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Sunday, August 31, 2008
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INVESTMENTS: Making the most of a range-bound market
In the long run, most of the uncertainties currently clouding the equity market may clear up. But in the short term, they are here to stay. That stock prices aren’t going to head steadily in one direction is not good news if you are ...

STOCK MARKETS: Over 65% of diversified equity schemes underperform their benchmark indices
Mumbai, Aug. 30 Those who hold that three to five years is an apt period of time to judge mutual fund returns could do well to take a look at the three-year returns of Indian mutual fund schemes at this point in time. ...

FOREIGN INSTITUTIONAL INVESTORS: SpiceJet to seek shareholders’ nod on warrants issue
Looking to reset FCCB conversion price to Rs 25 a share. New Delhi, Aug. 30 The Delhi-based low cost airline SpiceJet will seek shareholders’ nod next month for the financing arrangement recently concluded with investors such as W.L. ...

OUTLOOK: Index Outlook
‘Stability’ was the theme in the Indian stock markets in August; accompanied by the attendant boredom. Though the Indian benchmark was thwarted in its attempt at surpassing the 15500 mark this month, it has managed to hold on to ...

RECOMMENDATION: Larsen & Toubro: Buy
Investors with a 2-3-year perspective can consider adding the stock of Larsen & Toubro to their portfolio. The company’s proven execution skills, quality clientele, well-entrenched presence in a wide range of businesses and ability ...

RECOMMENDATION: Infosys: Buy
With bulging cash coffers and inorganic growth aspirations, Infosys Technologies has for long been scouting for suitable acquisitions. It seems to have finally found an ideal candidate in the Axon Group. ...

FINANCIAL MARKETS: Put ‘idle’ cash to use
I am sure all of us have a savings bank account and our salaries or professional income is deposited there every month. And many of us may not be even aware that the interest of 3.5 per cent per annum that we get on our savings account balance ...

FINANCIAL MARKETS: Pairing up to meet financial goals
I am 32 years old and my wife is 31. Both of us are employed in a software company in Bangalore. Our monthly take-home pay is Rs 1,10,000. We have twin daughters, who are a year old. ...

STOCK MARKETS: Tata Steel
This stock reversed from an intra-week trough at Rs 566 last week. But the short-term outlook remains negative and a close above the down-trend line at Rs 620 is needed to reverse this view. Subsequent targets are Rs 630 and then Rs 650. Tata ...

STOCK MARKETS: Reliance
Reliance Industries led the stock market lower last week. Though the stock has closed below its 50-day moving average, it has not violated the key short-term support at Rs 2,100 yet. ...

STOCK MARKETS: Infosys
Infosys moved in an extremely narrow band last week, closing below the key resistance at Rs 1,750. But the near-term outlook is now turning positive. An ascending triangle is obvious in the daily chart and the stock has also closed just above ...

STOCK MARKETS: Unitech
This stock clung to the key support at Rs 156 in the early part of the week before ending the week slightly above this level. Our short-term stop-loss at Rs 150 has not been penetrated yet. The movement in the early part of next week will ...

STOCK MARKETS: SBI
This stock hovered above the support at Rs 1,320 in the first four trading sessions before recording a strong session on Friday. Immediate target for the stock would be the short-term down-trend line at Rs 1,450. ...

STOCK MARKETS: Reliance Infra
The support at Rs 940 held last week and after a tentative sideways move in the beginning of the week, Reliance Infrastructure registered a strong close on Friday. ...

STOCKS: Query Corner: What the charts say
Is it wise to invest in Suzlon at these levels? Please give me a technical outlook. Jagjit ...

DERIVATIVES MARKETS: Sideways movement seen for Nifty future
Thanks to a sharp Friday rally, the Nifty September future finished marginally higher at 4370.55 against its previous week’s close of 4320.15. This, however, came on the back of high volatility, with Nifty futures touching a low of 4209 ...

DERIVATIVES MARKETS: Using options to time investments
After a bull run that lasted a good four years, the temptation is often strong to grab stocks when the market plummets. But your recent experience would have taught you that in a sideways market, gains may only be temporary, which makes it ...

RECOMMENDATION: PNB: Hold
Shareholders of Punjab National Bank (PNB) can stay invested in the stock. Though the stock trades at an attractive valuation, it may under-perform in the near term, given the uncertain interest rate scenario. The current macro environment ...

RECOMMENDATION: Indiabulls Real Estate: Buy
The current macro scenario does not augur too well for the real-estate sector with issues such as funding challenges, tapering demand and slowing launches clouding prospects. The sharp de-rating of stocks in the sector in the past one year ...

RECOMMENDATION: Quantum Long Term Equity Fund: Hold
Despite stock market conditions being not too conducive, Quantum Long Term Equity Fund has managed a reasonable return record in the two years since its launch. With an absolute return of about 27 per cent till date, the fund isn’t a ...

MUTUAL FUNDS: Theme funds — Divergent performance
Diversified funds are usually considered safer bets than sector and thematic funds. But if you are an informed investor with the ability to take a call between sectors and time them well, you can reap a rich harvest through thematic funds. ...

RECOMMENDATION: Reliance Growth: Invest
Investments by way of SIP (systematic investment plan) with a long-term horizon may be considered in Reliance Growth Fund, considering its track record in delivering consistent returns. ...

INVESTMENTS: Why hedge funds may be good for Indian markets
The Draft Report of the Committee on Financial Sector Reforms headed by Professor Raghuram Rajan was issued for comment in April 2008. Among the proposals that the high-level committee made was the introduction of domestic hedge funds. The ...

MUTUAL FUNDS: ‘We can’t play every move in the market’
Mr Satish Ramanathan, Head of Equities at Sundaram BNP Paribas Mutual Fund, talks about the outlook for the Indian economy and the stock market and defends the fund house’s strategy of proactively switching ...

STOCK MARKETS: Portfolio mix
Bank deposits are safe. As safe as a bank is the obvious dictum. They offer liquidity. And today they give you 10 per cent interest. Under the inflation rate for sure, but that’s an aberration. ...

STOCK MARKETS: Rate sensitives back in focus
The BSE Sensex gained by 1.1 per cent during the week August 22-29. The interest-rate sensitive sectors such as banking, auto and realty led the increase, with the WPI inflation lower at 12.4 per cent for the week ended August 16, compared to ...

MUTUAL FUNDS: FMPs are no substitute for equities!
It is ironical that investors who were perfectly willing to pump money into new-fangled equity funds when the Sensex hovered at 21000 are now developing cold feet with the Sensex at 14000! Fresh money flowing into equity funds has slowed to a ...

MUTUAL FUNDS: Fixed Maturity Plans now open
Birla Sun Life (BSL) Equity Linked FMP Series C (Structure) 21 months. The NFO closes on September ...






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Markets (Aug 30)
Nifty (at close)4360.00(+146.00)
US Dollar (Buy/Sell)43.75/76
Brent crude (a bbl) Rs4,904
Gold (a gram) Rs1,110
Silver (a kg) Rs20,715

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