Inflation spooks market; Nifty ends below 2900

Inflation spooks market; Nifty ends below 2900

Equities retraced intraday gains and ended sharply lower for the second straight session Thursday as a higher-than-expected inflation rate weighed on investor sentiments. Metals and oil & gas stocks took a hit while realty and healthcare ended flat. Domestic inflation rate for the week ended Oct 25 was 10.72 per cent against 10.68 per cent a week ago. The figure disappointed traders who expected it to come in single digit. Stocks opened gap-down following correction in global markets on fears of recession, which came to the fore after the US elections were over. Shares of Tata group companies Tata Steel and Tata Motors were under tremendous pressure. Investors also continued to exit Reliance Industries.

Bombay Stock Exchange’s 30-share Sensex closed the day at 9,734.22, down 385.79 points or 3.81 per cent from the previous close. The Index touched a high of 10,109.45 and low of 9,635.22. National Stock Exchange’s Nifty ended at 2,892.65, down 102.30 points or 3.42 per cent. The 50-share index touched an intra-day low of 2,860.25 and high of 3,007.80.

BSE Midcap Index was down 2.24 per cent and BSE Smallcap Index closed 2.13 per cent down. “We are in normal correction after a phenomenal rise and may retrace below today’s low to 2746 and 2560, which forms a strong support base for the Nifty. For a higher bottom formation, Nifty has to turn from any of these above levels and should close above 3240 for two consecutive days, which would raise possibility of a 700-800 points rally on the Nifty. If market doesn’t breach low of 2860 on Friday then the levels of 3008, 3051 and 3122 will act as sell area. Close above 3122 will be positive for the market. Short term averages are trending flat and long term 200 DMA and 30 DMA are downwards,” said Bharat Gala, head technical analyst, Ventura Securities.

Tata Steel (-13.67%), Tata Motors (-12.17%), Sterlite Industries (-11.33%), Reliance Industries (-7.71%) and Hindalco (-7.50%) were the top Sensex losers.

Among stocks, Tata Motors has decided to shut production at its Jamshedpur facility for medium and heavy vehicles for three days beginning Thursday to tide over plummeting demand which had an impact on the auto company's share price. Tata Steel extended losses for the second straight day after ArcelorMittal's guidance for the current quarter painted a bleaker picture than expected and market participants forecast dismal Corus earnings for the quarter to Sep 30, 2008. Selling in Reliance Industries continued on reports that company was shutting five polyester plans at Patalganga, and a research report by securities firm ABN Amro downgrading the stock price to Rs 1,150. Jaiprakah Associates (4.10%), Ranbaxy Laboratories (3.72%), Hindustan Unilever (3.05%) and DLF (2.46%) were the top gainers. Fall in global commodities prices on concerns of demand slowdown took its toll on metal stocks. BSE Metal Index ended 8.41 per cent lower. Banking shares extended losses on worries over liquidity to meet the credit demand, although many public sector banks announced lending rate cuts and leading private sector banks are likely to follow next week. The BSE Bankex ended down 3.41 per cent at 5,442. Bank of India was worst hit and ended the session 6.11 per cent lower at Rs 259.50, followed by SBI and PNB, down nearly 4.5 per cent to Rs 1215 and Rs 470, respectively. ICICI Bank shed 4 per cent to close at Rs 434, while HDFC Bank was down by 3.10 per cent to Rs 1060.55. Market breadth was negative on the BSE with 1,633 declines and 869 advances.

Sensex sheds 386pts amid high volatility
Sensex ends 386 pts down on weak global cues
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Inflation rises to 10.72% / Inflation rises marginally to 10.72%
US stocks opens lower as economic woes mount
BoE, ECB slash key rates as EU economy slows
Obama can't overlook Indian outsourcing industry
Indices end sharply lower as inflation rises

Cognizant Q3 revenue surges; sees project delays
Reliance denies shutdown of polyester units
Inflation rises to 10.72%
Real inflation: Get the numbers right
Alkali Metals shares ends at 68% premium

