The U.S. budget deficit was $37 billion in March, the Treasury Department reported Thursday. That is a decrease of $70 billion, or 65%, from the shortfall posted in March 2013. Receipts increased 16% in the month, to $216 billion, while spending dropped 14% to $253 billion. For the first six months of the 2014 fiscal year, the deficit has fallen 31% mostly thanks to receipts, which are up 10% compared to the same period a year ago. Spending has fallen 4%.
BHEL Buy above 187 for 189 and 192 sl 186
Sell below 184 for 183 and 179 sl 185 DLF Buy above 182 for 184 and 189 sl 181 Sell below 177 for 175 and 171 sl 180 HCL TECH Buy above 1373 for 1381 and 1405 sl 1369 Sell below 1354 for 1342 and 1326 sl 1366 AXIS Buy above 1511 for 1522 and 1541 sl 1505 Sell below 1490 for 1480 and 1457 sl 1499 ICICI Buy above 1259 for 1266 and 1284 sl 1255 Sell below 1242 for 1233 and 1219 sl 1251 SBI Buy above 2034 for 2049 and 2069 sl 2027 Sell below 2009 for 1999 and 1970 sl 2019 INFY Buy above 3229 for 3244 and 3287 sl 3222 Sell below 3194 for 3172 and 3143 sl 3215 TCS Buy above 2137 for 2145 and 2163 sl 2134 Sell below 2121 for 2111 and 2097 sl 2130 REL CAP Buy above 368 for 374 and 386 sl 365 Sell below 356 for 351 and 339 sl 362 RELIANCE Buy above 971 for 975 and 980 sl 970 Sell below 966 for 963 and 957 sl 968 LNT Buy above 1321 for 1330 and 1345 sl 1316 Sell below 1304 for 1296 and 1279 sl 1312 Tata Motors Buy above 433 for 436 and 432 sl 431 Sell below 427 for 424 and 418 sl 430 Tata Steel Buy above 421 for 425 and 432 sl 420 Sell below 415 for 411 and 404 sl 418 Apollo Tyres Buy above 168 for 169 and 172 sl 167 Sell below 165 for 163 and 161 sl 167 Airtel Buy above 322 for 324 and 329 sl 321 Sell below 318 for 316 and 312 sl 320 Idea Buy above 146 for 148 and 151 sl 146 Sell below 144 for 142 and 140 sl 145 ZEEL Buy above 280 for 282 and 284 sl 279 Sell below 277 for 276 and 272 sl 278 TechMah Buy above 1723 for 1731 and 1753 sl 1719 Sell below 1704 for 1693 and 1677 sl 1715 SSLT Buy above 200 for 202 and 206 sl 200 Sell below 197 for 195 and 192 sl 199 Rcom Buy above 136 for 137 and 141 sl 135 Sell below 132 for 130 and 127 sl 134 JP Associates Buy above 60.1 for 61.5 and 63.5 sl 59.4 Sell below 57.7 for 56.7 and 53.9 sl 58.7 Cipla Buy above 400 for 402 and 406 sl 399 Sell below 396 for 394 and 390 sl 398 Ranbaxy Buy above 472 for 477 and 491 sl 470 Sell below 460 for 453 and 443 sl 467 Lupin Buy above 970 for 976 and 998 sl 966 Sell below 952 for 941 and 928 sl 963 SUN PHARMA Buy above 629 for 635 and 655 sl 626 Sell below 613 for 603 and 591 sl 623 Biocon Buy above 432 for 434 and 439 sl 431 Sell below 428 for 425 and 422 sl 430 PNB Buy above 789 for 795 and 806 sl 786 Sell below 777 for 771 and 759 sl 783 Canara Bank Buy above 288 for 291 and 298 sl 286 Sell below 281 for 278 and 271 sl 285 Bank of Baroda Buy above 793 for 798 and 808 sl 790 Sell below 782 for 777 and 767 sl 788 Yes Bank Buy above 451 for 454 and 460 sl 450 Sell below 445 for 442 and 437 sl 449 HDFC Bank Buy above 744 for 747 and 754 sl 743 Sell below 738 for 734 and 729 sl 741 ITC Buy above 347 for 348 and 352 sl 346 Sell below 343 for 341 and 339 sl 346 HUL Buy above 619 for 624 and 629 sl 616 Sell below 611 for 608 and 599 sl 614 WIPRO Buy above 563 for 567 and 573 sl 551 Sell below 556 for 553 and 544 sl 559 HINDALCO Buy above 144 for 145 and 147 sl 143 Sell below 142 for 140 and 138 sl 143 CAIRN Buy above 361 for 364 and 368 sl 359 Sell below 355 for 353 and 347 sl 358 TATA POWER Buy above 87.6 for 88.9 and 90.4 sl 87 Sell below 85.6 for 84.8 and 82.3 sl 86.4 Nifty outlook
Nifty closed up 0.20 points at 6796.40 while Nifty Future closed at 6825.05, premium of 28.65 points.
