Long-term Indian bull market still alive: Rakesh Jhunjhunwala

Here is a verbatim transcript of Investor and Trader, Rakesh Jhunjhunwala’s bytes played on CNBC TV18. Also watch the accompanying video.
On the bear market:
What is a bear market, what is a bull market, I don’t know. Numerically – surely, since we have broken the last lows that we had in August 2007, we’ll have to term it as a bear mkt. But I don’t think the long-term Indian stock bull market has ended. I think it’s in interruption mode.
On the macros:
I don’t rule out anything in the financial markets. I always question- suppose I have to pay margin tomorrow, to Lehman Brothers, I would have questioned it. It may be Goldman Sachs. I will not pay if they are a position taking company. If you take position yourself, I’ll not pay margin. Never believe that the BoE (Bank of England) cannot fail, or if the BoE may not fail, it may go back on its words. They change policy retrospectively, which amounts to going back on your words.
On the US situation:
I have made presentations to show in October, that this is going to be an unprecedented fall. And I have reasoned out how much is the lending to subprime, and that this problem cannot be stopped by reducing interest rates. The American bull market has come to an end. It may be a long correction.
On exercising caution:
If the Index instead of going from 3,000 to 21,000 had gone from 3,000 to 13,000, and then back to 11,000 – would that not have been a bull market? Then it would have been termed a bull market correction. So at levels, where you saw the participation, the valuations, you saw what was coming in the Western world, you saw the sheer corporate greed in India; you saw the senselessness with which people in India just wanted to buy anything. They were all indicators – so what is wrong in being cautious?
The mother of all bull runs is still to come
The mother of all bull runs is still to come. But I think the next high and the next bull market will be far bigger and have far more participation, and far more excesses than we had in the last one year.

Courtesy/Source: CNBC-TV18, moneycontrol.com

Disclaimer: The Stocks Recommended Above Are Picked Up At Random From Research Reports Of Broking Houses. Investors Are Advised To Use Their Judgment Before Acting On These Recommendations. Author Does Not Associate Itself With The Choices. Investments In Stock Markets Are Risky. Information And Advice Is Based On Technical Analysis And Long Term Fundamentals Of The Company And Is Provided Without Any Liability (Financial Or Otherwise).The Author Or His Clients May Or May Not Be Holding Recommended Scripts.
Disclaimer: The entries posted on http://www.bhaveshthaker.com and http://bhaveshthaker.blogspot.com are purely with the intention of sharing personal interest in news, information, Gujarati music and poetry and Indian film and classical music, Indian stock market related information without any intention of any direct or indirect commercial gain. If any of the posts are causing infringement of copyrights, it is purely unintentional and such posts would be discarded with immediate effect, as soon as they are brought to notice of the administrator. Contact: bhaveshthaker@gmail.com

Buy Patel Engineering, target of Rs 490: SBICAP Securities

SBICAP Securities has recommended a buy rating on Patel Engineering Company with a target of Rs 490 in its September 17, 2008 research report. “At the current price of Rs 370, assuming full tax rate of 33%, the stock trades at a P/E multiple of 17.4x its FY09E consolidated EPS of Rs 21.2 and at 14.3x its FY10E consolidated EPS of Rs 25.9. On an EV/EBIDTA basis, it trades at 8.8x FY09E and 7.7x FY10E. We value the real estate subsidiary at Rs 185 per share, BOT subsidiaries at Rs 13 per share and assign a conservative 12x P/E multiple to its core construction business’s standalone FY10EEPS of Rs 24.4. Thus,arriving at an SOTP value of Rs 490 per share (an upside of 32% from the current level),we recommend a BUY on the stock,” says SBICAP Securities’ research report.

Disclaimer: The views and investment tips expressed by investment experts on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

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Courtesy/Source: moneycontrol.com

Disclaimer: The Stocks Recommended Above Are Picked Up At Random From Research Reports Of Broking Houses. Investors Are Advised To Use Their Judgment Before Acting On These Recommendations. Author Does Not Associate Itself With The Choices. Investments In Stock Markets Are Risky. Information And Advice Is Based On Technical Analysis And Long Term Fundamentals Of The Company And Is Provided Without Any Liability (Financial Or Otherwise).The Author Or His Clients May Or May Not Be Holding Recommended Scripts.
Disclaimer: The entries posted on http://www.bhaveshthaker.com and http://bhaveshthaker.blogspot.com are purely with the intention of sharing personal interest in news, information, Gujarati music and poetry and Indian film and classical music, Indian stock market related information without any intention of any direct or indirect commercial gain. If any of the posts are causing infringement of copyrights, it is purely unintentional and such posts would be discarded with immediate effect, as soon as they are brought to notice of the administrator. Contact: bhaveshthaker@gmail.com

Equity Trading Tips for 18th September : Part 1

Buy Aban Offshore, target of Rs 3493: Reliance Money
Reliance Money has recommended a buy rating on Aban Offshore with a target of Rs 3493 in its September 18, 2008 research report. “During the past few months, Aban Offshore has significantly underperformed the markets, basically due to concerns on expected oversupply of rigs, and inability of Aban to secure contracts for some of their new rigs. However, we believe that these concerns are overdone, and current price correction presents a good opportunity for long term investors to enter the stock. Moreover, recent contract winnings by the company only reiterate the strong demand for rigs in global markets. Looking at the excellent revenue visibility and exponential growth ahead, we believe Aban is very well poised to reap the benefits of current upturn in oil services business. We recommend buy with target price of Rs 3493,” says Reliance Money’s report.

onlineequitycalls.com

Buy GMDC, target of Rs 203: Asit C. Mehta
Asit C. Mehta has recommended a buy rating on Gujarat Mineral Development Corporation (GMDC) with a target of Rs 203 in its September 16, 2008 research report.

“We consider Sum of the Parts valuation (SOTP) to be the most appropriate valuation method for GMDC. While arriving at SOTP valuation we have considered Enterprise value per Reserves tonne for mining business, and Asset Replacement cost for power business. Based on this approach, we recommend a “BUY” on GMDC with a price target of Rs 203,” says Asit C. Mehta’s research report.

onlineequitycalls.com

Brokers bullish on HDFC Bank, ICICI Bank

• Credit Suisse has maintained underperform rating on Ranbaxy, with a target of Rs 390
• Citi has downgraded Info Edge to hold rating, with a target of Rs 860
• Macquarie has maintained neutral rating on ONGC, with a target of Rs 995
• Macquarie has maintained outperform rating on HDFC Bank, with a target of Rs 1439
• Macquarie has maintained underperform rating on ICICI Bank, with a target of Rs 435
• Enam has maintained underperform rating on SBI, with a targetof Rs 1800
• India Infoline has maintained reduce rating on Nalco, with a target of Rs 390
• India Infoline has maintained sell rating on Bajaj Hind, with a target of Rs 122
• Kotak Institution has upgraded Cairn India to add rating, with a target of Rs 245
• Kotak Institution has maintained add rating on ICICI Bank, with a target of Rs 870
• Merrill Lynch has kept buy rating on ICICI Bank, with a target of Rs 1010

Source : MoneyControl

India Infoline plans offshore, on-shore AMC biz in 6 months
Nirmal Jain, Chairman and Managing Director of India Infoline said that his company plans to launch offshore as well as on-shore asset management (AMC) business. He is trying to get a license in Singapore to start an AMC there. Jain plans to build good asset base in this business in three to five years. Their institutional business is accepted well in foreign markets, he said.

