Consumer Issues
Coal India unions and government arrive at settlement

The CIL stock surged on news of the settlement, while the Power Minister assured unions of addressing their concerns


The nationwide strike called by various unions of Coal India Limited, which saw an estimated 7 lakh employees go on strike, was called off last night. The union representatives and the government reached a settlement on their grievances.
PTI News quoted Power Minister Piyush Goel as  saying that, "They have assured me that they will be part of mission 100 crores tonnes (Coal India's production by 2019-20) and they have assured me that they will make up for the loss of production of about a million tonne."
News of the strike being called off caused a 3% rise in the CIL stock, while it closed 0.93% higher.
The strike had been called in response to plans for "disinvestment in Coal India and denationalisation of coal mining.”
"There is no intention of denationalisation of CIL. The present and future interest of CIL employees will not be affected in any manner. CIL will be protected and there need be no apprehension about its ownership or management going into private hands," the Minister was quoted as saying.
A joint committee is to be set up with the Coal Secretary as the Chairman and union representatives will also be part of the committee. It will look into issues raised by the unions and on the mining ordinance's provisions allowing for private companies' entry into commercial coal mining.




Nifty, Sensex rally may continue – Thursday closing report

Nifty has to stay above 8217 for the rally to continue


Positive closing of the US indices on Wednesday and the optimism on the Asian bourses played well on market sentiments back home. The benchmarks opened higher and was followed by a range bound session. They closed at almost the same level as at which it had opened. We had mentioned yesterday that market may bounce back today, however we foresee that the gains may not sustain beyond one or two sessions.

S&P BSE Sensex opened at 27,179 and moved in the range of 27,102 and 27,316 and closed at 27,275 (up 366 points or 1.36%). CNX Nifty opened at 8,191 and moved between 8,167 and 8,244 and closed at 8,235 (up 133 points or 1.64%). NSE recorded a volume of 82.89 crore shares. India VIX fell 9.19% to close at 16.4725.

Minister of Chemicals and Fertilizers, Ananth Kumar, on Wednesday said that the government has removed the cap/restrictions to production of Neem coated urea. Neem coated urea will not only increase crop yields but also lower input cost to farmers. He said it will also reduce imports of precious fertilizers as well as reduce ground and soil pollution.

Foreign Tourist Arrivals (FTAs) to India increased 6.8% to 8.77 lakh in December 2014 over the year ago period. FTAs during the period January- December 2014 recorded a growth of 7.1% to 74.62 lakh over the relevant period in 2013.

The increase in foreign direct investment (FDI) limit in insurance from 23% to 49% is expected to alleviate the capital pressure on Indian private non-life insurers, global credit rating agency Moody's Investor Service (MIS) said on Thursday. According to MIS, Indian private non-life insurers stand to benefit by the government's decision to increase the FDI limit as they are relatively pressured for capital and by poor underwriting performance.

The Indian economy is moving on the right track with efforts to fast track reforms, raising prospects of pickup in growth from 5.4% in FY15 to 7% by fiscal year 2017, says a Macquarie report.

According to CRISIL Research, India Inc’s revenue growth in the third quarter ended December 2014 will fall to 7% (year-on-year). Among other things this may be attributed to slow pace of investment, subdued growth in export-oriented sectors and soft commodity prices.

Berger Paints (10.30%) was among the top two gainers in ‘A’ group on the BSE. It hit its 52-week high today. Today the stock traded post-split. Its face value reduced from Rs 2 to Re 1. The companies share holding pattern as on 31 December 2014 showed that FIIs have reduced their holding to 11.46% from 12.02% as at the end of 30 September 2014.


DIIs shareholding reduced to 2.13% from 2.23% while retail holding increased from 10.78% to 11.44% for the relevant period.

Hathway Cable & Datacom (2.77%) was among the top two losers in ‘A’ group on the BSE. Its board today approved and passed the resolutions that subject to receipt of approval of the FIPB and / or RBI and all other applicable authorities, increasing the foreign investment limit only by foreign institutional investors, foreign portfolio investor from 49% to 74% of the issued arid fully paid-up share capital of the company.

Except for Reliance Industries (1.47%) all the other Sensex 30 pack companies closed in the green. Tata Motors (3.68%) was the top gainer in the pack. The company recently filed its monthly report of sales. Except for the domestic sales for Nano, Indica, Indica Vista, Indigo CS, Zest and few other categories, all the other categories recorded a fall in the domestic sales for December 2014 over December 2013.

On Wednesday US indices closed in the green.

According to minutes of their meeting on 17 and 18 December 2014 the Federal Reserve policymakers said they could begin raising interest rates before inflation starts to pick up. However, the Fed officials added that "they would want to be reasonably confident that inflation will move back" toward the Fed's annual 2% target "over time".

Except for Shanghai Composite (2.39%) all the other Asian indices closed in the green. Taiwan Weighted (1.74%) was the top gainer.    

European indices were trading in the green. US Futures were also trading in the green.
There are reports that pessimistic Euro zone data could prompt the European Central Bank (ECB) to implement more aggressive stimulus measures.

German manufacturing orders fell sharply in monthly terms in November, data from the country's economy ministry showed today, 8 January 2015 reversing a strong growth pace in the previous month. New orders in November were down 2.4% in adjusted terms. The October growth figure was revised upwards to 2.9% versus the 2.5% growth originally reported.


Kotak Mahindra Bank and ING Vysya Bank merger cleared

The merger was cleared at different Extraordinary General Meetings of both banks' stakeholders


Extraordinary General Meetings of Kotak Mahindra Bank and ING Vysya Bank have passed the proposal to merge the two banks on Wednesday.


The exchange ratio of shares for the deal has been set at 725 shares of Kotak Mahindra Bank for 1000 shares of ING Vysya.


The Mumbai based Kotak Mahindra Bank and Bengaluru based ING Vysya had been in talks for a possible merger of around Rs15000 crore.


The combined banking entity will have a branch network of 1,214 branches.

The deal will go through after approvals from the Reserve Bank of India and the Competition Commission of India. Once the deal goes through, the combined bank will be the fourth largest private bank in India.


ING Vysya's employee union had called for a strike to protest the proposed merger. The unions were demanding job security for the current employees of ING Vysya.

However, now that the merger proposal has been passed, there seems to be little the strike can achieve.


We are listening!

Solve the equation and enter in the Captcha field.

To continue

Sign Up or Sign In


To continue

Sign Up or Sign In



The Scam
24 Year Of The Scam: The Perennial Bestseller, reads like a Thriller!
Moneylife Magazine
Fiercely independent and pro-consumer information on personal finance
Stockletters in 3 Flavours
Outstanding research that beats mutual funds year after year
MAS: Complete Online Financial Advisory
(Includes Moneylife Magazine and Lion Stockletter)