The Indian market is poised for a green opening on the back of supportive global cues. The US markets ended with modest gains on Friday despite the rate hike announced by the Chinese government after the close of the last trading day of the week in the region. The Asian pack was mostly higher in morning trade today but global economic concerns still remain. The SGX Nifty was 55 points higher at 5,930 compared to its previous close of 5,875.
Global cues and institutional outflows were responsible for the Indian market ending lower for the second week in a row. The 2G spectrum allocation scandal, which has rocked the government, was responsible for the sharp plunge on Friday. While monthly inflation data for September perked up the market on Monday, the Chinese government's announcement of a rate hike spooked markets across Asia - India included - on Friday. The market closed 3% lower on a weekly basis with the Sensex tumbling 571.45 points and the Nifty down 181.35 points.
The US markets closed with modest gains on Friday, brushing off concerns relating to the Chinese government’s rate hike. Besides, Federal Reserve chairman Ben Bernanke defended the recent stimulus package in a speech on Friday after severe criticism that the move would devalue the dollar and give American companies an advantage in global trade.
The Dow Jones industrial average rose 22.32 points (0.20%) to 11,203. The S&P 500 added 3.04 points (0.25%) to 1,199. The Nasdaq gained 3.72 points (0.1%) to 2,518.
Markets in Asia were mostly higher in early trade today but global economic concerns still linger. The Chinese central bank on Friday raised the deposit reserve ratio for the fifth time this year and the latest hike is the second one in November. The People's Bank of China said the deposit reserve ratio has been further hiked by 50 basis points effective 29th November. The easing of the debt crisis in Ireland supported the gains this morning.
The Shanghai Composite was up 0.07%, the Jakarta Composite rose 0.05%, the KLSE Composite added 0.08%, the Nikkei 225 surged 1.01%, the Seoul Composite gained 0.24% and the Taiwan Weighted climbed 0.50%. On the other hand, the Hang Seng declined 0.41% and the Straits Times fell 0.28% in early trade. The SGX Nifty was 55 points higher at 5,930 compared to its previous close of 5,875.
Faced with a liquidity crunch, microfinance companies have urged the Reserve Bank of India (RBI) to direct banks to set up an emergency fund of Rs1,000 crore to help them tide over slowdown in their business.
The micro finance sector has been reeling under a liquidity crisis after the Andhra Pradesh government issued an ordinance to control interest rates charged by micro finance institutions (MFIs) and also to check the coercive recovery tactics adopted by these firms.
From time to time, RBI had helped various sectors to deal with the money shortage. At the time of global financial crisis, the central bank had announced special liquidity injection measures for the mutual fund industry when it was facing a cash shortage.
These commercials leave you cold. The entire treatment is antiseptic, contrived and artificial
Airtel, for its 3G service, has a new proposition: 'Dil jo chaahe paas laaye'. Which means you live in real time, and never let go of all that you desire. There are two commercials on air to bring out this rather heady concept. There's also the new Airtel logo which looks so dull, wonder what was the need to change the old one. Anyway, I am no logo expert so will leave that for those who are to judge. Let's discuss the ads.
In one commercial, a young couple isn't able to say goodbye to each other. Each time they separate, they are seen back together again, instantly. So they keep reuniting at cafes, streets, escalators, cabs, underground trains. The brand message: Always stay connected. The second one features a street break-dancer.
A girl walking past gets fascinated by his moves, and gets glued to the street. But when she decides to move on, the dancer follows her around, and continues to perform for her, exclusively. So, entertainment all the time.
(Personally, I would be alarmed if street break-dancers follow me around… mugging could be the next deadly move)!
Fine, point of instant connectivity made. Just three observations. One, I don't see any new promise out here. In fact, the ads remind me of the Vodafone pug, who follows the master wherever he/she goes. The only difference: The pug was a far more original and an endearing device to deliver the message. Two, what is the point of using foreigners? What has the totally home-grown Airtel got to do with firangs? If the firangs have been used to project a premium image, then that is a sad statement on the way the Airtel suits perceive premium. If to them gori chamdi equates up market, then some serious soul-searching is called for out here.
Thirdly, even if we ignore the Vodafone similarity, even if we ignore the reverse racism undertones, the commercials don't work for me. Because they are devoid of any emotion, the only factor this particular treatment hinges on. The commercials leave you cold. The entire treatment is antiseptic, contrived and artificial. And the one person I would blame for this is the film's director. He/she obviously has no idea how to bring out natural emotions in filmmaking. And should be blacklisted from this genre.
Net-net: Not original, not tasteful, not warm. Okay, money down the drain, but no matter. Airtel is a loaded company. And can experiment again. Only one suggestion: Hey, we desis aren't an inferior race! Try us!
New Delhi: An affidavit was filed on behalf of prime minister Manmohan Singh in the Supreme Court today, in the 2G spectrum allocation case, PTI reports.
In the 11-page written declaration to the Court, the prime minister had rejected the charge of inaction on the part of his office in responding to a request by Janata Party president Subramanium Swamy, seeking sanction to prosecute A Raja, who was sacked as telecommunications minister last weekend after months of pressure from opposition political parties and the media. The affidavit was filed through V Vidyawati, director in the prime minister's office.
The Supreme Court on Tuesday, in a rare step, publicly criticised the prime minister for "alleged inaction", taking 16 months to decide if Mr Raja should be charged. It asked solicitor general Gopal Subramaniam, who was representing the prime minister in the court, to file an affidavit explaining what happened on the matter during these months.
Mr Raja is accused of selling 2G spectrum licences cheaply, causing potential losses of Rs1,70,000 crore to the state, according to a report of the comptroller and auditor general that was tabled in parliament on Monday. Mr Raja has denied the accusations. He is a member of the DMK in Tamil Nadu that has helped give the ruling Congress party a majority in parliament. Opposition parties say Dr Singh failed to act because he feared upsetting his coalition partner.
The 2G scandal is the biggest challenge to Dr Singh (78) since he became prime minister in 2004. Yesterday, attorney general Ghulam E Vahanvati, the country's top legal official, was given the charge to represent the prime minister in the case and he will defend Dr Singh in court when the case resumes on Tuesday. The sudden change suggests increasing concern within the Congress party over the widening scandal that has affected both political and corporate India.
The court cannot punish Dr Singh because no case has been filed against him, but mounting criticism could hurt his credibility. Yesterday, Rahul Gandhi, Congress party general secretary, seen as the prime minister-in-waiting, defended Dr Singh, saying there was no need for him to be embarrassed.