Source:ET,BS,Sify etc

Sensex plunges 511 pts; RIL, Tata Steel suffer big losses

Sensex plunges 511 pts; RIL, Tata Steel suffer big losses

Tracking gains on Wall Street and in major Asian markets, equities opened on a rousing note on the major Indian bourses this morning. But then, the market went tumbling down soon thereafter as several blue chip stocks, led by index heavyweight Reliance Industries crashed sharply on a severe bout of selling pressure.
Global meltdown and stock market
Information technology, bank, pharma and select capital goods and power stocks did bounce back and pulled the market from lower levels in early afternoon trade, but another round of selling - this time the pressure was extremely severe - saw the benchmark indices Sensex and Nifty plunging far deeper into the red. And the market never really recovered from the setback as selling continued right till the end as a weak trend on the European bourses and the fall of US index futures aided the bears in their pursuit.
Stockometer
The Sensex, which very nearly breached the 11,000 mark in early trade today - it shot up to a high of 10,945.41 - but nosedived to 10,051.52 during the fag end of the session, settled at 10,120.01 with a huge loss of 511.11 points or 4.81%.
Top gainers
The Nifty closed at 2994.95, near a day's low of 2971, with a loss of 147.15 points or 4.68%. Earlier, after opening at 3155.75, it had spurted to a high of 3240.55 in opening trade.
Worst losers
A marked downgrade in ratings and the company's decision to shut five of its polyester and petrochemical units took the wind out of heavyweight stock Reliance Industries today. The index major ended the session with a huge loss of 12.75% at Rs 1269.45. Tata Steel and Jaiprakash Associates lost over 10% today.
Reliance Communications, DLF, HDFC, Grasim Industries, Sterlite Industries, ACC, Tata Motors, Larsen & Toubro and Mahindra & Mahindra drifted down by 6% - 9.5%.
Bharti Airtel, Hindalco, Reliance Infrastructure, State Bank of India, Hindustan Unilever, BHEL, NTPC, ICICI Bank and HDFC Bank also finished with sharp losses.
Infosys Technologies, ITC, ONGC, Ranbaxy Laboratories, Tata Consultancy Services and Tata Power failed to hold gains and ended in the negative territory.
Wipro bucked the trend and posted a sharp gain of 2.75%. Satyam Computer Services gained a little over a quarter per cent. Maruti Suzuki closed with a small gain.
GAIL India went down by over 15%. SAIL lost 12.4%. Unitech ended with a loss of 11.55%. Reliance Petroleum, Ambuja Cements, HCL Technologies, ABB, Reliance Power, Idea Cellular, Tata Communications, Power Grid Corporation, Nalco, Zee Entertainment, BPCL and Cairn India also closed with sharp losses.
Sun Pharmaceuticals shot up by nearly 10.5%. Suzlon Energy gained 5.9%. Punjab National Bank and Hero Honda ended with handsome gains.
As midcap and smallcap stocks also tumbled on pressure, the market breadth turned quite negative this afternoon. Out of 2638 stocks traded on the BSE, 1565 stocks closed in the negative territory. 1,000 stocks posted gains and 73 stocks ended flat.

Sensex bucks global trend, sheds 511pts, RIL weighs

Sensex ends in red

Source:Sify,BS,BL etc

Sensex plunges 511 pts; RIL, Tata Steel suffer big losses

Barack Obama elected 44th US president

Barack Obama elected 44th US president

To view election results for each state, click here: Votes.

------------------------------------------------

Democrat Barack Obama today scripted history capturing the White House in a landslide trouncing Republican John McCain to become the first Black President of the United States.

After an extraordinary nearly two-year election campaign, the 47-year-old Illinois Senator, born to a Kenyan father and White American mother, secured 338 electoral college votes against 155 of McCain, according to CNN projections.72-year-old McCain conceded defeat and urged all Americans to join him in congratulating his rival.

In his concession statement in Phoenix, he said Obama had his goodwill and he believed that the victor would make necessary compromises to bridge differences and defend the security of the country in the "dangerous world."

Obama will be sworn in as the 44th US President on January 20 next year, replacing Republican incumbent George W Bush at the end of his eight-year rule and marking a new milestone in American history 45 years after the peak of civil rights movement of Martin Luther King.
The charismatic Democrat, who had defeated Hillary Clinton in the primaries to clinch the party nomination, led a landslide expanding his party's majorities in both chambers of the US Congress -- House of Representatives and Senate, rejecting Bush's leadership.

The Democratic winner immediately faces huge challenges in the form of worsening US economy and the mess he inherits from Bush in the American war in Iraq.

