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Bourses Performing Well for Third Consecutive Day

BSE Sensex and NSE Nifty continue their gaining streak for third consecutive day. Till 1.30pm, Nifty gained 17 points (trading at 8,242 points) and Sensex gained 56 points (trading at 27,428 points). Significant volatility was witnessed in the market, which was mainly due to the nearing equity derivative expiry date, which is on coming Wednesday. Investors are also watching closely the market reform agendas that are going to be tabled in the ongoing winter session, which is coming to an end this Tuesday.  

Reform push in Coal and Power Sector by Prabhu-led Advisory Board

Suresh Prabhu, Union Railway Minister, led advisory group has vouched for more reforms in the Coal sector for supplementing the extent of coal production done domestically by Coal India as well as other companies. This advisory panel has also suggested improvements in Coal India, Central Mine Planning & Design Institute Limited, and other CIL subsidiaries. The panel has vouched for PPP or privatisation of distribution sector for ensuring 24x7 power supply. The advisory group pushed for addition in thermal power capacity along with doing away with transmission constraints.

Walmart to Open up Store in Agra

Walmart, one of the biggest supermarket chains of the USA, is all set to open its newest store in Agra. This store is going to come up in mid-2015 and will have wholesale outlet that will sell anything and everything, including groceries, electronic goods, and all kinds of apparels. Organisations, offices, and businesses can buy from this twenty first Walmart store in India. The move is seen as a major step, after it severed ties last year with Bharti Enterprises, its Indian partner.

Union Ministry of Power launches pilot project for converting conventional streetlights to LED

With an aim to make Delhi a smart city Union Ministry of Power launched a pilot project in which conventional street lights will be replaced by more efficient and environment-friendly LED lights. The project is expected to save Rs 700 crore and 25 crore units of electricity consumption. The project will then be extended across Delhi covering near about 5 lakh streetlight points. Started with North Delhi Municipal Corporation (NDMC), the project will then be extended to other civic bodies in Delhi.

Filpkart raises $700 million through fundraising

Flipkart raised $700 million funds through its fundraising activity in which both existing as well as new investors took part. Baillie Gifford, Greenoaks Capital, Steadview Capital, T Rowe Price Associates​ and Qatar Investment Authority are the new investors whereas DST Global, GIC, ICONIQ Capital and Tiger Global are the existing investors of Flipkart. The company will use the funds to move the company to become a world-class technology company. With this funding Flipkart Limited (incorporated at Singapore) has also filed with ACRA Singapore to become a Public Company.

Facebook Emerges as the Most Preferred Online Platform

Accenture survey finds Facebook as the most preferred online platform in India, closely followed by Google and YouTube. The research and consulting giant performed a survey among six hundred digital consumers belonging to different age groups and living in different cities of India during first half of 2014. After collating data, it was found that 93 per cent respondents prefer Facebook, 73 per cent Google, and 40 per cent YouTube. Some of the reasons for which the respondents visit Facebook include networking, socialising, get information on brands/products, and check discount offers.

Spicejet Stock Increases by 15 Per cent after Former Promoter assures to Table Rebound Plan by Monday

SpiceJet stock at last witnessed a turnaround when Ajay Singh, ex-promoter as well as director of the ailing airliner, met Aviation Minister Ashok Gajapathi Raju and assured him of bringing in more funds into the carrier along with a composite plan for reviving the ailing SpiceJet. Ajay Singh is reported to have asked the minister to pitch in an reschedule dues of oil marketing companies, airports and other service providers/vendors.

ICICI Trims Foreign Operation, Sells Russian Subsidiary

Largest private lender in India, ICICI Bank, seems to be trimming its global operation due to unstable global macroeconomic indicators and other related factors. In a recent move the bank has sold its Russian subsidiary and also repatriated capital from its Canada and United Kingdom branches. Per the statement of ICICI Bank’s spokesperson, they are now weighing more on retail business in India over international operation.

eBay Census 2014 Report shows eCommerce Growth Fueled by 2-tier and 3-tier Companies

Census 2014 report of eBay India, published recently, debunked general perception that eCommerce growth in India is fueled by metropolises. In fact, the report shows that the growth is fuelled by Tier-2 and Tier-3 cities (3,133 cities to be particular), coupled by 1,233 rural hubs. According to the report, India is witnessing an upsurge in eCommerce customers, with significant penetration in 4,556 hubs.

PSU Banks have a Good Time at NSE

Early hours of the day witnessed significant gains by public sector banks due to increased market optimism after cabinet nod to dilute government stake in public sector banks to 52 per cent. At 9.55 am, CNX PSU Bank index jumped by 3 per cent. At NSE, stock of PSU banks (Syndicate Bank, State Bank of India, Union Bank of India, Canara Bank, Allahabad Bank, IDBI Bank, Punjab National Bank, and Andhra Bank) increased by 3 per cent. Stocks that increased by 2 per cent are of Bank of India, Bank of Baroda, Indian Overseas Bank, and Oriental Bank of Commerce.

