10.01.2014

The industrial output contracted to -2.1 percent signalling a steep decline in consumption activity. A CNBC-TV18 poll had predicted November IIP at 0.6 percent. However, barring consumption growth, other baskets have actually shown traces of improvement.  Manufacturing, electricity, capital goods have all shown growth at varying degrees in the month of November. Experts say that the Reserve Bank of India (RBI) will have enough reasons to go slow on interest rate hikes. The January monetary policy  thus may signal a pause. Meanwhile, the government revised October IIP to -1.6 percent from -1.8 percent. : Moneycontrol

News of the day:

Index heavyweight and cigarette major ITC edged higher. Reliance Industries (RIL) trimmed gain in late trade. Infosys gained in volatile trade after the company raised its revenue growth guidance in both rupee and dollar terms for the year ending 31 March 2014 at the time of announcement of its Q3 December 2013 results before trading hours today, 10 January 2014. Other IT stocks were also in demand. TCS and HCL Technologies scaled record high. Tech Mahindra hit 52-week high. Banking pivotals declined in volatile trade. IndusInd Bank dropped after the bank’s gross non-performing assets rose. NSE’s INDIA VIX, was down 3.70% level, at 15.58. Amongest the Indices CNX SMALLCAP was down 0.62 % closed at 3,373.55.

Stock Specific news:

• Fire breakout at a unit of Tata Power’s Trombay plant.
• Infosys struggling to retain talent at mid and junior levels.
• BPCL, HPCL jointly exporting refined petroleum products to cut costs.
• Infosys conference call transcript.
• ANALYSIS: Infosys Q3 numbers continue to show signs of recovery.
• Infosys Q3 net up 19.4% q-o-q at Rs 2,875 cr.
• Gold, silver imports dip 69% to $1.7 billion in December.
• Muthoot, Manappuram Finance extend rally as RBI increases LTV for gold NBFCs.
• Nickel down on subdued domestic demand.
• Jubilant FoodWorks dips on exclusion from MSCI global small-cap index.

The market breadth, indicating the overall health of the market, was negative. On BSE, 1,505 shares dropped and 1,034 shares rose. A total of 142 shares were unchanged. The BSE Mid-Cap fell 0.94% and the BSE Small-Cap index declined 0.62%. Both these indices underperformed the Sensex. The total turnover on BSE amounted to Rs 2375 crore, higher than Rs 2181 crore on Thursday, 9 January 2014.