Sell Nifty Future below 6815 - 6805 - 6785 - 6755 SL - 6836 Option Call Buy Nifty 6800CE above 86 for targets of 98, 116 SL - 79 Buy Nifty 6800PE above 55 for targets of 64, 75 SL - 49 Bank Nifty Outlook Bank Nifty closed up 12.00 points at 12949.40 while Future closed at 13005.95, premium of 56.55 points. Buy Bank Nifty Future above 13038 - 13110 - 13220 - 13320 SL - 13018 Sell Bank Nifty Future below 12986 - 12920 - 12820 - 12710 SL - 13035 CAPITAL MARKETS DATA - FII and DII
------------------------------------- Category Buy Value Sell Value Net Value FII 5030.87 4688.12 342.75 DII 1881.94 1868.49 13.45 FII FNO DATA -------------- INDEX FUTURES -354.91 INDEX OPTIONS 2111.57 STOCK FUTURES - 353.95 STOCK OPTIONS -37.58 Oil futures retreated , due to weak Chinese economic data as investors digested news of a drop in production from the Organization of the Petroleum Exporting Countries to the lowest level of the year, encouraging U.S. jobs data and continued tensions in Ukraine.
Natural-gas prices, meanwhile, went against the trend among major energy futures, climbing nearly 2% after a smaller-than-expected increase in weekly U.S. supplies of the fuel. Crude oil for May delivery fell 17 cents, or 0.2%, to $103.43 a barrel on the New York Mercantile Exchange. May Brent crude , the European benchmark oil, declined 27 cents, or 0.3%, to $107.71 a barrel on the ICE Futures exchange. Chinese exports fell 6.6% from a year earlier in March after dropping more than 18% year-over-year in February. Economists had forecasted a 2.8% rise. Both imports and exports didn’t rebound as expected,China is a key element of global oil demand growth ... and indications of both soft domestic demand and weaker global demand for its products inevitably means lesser demand for oil.That said, the murmurs and rumors of further stimulus measures from the engine-room of global growth have already started. Nymex oil prices were little moved by data that showed first-time claims for U.S. unemployment benefits fell 32,000 to a nearly seven-year low of 300,000 in the week ended April 5. Economists had forecast a more modest drop to 320,000. The Organization of the Petroleum Exporting Countries, or OPEC, said in a monthly report that its oil production fell by more than a half-million barrels a day last month to 29.6 million barrels. But it raised its forecast for non-OPEC supply growth this year and left the 2014 demand outlook for OPEC oil relatively unchanged, down 100,000 barrels a day at 29.6 million barrels a day.Meanwhile, continued unrest in Ukraine were seen underpinning prices while traders also awaited the reopening of export terminals in Libya. As far as ICE Brent is concerned, tensions over in Ukraine will remain in focus with limited upside as market participants keep an eye on supply restarts in Libya. On a technical basis, the Nymex oil market “remains in an uptrend, in line with its five-year seasonal index that shows the spot-month contract tends to rally 14% from its winter low through its spring high,” said Darin Newsom, DTN senior analyst. “This year the market posted a low weekly close of $92.72, setting a possibly high seasonal target of $105.70.” On a fundamental basis, the market remains bullish.The market is again reflecting seasonal buying ahead of the heavier demand driving seasons of spring and summer. Among the petroleum products Thursday, May gasoline fell 1 cent, or 0.4%, to $3 a gallon and May heating oil traded at $2.95 a gallon, less than half a penny lower on Nymex. Natural-gas supply up less than expected.Natural-gas futures turned higher after a weekly update on U.S. supplies of the commodity in storage revealed the first increase of the year, but one that was smaller than the market expected. May natural gas rose by 7 cents, or 1.6%, to $4.66 per million British thermal units. It was trading at $4.53 before the supply data. The Energy Information Administration reported that supplies of natural gas rose 4 billion cubic feet for the week ended April 4. That was smaller than the market expected as analysts surveyed by Platts forecast an increase of between 13 billion cubic feet and 17 billion cubic feet. Nifty future levels
