S&P BSE Sensex opened at 27,136 and moved from the low of 27,105 to the high of 27,392 and closed at 27,320 (down 31 points or 0.11%). Nifty, which opened at 8,161, hit a low of 8,153 and moved up to hit a high of 8,242 and closed at 8,220 (down 5 points or 0.05%). NSE recorded a volume of 71.34 crore shares. India VIX rose 1.95% to close at 14.0200.
The government released the data on CPI inflation for November 2014 and industrial production data (IIP) for October 2014 after trading hours on Friday. The annual rate of inflation based on the combined consumer price indices (CPI) for urban and rural India eased to 4.4% in November 2014 from 5.5% in October 2014, driven by a sharp decline in inflation for food articles. The corresponding provisional inflation rates for rural areas were 4.1% and urban area also 4.7%, as against 5.5% and 5.6% for October 2014. IIP declined, at its sharpest pace in three-years, contracting 4.2% in October 2014 compared with 2.8% (revised) increase in September 2014.
Minister of State for Finance Jayant Sinha said in a written reply to a question in the Lok Sabha on Friday that as per the Action Plan of 2014-15 on disinvestment, the government intends to sell 5% stake in SAIL, 5% stake in ONGC, 10% stake in Coal India, 11.36% stake in NHPC, 5% stake in Power Finance Corporation, 5% stake in Rural Electrification Corporation, 5% stake in Container Corporation of India, 10% stake in SJVN, 10% stake in MOIL, 10% stake in Rashtriya Ispat Nigam and 10% stake in Hindustan Aeronautics Ltd during the current fiscal year. In addition, some loss-making central public sector enterprises may also be disinvested in 2014-15, Sinha said.
However, they have not yet been identified, he said.
WPI eased to 0.0% (provisionally) for the month of November, 2014, as compared to 1.77% (provisional) for the previous month and 7.52% during the corresponding month of the previous year.
Sebi might relook at the recently-introduced delisting regulations. A clause in the new delisting framework mandating participation from at least 25% of public shareholders for the success of the delisting bid has drawn criticism from the market.
MMTC (12.41%) was the top gainer in ‘A’ group on the BSE. PMC Fincorp (9.18%) was the top loser in ‘A’ group on the BSE. Jet Airways (7.19%) was among the top two losers in the group. The stock hit its 52-week high last Thursday.
HDFC (4.94%) was the top gainer in the Sensex 30 pack. HDFC Bank has said a merger with parent HDFC makes sense in the long term. There is no proposal on the table and regulatory clarity is required to make such a deal “more beneficial”.
TCS (3.78%) was the top loser among Sensex 30 stocks. In its business update for Q3 December 2014, issued after trading hours on Friday, TCS said that currency fluctuations will have a marginal positive impact on the company's earnings before interest and tax in Q3 December 2014. The target EBIT margin band for Q3 December 2014 remains unchanged. There will be adverse currency impact of 20 basis points (bps) on constant currency revenue in rupee terms in Q3 December 2014. There will be adverse currency impact of 220 bps on constant currency revenue in dollar terms in Q3 December 2014. TCS said that revenue in Q3 December 2014 is expected to be in-line with seasonal trends.
On Friday, US indices closed in the red. The US Senate on Saturday passed a $1.1 trillion spending bill that lifts the threat of a government shutdown as Congress attempts to wrap up a two-year legislative session marked by bitter partisanship and few major accomplishments. The Senate's 56-40 vote sends the measure to President Barack Obama, who is expected to sign it into law before federal spending authority expires at midnight.
A two-day meeting of Federal Open Market Committee (FOMC) to discuss monetary policy review starts tomorrow, 16 December 2014. Except for Shanghai Composite (0.52%) all the other Asian indices closed in the red. Thailand’s SET (2.41%) was the top loser.
Confidence of Japan's large manufacturers declined in the fourth quarter as a recession offset a boost from a weaker yen, underlining the economic challenges facing Prime Minister Shinzo Abe after his election win. The Tankan's big manufacturer index slipped to 12 in December from 13 in September Bank of Japan today.
European indices were trading marginally higher. US Futures were trading in the green.
The Union Cabinet has cleared changes in the Act. Union Power Minister Piyush Goyal earlier this week said the Bill would be tabled in Parliament soon