1. society
2. work
3. unemployment

 2nd Feb , 2011 Morning Wealth
BP WEALTH
Tuesday,19th May, 2015
Nifty Futures
Resistance
Support
Indices (NSE)
Level 1
8,420
8,310
Close
Level 2
Level 3
8,480
8,550
8,270
8,210
Pts. Chg
% Chg
Nifty
8,373.7
111.3
1.3
Nifty Future (May
8,372.8
111.6
1.4
Nifty Future (June)
8,399.3
113.0
1.4
18,423.0
239.8
1.3
CNX100
8,542.6
200.3
2.4
CNX500
6,910.9
83.8
1.2
CNX Midcap
13,070.3
98.5
0.8
Indices (BSE)
Close
Sensex
27,687.3
363.3
1.3
BSE-100
8,511.4
110.6
1.3
BSE-200
3,508.6
43.0
1.2
BSE-500
10,947.0
131.4
1.2
Mid Cap
10,667.1
103.2
1.0
Small Cap
11,147.9
107.1
1.0
Sectoral Indices
Close
BANKEX
21,166.2
252.3
1.2
CAPITAL GOODS
REALTY
POWER
OIL & GAS
METAL
16,431.0
1,538.0
2,055.7
9,516.1
9,951.3
211.3
-3.1
22.0
195.3
67.8
1.3
-0.2
1.1
2.1
0.7
CD
10,396.9
219.9
2.2
AUTO
19,228.2
151.0
0.8
TECK
5,948.8
69.2
1.2
10,679.6
7,898.6
16,792.7
17.9
101.6
106.8
255.2
-1.9
1.0
1.4
1.5
-9.7
Bank Nifty
IT
FMCG
HEALTHCARE
VIX
Exchange
Advance
Pts. Chg
Pts. Chg
Decline
% Chg
% Chg
Unchg
BSE
1,662
1,061
121
NSE
990
485
87
Volume
Rs (in cr)
NSE Cash
BSE Cash
NSE F&O
Net Inflows/
Outflows (Rs in cr)
FII
DII
Buy
4,876.9
2,002.9
% Chg
15,209.3
-1.8
2,817.6
2,23,342.6
18.6
19.3
Sell
5,079.0
1,384.3
Net
-202.1
618.5
Intraday Nifty Outlook
Index has breached past the resistance offered by the 38.2% retracement resistance of the previous fall from 8874 to the trough of 8021. Index has given upward breakout of Inverted Head & Shoulders a bullish reversal price pattern
which suggests the short term trend to turn bullish. Going ahead a sustenance
above 8380 will continue the upmove and will open the way for 8480-8550 in
short term while support comes at 8310-8270.
Corporate News
Asian Paints: Near-term catalysts missing
Asian Paints’ March quarter results missed Street expectations on all fronts.
Weak domestic volume growth (estimated at three-four per cent) was the key
culprit for this poor show. Notably, domestic volume growth has fallen from 1012 per cent between March 2014 and September 2014 to three-four per cent in
the past two quarters. For the March quarter, consolidated net sales grew 6.9
per cent year-on-year (y-o-y) to Rs 3,490 crore and was 4.2 per cent lower than
the Bloomberg consensus estimates of Rs 3,644 crore. Subdued demand
across both decorative and industrial segments impacted top line. Consolidated
net profit stood at Rs 341 crore, up 18.8 per cent y-o-y, aided by strong 117
basis-point y-o-y expansion in earnings before interest, taxes, depreciation and
amortisation (Ebitda) margin to 16 per cent. While the profit growth was healthy,
it fell short of the Bloomberg expectations of Rs 378 crore by 10 per cent. The
scrip fell 2.8 per cent to close at Rs 768 on Monday, reacting to dismal results,
compared with the 1.3 per cent gain for the BSE Sensex. The stock currently
trades at a rich 37 times FY16 estimated earnings. However, analysts could
trim their earnings estimates for the company to factor in the weak show. Continued weakness in performance for the second quarter and the fact that the
overall economic environment remains subdued indicates demand revival will
be more gradual in nature. This means the stock could remain under pressure
in the near term. (Source: Business Standard)
Chinese consortium to invest $500 mn in GMR SEZ
Kakinada SEZ Pvt Ltd (KSEZ), a subsidiary of Bengaluru-based infrastructure
major GMR Infrastructure, has signed an agreement with Guizhou International
Investment Corporation (GIIC) to set up an industrial park for high-end Chinese
equipment manufacturing companies. According to the agreement, GIIC, a consortium of three leading Chinese manufacturing firms, will invest $500 million in
developing the infrastructure and various facilities of the industrial park, which
would house leading Chinese manufacturing companies. These firms would
additionally invest $2-3 billion in setting up their operations over the next five
years. GIIC plans to set up a 2,000-acre industrial park in KSEZ for the Chinese
companies. The park, which will be developed by KSEZ and GIIC, will bring
development to the entire Kakinada region and generate about 5,000 jobs for
both skilled and unskilled workers, GMR Infra said in a filing to the BSE. KSEZ
is a port-based multi product special economic zone, spread over 10,500 acres.
