Sensex up 131 pts led by IT, metal stocks
Feb 2, 2012, MUMBAI: The Bombay Stock Exchange benchmark sensex today made gains for the third straight day - up 131 points on sustained buying by funds, especially in IT and metal sectors amid strong gains in the Asian region on signs of growth in major global economies.
sensex, which had gained 437 points in last two sessions, rose another 131.27 points, 0.76% to 17,431.85.
Similarly, the National Stock Exchange index Nifty rose 34.20 points, or 0.65% to 5,269.90.
Top IT firms Infosys shot up by 0.68%, Tata Consultancy Services by 1.62% and Wipro 3.46%.
Brokers positive cues from Asia followed improving factory output figures from China, the US and Germany for the month of January, easing worries over slowing global growth.
After the Supreme Court quashed 122 telecom licences issued to new operators in 2008, stocks of old player such as Bharti Airtel and Idea rose 6.88% and 2.68%.
Major gainers included Hero MotoCorp, Larsen and Toubro, BHEL, Hindalco, Sterlite Industries, Tata Power, DLF Ltd., Gail India, Maruti Suzuki, SBI, ICICI Bank, HDFC Bank and Coal India.
Rupee hits 3-mth high on better risk appetite
Feb 2, 2012, MUMBAI: The rupee strengthened on Thursday to its highest level in three months as risk appetite improved after strong manufacturing data from China and India to Germany helped ease worries about the global economy.
At 9:03am (0333 GMT), the rupee was at 49.04/05 to the dollar, after touching 49.00, a level last seen in early November, according to Thomson Reuters data, and stronger than 49.2650/2750 at close on Wednesday.
Asian shares, the euro and crude oil rose as encouraging manufacturing data soothed fears about the global economic fallout from the euro zone debt crisis, with a drop in European government debt yields also supporting sentiment.
Don't see much impact on customer, auction preferred: Trai
Thursday 02 February, 2012: Telecom regulator Trai on Thursday said there will not be much impact on customers due to cancellation of 122 2G licenses of eight companies, as around 95 per cent of total subscribers belong to operators which got licences before January 2008.
"The Supreme Court judgement will be implemented. Customers will not be impacted from the cancellation of licences as around 95 per cent market share is of those who got licences before January 2008," Telecom Regulatory Authority of India Chairman J S Sarma told reporters in New Delhi.
He added that subscribers have the option to port out using mobile number portability.
"Subscribers have option to port out through MNP. We will instruct operators to inform their subscribers and come out with advertisement," Sarma said.
On chances of tariff hike due to expected high price of spectrum, Sarma said that Trai is alert and will keep a watch on the situation.
The companies that are set to lose on account of the cancellation of the licences are: Uninor (joint venture between Unitech and Telenor of Norway), Loop Telecom, Sistema Shyam (joint venture between Shyam and Sistema of Russia), Etisalat DB (joint venture between Swan and Etisalat of UAE), S Tel, Videocon, Tatas and Idea.
With cancellation of these licences, over 500 Mhz spectrum will be available for auction.
Sarma said that Trai has already recommended auction of spectrum for future allocation for new licences under Unified Licensing regime and working of migration path for existing licence.
Under new licensing regime, telecom players will have to pay price of spectrum determined through auction.
"In future all licence will be Unified Licences. This has been discussed by Telecom Commission as well. It is at advance stage of consultation in the government. Whosoever will hold UL can take spectrum. We are also contemplating about migration of existing licence to UL. All these issues will be discussed and decided shortly," Sarma said.
When asked whether incumbent players will be allowed to participate in the proposed auction, he said that Trai is working on it and but it should be open for all.
"It would not be proper to make comments at this stage but by and large it will be available for people in general." he added.
Sarma said that Trai is yet to study the judgement and details can be given only after the regulator completes the study of court verdict.
"I understand that if Supreme Court has given four month time then our effort will to do it in within four months," Sarma said.
"The Supreme Court judgement will be implemented. Customers will not be impacted from the cancellation of licences as around 95 per cent market share is of those who got licences before January 2008," Telecom Regulatory Authority of India Chairman J S Sarma told reporters in New Delhi.
He added that subscribers have the option to port out using mobile number portability.