Source : MoneyControl

Courtesy/Source: http://www.onlineequitycalls.com/

Disclaimer: The Stocks Recommended Above Are Picked Up At Random From Research Reports Of Broking Houses. Investors Are Advised To Use Their Judgment Before Acting On These Recommendations. Author Does Not Associate Itself With The Choices. Investments In Stock Markets Are Risky. Information And Advice Is Based On Technical Analysis And Long Term Fundamentals Of The Company And Is Provided Without Any Liability (Financial Or Otherwise).The Author Or His Clients May Or May Not Be Holding Recommended Scripts.
Disclaimer: The entries posted on http://www.bhaveshthaker.com and http://bhaveshthaker.blogspot.com are purely with the intention of sharing personal interest in news, information, Gujarati music and poetry and Indian film and classical music, Indian stock market related information without any intention of any direct or indirect commercial gain. If any of the posts are causing infringement of copyrights, it is purely unintentional and such posts would be discarded with immediate effect, as soon as they are brought to notice of the administrator. Contact: bhaveshthaker@gmail.com

Tata Steel targets 30% ROC in 5 years

Koushik Chatterjee, Group CFO of Tata Steel said that external capital will be tough to raise. They have syndicated their entire Corus acquisition debt, he said. The company does not have any immediate fund requirements or any balance sheet issues, he said. Cost of capital is higher as the premium on risk is much higher, he said. Overall leverage will not allow companies to take on too much external capital, Chatterjee said. Steel growth will be tad lower than the 6.5% forecasted, he added. Even at lower demand, steel would have supply constraints, he said.

Chatterjee feels that spot steel prices have softened a bit. Raw material metal spread is still at comfortable levels, he said. The company is targeting combined return on capital of 30% in five years.

Courtesy/Source: moneycontrol.com

Disclaimer: The Stocks Recommended Above Are Picked Up At Random From Research Reports Of Broking Houses. Investors Are Advised To Use Their Judgment Before Acting On These Recommendations. Author Does Not Associate Itself With The Choices. Investments In Stock Markets Are Risky. Information And Advice Is Based On Technical Analysis And Long Term Fundamentals Of The Company And Is Provided Without Any Liability (Financial Or Otherwise).The Author Or His Clients May Or May Not Be Holding Recommended Scripts.
Disclaimer: The entries posted on http://www.bhaveshthaker.com and http://bhaveshthaker.blogspot.com are purely with the intention of sharing personal interest in news, information, Gujarati music and poetry and Indian film and classical music, Indian stock market related information without any intention of any direct or indirect commercial gain. If any of the posts are causing infringement of copyrights, it is purely unintentional and such posts would be discarded with immediate effect, as soon as they are brought to notice of the administrator. Contact: bhaveshthaker@gmail.com

Google phone an iPhone killer?

Anyone expecting the Google mobile operating system to change the market as Apple’s iPhone has over the past year will probably be disappointed — for now.

Industry insiders who have worked on Google’s Android system say it will struggle in the near term to match the consumer enthusiasm generated by the iPhone, which redefined the touchscreen phone market and greatly improved mobile Web surfing.

Instead, Google sees Android as an open source platform for designing mobile devices and says it will encourage innovation by allowing outside software developers to tinker with the system and create better mobile programmes and services.

But these things take time, and the first phone using Android, code-named the Google “Dream” phone, is unlikely to wow consumers. The device is made by HTC of Taiwan. Deutsche Telekom’s T-Mobile unit reportedly intends to introduce it in New York on September 23. The mobile phone to use Google Inc’s Android mobile operating software will cost $199, the Wall Street Journal reported on its website.

“I’m not sure the consumer experience is significantly better than that of the iPhone,” said Rajeev Chand, a wireless analyst at the investment bank Rutberg, who has tried out an early version of Android. “When the iPhone came out, the experience was several orders of magnitude better than anything that was out there.”

Google, its partner carriers and application developers hope the Android platform will drive even more mobile Web surfing than the iPhone, which has helped mobile Internet use rocket in comparison with other smartphones.

But unlike Apple, which keeps a tight grip on the iPhone’s hardware and software, Google will have less control. Android will be open to developers to create component technologies in almost any way they can imagine.

Google’s engineering-led culture appears content to introduce the first Android phones as a kind of science project that will be rapidly improved afterward. But Google will not have the kind of leverage in mobile that it is used to in the PC world, where it dominates Web search. Phone carriers have a huge say over how devices are designed and what data services are accessible over their networks.

While Android could offer real promise in terms of technology and usability it is unlikely by itself to change the restrictive nature of the mobile industry, said John Poisson, founder of Tiny Pictures, a developer partner of Android.

“Carriers in each market will still control how it gets implemented and on which devices and in which form,” Poisson said. “Android lives and breathes at the pleasure of the operator.”

Another problem for Android is how to explain what it is to consumers. Unlike the iPhone, which came on the back of Apple’s hugely successful iPod music player, Android is an unknown brand, even though the Google name has plenty of cachet.

“People forget these things get to customers through the retail channel and marketing,” said Frank Meehan, the global general manager for mobile phones and applications for the Hong Kong telecommunications conglomerate Hutchison Whampoa. “We operators struggle with how to market this phone. There’s nothing really unique about it and we can’t say it’s a Google phone.”

Despite the concerns, mobile industry executives say they welcome Google’s entrance, as its deep pockets will help meet the increasingly high expectations of consumers for mobile services. From a developer’s perspective, Android’s advantages over the iPhone or Nokia’s Symbian operating system is that it is open source, which means Google is sharing its software code and making it easier for third parties to develop compatible applications.

Apple’s second-generation iPhone applied the same strategy and offers more than 3,000 third-party applications through its App Store, but the company still retains some control.

“Android promises to be the most open platform for building mobile phone applications that we’ve seen to date, because it’s based on very familiar tools and technologies,” said Jason Devitt, co-founder of Skydeck, a new service that will allow users to manage their cellphones over the Web.

Some hope that Google’s entrance can galvanise mobile advertising, which is still in nascent stages.

“All these devices are resulting in better usage and that’s what advertisers want and they’re growing their spend,” said Jason Spero, vice president of marketing at AdMob, a marketplace for mobile advertisers.

Google is hoping to generate revenue through its existing search advertising and related services by the addition of mobile to PC.

“Google’s power comes from the freedom of choice, in terms of the component technology and services that can be laid on top,” said Cheng Wu, founder of Azuki Systems, a mobile Web technology company.