The Pivot will be at 6832 R1 6854 S1 6804 R2 6883 S2 6781 R3 6934 S3 6730 Bank Nifty Futures The Pivot will be at 13028 R1 13120 S1 12914 R2 13235 S2 12822 R3 13440 S3 12615 The Bank of England on Thursday left the size of its bond-buying program unchanged and held its key lending rate at a record low of 0.5%, where it has stood since March 2009. The central bank's Monetary Policy Committee maintained its asset purchases, the centerpiece of its quantitative-easing strategy, at 375 billion pounds ($629 billion). The minutes from the April meeting will be published on April 23. The decision to stand pat was expected by most analysts, as the unemployment rate is still above 7% and inflation is running below the BOE target of 2%
The average rate for a 30-year fixed-rate mortgage fell to 4.34% in the week that ended April 10 from 4.41% in the prior week, according to a Thursday report from federally controlled mortgage-buyer Freddie Mac . A year ago, the 30-year rate was at 3.43%. "Mortgage rates eased a bit following the decline in 10-year Treasury yields," said Frank Nothaft, Freddie's chief economist. The average rate for the 15-year fixed-rate mortgage fell to 3.38% in the latest week from 3.47% in the prior week. Meanwhile, the rate for a 5-year Treasury-indexed hybrid adjustable-rate mortgage declined to 3.09% from 3.12%. The rate for a 1-year Treasury-indexed ARM dropped to a record low of 2.41% from 2.45% in the prior week. The 1-year ARM data go back to 1984.
U.S. stocks opened slightly lower on Thursday, as downbeat trade data from China renewed concerns about the health of the second-largest economy and global demand. Better-than-expected weekly jobless claims that pointed to a spring revival in the labor market slightly improved sentiment ahead of the opening bell. Investors also focused on mixed earnings results from retailers such as Rite Aid Corp and Family Dollar Stores Inc. . The S&P 500 opened 2 points, or 0.1%, lower at 1,870.11. The Dow Jones Industrial Average opened 16 points, or 0.1%, lower at 16,420.93. The Nasdaq Composite began the day down 6 points, or 0.1%, at 4,177.80.
The prices paid for imported goods increased 0.6% in March, the U.S. Labor Department said Thursday. Economists had forecast a 0.2% advance. The rise in import prices in February was unchanged at 0.9%. Import prices in the first quarter rose by 1.9%, the biggest three-month gain since October 2012. Yet import prices are still 0.6% lower compared to a year earlier, so broad inflationary pressures remain contained despite the recent uptick. Excluding fuel, import prices rose by a smaller 0.3% last month. Food-import prices jumped 3.7% to mark the biggest increase in three years. Fuel import prices rose 1.2%. The price of U.S.-made goods exported to other nations, meanwhile, climbed 0.8% in March
The number of people who applied for U.S. unemployment benefits last week fell to a nearly seven-year low of 300,000, a sign the labor market might be experiencing a spring revival. Initial claims in the seven days ended April 5 sank by 32,000 from a revised 332,000 in the prior week, the Labor Department said Thursday. The last time claims were that low was in May 2007, six months before the Great Recession began. Economists expected claims to total a seasonally adjusted 320,000. The average of new claims over the past month dropped by 4,750 to 316,250, marking the second lowest read since the end of the recession. The monthly figure smooths out the roughness in the weekly data and offers a better look at underlying labor-market trends. Also, the government said continuing claims decreased by 62,000 to a seasonally adjusted 2.78 million in the week ended March 29. Continuing claims reflect the number of people already receiving benefits. Initial claims from two weeks ago were revised up to 332,000 from 326,000.