"Subscribers have option to port out through MNP. We will instruct operators to inform their subscribers and come out with advertisement," Sarma said.
On chances of tariff hike due to expected high price of spectrum, Sarma said that Trai is alert and will keep a watch on the situation.
The companies that are set to lose on account of the cancellation of the licences are: Uninor (joint venture between Unitech and Telenor of Norway), Loop Telecom, Sistema Shyam (joint venture between Shyam and Sistema of Russia), Etisalat DB (joint venture between Swan and Etisalat of UAE), S Tel, Videocon, Tatas and Idea.
With cancellation of these licences, over 500 Mhz spectrum will be available for auction.
Sarma said that Trai has already recommended auction of spectrum for future allocation for new licences under Unified Licensing regime and working of migration path for existing licence.
Under new licensing regime, telecom players will have to pay price of spectrum determined through auction.
"In future all licence will be Unified Licences. This has been discussed by Telecom Commission as well. It is at advance stage of consultation in the government. Whosoever will hold UL can take spectrum. We are also contemplating about migration of existing licence to UL. All these issues will be discussed and decided shortly," Sarma said.
When asked whether incumbent players will be allowed to participate in the proposed auction, he said that Trai is working on it and but it should be open for all.
"It would not be proper to make comments at this stage but by and large it will be available for people in general." he added.
Sarma said that Trai is yet to study the judgement and details can be given only after the regulator completes the study of court verdict.
"I understand that if Supreme Court has given four month time then our effort will to do it in within four months," Sarma said.
Govt discontinues weekly WPI release
Thursday 02 February, 2012: The government on Thursday announced discontinuing releasing weekly primary and food inflation data based on the Wholesale Price Index.
"Weekly WPI is discontinued henceforth," the Ministry of Commerce and Industry, which releases the inflation data, said.
The government, however, will continue releasing the monthly headline or overall inflation data, which also contains the break-up for all segments including food, non-food, fuel and manufactured items.
The headline inflation figures for January are scheduled to be released on 14th February.
Besides, from this month the government will also come out with a retail inflation data based on the all-India Consumer Price Index.
The first nationwide CPI numbers, for the month of January, will come out on 21st February.
The government has last month decided to do away with the practice of releasing the weekly primary and food inflation data as the figures were not portraying the "holistic" picture of the price situation.
The decision was taken by the Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Manmohan Singh.
Senior officials had said that the reason for doing away with the weekly figures was because there used to be lot of variation in the weekly primary and food inflation numbers and the monthly data.
Besides, according to government sources, the weekly data were not giving any "clear and holistic" picture of the inflation situation.
The Ministry of Commerce and Industry compiles and releases the Wholesale Price Index (WPI) data on primary articles and fuel and power every week, mostly on Thursdays. The primary articles include food items.
The government also releases monthly data on overall or headline inflation measured on WPI. The food inflation has a weight of about 14 per cent in the overall inflation.
Food inflation stood at (-) 1.03 for the week ended 14th January, according to the data released last week. Headline for December was 7.47 per cent.
In September 2010, the government had changed the base year for calculating WPI to 2004-05 from 1993-94.
The new WPI series has 241 more items than in the old index. With the additional items, the WPI now measures a total of 676 items against 435 earlier.
Earlier, the government used to release the overall inflation data on weekly basis.
But in October 2009, it changed the calendar and decided to release the comprehensive data on inflation on a monthly basis, but continued to release price movement of primary articles, including food, and fuel every week.
Bajaj Auto sales up 7% in January
Feb 2, 2012, NEW DELHI: The country's second largest two-wheeler maker Bajaj Auto today reported 6.83% increase in its motorcycle sales in January at 2,94,439 units, the highest ever for the month.
The company had sold 2,75,622 units in the corresponding month last year, Bajaj Auto Ltd (BAL) said in a statement.
BAL said exports grew 13.01% during the month at 1,16,996 units compared to 1,03,526 units in January 2011.
In the three-wheeler category, company said its sales stood at 43,436 units as against 37,961 units in the same month last year, registering a jump of 14.42%.
Total vehicle sales of the company in the last month stood at 3,37,875 units compared to 3,13,583 units in the same period a year ago, a growth of 7.75%, the statement said.