“The only thing they want to control is the kernel of the operating system and the ability to data-mine for search and advertising down the road.”

Courtesy/Source: timesofindia.indiatimes.com

Disclaimer: The Stocks Recommended Above Are Picked Up At Random From Research Reports Of Broking Houses. Investors Are Advised To Use Their Judgment Before Acting On These Recommendations. Author Does Not Associate Itself With The Choices. Investments In Stock Markets Are Risky. Information And Advice Is Based On Technical Analysis And Long Term Fundamentals Of The Company And Is Provided Without Any Liability (Financial Or Otherwise).The Author Or His Clients May Or May Not Be Holding Recommended Scripts.
Disclaimer: The entries posted on http://www.bhaveshthaker.com and http://bhaveshthaker.blogspot.com are purely with the intention of sharing personal interest in news, information, Gujarati music and poetry and Indian film and classical music, Indian stock market related information without any intention of any direct or indirect commercial gain. If any of the posts are causing infringement of copyrights, it is purely unintentional and such posts would be discarded with immediate effect, as soon as they are brought to notice of the administrator. Contact: bhaveshthaker@gmail.com

Oil prices settle at $97 a barrel

Oil prices shot up $6 a barrel on Wednesday, rebounding as fears of a spreading crisis in the US financial sector sent skittish investors scrambling out of stocks and into hard assets.

Light, sweet crude for October delivery rose $6.01, or 6.59 per cent, to settle at $97.16 a barrel on the New York Mercantile Exchange. Prices had tumbled more than $5 to close at $91.15 on Tuesday. In London, November Brent crude rose $5.62 to settle at $94.84 a barrel.

Prior to the rally, oil had fallen about $55 – or 38 per cent – since hitting a record $147.27 on July 11.

Wednesday’s big rally at least temporarily halted crude’s steep, two-month slide and brought prices back within striking distance of $100. Investors were frantically buying the same commodity that until this week they shunned in the belief that the slowing global economy was eroding demand for energy.

But analysts said oil is unlikely to resume its upward climb; the economic downturn has indeed sharply curtailed demand, and they noted that recent rallies often have been followed by sharp selloffs as oil market traders try to cash in.

Wednesday’s oil rally was energized by the bailout of AIG. The Federal Reserve on Tuesday agreed to pump $85 million in taxpayer money into the insurance giant in return for a 79.9 per cent ownership stake. The lifeline was aimed at avoiding an AIG collapse due to massive losses tied to the subprime mortgage crisis and the credit crunch.

Oil’s climb picked up speed later in the day, stoked by fears that more turmoil lay ahead. Investors raced to dump stocks and poured money into energy, precious metals and other commodities, which are often bought as safe-haven investments during rough economic times.

“We’re seeing this crisis of confidence engulf the market again and oil’s getting caught up in it,” said Phil Flynn, analyst at Alaron Trading Corp. in Chicago.

If AIG had been allowed to fail, investors feared the company would move to unwind positions in energy and other commodities to raise cash, setting in motion another big commodities liquidation. Oil’s big two-day price drop this week was due in part to similar concerns that surfaced after Lehman Brothers Holdings Inc. filed for bankruptcy Monday.

“The fear was that if AIG was allowed to go down, we could be looking at a huge exit from financial instruments across the spectrum: equities, oil futures, everything,” said Jim Ritterbusch, president of energy consultancy Ritterbusch and Associates in Galena, Illinois.

A weaker dollar also gave oil prices a boost. A falling greenback encourages investors to shift funds into commodities, which are often bought as safe-haven assets used to hedge against inflation or weakness in the US currency.

But oil market watchers doubted oil would start rising again. Worries about more tumult in financial markets have raised expectations of a prolonged economic downturn that will weaken US demand for crude.

Courtesy/Source: timesofindia.indiatimes.com

Disclaimer: The Stocks Recommended Above Are Picked Up At Random From Research Reports Of Broking Houses. Investors Are Advised To Use Their Judgment Before Acting On These Recommendations. Author Does Not Associate Itself With The Choices. Investments In Stock Markets Are Risky. Information And Advice Is Based On Technical Analysis And Long Term Fundamentals Of The Company And Is Provided Without Any Liability (Financial Or Otherwise).The Author Or His Clients May Or May Not Be Holding Recommended Scripts.
Disclaimer: The entries posted on http://www.bhaveshthaker.com and http://bhaveshthaker.blogspot.com are purely with the intention of sharing personal interest in news, information, Gujarati music and poetry and Indian film and classical music, Indian stock market related information without any intention of any direct or indirect commercial gain. If any of the posts are causing infringement of copyrights, it is purely unintentional and such posts would be discarded with immediate effect, as soon as they are brought to notice of the administrator. Contact: bhaveshthaker@gmail.com

US gold prices post biggest 1-day gain ever

Gold prices exploded on Wednesday — posting the biggest one-day gain ever in dollar terms — as fears of more credit market turmoil unnerved investors and triggered a flood of safe-haven buying.

Gold for December delivery rose as much as $90.40, or 11.6 per cent, to $870.90 an ounce in after-hours trading on the New York Mercantile Exchange after jumping $70 to settle at $850.50 in the regular session. That was the biggest one-day price jump ever; gold’s previous single-day record was a $64 gain on Jan. 29, 1980.

The huge rally came after the government moved overnight to rescue troubled insurer American International Group Inc. with an $85 million bailout loan. The Federal Reserve stepped in after AIG, teetering on collapse from losses tied to the subprime crisis and the credit crisis, failed to find adequate capital in the private sector. The emergency measure came a day after Lehman Brothers Holdings Inc., a 158-year-old investment bank, filed for bankruptcy after failing to find a buyer.

Fearing more tightening of credit markets, investors reacted swiftly and began dumping stocks and socking money into gold, silver and other safe-haven commodities. Gold is especially attractive during times of crisis because the metal is known for holding its value.

Jon Nadler, analyst with Kitco Bullion Dealers Montreal, said buying accelerated as rumours spread across trading floors that another financial firm may be in trouble.

“The psychology right now has everyone asking, ‘Who’s next?,” Nadler said. “If another big bank falls, we could see an implosion and that has people very worried.”

A weaker dollar also boosted gold prices. A falling greenback encourages investors to shift funds into hard assets like gold and other commodities that are bought as hedges against inflation and weakness in the US currency.

Prior to the rally, gold had fallen 25 percent since surging to record levels above $1,000 an ounce in March.

“The same market participants who got out of gold are coming back in now. This is the start of an upward move,” said Carlos Sanchez, analyst with CPM Group in New York, who predicted prices could climb back to $1,000 by year’s end.

Silver prices also jumped. The December contract soared $1.158 to settle at $11.675 an ounce. December copper, however, fell 4.65 cents to settle at $3.0425 a pound.