Euro and other Equities rose today as markets took heart from minutes of the Federal Reserve's March meeting, which suggested US policymakers would be more cautious about raising interest rates than some had expected.
European investors also looked optimistically to Greece's return to the bond markets later on Thursday for further evidence that Europe's economic recovery is gathering pace, dampening the impact of gloomy Chinese exports data. The MSCI All-Country World index rose 0.2 percent while the similar MSCI World Index, which only tracks stocks from developed economies, progressed by 0.3 per cent. In Europe the MSCI Europe climbed 0.6 per cent while the FTSEurofirst 300 index of top European shares advanced 0.3 per cent. The MSCI Emerging Market index rose 0.8 per cent. The Fed minutes released on Wednesday fuelled a rally on Wall Street, where all three major US stock indexes ended up more than 1 per cent. Financial markets also pushed out expectations of a first Fed rate hike by about six weeks, to July 2015, trading in interest-rate futures showed. "The Fed minutes suggested that the Fed committee was not as hawkish as some had been led to perceive.The dollar traded flat against a basket of six major currencies. Investors said that the tone of the Fed's minutes was likely to set up a supportive backdrop for Greece's return to the bond market just two years after it defaulted.Athens is launching a five-year benchmark bond via a syndicate of banks, and investor interest had already totalled 11 billion euros on Wednesday. Brent crude futures eased towards $107 a barrel on Thursday on the back of the weak China trade data while gold scaled fresh two-week highs. A panel set up by the Reserve Bank of India (RBI) has recommended that banks' base lending rate should be based on the marginal cost of funds if their average deposit tenure is on the lower side.
The panel, which was headed by RBI Deputy Governor Anand Sinha, had been set up to bring in transparency in credit pricing framework among Indian banks. The panel also said interest on floating rate loans should only be reset on specific dates irrespective of changes in the base rate.The RBI has called for public comments on the recommendations by May 16. Shares in tractor maker Escorts close 3.8 per cent higher after a company filing to stock exchanges shows billionaire investor Rakesh Jhunjhunwala raised his stake in the company to 5.47 per cent from 4.89 per cent he held as of the end of December.
State Bank of India has hit the overseas bond market with a dual tranche benchmark issue of 5-year and 10-year maturity to raise up to $1-billion.According to the merchant bankers working on the issue, SBI today launched the roadshow in major global financial centres and will close the transaction later in the day.
The bank has given an initial pricing of 240 bps or basis points over the US treasury for the 5-year money and 265 bps over the treasury for the 10-year bond, said the merchant banker.The US treasury is trading at around 2.75 per cent. TM . SHARES JUMPED as much as 3.1 per cent to a record high of Rs. 434.30 after Citigroup raised its price target on the stock toRs. 486 from Rs. 421, citing the outlook for the automaker's luxury unit Jaguar Land Rover (JLR).
Citi says JLR is poised to become the world's fourth biggest luxury car maker on the back of new launches in the next 15-18 months. Citi also says JLR will benefit from China's growing luxury car market, which the investment bank estimates will grow at around 15 per cent over the next two years. JLR, via its joint venture in China, could sell around 160,000 units by fiscal year 2016, implying an around 8 percent market share, according to Citi. Sebi is in the process of cracking its whip soon on various illicit money-pooling schemes in West Bengal, according to sources.Those currently under scanner also include entities directly or indirectly linked to the Saradha and Rose Valley groups, along with some other entities, they said.