--------------------------------------------------------------

Obama creates history
WASHINGTON: Democrat Mr Barack Obama on Tuesday scripted history capturing the White House in a landslide trouncing Republican John McCain to become the first Black President of the United States.
After an extraordinary nearly two-year election campaign, the 47-year-old Illinois Senator, born to a Kenyan father and White American mother, secured 338 electoral college votes against 155 of McCain, according to CNN projections.
The 72-year-old Mr McCain conceded defeat and urged all Americans to join him in congratulating his rival. In his concession statement in Phoenix, he said Mr Obama had his goodwill and he believed that the victor would make necessary compromises to bridg e differences and defend the security of the country in the “dangerous world.”
Mr Obama will be sworn in as the 44th US President on January 20 next year, replacing Republican incumbent Mr George W Bush at the end of his eight-year rule and marking a new milestone in American history 45 years after the peak of civil rights movement of Martin Luther King.
The charismatic Democrat, who had defeated Hillary Clinton in the primaries to clinch the party nomination, led a landslide expanding his party's majorities in both chambers of the US Congress - House of Representatives and Senate, rejecting Bush's leade rship.
The Democratic winner immediately faces huge challenges in the form of worsening US economy and the mess he inherits from Mr Bush in the American war in Iraq. - PTI

-----------------------------------------------
Barack Obama's victory: Three lessons for businessObama built his decisive win on three leadership principles: a clear vision, clean execution, and friends in high places.
Obama's life and times Obama's leap of faith fired by Gandhi
US elections special Meet First Lady Michelle Obama

Election of Obama as US President "historic": CPI
Obama's victory path includes Western states
Obama's Kenyan relatives cheer win
Highlights of Obama's life and times
Analysis: Next up after Obama win, governing
Obama -- From a low-paid community worker to President

Economic plans of Obama / World looks forward to new era with US

Barack Obama wins presidential election

Obama says 'change has come for America'
Obama for strategic ties with India, not outsourcing

Obama's leap of faith fired by Mahatma Gandhi
Repercussions of Obama's win on Asia
Obama victory signals shift in US race relations
Analysis: Next up after Obama win, governing
Obama's Kenyan relatives cheer win
Election of Obama as US President "historic": CPI
Obama supporters weep with joy in Chicago
Obama's election recalls so much pain
Obama victory signals shift in US race relations
Sarkozy congratulates Obama on 'brilliant' victory
BJP congratulates Obama, looks forward to warm relations
Obama win gives hope to Indian American politicians
How US stock sectors could fare in Obama administration
Obama's journey to White House will inspire all: Manmohan Singh

Obama's last campaign rally as big as NTR's
Obama victory signals shift in US race relations
Obama -- From a low-paid community worker to President
Highlights of Obama's life and times
Obama's victory path includes Western states
Indo-US ties expected to grow under Obama: Cong
McCain congratulates Obama on election victory
Bush tells Obama: 'What an awesome night for you'
McCain congratulates Obama on election victory
Obama reaches out to world, promising 'new dawn'
Full text of Barack Obama's victory speech
Text of McCain's concession speech
What Obama presidency means for India?
'Obama-Biden team will take India-US relationship to next level'

Video: Obama becomes the 44th US PresidentVideo: Obama becomes the 44th US President RussiaToday
Barack Obama elected next president of United States Bizjournals.comHouston Chronicle - Los Angeles Times - Council on Foreign Relationsall 1,416 news articles »

Africans elated by first black US president

US Presidential Election 2008:Electoral MapThe Business Line website features a U.S.Election Graphic from the New York Times News Service. During election night (from about 5.30 a.m. Indian Standard Time, November 5), the map will be continually updated while the votes are tallied state by state. (Map opens in a new window/tab)

Obama rides wind of change to historic victory Video
Democrats expand majorities in Congress Video
Obama now under pressure to fill big jobs fast Video
McCain vows to help Obama Video
Emotional Powell hails Obama's "inclusive" victory

Government readies to change with new president
Obama victory signals shift in race relations
Big foreign policy challenges await Obama Video
Obama takes aim at the Greenspan era
Biden seeks advisory role as vice-president Video

Obama urged to shape new economic order
Global stocks mostly steady as Obama takes White House Video
Europe hopes for new era of cooperation with Obama
California set to pass Prop 8 ban on gay marriage
Obama faces daunting wartime transition