Courtesy/Source: timesofindia.indiatimes.com

Disclaimer: The Stocks Recommended Above Are Picked Up At Random From Research Reports Of Broking Houses. Investors Are Advised To Use Their Judgment Before Acting On These Recommendations. Author Does Not Associate Itself With The Choices. Investments In Stock Markets Are Risky. Information And Advice Is Based On Technical Analysis And Long Term Fundamentals Of The Company And Is Provided Without Any Liability (Financial Or Otherwise).The Author Or His Clients May Or May Not Be Holding Recommended Scripts.
Disclaimer: The entries posted on http://www.bhaveshthaker.com and http://bhaveshthaker.blogspot.com are purely with the intention of sharing personal interest in news, information, Gujarati music and poetry and Indian film and classical music, Indian stock market related information without any intention of any direct or indirect commercial gain. If any of the posts are causing infringement of copyrights, it is purely unintentional and such posts would be discarded with immediate effect, as soon as they are brought to notice of the administrator. Contact: bhaveshthaker@gmail.com

US stocks slide; Dow Jones, Nasdaq suffer

Wall Street plunged again on Wednesday as anxieties about the financial system ran high after the government’s bailout of insurer American International Group Inc. left investors with little confidence in many banking stocks. ( Watch )

The Dow Jones industrial average lost about 450 points, giving it a shortfall of more than 800 so far this week.

As investors fled stocks, they sought the safety of hard assets and government debt, sending gold, oil and short-term Treasurys soaring.

The market was more unnerved than comforted by news that the Federal Reserve is giving a two-year, $85 billion loan to AIG in exchange for a nearly 80 per cent stake in the company, which lost billions in the risky business of insuring against bond defaults.

Wall Street had feared that the conglomerate, which has extensive ties to various financial services industries around the world, would follow the investment bank Lehman Brothers Holdings Inc. into bankruptcy. However, the ramifications of the world’s largest insurer going under likely would have far surpassed the demise of Lehman.

“People are scared to death,” said Bill Stone, chief investment strategist for PNC Wealth Management. “Who would have imagined that AIG would have gotten into this position?”

He said the anxiety gripping the markets reflects investors’ concerns that AIG wasn’t able to find a lifeline in the private sector and that Wall Street is now fretting about what other institutions could falter. Over the past year, companies including Lehman and AIG have sought to reassure investors that they weren’t in trouble, but as market conditions have worsened the market appears distrustful of any assurances.

“No one’s going to be believing anybody now because AIG said they were OK along with everybody else,” Stone said.

The two independent Wall Street investment banks left standing – Goldman Sachs Group Inc. and Morgan Stanley – remain under scrutiny, as does Washington Mutual Inc., the country’s largest thrift bank. Morgan Stanley revealed better-than-expected quarterly results late on Tuesday and insisted that it is surviving the credit crisis that has ravaged many of its peers.

Lehman filed for bankruptcy protection on Monday, and by late on Tuesday had sold its North American investment banking and trading operations to Barclays, Britain’s third-largest bank, for the bargain price of $250 million. Over the weekend, Merrill Lynch & Co., the world’s largest brokerage, sold itself to Bank of America Corp. in a quickly arranged plan to sidestep further slides in its stock.

“It’s still uncertain ground we’re treading. We just have to move on a daily basis,” said Jack A. Ablin, chief investment officer at Harris Private Bank.

The Dow fell 449.36, or 4.06 per cent, to 10,609.66, finishing not far off its lows of the session. On Monday, the Dow lost 504 points, the largest tumble since its drop following the September 2001 terror attacks. On Tuesday, it rose 141 points, after the Fed decided to leave interest rates unchanged.

The index is down more than 7 per cent on the week, its worst showing since July 2002. The blue chips have fallen more than 25 per cent since reaching a record close of 14,164.53 on Oct. 9 last year.

Broader stock indicators also fell sharply Wednesday. The Standard & Poor’s 500 index dropped 57.21, or 4.71 per cent, to 1,156.39, while the Nasdaq composite index fell 109.05, or 4.94 per cent, to 2,098.85. About 200 stocks rose on the New York Stock Exchange, while nearly 3,000 fell. The stock market is likely to see heavy back-and-forth movement as traders continue to assess the flood of news that has poured in over the past several days.

Short-term Treasurys moved sharply higher as investors sought a safe place for at least the near future. There was heavy buying in T-bills, which range from three months to a year in maturities. But the yield on the benchmark 10-year Treasury note, which moves opposite its price, slipped to 3.42 percent from 3.43 per cent late Tuesday as longer-term debt fell.

Gold for December delivery shot up as much as $90.40, or 11.6 per cent, to $870.90 an ounce in after-hours trading on the New York Mercantile Exchange after jumping $70 to settle at $850.50 in the regular session; that was its largest ever one-day gain in dollar terms.

Crude oil that had also skidded lower since midsummer $6.01 to settle at $97.16 a barrel on the Nymex after the government reported a drop in domestic crude and gas inventories. Oil dropped by about $10 a barrel on Monday and Tuesday.

Among financial names getting hit, Goldman Sachs fell $18.51, or 14 per cent, to $114.50 and Morgan Stanley fell $6.95, or 24 per cent, to $21.75. AIG fell $1.70, or 45 per cent, to $2.05.

Courtesy/Source: timesofindia.indiatimes.com

Disclaimer: The Stocks Recommended Above Are Picked Up At Random From Research Reports Of Broking Houses. Investors Are Advised To Use Their Judgment Before Acting On These Recommendations. Author Does Not Associate Itself With The Choices. Investments In Stock Markets Are Risky. Information And Advice Is Based On Technical Analysis And Long Term Fundamentals Of The Company And Is Provided Without Any Liability (Financial Or Otherwise).The Author Or His Clients May Or May Not Be Holding Recommended Scripts.
Disclaimer: The entries posted on http://www.bhaveshthaker.com and http://bhaveshthaker.blogspot.com are purely with the intention of sharing personal interest in news, information, Gujarati music and poetry and Indian film and classical music, Indian stock market related information without any intention of any direct or indirect commercial gain. If any of the posts are causing infringement of copyrights, it is purely unintentional and such posts would be discarded with immediate effect, as soon as they are brought to notice of the administrator. Contact: bhaveshthaker@gmail.com

Market Review for 18th September 2008

BSE Sensex: (13263) the market opened in the green but the crucial supports breached and the market closed in the negative…I would like to treat the market as in sideways correction with a bias down unless it crosses the 13600 mark

The support for the Sensex is 13100-12876 and the resistance to the up move is at 13836-13911-14079

NSE Nifty: (4008) the support for the Nifty is at 3950-3910 and the resistances to the up move is at 4063 – 4186

Source : PrakashGaba

Courtesy/Source: onlineequitycalls.com

Disclaimer: The Stocks Recommended Above Are Picked Up At Random From Research Reports Of Broking Houses. Investors Are Advised To Use Their Judgment Before Acting On These Recommendations. Author Does Not Associate Itself With The Choices. Investments In Stock Markets Are Risky. Information And Advice Is Based On Technical Analysis And Long Term Fundamentals Of The Company And Is Provided Without Any Liability (Financial Or Otherwise).The Author Or His Clients May Or May Not Be Holding Recommended Scripts.
Disclaimer: The entries posted on http://www.bhaveshthaker.com and http://bhaveshthaker.blogspot.com are purely with the intention of sharing personal interest in news, information, Gujarati music and poetry and Indian film and classical music, Indian stock market related information without any intention of any direct or indirect commercial gain. If any of the posts are causing infringement of copyrights, it is purely unintentional and such posts would be discarded with immediate effect, as soon as they are brought to notice of the administrator. Contact: bhaveshthaker@gmail.com

Market Outlook And Tips For 18th September 2008

NIFTY ANALYSIS : Markets closed in red today after the choppy trade. Most of the stocks closed around 52-w low. Further the bias likely to remain weak due to concerns over the health of financial markets worldwide. Technically Nifty is facing strong resistance around 4100. If Nifty managed to stay above 4100 for at least half an hour, one can go for long side. But till then wait and watch. Below 3900 one can go for short with stop loss of 4055. Below 3900 target could be around 3750.