Situated strategically on the eastern coast in an area rich in oil and natural gas
deposits, this has a good logistical linkages to national highways, railway networks, air and sea ports (Source: Business Standard)
Sterlite Tech to spin off power biz into unlisted firm
Sterlite Technologies Ltd will spin off its power business into a separate unlisted
company while retaining its telecom operations in the existing listed entity. The
de-merger will be effective April 1, 2015 subject to all necessary approvals.
Following the restructuring, approved by the Board at its meeting on Monday,
Sterlite will become a pure-play telecom products and solutions company, providing broadband solutions for fully converged networks. The power products
and the power transmission grid businesses will be de-merged into Sterlite
Power Transmission Ltd (SPTL), an independent, unlisted entity. “Telecom is a
high growth, high margins business while power is an asset-heavy business
and brings a high load of debt on the balance sheet,” Anand Agarwal, CEO,
Sterlite Tech, told BusinessLine. Hence, logically the two should not reside in
the same company, he said. To put things in perspective, though each of power
and telecom businesses contributed almost equally to Sterlite’s revenue of
3,300 crore in FY-15, 345 crore of the total EBITDA of 386 crore came
from the telecom business. According to the terms of the restructuring, the equity shares of the telecom business will continue to be publicly listed, while
those of the newly formed power business will remain unlisted. Investors will
have the choice to continue to be associated with one or both these businesses. Once the mirror de-merger scheme is effective, investors will retain
their equity share (face value 2) in the telecom company. Additionally, for
every five equity shares held in Sterlite, shareholders will have an option to receive one equity share of 2 each of SPTL issued at a premium of 110.30, or
one redeemable preference share (RPS) of 2 each issued at a premium of
110.30 each, implying a value of 22.46 per equity share of Sterlite. (Source:
Business Line)
BP WEALTH
Morning Wealth
Economy
Nifty Top 5 Gainers
Close
GAIL
DRREDDY
14.5
3.8
3,622.5
126.0
3.6
311.5
10.5
3.5
2,900.1
94.7
3.4
792.8
25.8
3.4
BPCL
Nifty Top 5 Losers
% Chg
394.7
ZEEL
ULTRACEMCO
Pts. Chg
Close
Pts. Chg
% Chg
ASIANPAINT
766.8
-23.6
-3.0
TECHM
612.6
-5.8
-0.9
2,520.6
-9.1
-0.4
366.1
-0.8
-0.2
HEROMOTOCO
COALINDIA
-
Int. Indices
S&P 500
-
Close
-
-
Pts. Chg
% Chg
2,129.2
6.5
0.3
18,298.9
26.3
0.1
NASDAQ
5,078.4
30.1
0.6
FTSE
6,968.9
8.4
0.1
DAX
11,594.3
147.3
1.3
CAC
5,012.3
18.5
0.4
Nikkie
19,890.3
157.4
0.8
Hangseng
27,591.3
-231.0
-0.8
3,459.6
-3.5
-0.1
DOW
Straits Times
ADR
Close
HDFC Bank
ICICI Bank
Infosys
TATA Motors
Wipro
57.7
10.3
31.4
41.7
11.7
Pts. Chg
-0.4
-0.2
0.3
-0.7
0.2
% Chg
-0.6
-2.0
1.1
-1.7
1.7
Govt mulls linking DBT schemes to one account
In a bid to plug subsidy leakage, the finance ministry is planning to link all Direct