The regulator is also exercising its new powers like collection of information from other regulators, government departments and even commercial enterprises such as telecom companies and banks. At the same time, it is also looking into possible launch of recovery proceedings through attachment orders, among others, they added. The cases include illegal money pooling activities or ponzi schemes floated in West Bengal, Assam, other eastern and north-eastern states, among others. With more powers getting restored through re-promulgation of ordinance last month, the capital market watchdog is going ahead with prosecution and recovery proceedings in cases where wrongful activities had already been established and orders passed. The ordinance, re-promulgated for the third time, allows the regulator to enhance its own penalty against defaulters within three months and seek services of the police and central government officers in search and seizure operations. The first ordinance was promulgated in July last year and was re-promulgated in September. However, the second ordinance lapsed in mid-January after a bill to replace it could not be passed in Parliament. Earlier when the ordinance was in force, Sebi had started more than 300 attachment proceedings in about 65 cases for the recovery of about Rs. 2,000 crore from defaulters and fraudsters, including those who raised money through illicit money-pooling activities. The ordinance vests with the Sebi various powers, including carrying out search and seizure operations and calling for information from banks, corporations, boards or any other authority. It also allows the regulator to seek telephone call data records. Sebi would have the power to increase the penalty on an erring entity within three months of passing an order provided the par LIC does believe in the adage make hay when the sun shines and they have been doing exactly that with their large stock holdings.Life Insurance Corp (LIC) was spotted selling IT and bank shares after a recent rally, said four dealers at brokerages that handle trades on behalf of India's largest state-run insurer."LIC has been a consistent seller of Indian shares during this rally, and the pace would increase only till elections," one of the dealers said.
NSE's banking sub-index gained 0.5 per cent while IT sub-index fell 0.7 per cent . The rupee stood still today as caution prevailed ahead of a slew of economic data, while dollar demand by state-run banks, which traders attributed to defence and oil-related payments, weighed on sentiment.
The rupee closed at 60.07/08 per dollar compared with 60.14/15 on Wednesday. The data, starting with industrial output on Friday and consumer inflation on Tuesday, comes as voting gets underway in the country's general elections.Traders also cited some election jitters after an unexpectedly weak result in parliamentary elections for the front runner to be Indonesia's next president. Although the Indonesian election do not have a direct impact on India, these traders say the results by Joko Widodo, or Jokowi, are a reminder that BJP's Narendra Modi could fail to get a majority in the ongoing five-week long elections. Biggest factor for INR moves will be election results in May but trade data and inflation numbers will also have limited impact, mixed data is expected around the corner so the market is cautious. The rupee had touched an eight-month high of 59.5950 on April 2, but has since given up the gains. A rally in domestic shares on the back of heavy foreign buying has helped support the rupee. The Sensex hit a second consecutive record high earlier in the day but retreated to end nearly flat on profit-taking. In the offshore non-deliverable forwards, the one-month contract was at 60.44, while the three-month was at 61.21. The market retreated from record highs hit earlier in the session to end flat as profit-taking hit shares of company's such as Infosys Ltd on caution ahead of the release of quarterly earnings and inflation data next week.
Next week marks the start of quarterly earnings reports, while India will also release consumer price inflation data, in the midst of a five-week elections. FII's have been heavy buyers of Indian shares, buying $173.50 million worth of shares on Wednesday, totalling $4.7 billion so far in 2014. The DII investors are much less subdued in their buying. Life Insurance Corp was spotted selling IT and bank shares after a recent rally, said four dealers at brokerages that handle trades on behalf of India's largest state-run insurer. Indian stock market performance in recent times has been driven by hopes of a favorable election outcome. In my view, India's ability to take control of current account problem has helped the economy. The Sensex rose as much as 0.4 per cent to its life-high of 22,792.49, while the Nifty rose 0.33 per cent to a record 6,819.05. Profit-taking hit Infosys, which fell 1.6 per cent on caution ahead of March-quarter results due on April 15. Sun Pharmaceutical Industries fell 2.3 per cent on profit-taking after rising 7.1 per cent in the previous session. Among other top companies ITC Ltd fell 1.2 per cent while ICICI Bank lost 1 per cent. Bharat Heavy Electricals Ltd gained 2.7 per cent, Axis Bank ended 1.3 per cent higher. The Adani group companies surged on what traders attribute partially to the view that the group would perform well should the Bharatiya Janata Party led by Narendra Modi win elections, given perceptions of close links.Adani Enterprises Ltd surged 22.9 per cent, marking its biggest single day ever, Adani Power rose 1 per cent while Adani Port and Special Economic Zone ended 5.2 per cent higher. Crompton Greaves Ltd rose 6 per cent after earlier marking its highest level since July 2011, adding to Wednesday's 9.3 per cent gain, on hopes the power equipment maker will report a turnaround in earnings during the January-March quarter. Tata Motors gained 2.4 per cent after earlier rising to a record high of 435 rupees after Citigroup raised its target on the stock to 486 rupees from 421 rupees, citing the outlook for the Indian automaker's luxury unit Jaguar Land Rover. The bad news from China and the election day scenario in Indonesian elections being held has proved to be a deadly combination for the market there. The Jakarta Index is currently down 3 percent or 150 points down.It shows no sign of respite. The market keeps sliding.Well have the FII's had enough of Indonesia?