SoftBank Invests Heavily in eCommerce Space

SoftBank, technology major of Japan, is increasing its stake in the Indian eCommerce space steadily as India gears up to witness e-retail revolution. Recently, SoftBank invested $90 million in retail portal Housing.com, which takes the company’s total investment in eCommerce sector in India to $1 billion. Some of the websites where they have made significant investments include Snapdeal.com, ScoopWhoop, and Ola Cabs. Per report of Motilal Oswal Securities, Indian eCommerce space is expected to become $20 billion in 2015 from the current $11 Billion.

ADB pegs Indian Growth Story at 5.5 and 6.3 per cent in 2014 and 2015 Respectively

In 2014 outlook, Asian Development Bank expects India to grow at a rate of 5.5 per cent in 2014, due to renewed confidence of the international market on India because of Narendra Modi government’s reform initiatives. The report has also said that the Indian economy can grow at 6.3 per cent in 2015 if the current government keeps on the momentum of reform push.

Ailing SpiceJet to Resume Operations by 4pm Today after being Grounded in the morning

After being grounded since morning SpiceJet COO, Sanjiv Kapoor, announced resuming of its flights from 4pm. The ailing airline’s flights were forced to be grounded today morning as the Oil companies denied supply of aviation fuel to the company. Till now just two flights operated from the morning. After this abrupt grounding of SpiceJet flights, the stock shed 5 per cent during morning hours but recovered partially in noon.

Reliance Jio Infocomm all set for 4G LTE Expansion Plan

During April-June period of 2015, Reliance Jio Infocomm is going to make one of the largest launches in the telecom sector. During this period, the company will make available 4G LTE services in eight hundred cities across India. The service can be accessed by almost all devices with the help of ‘mi-fi devices’ and 4G Dongles. 30,000 towers have been built by the company to make this venture a success.

Dip in Russian Currency Raises Concern for Pharmaceuticals Industry

Rouble’s, Russian currency, value depreciated by 50 per cent in the last 6 months that made the central bank of Russia hike interest rate by 17 per cent. However, this has adversely affected business prospects of some Indian pharmaceutical behemoths such as Dr Reddy’s Laboratories and JB Chemicals. As 15 per cent of the total sales of Dr Reddy’s Laboratories takes place in Russia, fall in value of Rouble led to sharp fall in Dr. Reddy’s stocks, by 6.32 per cent.

Deloitte India report shows India Inc.'s effort to Stop Fraudulent Activities Inadequate

Deloitte India report shows that Indian companies are not taking enough precautions for tackling fraud. In fact, India Inc. is not complying with the provisions, put by the new company law for tacking with fraudulent activities. 56 per cent of the sample of the Deloitte India survey responded by saying they expect a rise in fraudulent activities in the coming two years.

Prospect of Goods and Services Tax brighten with Last Minute Compromise Formula

Union government reached a compromise formula on GST with the states by trading off subsuming entry tax in proposed new tax regime, proposed to be implemented in new fiscal, with non-inclusion of petroleum in GST. Finance Ministry is currently seeking legal opinion on including the issue of revenue loss compensation to states (caused due to indirect tax subsuming in GST) in Constitution Amendment Bill. The deadlock between the states and center came to an end when compromise formula was reached between Union Finance Minister and finance ministers of 7 states including J&K, Karnataka, Maharashtra, Tamil Nadu, Gujarat, Haryana, and Punjab.

Rupee Weakness Effect: Sensex Sheds 450 Points; IT Stocks Make Handsome Gain

Rupee-US Dollar exchange rate hit 13-month low level (Rs. 63.53 per dollar) as concerns on global surplus growth increased after Russia announced steep rate hike coupled with indegenous factors such as widening trade deficit of India in November 2014 and dip in industrial production to 3-year old level in October. Indian bourses reacted sharply as Sensex shed more than 450 points to trade below psychological support of 27,000 points. At 11.38 a.m, Nifty was trading at 8,110 and Sensex at 26,937. IT stocks such as TCS, Tech Mahindra, and HCL Tech made significant gain as rupee weakened.

SpiceJet Stock Sheds 17 per cent Value on Viability Concerns

SpiceJet’s stock crashed to Rs 11.25, a fall of 17 per cent, as viability concerns of the low cost carrier increased. Many analysts have started predicting a similar fate of SpiceJet that Kingfisher Airlines faced two years back. SpiceJet has a liability of Rs 2,000 crore and the carrier needs infusion of equal amount of fund from getting grounded. After Sanjiv Kapoor’s (CEO of SpiceJet) meeting with Ashok Gajapathi Raju (Civil Aviation Minister), the ailing airliner has got a breather from Airports Authority of India as latter has agreed of not immediately pressing for dues amounting to Rs 200 crore.

Fortune 500 List: IOC Tops the Indian Chart

Indian Oil Corporation, the government-run oil behemoth has become the largest company in the Fortune 500’s Indian companies list of 2014, in terms of annual revenue generation. Second and third positions in the list are adorned by Reliance Industries and Bharat Petroleum. Annual revenue of IOC is Rs 5,00,973 crore, followed by Rs 4,44,021 crore of RIL, Rs 4,44,021 crore of BPCL, and Rs 2,36,797 crore OF Hindustan Petroleum.