Benefits Transfer (DBT) schemes into one account. According to sources, the
Department of Economic Affairs has written to the Department of Financial Services seeking comments on ways to prevent subsidy leakage. “Allowing all the
subsidies an individual is entitled to should be transferred to only one account, as
against multiple accounts that are linked to different schemes; this would reduce
leakage of subsidy leakage,” said a senior official. Leakages refer to the subsidised goods that do not reach the intended beneficiary. Leakages not only have
the direct costs of wastage, but also the opportunity cost of how the government
could otherwise have deployed its fiscal resources. This move is part of the JAM
(Jan Dhan, Aadhaar and Mobile) trinity, which was proposed in the economic
survey for FY16 to prevent subsidy leakage. “If the JAM Number Trinity can be
seamlessly linked, and all subsidies rolled into one or a few monthly transfers,
real progress in terms of direct income support to the poor may finally be possible,” stated the Economic Survey for 2015-16. The finance ministry believes that
transferring all subsidies in one account will reduce the monthly transfer of subsidies substantially in some cases to as low as one monthly transfer. “Our endeavour is to reduce any duplicity while transferring direct benefits to consumers and
we are mulling on ways to reduce that. One such step is to transfer all the subsidies in one bank account. However, we want more accounts to be Aadhaarseeded,” said another ministry official. According to the survey, 41 per cent of the
subsidies transferred through kerosene sold in ration shops were lost due to
leakage. The fiscal cost of excess transfer of subsidy on kerosene led to a loss of
Rs 10,044 crore for 2011-12. “Value of the fiscal savings - due to lower leakages
is eight times greater than the cost of implementing the programme,” stated the
survey. (Source: Business Standard)
International News
Most Asia Stocks Rise After U.S. Shares Hit Records, Yen Weakens
Most Asian stocks rose after U.S. equity gauges climbed to fresh records and the
yen weakened, boosting Japanese shares. About three stocks rose for every two
that fell on the MSCI Asia Pacific Index, which traded little changed at 153.39 as
of 9:03 a.m. in Tokyo. Japan’s Topix index added 0.2 percent after the yen fell
0.6 percent against the dollar on Monday. The Standard & Poor’s 500 Index rose
0.3 percent and the Dow Jones Industrial Average climbed 0.1 percent, both
closing at all-time highs. Investors are awaiting this week’s U.S. housing data for
clues as to whether the recovery in the world’s largest economy can withstand
higher interest rates. “Patchy U.S. data means that the Fed is highly unlikely to
begin its policy normalisation process until late in the December quarter,” said
Matthew Sherwood, Sydney-based head of investment strategy at Perpetual Ltd.,
which manages about $21 billion. “There has been a large upward movement in
the U.S. dollar in the past ten months and this has clearly weighed on U.S.