Obama urged to help build new economic order

Barack Obama rode a wave of voter discontent to a historic White House victory, promising change, but now faces intense pressure to deliver on his campaign promises. Full Article Full Coverage

Obama elected

Source: All webs from the Net

Sensex ends 293 points higher

Sensex ends 293 points higher
Re posts biggest single-day gain since 1998



Indian equities extended the pull-back rally on Tuesday, outperforming Asian peers, as sentiments turned bullish in realty, infrastructure a nd banking sectors after public sector banks agreed on cut in interest rates. In a meeting with the chiefs of state-owned banks, Finance Minister P Chidambaram hinted that after RBI’s initiative to cut rates it was their turn to reciprocate to keep the realty and infrastructure growth ticking. In the meeting, PSU banks reached a consensus to cut interest rates on advances by 75 basis points and on deposits by 50 bps. The banks that announced reduction in benchmark prime lending rates by 50 basis points include the country's third largest lender, Punjab National Bank, and others like UCO Bank, IDBI Bank and Union Bank of India. State Bank of India is likely to follow suit by next week. This had a positive impact on the markets, which had turned volatile after a weak opening, and surged sharply in the last hour of trade. “Domestic liquidity crunch has been obstructing the pace of Indian economy for the past few months. Though the credit growth was high, it was not directed to the productive sectors. The problem was not only the higher cost of borrowings, but also the availability of the same. Banks with sufficient funds were also not lending to because fear of default. After today’s meeting between the finance minister and PSU banks, banks are likely to soon start cutting their PLR rates by 50-75 bps and private sectors banks are expected to follow suit. We also expect banks to cut their deposits rates simultaneously,” said Krupesh Thakker, analyst-economy, at India Capital Market. “The direct beneficiaries will be highly leveraged sectors like infrastructure, capital & engineering companies as their borrowing cost would come down. However, the SME segment would benefit the most because they lacked any alternate source of funds. We further expect the interest rate sensitive industries to witness rise in demand as the retail segment lending rates will too come down,” Thakker added. BSE Realty Index closed 12.14 per cent higher, BSE Bankex ended up 6.56 per cent and BSE Power Index climbed 5.66 per cent up. However, BSE IT Index ended 4.33 per cent lower ahead of presidential elections in the US.



Bombay Stock Exchange’s Sensex closed at 10,631.12, up 293.44 points or 2.84 per cent. The index touched a high of 10,668 and low of 10,116.22. National Stock
Exchange’s Nifty ended at 3142.10, up 98.25 points or 3.23 per cent. The broader index touched an intra-day high of 3,152.30 and low of 2,985.



BSE Midcap Index was up 2.70 per cent and BSE Smallcap Index moved 2.75 per cent higher. DLF (17.13%), Jaiprakash Associates (9.58%), Ranbaxy Laboratories (9.27%), Tata Power (8.47%) and ITC (8.45%) were the top Sensex gainers. Satyam Computers (-7.41%), TCS (-7.38%), Wipro (-4.80%), Infosys Technologies (-3.32%) and Sterlite Industries (-2%) were the losers. Market breadth was positive on the BSE, with 1,806 advances and 782 declines. Shares of Suzlon Energy surged 20.57 per cent after the company and Martifer said they were negotiating a schedule for the wind energy major to buy 22.48 per cent stake of Matifier in Germany's REpower. Airline stocks ended higher after state-owned refiners reportedly reduced ATF price by 4.5 per cent responding to government’s decision to exempt jet fuel from customs duty. Jet Airways closed 6.23 per cent up, Kingfisher Airlines ended 3.55 per cent higher and SpiceJet closed 4.83 per cent up. Meanwhile, relief rally in the global markets seems to be far from over. European markets rallied FTSE 100 was up 1.78 per cent, CAC was up 2.17 per cent and DAX gained 2.02 per cent. As the US wakes up to choose the next president, Wall Street showed signs of positive open. Dow Jones futures were up 1.96 per cent, Nasdaq futures were 2.42 per cent higher and S&P 500 futures moved 2.11 per cent up.