The Japanese benchmark is up 1.1% in early moves, off just slightly from its opening high, with the gains a function of the overnight rally in the U.S. and the dollar’s modest recovery against the yen (currently at ¥102.07 vs. ¥101.93 about 24 hours earlier).
The advance comes despite an 8.8% plunge in February core machinery orders , though the data set is a volatile one. And of course, the exporters are leading this morning’s gains: Sony is up 1.6%, Nikon is up 2.2%, Fujitsu is up 3.6%, Fanuc is up 3.2%, and Renesas is up 3.4%. Olympus is 2.5% higher, unruffled even as Bloomberg News reports that six banks are suing the company over its 2011 accounting scandal, seeking about $274 million. Likewise, Mitsubishi Motors is up 1.8%, Mazda is up 3.2%, and Nissan is up 1.5%. Toyota Motor, however, will have to sit this one out — its shares are 0.8% lower after announcing a massive 6.4-million-vehicle recall late in yesterday’s session. The return to a weaker-yen trend is also helping trading houses (Itochu is up 2.5%, Sumitomo Corp. is up 2.2%), steel mills (JFE up 2.7%, Kobe Steel up 2.3%, Nippon Steel up 1.5%), and Japan Airlines (up 2.2%). For the second month in a row, Australia’s jobs data have confounded gloomy economists with their strength.
In the March numbers out this morning, the unemployment rate fell sharply to 5.8%. Sure, last month was a little worse than thought (February’s jobless rate was revised up to a decade-high 6.1% from 6%), but the March result was well below the 6.1% forecast. The number of employed Australians also beat expectations, rising 18,100 vs. an anticipated 10,000 drop, though the workforce participation rate drifted lower (64.7% from 64.9%, just missing a forecast 64.8%). The Australian dollar went wild for the numbers, zooming to 94.30 U.S. cents from 93.80 U.S. cents moments ahead of the data. Stocks were less impressed, however, with the ASX 200 sticking to its 0.6% gain Hong Kong markets seem to have lost their steam after China published disappointing trade data for March, sending the Hang Seng Index off its early gains. The index — which had gained 0.4% in the opening minutes — is now down 0.3%.
Mainland Chinese banks and other financial stocks retreated, with Agricultural Bank of China leading the sector’s retreat with a 2.9% drop. Similarly, China Merchants Bank has declined 2.6%, China Minsheng Banking Corp. is down 2.2%, Bank of Communications has pulled back 1.7%, and both ICBC and China Construction Bank are moving 1.6% lower. Among the brokers and other financial-service providers, Guotai junan International is down 2.5%, China Galaxy Securities is off 1.6%, and China Everbright is weaker by 1.3%. Likewise, several leading property developers are also suffering heavy losses, as China Resources Land slides 4.3%, Country Garden Holdings falls 4%, China Overseas Land & Investment skids 2.6%, and Poly Property Group gives up 2.3%. But tech stocks appear to be keeping up their recent momentum, with Tencent Holdings advancing 1.9%, and online firm China Binary Sale Technology is rising 1.1%. Over on the mainland exchanges, the Shanghai Composite Index is edging lower by 0.2%, dragged by property stocks. |