The seasonally adjusted HSBC Service Sector Business Activity Index posted 49.1, from 49.8 in September, down for the second month in a row. The October reading is the weakest since April 2009
India’s services sector registered its slowest growth in the last two-and-half years. The seasonally adjusted HSBC Service Sector Business Activity Index posted 49.1, from 49.8 in September, down for the second month in a row. The October reading is the weakest since April 2009, the HSBC Services PMI release stated.
The HSBC Services PMI is based on data compiled from monthly a survey of purchasing executives in around 350 private service sector companies. An index reading above 50 indicates an overall increase in that variable, below 50 an overall decrease.
Indian service providers witnessed a rise in new work intakes during the month under consideration, extending the sequence of sustained growth to two-and-a-half years. However, the rate of new business expansion was marginal and the second-slowest in that period.
Meanwhile, the HSBC India Composite Index—which covers both the manufacturing and service sectors —stood at 50.3, marginally up from September’s reading of 50.2.
However, service providers were optimistic that business activity would gain momentum over the next year, supported by investment in marketing initiatives.
Commenting on the India Services PMI, Leif Eskesen, chief economist for India & ASEAN at HSBC said, “The momentum in the services sector eased further in October with business activity declining sequentially and new orders expanding at a slower clip. This reflects the lagged impact of the monetary policy tightening undertaken so far, although partly also reported strike action.”
“On the inflation front, there was some relief with both prices charged and input costs rising less rapidly, although the former are still climbing fast by historical standards. The numbers confirm some re-balancing between growth and inflation risks, supporting RBI’s decision to signal a pause in the near term,” he added.
IPO manipulation is back for sure. Indo Thai Securities hit an intraday high of Rs99 today; two firms belonging to related directors individually picked up 7.50 lakh shares worth Rs5.73 lakh each on the BSE & NSE; they made a combined profit of Rs2.60 crore in a few hours. The regulators remain silent
Yesterday another ‘Grade 2’ IPO, Indo Thai Securities, listed on the NSE (National Stock Exchange) and the BSE (Bombay Stock Exchange). Opening a rupee higher than its issue price of Rs74, the stock fell 69% to close at Rs23, after hitting an intraday high of Rs99 and a low of Rs18.
“Trade with confidence” is the tag line of Indo Thai Securities and two firms run by the related directors certainly did.
Vikabh Securities Pvt ltd run by Bharat Hardattrai Biyani bought 7.50 lakh shares worth Rs5.73 crore on the BSE and Asian Market Securities Pvt Ltd run by Kailash Hardattrai Biyani, put in a similar amount buying the same number of shares on the NSE. And yes, like the M and B Switchgear case (IPO manipulation is back with a bang. Five firms with one director and a profit of nearly Rs9 crore), both firms entered at a price of around Rs76.4 and exited around Rs93.8, mopping up a consolidated profit of Rs2.6 crore in just a matter of a few hours. With the market regulators sleeping, such traders will definitely trade with confidence.
Apparently both the directors are the promoters of Abhinav Capital Services which is listed on the BSE. There has hardly been any trading of the stock since October last year.
Unfortunately for retail investors who put their money in looking to make a substantial profit, they would have severely burnt their fingers. The stock shows no signs of moving up again. And as for M and B Switchgears, since Moneylife had reported (IPO manipulation continues, recent offerings exhibit extreme volatility and five out of seven IPOs listed in October hit their extremes today ) that the scrip had hit its all-time high of Rs390, it has been following a downward trend ever since. The stock closed at Rs180.65 yesterday, down 54%.
Apart from this case, three other IPOs listed last month are trading at 80% below their issue price (See Chart). Whereas Flexituff, Onelife Capital and Prakash Constrowell have managed to muster good gains, but how long these gains would last is the big question. That’s the sorry state of the Indian IPO market.
Special judge OP Saini dismissed the bail pleas, including that of former telecom secretary Siddharth Behura, saying the charges levelled against them were of “very serious nature”
New Delhi: In a setback to DMK MP Kanimozhi and seven others, a Delhi court today dismissed their bail pleas in the second generation (2G) spectrum allocation case, reports PTI.
Special judge OP Saini dismissed the bail pleas, including that of former telecom secretary Siddharth Behura, saying the charges levelled against them were of “very serious nature”.
Others whose bail petitions were dismissed were former telecom minister A Raja’s erstwhile private secretary RK Chandolia, Swan Telecom promoter Shahid Usman Balwa, Kalaignar TV MD Sharad Kumar, Kusegaon Fruits & Vegetables directors Asif Balwa and Rajiv Agarwal and Bollywood filmmaker Karim Morani.
“The facts of the case as well as the charges levelled against the accused are of very serious nature having grave implications for the economy of the country,” the court said.
“I am satisfied that no case for bail is made out for any of the applicants/accused,” it said.
While dismissing the bail application of Ms Kanimozhi, daughter of former Tamil Nadu chief minister M Karunanidhi, the court said, “By no stretch of imagination she can be said to be suffering from any discrimination on ground of being a woman.”
Brushing aside Ms Kanimozhi’s plea for bail under Section 437 of the Criminal Procedure Code on grounds of being a woman, the court said, “Accused Kanimozhi Karunanidhi belongs to upper echelons of society and is also a Member of Parliament. By no stretch of imagination, she can be said to be suffering from any discrimination on the ground of being a woman”.
Special judge Saini dismissed her bail application, along with those of four others—Sharad Kumar, Morani, Asif Balwa and Rajiv Agarwal—even though CBI had no objection to their release on the ground that they face trial for offences, entailing a maximum jail term of only five years, if convicted.
The court rejected CBI’s stand saying, “There is no distinction between the accused charged on the basis of main charge-sheet and supplementary charge sheet. There is only one charge sheet in the eyes of law.”
The court also dismissed the pleas of various accused for bail on the ground that they had been languishing in jail for over five to nine months, while the trial was unlikely to conclude in near future.
“It is repeatedly submitted that these reasons make out good ground for bail to the accused. I have bestowed my careful and anxious consideration to these submissions. In the facts and circumstances of a particular case, these factors may be relevant consideration but in some cases it may not be so,” justice Saini said.
The court said after framing of charges under ‘a more serious’ section of 409 IPC (criminal breach of trust) which carries life imprisonment as maximum punishment, “there is no favourable change in the case of the accused.”.