A negative closing tomorrow may mean a short decline in Nifty
Yesterday, we had mentioned that the Nifty is readying for the next upmove but a close below 6,480 on the Nifty will create a short-term bearishness. Today the index made a plunge to level below it by hitting a low of 6,477 and closing 13 points above that level at 6,493. The index has not been able to get past 6,560 and if it closes in the negative tomorrow, it will mean a short-term decline.
The market was driven lower today due to a weakness in software stocks, after Infosys warned that its March quarter earnings will come at the lower end of guidance. But the market shot up immediately on the back of the improved data on index of industrial production and the inflation given out after market hours on Wednesday.
The Sensex opened at 21,737, while the Nifty opened at 6,492. After a range bound session until the last hour the market lost its strength and plunged into the negative and closed almost near to the day’s low. The Sensex hit a high of 21,991 while the Nifty hit a high of 6,561. The Sensex closed at 21,775 (down 82 points or 0.37%) after hitting a low of 21,720, while the Nifty hit a low of 6,477 and closed at 6,493 (down 24 points or 0.37%). The NSE recorded a little higher volume of 67.22 crore shares.
The Index of industrial production (IIP) rose 0.1% in January 2014, with the index snapping a decline for the last three sequential months.
Inflation based on the consumer price index eased to a 25-month low last month. The rate of inflation based on the combined consumer price index (CPI) for urban and rural India eased to 8.1% in February 2014, from 8.79% in January 2014. Core CPI inflation, which excludes food and fuel prices fell below the 8% mark for the first time in 7 months. Core CPI inflation stood at 7.9% in February 2014, lower than 8.1% in January 2014. CPI inflation eased for all groups except clothing in February 2014.
Infosys was the laggard in the Sensex 30 stocks which fell 8.54% to close at Rs3357.50 on the BSE. Infosys tanked on reports that it foresees sluggish growth in January-March (Q4FY2014) quarter mainly due to muted spending by clients, especially in the retail sector.
US indices closed flat with a positive bias. Market now awaits the jobless and the retail-sales data.
Asian indices closed mostly in the green. Shanghai Composite (1.07%) was the top gainer while Hang Seng (0.67%) was the top loser.
China's industrial-output, investment and retail-sales growth cooled more than estimated in the first two months of the year, signaling a slowdown in the economy as leaders seek to sustain 7.5% expansion. Factory production rose 8.6% in the January-February period from a year earlier. Retail sales advanced 11.8%, while fixed-asset investment excluding rural households was up 17.9%.
Chinese Premier Li Keqiang warned on Thursday that the economy faces "severe challenges" in 2014. His comments came against the backdrop of weak data which fanned speculation the central bank would relax monetary policy to support stuttering growth.
Australia boosted full-time payrolls in February by the most in more than 22 years. The number of people employed full time rose by 80,500, the biggest increase since August 1991 and the second largest rise on record. Overall employment climbed 47,300.
European indices were mostly up, while US Futures were trading marginally higher.
SBI has launched “SBIePay” a payment intermediary, which will connect various banks/ financial institutions and merchants, e-Commerce transactions
State Bank of India has launched “SBIePay” a payment intermediary, which will have electronic connectivity with various Banks/ financial institutions and merchants, thus facilitating e-Commerce/ m-Commerce transactions between merchants, customers and various financial institutions for all kinds of payments. The domain has been registered as https://sbiepay.com. State Bank of India is the first Bank in India to start its own online aggregator services.
Existing payment aggregators viz. IndiaIdeas (BillDesk), CCAvenues, TechProcess Solutions, Times of Money Ltd., E-Billing Solutions (EBS), Atom Technologies, and new aggregators like PayU, Citrus, Emvantage have targeted specific merchant categories and have created their own niche segments for online payments.
As a bank and a payment aggregator, SBIePay aspires to bring in additional payment modes, new merchant categories, with a special focus on government merchants i.e., central, state departments and municipal corporations. SBIePay would leverage the Bank’s own payment gateway to process all credit/debit card transactions and the internet banking platform of the State Bank Group. SBIePay is already in the process of tying up with more than 40 banks in order to process their Internet Banking payments.
SBIePay will provide the business information and analytics to the merchants and banks for all transactions as an add-on feature. SBIePay aims to be the one stop solution for processing all online payment modes and become a dominant player in the payment aggregator space in the next three years.
The SC rejected the bail plea and ordered Sahara chief to remain in judicial custody till the further hearing on 25th March.
The SC rejected the bail plea and ordered Sahara chief to remain in judicial custody till the further hearing on 25th March. The Sahara Group, led by lawyer Ram Jethmalani had filed a petition challenging Roy’s judicial custody in Delhi’s Tihar Jail. The counsel called the SC order dated 4th March as “illegal and unconstitutional”. But the SC rejected the petition and ordered the Sahara chief to file an appeal when he was ready to make genuine repayments to the investors.
The two-judge bench headed by Justice KS Radhakrishnan and Justice JS Kehar rejected Sahara Group’s proposal of refunding Investors, calling it “dishonest”. Sahara came up with the proposal of refunding the investors by paying Rs2,500 crore within three days and further payments in five instalments, the last instalment being on July 2015.
The SC order can be found here http://www.supremecourtofindia.nic.in/outtoday/wr572014.pdf
Subrata Roy, the founder and chairman of Sahara India Pariwar was arrested on 28th February after he failed to repay Rs20,000 crore to Sahara investors when two Sahara bond schemes that were declared illegal in 2012.