----------------------------------------------------
Sensex recoups from early losses to end higher by 293 points
Cabinet to consider easing FDI in defence production
India to have near 0% inflation in H2 of '09
Americans vote in historic election
World hopes for a less arrogant America

India to ease FDI rules: Kamal Nath
Economy not so bleak,needs balance
Trade deficit up by 53% in Apr-Sept

Sensex gains 293pts; DLF zooms 15%, tech stocks tumble

FM assures industry on rate cut
Suzlon, Martifer talking on REpower stake sale date
Export growth slips to 10.4% in Sept
October turns worst for world bourses; Indian markets lose $62 bn

















Source:ET

Some bright spots amid gloom, Result analyis of BL

Some bright spots amid gloom

The 30 per cent rise in sales and 12 per cent profit growth managed by leading Indian companies (320 of the BSE 500) for the September quarter may only reaffirm the gloomy earnings picture that the market is factoring into stock prices today.
In a bear market, such as the present one, while negative news is magnified by the lens of pessimism, positive aspects are often ignored. That a good 152 of the 320 companies recorded earnings growth of over 15 per cent could possibly come as a surprise for those who expected a sweeping profit slump.

This article discusses the divergence in performance of companies and sectors in the September quarter and highlights the possible reasons for such variations. A compact universe of companies from the BSE-500 (that represent 93 per cent of the exchange market cap) was chosen to analyse various drivers of costs and income for Corporate India. The set consists of stocks with a market capitalisation range of Rs 100 crore to Rs 1,90,000 crore. Also in focus are key sectors and companies that are conspicuous for their exceptionally good, or particularly poor, performance. Sales zoom, but margins pressured

Before moving to specifics, here’s a look at what the averages suggest. Sales, possibly ignited by an inflationary environment, clocked a far higher growth rate of 30 per cent (year on year) than the 19 per cent growth seen in September 2007.

However, the same inflationary trend, reflected in raw material costs ensured that operating profit growth halved to a moderate 15 per cent. Drastic reduction in ‘other income’ and losses on extraordinary items (as against profits from this segment in the previous year) dragged net profit growth down to 12 per cent.

A study of the key cost components suggests that the impact of the commodity price meltdown is yet to trickle down to corporate margins. Raw material costs were up by 43 per cent in the September 2008 quarter over a year ago. The similar increase in September 2007 was a mere 8 per cent.

However, raw materials as a percentage of sales (leaving out companies in the services space, with no raw material costs), was a whopping 56 per cent — 5 per cent over last year. The comparable number in September 2006 was 55 per cent, only 100 basis points lower than the latest figures.
In other words, the current proportion of cost to sales is not too different from 2006 levels, suggesting that selling prices may have offset input cost hikes. The operating profit margin too, at 27 per cent, was similar to the 2006 levels.

Earnings quality improves

Employee expenses as a percentage of sales declined marginally to about 8.2 per cent for the latest quarter, on the back of sedate hiring activity in the service sectors. However, for public sector companies such as BHEL, Bharat Electronics or SAIL, the pressure on profitability following implementation of the Sixth Pay Commission’s recommendations was discernible.
Despite rising interest rates and tightening liquidity, interest cost as a percentage of sales saw a mild dip to about 14 per cent, the ratio helped mainly by the cash-rich or low-debt companies in the universe. However, specific sectors, discussed later, have shown a steep increase in interest costs.

Windfall ‘other income’, primarily driven by forex gains (arising from revenue as well as borrowing transactions) in September 2007, gave way to extraordinary losses, either from forex hedging or the lack of it in the past quarter. Net profits, adjusted for such losses, nevertheless, grew at a modest 12 per cent. While the above averages provide some cues on India Inc’s growth trajectory, they only offer a sketchy picture. A break-up into sector and stock-specific trends makes things clearer.

Revenue growth remained robust in most sectors, barring interest-sensitive segments such as auto and auto ancillaries or sectors with weakening demand and price, such as cement. While the former took a mild dip in operating profits in the latest quarter, compared to a year ago numbers, cement companies bore a sharp 9 per cent fall in operating profits. Most of the companies in this universe, located in the Northern region, have been witnessing sharp declines in cement prices, compared to early 2008.

Metal margins slide: Manufacturers of another key commodity, steel, had a different story to recount. While volumes could have remained robust, as suggested by a 40 per cent increase in revenues, the average operating profit margins dipped sharply to 29 per cent from 35 per cent a year ago. With steel prices coming off sharply in recent months, the coming quarters may pose a real challenge for these companies.

