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Sunday, July 20, 2008
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Markets (July 18)
BSE Sensex13635.40 (+523.55)
S&P CNX Nifty4092.25 (+145.05)
US Dollar42.81 (-0.03)


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FINANCIAL MARKETS: I want to retire early…
I am an NRI, and my wife is employed and living in India. We have a daughter studying in VIII standard, who intends to study medicine. ...

FOREIGN INSTITUTIONAL INVESTORS: Red Fort plans $600-m infrastructure fund
In talks with investors for floating the new fund. New Delhi, July 19 After infusing money into real estate projects, Red Fort Capital Advisors is now planning a new infrastructure fund with corpus in excess of $600 million by 2008-end. ...

STOCK MARKETS: Sensex companies valuation halved in six months
SBI, DLF, Reliance among worst hit in PE multiple erosion. BL Research Bureau For every rupee of earnings managed by BSE Sensex companies, investors are today willing to pay only half of what they paid in January 2008. ...

INVESTMENTS: Re-building your fund portfolio
Too afraid to even look at your equity fund portfolio? Scary as it sounds, it is time to open those excel sheets and assess the damage that the nearly 40 per cent market correction has wreaked on our equity fund portfolios. The verdict is not ...

STOCK MARKETS: Techtrail: What the charts say
I have purchased the shares of Punjab National Bank. Kindly let me know the short and long-term prospects of these stocks. ...

INVESTMENTS: Infrastructure funds: Add sparingly to your portfolio
Investors who took exposure to any of the infrastructure theme funds and held on from January 2006 to December 2007, would have made returns of anywhere between 50 per cent and 122 per cent in this period. ...

OUTLOOK: Index Outlook
The dark clouds parted a little and melting crude prices sent a ray of hope to the hassled equity markets last week. Sensex rejoiced by gaining over 1,000 points in the last two sessions. Market participants will, however, switch from watching ...

TAXATION: Tax liabilities on futures and options
I am trading in futures and options. Under what category does the income from such trading fall? ...

RECOMMENDATION: Shree Renuka Sugars: Buy
The domestic sugar cycle is set to enter a favourable phase for producers, with output expected to decline sharply over the next two years, lending support to sugar prices. ...

STOCKS: Reliance
RIL remained subdued in the first part of last week; recording an intra week low at Rs 1,922. But the spectacular rally on Friday has made the near-term outlook brighter. The stock could rally to Rs 2,197 or Rs 2,302 in the short-term. The ...

RECOMMENDATION: Reliance Infra
Reliance Infrastructure declined to Rs 744 as indicated last week. But the stock has resumed its short-term up trend from this level. The near-term targets for the stock are at Rs 912 and then Rs 1000. The zone between Rs 1,000 and Rs 1,050 is ...

STOCKS: SBI
This stock reversed from Rs 1,121, in line with our expectation and resumed its short-term up trend. The third part of the rally from Rs 1,007 has the targets at Rs 1,287, Rs 1,390 and then Rs 1,556. But the down-trend line and the 50-day ...

STOCKS: Unitech
The weakness in the first three days of last week resulted in Unitech closing the week with a 12 per cent loss. The recovery towards the weekend was not strong enough to mitigate the negative short-term outlook. The stock remains in a strong ...

RECOMMENDATION: Tata Steel
The stock declined below our first target at Rs 626 to an intra week trough at Rs 583. Since there has been no meaningful reversal in the stock yet, there can be further decline to Rs 575 or Rs 557 in the near-term. ...

STOCKS: Infosys
Infosys moved below our short-term target at Rs 1,564 to form an intra week trough at Rs 1,503. ...

STOCK MARKETS: Promoters prefer to stay on the sidelines even as pivotals crash
An analysis of the 24 companies, out of the 30 stocks of the Sensex, shows that in 12 stocks there were no changes in promoter holdings while in 10 others only a negligible movement was seen.. Chennai, July 19 Promoter groups in the pivotal ...

RECOMMENDATION: HCC: Buy
A strong order pipeline, improved profit margins, benefits from recent business restructuring and removal of uncertainty surrounding the unique Bandra-Worli Sealink project, provide better visibility to the earnings growth of Hindustan ...

RECOMMENDATION: Bajaj Auto: Hold
Shareholders can continue to hold the Bajaj Auto stock. Better domestic sales volumes in the first quarter, robust export growth and planned launches in the executive segment may positively impact the near-medium term ...

RECOMMENDATION: Sanghvi Movers: Buy
Investors with a two-three year perspective can consider taking exposure to the stock of Sanghvi Movers, an established player in the business of renting out cranes. ...

RECOMMENDATION: Vishal Information Technologies - IPO: Avoid
Investors can avoid the initial public offering of Vishal Information Technologies, a company delivering digitisation and E-Publishing services, considering the high valuation that the offer demands and the inherent business risks, given the ...

RECOMMENDATION: Franklin India Prima Fund: Switch
Mid-cap stocks and funds that focus on them have taken a sizeable hit during the recent market meltdown. ...

FIRST LESSONS
STOCK MARKETS: Measuring risk-return value of a stock
You know, by now, that diversification reduces risk. As you add stocks to your portfolio, the total risk drops. But, alas, beyond a certain number of stocks, the total risk ceases to reduce. No one knows what that number is. Warren ...

STOCK MARKETS: Nifty future at critical juncture
Nifty future traded in a narrow range of 3800-4300 last week. Thanks to some recovery on Thursday and Friday, the Nifty July future closed at 4077.65, at a gain of 1.4 per cent over its previous week’s close. ...

STOCK MARKETS: Tech School
One of the most commonly used reversal patterns is the head and shoulders pattern that is a top reversal pattern. ...

MARKET OUTLOOK
OUTLOOK: Serious choices on oil front
It is quite evident that the high oil prices are exerting a very strong influence on all markets. Also the fact that the price march has been relentless has meant increasing despair for both governments and public at large. One thought that ...

MUTUAL FUNDS: Fund Update
Franklin Asset Management Company has launched Templeton Fixed Horizon Fund Series IX- Plan C a closed-ended income fund. The objective of the fund is to invest 100 per cent of the assets in debt and money market instruments. ...






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