NIFTY FUTURE : For a day trading view, below 4033 it’s a more chance to touch 3950 to 3892 level. At upside above 4033 it go for 4091 and if break this with volume then go for 4174 to 4232 level.

BSE SENSEX : Now below 13336 it slide to touch 13052 and once broke this level then it slide up to 12843 to 12559 level. At upside above 13336 it zoom to kiss 13545 and then 13829.

RELIANCE : Below 1894 it slide up to 1829 to 1782 level. At upside it face hurdle at 1941 once cross this level then go for 2006 level.

SBI : Now below 1547 more chance to touch 1494 to 1458 level. At upside above 1547 it go for 1583 to 1636 level.

TATA STEEL : For a day trading view, Trade below 461 lead it to the 450 to 433 level. At upside it face hurdle at 478 and then 489.

L&T : Now below 2514 it slide up to 2469 to 2436 level. At upside it face hurdle at 2547 and once cross this then it go for 2592 to 2625 level.

INFOSYS : Now above 1550 it go for 1598 to 1626 level. Suppose break 1550 then slide up to 1522 level.

ONGC : For a day trader, it has a support at 972 level if break this then slide up to 946 to 915 level. At upside above 972 it zoom to kiss 1003 here it face hurdle once cross this too then it go for 1029 to 1060.

REL CAPITAL : Below 1088 it slide up to 1041 to 1013 level and if break this too then slide up to 966. At upside above 1088 it go for 1116 to 1163 level.

REL INFRA : Below 835 it slide up to 816 to 803 level. At upside above 835 it zoom to kiss 848 to 867 level and then 880.

BHEL : Below 1619 it slide up to 1568 to 1532 level. And above 1619 it go for 1655 to 1706 level.

DLF : It slide up to 397 and if break this too then further slip to386 to 367 level. At upside face resistance at 416 and then 427.

Source : moneypulse.blogspot.com

Courtesy/Source: onlineequitycalls.com

Disclaimer: The Stocks Recommended Above Are Picked Up At Random From Research Reports Of Broking Houses. Investors Are Advised To Use Their Judgment Before Acting On These Recommendations. Author Does Not Associate Itself With The Choices. Investments In Stock Markets Are Risky. Information And Advice Is Based On Technical Analysis And Long Term Fundamentals Of The Company And Is Provided Without Any Liability (Financial Or Otherwise).The Author Or His Clients May Or May Not Be Holding Recommended Scripts.
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Ranbaxy Laboratories: Stock/Scrip Information

Ranbaxy Laboratories
Cluster: Apple Green
Recommendation: Hold
Price target: Under review
Current market price: Rs376

Downgraded to “Hold”

Key points

The US Food and Drug Administration (USFDA) has banned and issued an import alert over 30 generic medicines manufactured at Ranbaxy Laboratories’ (Ranbaxy’s) Dewas and Paonta Sahib plants in India.

In the interim, the FDA will not approve any new product approval applications for products made from these two plants. This could lead to a delay in the approval and launch of generic Valtrex (which features amongst the list of the products banned), for which Ranbaxy has a 180-day marketing exclusivity starting from late 2009.

The USFDA has found deficiencies in the manufacturing processes relating to sterilisation, cross-contamination of products, equipment cleaning, production control and record keeping. In our opinion, these issues are grave and could be challenging for Ranbaxy to address, thereby consuming considerable time and effort.

The banned drugs include key products like Ciprofloxacin; Clarithromycin; the antiviral Acyclovir; cholesterol-lowering Simvastatin and Pravastatin; and the diabetes drug, Metformin.

The USA is Ranbaxy’s largest market, accounting for 26% of its revenues and ~35% of its earnings before interest, tax, depreciation and amortisation (EBITDA) in CY2007. The import ban would lead to a significant drop in Ranbaxy’s US business. Rough estimates indicate that the development could lead to a ~3-5% reduction in the company’s CY2008 estimated earnings and a ~13-15% downgrade in its CY2009 estimated earnings.

The warnings and import alert imposed by the USFDA are of a serious nature and could also have a bearing on Ranbaxy’s business in the other markets, notably Europe. Further, the increased scrutiny is also likely to result in a reduced flow of new product approvals in the other markets.

The stock has already fallen by ~7% in reaction to the above-mentioned development and is currently trading at around Rs376. We will review our earnings estimates and price target once we have greater clarity on and details of the issue. In light of the concerns, such as the investigation by the US Department of Justice (DoJ), the continued foreign exchange (forex) losses of the company and the current USFDA import alert, hovering over the company, we are downgrading our recommendation on the stock from “Buy” to “Hold”.

Source : The Sharekhan Research Team

Courtesy/Source: onlineequitycalls.com

Disclaimer: The Stocks Recommended Above Are Picked Up At Random From Research Reports Of Broking Houses. Investors Are Advised To Use Their Judgment Before Acting On These Recommendations. Author Does Not Associate Itself With The Choices. Investments In Stock Markets Are Risky. Information And Advice Is Based On Technical Analysis And Long Term Fundamentals Of The Company And Is Provided Without Any Liability (Financial Or Otherwise).The Author Or His Clients May Or May Not Be Holding Recommended Scripts.
Disclaimer: The entries posted on http://www.bhaveshthaker.com and http://bhaveshthaker.blogspot.com are purely with the intention of sharing personal interest in news, information, Gujarati music and poetry and Indian film and classical music, Indian stock market related information without any intention of any direct or indirect commercial gain. If any of the posts are causing infringement of copyrights, it is purely unintentional and such posts would be discarded with immediate effect, as soon as they are brought to notice of the administrator. Contact: bhaveshthaker@gmail.com

ITC: Stock/Scrip Information

ITC
Cluster: Apple Green
Recommendation: Buy
Price target: Rs247
Current market price: Rs184

New cigarette to plug price gap
ITC is test marketing a new cigarette, Wills Navy Cut Regular (69mm), in the regular category in selected cities like Mumbai and Pune. The new cigarette is priced at Rs24 for a pack of ten sticks. The national launch of the cigarette shall depend on the response from the two test markets, Mumbai and Pune.