growth. The Fed could not possibly be convinced that the economy is on the right
track until growth is above 3 percent for two consecutive quarters.” Australia’s
S&P/ASX 200 Index rose 0.1 percent and South Korea’s Kospi index was little
changed. New Zealand’s NZX 50 Index slipped less than 0.1 percent. Data Monday showed confidence among U.S. homebuilders unexpectedly fell in May, reflecting a cooling off in sales and slower buyer traffic. Mixed economic data from
retail sales to the labor market have bolstered speculation the Fed will be in no
rush to raise rates. Fed Bank of Chicago President Charles Evans repeated his
call for rates to be held near zero until early 2016 at a speech in Stockholm on
Monday. E-mini futures on the S&P 500 were little changed today. (Source:
Bloomberg)
Major Bulk Deal (NSE)
Currencies
Close
Pts. Chg
% Chg
Dollar Index
93.7
0.1
0.1
USD/INR
EURO/INR
USD/YEN
63.7
71.9
120.0
0.2
-0.7
0.4
0.3
-0.9
0.3
Scrip Name
Qty
BALRAMCHIN
2,380,707
Type
Client Name
Trade Price
JP MORGAN INDIAN
INVESTMENT COMSELL
43.5
PANY (MAURITIUS)
LIMITED
Major Bulk Deal (BSE)
Commodities
Close
Gold (spot) Rs
27,617.0
154.0
0.6
Silver (spot) Rs
40,470.0
519.0
1.3
Crude (Brent) $
66.1
-0.1
-0.2
Crude Oil (WTI) $
59.5
-0.2
-0.3
Institutional Research
Pts. Chg
% Chg
Scrip Name
Qty
BALRAMCHIN
1,736,843
VIRTUALG
2,200,000
Type
Client Name
Trade Price
JP MORGAN INDIAN
INVESTMENT COMSELL
43.50
PANY (MAURITIUS)
LIMITED
BUY
ASIA INVESTMENT
CORPORATION MAU-
BP Equities Pvt. Limited (w ww .bpw ealth.com)
BP Equities reports are also available on Bloomberg [BPEP <GO>]
05/19/2015
16
2
BP WEALTH
Morning Wealth
EVENTS CALENDAR
Monday
Tuesday
Wednesday
Thursday
Friday
18-May-2015
19-May-2015
20-May-2015
21-May-2015
22-May-2015
Results – ASIANPAINT,
GLAXO ,AXISCADES
Results –TATAPOWER
Results - BAJAJFINSV, Results – BAJAJ-AUTO,
BAJFINANCE, TABAJAJHLDNG, ICRA,
TASTEEL,WABCOINDIA TIMEX, BRITANNIA,
VOLTAS ,ALLCARGO
Results – MPHASIS,
WONDERLA, TIMKEN,SBI ,KTKBANK,
MRPL
Economic Indicators–
Economic Indicators -
Economic Indicators–
Economic Indicators–
Economic Indicators–
US–
US–Housing Starts
US– FOMC Minutes
US– Jobless Claims, Ex- US– Consumer Price
isting home Sales
Index
26-May-2015
27-May-2015
25-May-2015
Results - JYOTHYLAB,
LYCOS ,BANCOINDIA
Results –
Results - BATAINDIA,
DISHTV,TECHM,BANKIN GODREJIND, TADIA,BHEL
TACHEM, GAIL
Economic Indicators–
Economic Indicators –
Current account
US–
US–Durable goods order, US–
New home sales
01-June-2015
02-June-2015
Economic Indicators–
03-June-2015
28-May-2015
29-May-2015
Results – 3IINFOTECH,
AMARAJABAT, BAJAJELEC, EDUCOMP,
ONGC, RECLTD,
COALINDIA,TATAGLOBAL
Economic Indicators–
Results – M&M, RELIGARE, GLENMARK, IOC,
SUNPHARMA
US– Jobless Claims
US– GDP
04-June-2015
Economic Indicators–
GDP growth rate YOY,
Infrastructure output
05-June-2015
Results -
Results –,
Results -
Results –
Results –
Economic Indicators–
HSBS manufacturing
PMI
Economic Indicators –
RBI Interest Rate Decision
Economic Indicators–
Economic Indicators–
Economic Indicators–
US– Personal income
and Outlays, ISM Mfg
Index
US–
US– International Trade
US– Jobless Claims
US– Employment Situation
Green: Corporate Event, Red: Economic Events, Dark Blue: US Events/ UK Events
(Source: Bloomberg and BSE)
Institutional Research
BP Equities Pvt. Limited (w ww .bpw ealth.com)
BP Equities reports are also available on Bloomberg [BPEP <GO>]
05/19/2015
3
BP WEALTH
Research Desk
Tel: +91 22 61596406
Institutional Sales Desk
Tel: +91 22 61596403/04/05
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