Banking, IT stable: Sectors such as banking and IT have turned in far more stable results than expected, despite being boxed in by concerns. While banks faced a liquidity crunch, escalating costs and concerns about lower credit off-take on the back of high interest rates, the software sector was engulfed by its share of concerns arising from the global turmoil.
Both sectors have shown more moderate revenue and net profit growth, though profit margins did not throw up negative surprises.

Surprise from infrastructure: Interestingly, infrastructure, among the most beaten-down sectors in the recent fall, put up a respectable show, with a 39 per cent growth in sales and a 62 per cent growth in net profits.
Stocks from these sectors were beaten down on the back of concerns about high raw material and borrowing costs and an order-book slowdown.

However, price escalation clauses in most projects have allowed these companies to partly cope with rising costs. Order inflows, too, have been robust, especially for the larger infrastructure companies.

Less fortunate: The engineering and capital goods sector was, however, less fortunate as both operating and net profits grew at a noticeably slower pace. Neither infrastructure nor engineering was spared a sharp spike in borrowing costs, which rose by over 50 per cent.Beating expectations: Overall, banking and infrastructure sectors featured several companies that demonstrated better results than the market expected. Software, aided by a sliding rupee, too registered comfortable growth. These sectors, with their respective average earnings growth at over 20 per cent, have clearly done better than market expectations (the BSE-500 price earnings multiple is at about 11 times).


Stand-out performers
A few other trends, not specific to sectors, also emerged from the analysis. For instance, among the companies that notched up higher sales and net profits, 105, or one-third of the universe, saw net profits grow at a faster pace than sales. Were these companies supported by ‘other income’ outside of operations? Not really, as the other income declined in this universe as well.
The average operating profit margins for these companies jumped 300 basis points to a whopping 40 per cent in the latest quarter compared to a year ago, suggesting that volumes, pricing power and cost management could have been the key factors for superior performance, rather than any freak “other income.” See Table ‘ Strong show’ for a few such companies.
Interest costs, although stable, forms about a fifth of sales for these companies — far higher than the ratio of 13-14 per cent of sales for the whole universe. This suggests that these could be highly leveraged companies, starting to reap the benefits of expansion.
To balance the above with some negative trends, about 18 companies in the universe reported a decline in sales on a year-on-year basis.
About 11 of them also skidded into losses in the recent quarter, from net profits a year ago. These companies account for 3-5 per cent of our universe of 320.
Interestingly, both the above categories were part of the under-Rs 2,500 crore market capitalisation segment, once again reiterating the ability of larger companies to manage tough times better.

Source:BL

RBI cuts CRR by 100bps, repo rate by 50bps

RBI cuts CRR by 100bps, repo rate by 50bps

After infusing Rs 1,85,000-cr liquidity into the banking system, the RBI today effected yet another 100 basis points cut in cash reserve ratio (CRR) and a 0.5 % reduction in key short-term lending (repo) rate, signaling softening of interest rates to prop up growth.

The one percentage point cut in CRR, the amount which banks have to park with the apex bank, has been brought down to 5.5% to infuse additional liquidity of Rs 40,000 cr into the system. The CRR cut will be in two tranches and the first one of 0.5% will be effective retrospectively from October 25 and the second from November 8.

The RBI also cut the repo rate, the rate at which it lends to banks, by 0.5 per cent to 7.5% with effect from November 3. The central bank has also reduced the statutory liquidity ratio (SLR), the amount which banks are mandated to park in government securities, by 100 basis points to 24%. Welcoming the decision, ICICI Bank Joint Managing Director Chanda Kochhar said, "it will release much needed liquidity into the system and signal reduction in interest rates."
-------------------------------------------------
RBI cuts CRR, SLR and Repo; lending and deposit rates to fall

Mumbai: Home, consumer and corporate loan rates are likely to ease in the near future, with RBI today announcing a slew of monetary measures including a one per cent cut in cash reserve and stautory liquidity ratios besides a 0.5 per cent cut in its short term lending rate. The CRR, the percentage of amount banks are required to keep with the apex bank, has been cut in two tranches of 0.5 per cent effective from October 25 and November 8 to infuse Rs 40,000 crore in to the banking system. The central bank had already cut CRR by 2.5 per cent to 6.5 per cent last month injecting Rs one lakh crore in to the system. With this cut, the apex bank could have injected Rs 1.4 lakh crore through CRR cut which is now pegged at 5.5 per cent. The SLR, which is the amount banks have to keep with the RBI in the form of cash, gold or approved securities, was cut temporarily by one per cent earlier to 24 per cent and this cut has been made permenant effective from Novebmber 8. The RBI also cut its key short term repo rate, the rate at which Reserve Bank lends overnight funds to bank, by 0.5 per cent to 7.5 per cent. Last month repo rate was cut by 1 per cent from 9 per cent to 8 per cent.