Source : The Sharekhan Research Team

Courtesy/Source: onlineequitycalls.com

Disclaimer: The Stocks Recommended Above Are Picked Up At Random From Research Reports Of Broking Houses. Investors Are Advised To Use Their Judgment Before Acting On These Recommendations. Author Does Not Associate Itself With The Choices. Investments In Stock Markets Are Risky. Information And Advice Is Based On Technical Analysis And Long Term Fundamentals Of The Company And Is Provided Without Any Liability (Financial Or Otherwise).The Author Or His Clients May Or May Not Be Holding Recommended Scripts.
Disclaimer: The entries posted on http://www.bhaveshthaker.com and http://bhaveshthaker.blogspot.com are purely with the intention of sharing personal interest in news, information, Gujarati music and poetry and Indian film and classical music, Indian stock market related information without any intention of any direct or indirect commercial gain. If any of the posts are causing infringement of copyrights, it is purely unintentional and such posts would be discarded with immediate effect, as soon as they are brought to notice of the administrator. Contact: bhaveshthaker@gmail.com

Spicejet: Stock/Scrip Information

Scrip: SpiceJet
BSE Code: 500285
CMP: 24.95
52 Weeks H/L: 104.80 – 20.50

The main reason why I am bullish on this scrip is because of falling oil prices. Oil prices have fallen below 100$ level.
More over Spice Jet is introducing new 14 flights in key cities like Delhi , Hyderabad , Chennai , Pune and Coimbatore on a daily basis.
The past week trend is down but it is due to global cues.
Though this is a loss making company with not that good fundamental sound. But entering this stock at 22 Rs level is a good bet to expect a 30 % return in 3-4 months.
So one can play safe in this scrip with a three months view.

Source: www.indianmoneyplus.com

Courtesy/Source: onlineequitycalls.com

Disclaimer: The Stocks Recommended Above Are Picked Up At Random From Research Reports Of Broking Houses. Investors Are Advised To Use Their Judgment Before Acting On These Recommendations. Author Does Not Associate Itself With The Choices. Investments In Stock Markets Are Risky. Information And Advice Is Based On Technical Analysis And Long Term Fundamentals Of The Company And Is Provided Without Any Liability (Financial Or Otherwise).The Author Or His Clients May Or May Not Be Holding Recommended Scripts.
Disclaimer: The entries posted on http://www.bhaveshthaker.com and http://bhaveshthaker.blogspot.com are purely with the intention of sharing personal interest in news, information, Gujarati music and poetry and Indian film and classical music, Indian stock market related information without any intention of any direct or indirect commercial gain. If any of the posts are causing infringement of copyrights, it is purely unintentional and such posts would be discarded with immediate effect, as soon as they are brought to notice of the administrator. Contact: bhaveshthaker@gmail.com

Intraday calls for 18th September, 2008

Markets likely to open weak.
Short sell: Reliance industries and Bharat Heavy Electricals.

Source : nseguide

Courtesy/Source: http://www.onlineequitycalls.com/

Disclaimer: The Stocks Recommended Above Are Picked Up At Random From Research Reports Of Broking Houses. Investors Are Advised To Use Their Judgment Before Acting On These Recommendations. Author Does Not Associate Itself With The Choices. Investments In Stock Markets Are Risky. Information And Advice Is Based On Technical Analysis And Long Term Fundamentals Of The Company And Is Provided Without Any Liability (Financial Or Otherwise).The Author Or His Clients May Or May Not Be Holding Recommended Scripts.
Disclaimer: The entries posted on http://www.bhaveshthaker.com and http://bhaveshthaker.blogspot.com are purely with the intention of sharing personal interest in news, information, Gujarati music and poetry and Indian film and classical music, Indian stock market related information without any intention of any direct or indirect commercial gain. If any of the posts are causing infringement of copyrights, it is purely unintentional and such posts would be discarded with immediate effect, as soon as they are brought to notice of the administrator. Contact: bhaveshthaker@gmail.com

US crisis worries Indian technology firms, business students

The collapse of major Wall Street firms is likely to result in a tightening of liquidity, adverse impact on the banking sector and a slowdown for information-technology firms that serve customers in financial sectors, analysts said Wednesday.

The Reserve Bank of India, which had net foreign reserves of 288.8 billion dollars in the week ending September 5, has already taken measures to support the rupee which rose by 60 paisa against the dollar on Wednesday.

The central bank also barred Lehman’s India subsidiary from remitting money to its parent company.

But with falling global oil prices, India’s industrial growth rate of about 7 per cent and the strong fundamentals of the Indian economy so far, analysts say foreign funds will continue to come in to the country.

ICICI Bank, India’s second largest, lost more than 4 per cent in share value Wednesday, but said its investments linked with Lehman were less than .01 per cent of total investments, and it had already made provisions to cover the losses.

“There is panic and turmoil in the overseas markets. We will see at the end of this quarter whether to include this component of provisioning in our balance sheet,” ICICI Bank chief financial officer Chanda Kochhar said.

Information Technology firms like Satyam and Tata Consultancy Services, which have Merrill Lynch and AIG as major customers, are also expected to see a near-term decrease in business contracts.

“Certain crisis does create a frenzy effect and its impact will be assessed in the next couple of weeks,” India’s Commerce and Industry Minister Kamal Nath told reporters on Tuesday.

Nath said the US slowdown would affect the global economy including India, which was expecting 40 billion dollars of foreign direct investments in 2008-09.

Nath said the exposure of Asian banks to the collapsed firms was low. He said that reflected sound business practices in Asia, while he criticized the US banking sector and its regulators.

“Those who preached to us about best practices have not helped their own financial sector,” Nath said.

There was also apprehension about possible job cuts in the India operations of Lehman Brothers, Merrill Lynch and AIG. And India’s top business schools were starting to worry that students recruited last year may be losing their jobs even before they start working.

About 25 to 30 per cent of students from the top five business schools go into investment banking, many at Wall Street and London-based firms.

“In an increasingly interlinked global economy, India cannot remain immune to the US credit crisis,” Mumbai-based analyst RS Sharma said.

But he suggested the impact would be moderate because of the cautious approach of the country’s policy planners and calibrated regulation of the financial market. The central bank has raised interest rates several times over the past six months in its efforts to control inflation.

Key benchmark indices of the Indian share market opened higher on Wednesday, boosted by the US Federal Reserve’s bailout package for AIG, but slipped soon after opening.

The Bombay Stock Exchange’s 30-share Sensex was down by 1.47 per cent while the broader 50-share Nifty of the National Stock Exchange slipped by 1.03 per cent, but both recovered somewhat by midday.

