Indian equities are likely to open positive on Monday, Nov. 8, 2010. SGX Nifty is trading at 6,333 (7.32 am), 24 points higher than Friday closing of 6,309.
Asian stocks rose, driving the MSCI Asia Pacific Index to its longest winning streak since June, after a government report last week showed the U.S. added more jobs than forecast, boosting confidence in the world`s largest economy. Japanese benchmark index Nikkei 225 rose 88.32 points, or 0.92%, to trade at 9,714.31.
The latest monetary easing by the Federal Reserve, coupled with a slew of public issues will lift the overseas inflows further. Coal India’s blockbuster listing and Obama’s visit have added to the feel-good factor.
The festive spirit may linger on as far as the Indian market is concerned. The main indices saw new closing highs last week and the stage is set for them to register all-time intra-day highs this week. It could happen today itself given the upbeat sentiment underpinned by a robust economy, solid earnings growth and record FII inflows.
All said and done, valuations are getting a wee bit pricey. Therefore, one ought to be a little cautious and not get too carried away by headline-grabbing index levels.
Inflation too seems to be softening though it is still quite high. The RBI has hinted at a pause after six consecutive rate increases. All these factors put together point to continuation of the positive trend in the short to medium term.
LAST MINUTE INFORMATION:
Reliance Industries may lose authorisation for the proposed 1,100-km pipeline from Kakinada in Andhra to Haldia in West Bengal. (BS)
Reliance Industries may lose authorisation for the proposed 1,100-km pipeline from Kakinada in Andhra to Haldia in West Bengal. (BS)
The government fixed price band at Rs 85-90 per share for about Rs76bn follow-on public offer of Power Grid. (BS)
Larsen & Toubro is bidding for an Oman refinery expansion contract estimated at US$300mn. (BS)
Reliance Power announced a deal to secure US$5bn in funding from the US Export Import Bank for gas-based and renewable energy projects totalling about 9,000 MW. (BS)
NTPC is all set to add 13,000MW of power generation capacity by the end of the XI Five-Year Plan in 2012. (BS)
Power Grid lines up total estimated fund expenditure of Rs226.49bn to meet the capital requirements for the implementation of 12 identified projects. (BS)
Tata Group plans to develop Hyderabad as its aerospace and defence business hub. (ET)
GVK Power in talks with MEC Coal to buy its coal mines in Indonesia. (BS)
Videocon plans to split businesses to help them raise capital. (BS)
Coal India plans to strike a JV with Shipping Corp.of India in next two months; proposed 50:50 venture is scheduled to offer end-to-end logistics solution to former’s thermal coal import programme. (BL)
Reliance Power has signed a MoU with the US Exim Bank whereby the latter will make available up to US$5bn to support the purchase of US goods and services over the next three years. (BL).
Coal India bids for participatory stake in a thermal coal producing asset in Colombia. (BL).
United Phosphorus plans to invest Rs10bn for acquisitions by the end of current fiscal. (ET).
SpiceJet signed a deal to buy 30 B737-800 commercial aircraft from Boeing valued at approximately US$2.7bn. (BL)
Mahindra Satyam has bagged a multi-million dollar SAP domain order from the Insurance Regulatory and Development Authority. (BL)
HEADLINES FOR THE DAY:
Reliance Power secures $5-bn line of credit from US Ex-Im Bank
Reliance Power secures $5-bn line of credit from US Ex-Im Bank
NTPC to add 13000MW of power capacity by 2012
RIL firm may lose Kakinada-Haldia gas line project
EVENTS FOR THE DAY:Major corporate action::
RESULTS: Jain Irrigation Systems, Infrastructure Development Finance Company, Aban Offshore, Jindal Saw