With today's measures along with several monetary steps taken last month, the apex bank has so far injected over Rs 2.5 lakh crore in to the system. Hailing the policy measures, bankers today said that they would soon look at reducing their lending and deposit rates in the near future. Economists said the slew of measures would help to prop up growth, particulalry considering that the inflation has started falling drastically on the back of declining global crude oil and other commodity prices.


Industry welcomes RBI move; but says more needed
RBI cuts repo rate by 50 bps
RBI cuts rates to induce Rs 85,000 cr; signals interest cut
RBI complements govt efforts to boost growth
RBI opens liquidity tap again; signal for rate cuts

Source:ET,BS,BL

Results:GujNREcoke,Unitech,Shiv-Vani etc

Shiv-Vani Oil & Gas Exploration Services net profit rises 270.21% in the September 2008 quarterSales rise 127.37% to Rs 139.22 crore

Energy Development Company net profit rises 8.27% in the September 2008 quarter

Usha Martin Infotech net profit rises 650.00% in the September 2008 quarter

Resurgere Mines & Minerals India reports net profit of Rs 11.61 crore in the September 2008 quarter

Ballarpur Industries net profit rises 104.39% in the September 2008 quarterSurya Pharmaceutical net profit rises 33.25% in the September 2008 quarter
Amrutanjan Health Care net profit rises 2778.88% in the September 2008 quarter

Procter & Gamble Hygiene and Health Care net profit rises 42.53% in the September 2008 quarter

Zylog Systems net profit rises 26.26% in the September 2008 quarter

Ruchi Soya Industries net profit rises 5.09% in the September 2008 quarter

IVRCL Infrastructures & Projects net profit rises 61.99% in the September 2008 quarter
Birla Corporation net profit declines 42.11% in the September 2008 quarter

Nava Bharat Ventures net profit rises 127.26% in the September 2008 quarter
Shriram City Union Finance net profit rises 30.93% in the September 2008 quarter

Gujarat NRE Coke net profit rises 718.73% in the September 2008 quarter

Unitech net profit rises 200.93% in the September 2008 quarter
Lanco Infratech net profit rises 16.34% in the September 2008 quarter

Kingfisher Airlines reports net loss of Rs 483.25 crore in the September 2008 quarter
Helios & Matheson Information Technology net profit declines 57.49% in the September 2008 quarter

Bombay Rayon Fashions net profit rises 19.59% in the September 2008 quarter
Firstsource Solutions net profit rises 74.45% in the September 2008 quarter
ABG Shipyard net profit declines 23.54% in the September 2008 quarter
Aftek net profit rises 70.81% in the September 2008 quarter
Uttam Galva Steels net profit declines 30.41% in the September 2008 quarter

Development Credit Bank net profit declines 93.10% in the September 2008 quarter
Jindal Poly Films net profit declines 47.80% in the September 2008 quarter
Oswal Chemicals & Fertilizers net profit declines 7.00% in the September 2008 quarter

Todays Headlines

Wall St ends higher on credit thawing signs
Sensex ends up 744pts; M&M zooms 23%
Cabinet okays Bill to raise FDI in insurance
S&P outlook on India’s long-term rating remains stable
Cabinet okays hike in FDI in insurance to 49 pc

FII buying lifts markets
PM to meet India Inc chiefs on Monday
FM to talk credit growth at bank meet
Belated Diwali bash on Street
Forex kitty shrink by $15.5 billion

Aegis BPO to hire 1,000 every month
Intel says fin crisis could hurt biz
ABG Shipyard bags Rs 2,377 cr order for rigs
Chandrayaan camera clicks earth from deep space
S&P retains investment grade for India

India's economic growth prospects remain strong: S&P
CLSA Asia Pacific Markets puts buy on Cairn India
Motilal Oswal Securities maintains buy on Mahindra Lifespaces
ICICI Securities maintains buy on State Bank of India
Citigroup assigns 'sell' to Tata Teleservices


'FDI hike will increase life insurance industry by 2.5 times'


Source:ET,BS,BL etc