The NSE’s banking sector, however, was down by more than 2 per cent. (dpa)

Courtesy/Source: topnews.in

Disclaimer: The Stocks Recommended Above Are Picked Up At Random From Research Reports Of Broking Houses. Investors Are Advised To Use Their Judgment Before Acting On These Recommendations. Author Does Not Associate Itself With The Choices. Investments In Stock Markets Are Risky. Information And Advice Is Based On Technical Analysis And Long Term Fundamentals Of The Company And Is Provided Without Any Liability (Financial Or Otherwise).The Author Or His Clients May Or May Not Be Holding Recommended Scripts.
Disclaimer: The entries posted on http://www.bhaveshthaker.com and http://bhaveshthaker.blogspot.com are purely with the intention of sharing personal interest in news, information, Gujarati music and poetry and Indian film and classical music, Indian stock market related information without any intention of any direct or indirect commercial gain. If any of the posts are causing infringement of copyrights, it is purely unintentional and such posts would be discarded with immediate effect, as soon as they are brought to notice of the administrator. Contact: bhaveshthaker@gmail.com

Milky Way contains disk of dark matter

An international team of scientists has predicted that our galaxy, the Milky Way, contains a disk of ‘dark matter’.

The team includes astronomers Dr Justin Read, Professor George Lake and Oscar Agertz of the University of Zurich, and Dr Victor Debattista of the University of Central Lancashire, who have used the results of a supercomputer simulation to deduce the presence of this disk.

They have explained how the simulation could allow physicists to directly detect and identify the nature of dark matter for the first time.

Unlike the familiar ‘normal’ matter that makes up stars, gas and dust, ‘dark’ matter is invisible but its presence can be inferred through its gravitational influence on its surroundings.

Physicists believe that it makes up 22 per cent of the mass of the Universe, compared with the 4 per cent of normal matter and 74 per cent comprising the mysterious ‘dark energy’.

But, despite its pervasive influence, no one is sure what dark matter consists of.

Prior to this work, it was thought that dark matter forms in roughly spherical lumps called ‘halos’, one of which envelopes the Milky Way.

But, this ‘standard’ theory is based on supercomputer simulations that model the gravitational influence of the dark matter alone.

The new work includes the gravitational influence of the stars and gas that also make up our Galaxy.

Stars and gas are thought to have settled into disks very early on in the life of the Universe and this affected how smaller dark matter halos formed.

The team’s results suggest that most lumps of dark matter in our locality merged to form a halo around the Milky Way, but the largest lumps were preferentially dragged towards the galactic disk and were then torn apart, creating a disk of dark matter within the Galaxy.

“The dark disk only has about half of the density of the dark matter halo, which is why no one has spotted it before,” said lead author Justin Read.

“However, despite its low density, if the disk exists it has dramatic implications for the detection of dark matter here on Earth,” he added.

The ‘wind’ from the dark disk is much slower than from the halo because the disk co-rotates with the Earth.

This abundance of low-speed dark matter particles could be a real boon for researchers because they are more likely to excite a response in dark matter detectors than fast-moving particles.

This new research raises the exciting prospect that the dark disk – and dark matter – could be directly detected in the very near future.

Courtesy/Source: timesofindia.indiatimes.com

Disclaimer: The Stocks Recommended Above Are Picked Up At Random From Research Reports Of Broking Houses. Investors Are Advised To Use Their Judgment Before Acting On These Recommendations. Author Does Not Associate Itself With The Choices. Investments In Stock Markets Are Risky. Information And Advice Is Based On Technical Analysis And Long Term Fundamentals Of The Company And Is Provided Without Any Liability (Financial Or Otherwise).The Author Or His Clients May Or May Not Be Holding Recommended Scripts.
Disclaimer: The entries posted on http://www.bhaveshthaker.com and http://bhaveshthaker.blogspot.com are purely with the intention of sharing personal interest in news, information, Gujarati music and poetry and Indian film and classical music, Indian stock market related information without any intention of any direct or indirect commercial gain. If any of the posts are causing infringement of copyrights, it is purely unintentional and such posts would be discarded with immediate effect, as soon as they are brought to notice of the administrator. Contact: bhaveshthaker@gmail.com

Healthy lifestyle slows aging

Sweeping lifestyle changes including a better diet and more exercise can raise the body’s levels of an enzyme closely involved in controlling the aging process, US researchers reported on Monday.

The small study involved 30 men with low-risk prostate cancer who underwent three months of lifestyle changes. They had blood levels of the enzyme telomerase 29% higher after these three months than when they began.
Telomerase fixes and lengthens parts of chromosomes known as telomeres that control longevity and are also important for maintenance of immune-system cells.

The research in the journal Lancet Oncology was led by Dr Dean Ornish, head of the Preventive Medicine Research Institute in Sausalito, California, and a well-known author advocating lifestyle changes to improve health.

The lifestyle changes included a diet rich in fruits, vegetables, whole grains, legumes and soy products, moderate exercise such as walking for half an hour a day, and an hour of daily stress management methods such as meditation.

“This is the first study showing that anything can increase telomerase. If it were a new drug that had been shown to do this, it would be a billion-dollar drug. But this is something that people can do for free,” Ornish said.

Shortening of telomeres indicates disease risk and premature death in some types of cancer, including breast, colon and lung cancer.

Courtesy/Source: timesofindia.indiatimes.com

Disclaimer: The Stocks Recommended Above Are Picked Up At Random From Research Reports Of Broking Houses. Investors Are Advised To Use Their Judgment Before Acting On These Recommendations. Author Does Not Associate Itself With The Choices. Investments In Stock Markets Are Risky. Information And Advice Is Based On Technical Analysis And Long Term Fundamentals Of The Company And Is Provided Without Any Liability (Financial Or Otherwise).The Author Or His Clients May Or May Not Be Holding Recommended Scripts.
Disclaimer: The entries posted on http://www.bhaveshthaker.com and http://bhaveshthaker.blogspot.com are purely with the intention of sharing personal interest in news, information, Gujarati music and poetry and Indian film and classical music, Indian stock market related information without any intention of any direct or indirect commercial gain. If any of the posts are causing infringement of copyrights, it is purely unintentional and such posts would be discarded with immediate effect, as soon as they are brought to notice of the administrator. Contact: bhaveshthaker@gmail.com

Sensex: In red again, ICICI Bank slumps 8%

The Sensex is now down 233 points 13,286.ICICI Bank has slumped 7.8% to Rs 545. Sterlite and Ranbaxy have plunged around 7% each to Rs 444 and Rs 378, respectively.

ITC has shed 4.5% at Rs 185. HDFC Bank has tumbled nearly 4% to Rs 1,182.

SBI has dropped 3% to Rs 1,539. BHEL, Reliance and DLF have slipped around 3% each to Rs 1,609, Rs 1,886 and Rs 414, respectively.

TCS and Hindustan Unilever have declined 1.7% each to Rs 737 and Rs 237, respectively.

Jaiprakash Associates, Grasim and Reliance Communications are down around 1.5% each.

Tata Motors has rallied over 4% to Rs 415. ONGC has surged over 3% to Rs 982.

Infosys has moved up 1.7% to Rs 1,590. Mahindra & Mahindra and Wipro are up over 1% each at Rs 540 and Rs 396, respectively.Out of 2,601 stocks traded so far, 1,608 have declined, 913 have advanced and 80 are unchanged.

