JAI
MATA di
$sabse
bada
rupaiya
WWW.SSABSEBADARUPAIYA.IN
MARKET SUMMARY
& DAY FORWARD
DATE: 29th October
2010.
We have started giving
commodity calls in crude, Gold &
silver.
ABOUT AMERICAN ECONOMY & markets:
Stocks closed mixed Thursday after shaving deeper
losses from earlier in the day in the last half hour of
trading as investors considered a mixed batch of
earnings and the Fed's next steps to stimulate the
economy. Meanwhile, if the Fed decides to buy fewer
than $500 billion, stocks would be likely to sell off,
said Marc Pado, market strategist at Cantor
Fitzgerald."The dollar would rally, and that would
reverse what we’ve seen here lately," he said.
Markets turn their focus back to the economy when
third quarter GDP is released Friday, ahead of the
market opens. "I'm expecting 2 percent GDP with a
better mix, meaning final sales go from 0.9 up to 3
percent in Q3, and I think that improvement in final
sales will carry over in the current quarter, where we
see GDP at 3.3 percent," said Joseph LaVorgna, chief
U.S. economist at Deutsche Bank. Economists do not
think the GDP report impacts the Fed's decision next
week, but it does go into the mix of influences on its
view of the economy's performance. GDP is released
at 8:30 a.m., as is the third quarter employment cost
index. Chicago purchasing manager’s data is released
at 9:45 a.m., and consumer sentiment is released at
9:55 a.m.
Euro zone consumer prices rose more than expected
in October, an estimate showed on Friday, but
remained at the European Central Bank's price
stability target.
asiAN MARKETS:
Japanese factory output fell for the fourth straight
month in September, the longest streak of declines in
more than a year, adding to signs the economy is
losing momentum as slowing export growth and a
strong yen bite. "It's quite a weak number. Judging
from this data, the economy is already entering a
downturn. This shows the economy won't perform as
good as the Bank of Japan predicted yesterday," said
Takeshi Minami, chief economist at Norinchukin
Research Institute.
INDIAN economy & stock MARKET:
Most of economists expect the RBI to raise key rates
by at least 25 basis points on November 2 and by
another quarter point before the fiscal year ends in
March.
India's infrastructure sector output grew 2.5% in
September from a year earlier, slower than the
upwardly revised annual growth of 3.9% in August,
government data showed on Thursday.
As per provisional data of October 28, FIIs were
net sellers of Rs 950 crore; DIIs were net sellers
of Rs 60 crore in cash markets. FIIs were net
sellers of Rs 567 crore in F&O.
ONGC has announced its second quarter results. The
company’s Q2 net profit was up 5.87% at Rs 5,389
crore versus Rs 5,090 crore, year-on-year basis.
SAIL has announced its results for the quarter ended
September 2010. It has reported net profit at Rs 1,090
crore as against Rs 1,660 crore, degrowth of 34.34%
on year-on-year basis.
BHEL has announced its results for the quarter ended
September 2010. It has reported net profit at Rs 1,142
crore as against Rs 857.9 crore, a growth of 33.12% on
year-on-year basis.
ITC has announced its results for the quarter ended
September 2010. It has reported net profit at Rs 1,247
crore as against Rs 1,009 crore, a growth of 23.59% on
year-on-year basis.
ICICI Bank has announced its results for the quarter
ended September 2010. It has reported consolidated
net profit at Rs 1,395 crore in Q2FY11 as against Rs
1,145 crore in the same period of previous year, a
growth of 21.83%.
Mahindra and Mahindra have announced its results
for the quarter ended September 2010. It has reported
net profit at Rs 758 crore as against Rs 702 crore, a
growth of 7.98% on year-on-year basis.
Our market started trading on the first day of a new
series on a flat and volatile note. Earlier, the US
markets ended flat with the Dow Jones losing 12
points while Asia was trading soft this morning. Nifty
was trading in a narrow range 5960-6000 since
morning. Europe opened in the green and started
trading flat. Our market was range bound but it has
made a good bit of a recovery from the lows of the day
and was in the green. Market slipped before result of
ICICI results, nifty futures lost 100 points and BSE has
lost 150 points. After the results of ICICI market turned
around and Nifty gained 30 points and BSE gained 100
points. Market breath was negative with good
volumes. Results are expected from Reliance and
BPCL and we expect both results will be not as per
market expectations. This month has given negative
monthly returns and first since May 2010. Very volatile
session as written yesterday this volatility will remain
for few days. Next week will be important for the
market as RBI meeting, FED meeting, Monthly data of
sales (auto and cement), Diwali and visit by U.S.
president is on cards. Be cautious and trade wisely
COMMODITY – GOLD:
Gold rose to settle above $1,342 an ounce on
Thursday as rising uncertainty over the scope and
impact of potential U.S. monetary easing to be
announced by the Federal Reserve next week knocked
the dollar sharply lower. Spot prices quickly retreated
after hitting a record high at $1,387.10 an ounce earlier
this month, as concerns that potential U.S.
quantitative easing was too heavily priced into the
financial markets led to a bounce in the dollar.
The banks were accused of manipulating the market
for COMEX silver futures and options contracts from
the first half of 2008 by amassing huge short positions
in silver futures contracts that are designed to profit
when prices fall.
COMMODITY – CRUDE:
Oil prices ended higher on Thursday supported by
positive U.S. jobless claims data and as the dollar
weakened on rising worries about the extent of an
expected U.S. Federal Reserve monetary easing. All
eyes remain on the U.S. Federal Reserve, which is
expected to announce a second round of easing after
its policy setting committee meets on Nov. 2-3. Prices
ended below session highs, which were reached
earlier as the dollar weakened, and as U.S. first time
jobless benefit filings unexpectedly fell last week to a
three-month low, a slight improvement in the
depressed labor market.
U.S. oil demand jumped last week resulting in a big
4.4 million-barrel drop in gasoline inventories, the
Energy Information Administration reported on
Wednesday. Still, the overall bearish effect of the
latest inventory data remained as crude stockpiles
rose more than 5 million barrels.
OUR NEW WEB-SITE
WWW.SSABSEBADARUPAIYA.IN is ON AIR. Visit
website for added attraction.
My messenger ID : devang_p@yahoo.co.in
Mob no: - 9323793701
I take full responsibility about what I written in this
News Letter. Web Portal Carrying this newsletter has
no liability whatsoever in nature.
Tel.No. 022-26715604 / 09-9323793701.
Disclaimer: Any action you choose to take in the
market is totally your own responsibility. We will
not be liable for any direct or indirect consequential
or incidental damages or loss arising out to the use
of this information. The author of the newsletters
thereby, will not be liable for any loss incurred be it
monetary or otherwise.