The monsoon system could cover the remaining parts of north-east over the next two days and then advance over remaining parts of south peninsula and many parts of east India, besides some parts of central India during the later half of the next one week, the India Meteorological Department said
New Delhi: The south-west monsoon is making smooth progress and is likely to remain active at least for the next two weeks, reports PTI quoting the weather office.
Since its onset on 29th May, the southern peninsula, where the monsoon is active, has received excess rainfall barring Marathwada region which has received normal rains.
"The cumulative seasonal rainfall for the country as a whole during this year's monsoon has so far been 17% above the Long Period Average (LPA)," the India Meteorological Department (IMD) said.
According to the IMD, besides covering the entire peninsular region, the monsoon could advance over most parts of central India and large parts of the east and north-eastern region by 24th June.
"An upper air cyclonic circulation is likely to develop in the North Bay of Bengal around 12th June and move inland.
Under its influence, rainfall activity is likely to increase over east India," it said.
The monsoon system could cover the remaining parts of north-east over the next two days and then advance over remaining parts of south peninsula and many parts of east India, besides some parts of central India during the later half of the next one week, the weather office said.
Subsequently, between 18th and 24th June, it could cover most parts of central India.
As of now, the performance of the monsoon is in keeping with IMD's April forecast of a normal monsoon season.
First new support for Nifty is at 5,415 and then at 5,350
We mentioned yesterday that Nifty has to stay above 5,480 for the bulls to have any hope. The Nifty went below it and bounced back. The Indian bourses opened range-bound on concerns about rising crude prices and ahead of the release of industrial output numbers for April. The Sensex added five points to its previous close to open at 18,390 and the Nifty was at 5,518, down three points. The market soon touched the day's high with the indices at 18,399 and 5,521, respectively.
The indices stayed in negative terrain and drifted further southwards after the release of disappointing industrial numbers for April, another indication of a slowdown in the economy. The focus will now shift to the Reserve Bank of India's mid-quarter policy review next week, to see how the central bank tackles rising inflation and slowing growth. The market touched the intra-day low at around 1.50pm, with the Sensex at 18,183, a fall of 202 points, and the Nifty erased 64 points to 5,457.
The indices made a half-hearted recovery in the last hour but settled lower on the last trading day of the week. The Sensex closed trade at 18,269, down 116 points and the Nifty lost 35 points at 5,486.
The Nifty is now in a downtrend with the first support at 5,415. And if it breaches this level, we can expect the market to fall to around 5,350.
The advance-decline ratio on the National Stock Exchange was a negative 591:1050.
Although the broader indices stayed in the red, they outperformed the Sensex in trade. The BSE Mid-cap index fell by 0.34% and the BSE Small-cap index was 0.46% lower.
The BSE Consumer Durables index (up 0.47%) was the lone gainer in the sectoral space. The top losers were BSE Capital Goods (down 1.08%), BSE Fast Moving Consumer Goods (1.04%), BSE Realty (down 0.80%), BSE Metal (down 0.73%) and BSE PSU (down 0.67%).
Maruti Suzuki (up 1.03%), Hindalco Industries (up 0.74%), ONGC (up 0.64%) and TCS (up 0.37%) were the major gainers on the Sensex. DLF (down 1.83%), ITC (down 1.69%), Larsen & Toubro (down 1.64%), Reliance Infrastructure (down 1.52%) and Tata Steel (down 1.36%) were the top losers.
The top Nifty gainers were Hindalco (up 0.87%), Cairn India (up 0.64%), ONGC (up 0.62%), Ranbaxy (up 0.41%) and TCS (up 0.31%). The Nifty losers were led by Grasim (down 2.24%), DLF (down 2.19%), Reliance Capital (down 1.90%), L&T (down 1.85%) and Reliance Infra (down 1.69%).
India's industrial growth rate shrunk by more than half to 6.3% in April, mainly on account of a poor showing by the manufacturing and mining sectors, a development that the government described as 'disturbing'.
The declining factory output may increase pressure on the Reserve Bank of India (RBI) to have a relook at the tight monetary policy which it has been pursuing since March 2010, to check rising prices.
Markets in Asia settled mostly lower on Friday, following news of a rate hike by the South Korean central bank and a slowdown in Chinese exports growth in May. The Bank of Korea's monetary policy committee increased the 7-day repurchase agreement rate to 3.25% despite signs of a slowing economy and risks from the euro zone. Chinese exports rose by 19.4% in May from a year earlier, slowing from the 29.9% pace in April, while imports went up by 28.4% from 21.8% in April.
The Hang Seng declined 0.84%, the Jakarta Composite fell by 0.49%, the Straits Times retraced 0.62%, the Seoul Composite tanked 1.19% and the Taiwan Weighted tumbled 1.81%. On the other hand, the Shanghai Composite added 0.10%, the KLSE Composite rose 0.34% and the Nikkei 225 ended 0.50% higher.
Continuing their tepid participation in the stock market, foreign institutional investors were net sellers of stocks worth Rs24.73 crore on Thursday, whereas domestic institutional investors were net buyers of stocks worth Rs8.97 crore.
National Savings Institute expects to complete verification of claims soon. Process was held up after detection of fraud in 2004
Pending commissions of public provident fund (PPF) agents will be paid soon by the National Savings Institute (NSI). There have been numerous complaints by the PPF agents about not receiving entitled commissions between June 2001 and May 2004.
Earlier, the commission was paid to the agents by the local PPF office, after receiving the documents relating to the payment, on a quarterly basis. Then the local office issued the commissions through cheques. It was a time-consuming process.
This payment mechanism was changed by a finance ministry directive in May 2004. The ministry's budget division stated in an office memorandum, "The commission is payable to the agents at the time of deposit itself, under clear receipt, without submission of any claim and/ or undertaking by the agent."
Agents under national savings are paid commissions at the rate of 1% under the PPF agency system. The NSI comes under the purview of the finance ministry. But many agents complained that their commissions in the period June 2001 to May 2004 have not yet been paid.
Nasir Sajjad, regional director, NIS, told Moneylife, "The payments were stopped after we detected some frauds in the bills. For instance, some agents put wrong stamps and amounts were found to be inflated. Following this, we instituted an inquiry through the CBI (Central Bureau of Investigation). But, in October 2009 the Ministry of Finance directed us to verify the commission claims of the agents with their banks."
He said, "Accordingly we sent the verification letters to the banks. Around 1.36 lakh such letters were sent by post by 28 January 2011. We will soon start making the payments as many of the banks have started replying. The process is taking time as most of the agents have commission claims for as many as 100 accounts, with different branches. Once all the banks with which the agent has the commission claims, send their replies, we will start making their payments."
Agents have welcomed the move, but feel that the process will take a lot of time. "We have already waited for such a long period. The local PPF never paid attention to our complaints. They (NIS officials) always made some or the other excuse," said one Mumbai-based agent whose payments have not been made.
Another agent whose pending commission claims amount to about Rs47,000, said, "Hope the banks act fast and make our payment. We have waited for a long time."