Source: Business Standard

Courtesy/Source: news.in.msn.com

Disclaimer: The Stocks Recommended Above Are Picked Up At Random From Research Reports Of Broking Houses. Investors Are Advised To Use Their Judgment Before Acting On These Recommendations. Author Does Not Associate Itself With The Choices. Investments In Stock Markets Are Risky. Information And Advice Is Based On Technical Analysis And Long Term Fundamentals Of The Company And Is Provided Without Any Liability (Financial Or Otherwise).The Author Or His Clients May Or May Not Be Holding Recommended Scripts.
Disclaimer: The entries posted on http://www.bhaveshthaker.com and http://bhaveshthaker.blogspot.com are purely with the intention of sharing personal interest in news, information, Gujarati music and poetry and Indian film and classical music, Indian stock market related information without any intention of any direct or indirect commercial gain. If any of the posts are causing infringement of copyrights, it is purely unintentional and such posts would be discarded with immediate effect, as soon as they are brought to notice of the administrator. Contact: bhaveshthaker@gmail.com

Mobiles getting more expensive

If you are planning to buy a new mobile phone, brace up to pay more. A 15 per cent rise in the dollar against the rupee has hit cellphone makers badly.

All major cellphone makers are evaluating a 7-10 per cent price increase if the dollar appreciates further. About 100-million cellphones are likely to be sold this year compared to about 70 million last year.

The rupee hit a two-year low at Rs 46.60 against the dollar on Tuesday, forcing cellphone makers into meetings. “We are evaluating the situation. The appreciation in the dollar against the rupee has made all the components costly. The industry will have to take a decision on price revision upwards it if it goes towards Rs 50 against the dollar,” says Samsung Mobile country head Sunil Dutt.

A price increase may hurt the sales of top-end models most as handset makers may not increase prices of low-end models too much, the latter being a price-sensitive market. Laptop vendors, on the other hand, may not follow up with a price hike as they revised prices upwards by 10-13 per cent in May this year, owing to dollar appreciation.

Cellphone business, however, works on thin margins and companies are waiting for each other to take the first step.

“Though everybody is hurt, price increase has to be an industry-wide move. We cannot increase our prices on a standalone basis. The dollar has moved from Rs 39.4 (in January) to Rs 46.60 now and experts are saying that it will touch Rs 50 soon.

If that happens, there will be no choice, but to hike the prices as we have been absorbing the prices all this while,” says Spice Mobile CEO Kunal Ahooja.

Nokia, the largest handset player, declined to comment.

On an average, cellphone prices have been falling in the last three years by almost 4-5 per cent every three months. The average price of a handset in India is about Rs 4,000. If the rupee falls further, this might be the first price revision upwards in many quarters.

While some cellphone makers are asking for an industry meeting, the Indian Cellular Association (ICA) has declined to call such a meeting as it may result in cartel formation. “The industry association will not call any meeting as this will oppose the idea of free and open competition,” says ICA president Pankaj Mohindroo.

“The dollar has been fluctuating in the last 12 months. We are evaluating it closely and are hopeful that it may depreciate, preventing a price rise,” says Ericsson India GM Sudhin Mathur.

Courtesy/Source: timesofindia.indiatimes.com

Disclaimer: The Stocks Recommended Above Are Picked Up At Random From Research Reports Of Broking Houses. Investors Are Advised To Use Their Judgment Before Acting On These Recommendations. Author Does Not Associate Itself With The Choices. Investments In Stock Markets Are Risky. Information And Advice Is Based On Technical Analysis And Long Term Fundamentals Of The Company And Is Provided Without Any Liability (Financial Or Otherwise).The Author Or His Clients May Or May Not Be Holding Recommended Scripts.
Disclaimer: The entries posted on http://www.bhaveshthaker.com and http://bhaveshthaker.blogspot.com are purely with the intention of sharing personal interest in news, information, Gujarati music and poetry and Indian film and classical music, Indian stock market related information without any intention of any direct or indirect commercial gain. If any of the posts are causing infringement of copyrights, it is purely unintentional and such posts would be discarded with immediate effect, as soon as they are brought to notice of the administrator. Contact: bhaveshthaker@gmail.com

IT companies may cut 25,000 jobs

The banking, financial services and insurance (BFSI) segment is the largest outsourcing vertical for Indian technology players. The space contributes up to 40 per cent of the revenues for some top IT firms.

The industry employs around 3,50,000 people in the BFSI space of which the top six players alone account for 180,000 jobs. The domain accounted for $10 billion of the total $32 billion revenues the industry posted during the last fiscal.

What’s happening in the global financial markets can result in the loss of as many as 20,000 to 25,000 jobs in India. That means, the likes of Cognizant, TCS, Infosys, HCL, Wipro and Satyam will announce huge lay-offs over the next couple of quarters.

According to Dr Naresh Malhan, MD, Manpower India , about 9 per cent of the people employed in the BFSI, insurance, IT and ITeS sectors in India risk losing their jobs as a result of the financial meltdown. However, he says the overall market remains robust, with other sectors like manufacturing and construction still very promising.

Not everyone shares this view. “Many firms will also use the present economic environment as an excuse to cut flab,” says Uday Chawla, managing Partner, Transearch, India. “Letting go of people in good times is not acceptable, but is sure to escape media scrutiny in the current climate,” he adds.

But what is a threat for some, is an opportunity for others. “Merrill Lynch and Lehman are respected for the quality of talent they attract and train. It’s an opportunity for small firms desperate for quality leadership,” says Sanjiv Sachar, partner, Egon Zehnder.

“Candidates are insisting on protection clauses, with employment letters guaranteeing 1 or 2 years salary. This is more the rule than the exception today. There is a greater play on variable pay in this high-risk environment,” adds Sachar. “Economy is growing at 8 per cent. The layoffs in the financial services will make skills available to other sectors which are facing a leadership crunch,” agrees R Sankar, head-HR consulting practice at PwC.


Courtesy/Source: timesofindia.indiatimes.com

Disclaimer: The Stocks Recommended Above Are Picked Up At Random From Research Reports Of Broking Houses. Investors Are Advised To Use Their Judgment Before Acting On These Recommendations. Author Does Not Associate Itself With The Choices. Investments In Stock Markets Are Risky. Information And Advice Is Based On Technical Analysis And Long Term Fundamentals Of The Company And Is Provided Without Any Liability (Financial Or Otherwise).The Author Or His Clients May Or May Not Be Holding Recommended Scripts.
Disclaimer: The entries posted on http://www.bhaveshthaker.com and http://bhaveshthaker.blogspot.com are purely with the intention of sharing personal interest in news, information, Gujarati music and poetry and Indian film and classical music, Indian stock market related information without any intention of any direct or indirect commercial gain. If any of the posts are causing infringement of copyrights, it is purely unintentional and such posts would be discarded with immediate effect, as soon as they are brought to notice of the administrator. Contact: bhaveshthaker@gmail.com