Steel prices would go up from January-end: India Infoline

Tarang Bhanushali, Research Analyst, India Infoline spoke to ET NOW about the impact of the deal signed by Bhushan on the steel sector

How are you reading into this announcement that Bhushan has just made?

I believe this is a win-win situation for both the companies as Bhushan Steel would be benefited by the technology from the foreign partner as well as the international company would get something from the domestic market which is quite lucrative and would continue to stay lucrative over the years because of the raw material front in India. So I believe it is a win-win situation for both the companies and with Bhushan expanding capacity next year, so a marketing base given by the international player would again allow them to sell their products across the globe.

Now again steel prices are expected to go up, now what should be expect for the steel sector in light of that, the fact that there is an expectation that a number of companies are going to consistently announce price hikes in the months ahead?

Yes, we believe that steel prices would go upwards from end of January and start of February. This month we believe that prices would stay firm and not move up largely. This is because if you look at the last two months performance prices were quite lower due to seasonal factors. European consumption was not as high as the previous quarter and the European markets as well as US markets would come back and buy in Q4 FY10. So again a rise in demand as well as cost pressures have gone up. The prices of iron ore as well as coking coal has gone up largely over the last one month. So due to cost pressure as well as some increase in uptake from European as well as US players, I believe prices would go up from end of January.

We are just seeing that flash on Bhushan Steel. There is no plan of a stake sale at this point in time to Sumitomo. Let’s just get back to Bhushan in particular in terms of earnings estimates, I mean when do you expect the synergies to kick in and are you changing your estimates, what are they on Bhushan and in terms of your targets on the share price?

We do not have a coverage on Bhushan Steel, so we do not have any estimates. I would not be able to give much info on the number fronts on Bhushan Steel.

SEBI to AMCs: No investor documentation, no commission

The Securities Exchange Board of India (SEBI) has said that asset management companies (AMCs) would now have to ensure they have all investor documentation from distributors. Maintaining documentation is now the responsibility of AMCs and this documentation would include know your client (KYC) and power of attorney (POA) documents.The market regulator has said that mutual fund distributors would not be paid commission if they do not comply with the aforementioned norms.SEBI further said that AMCs would have to seek documents for all past transactions and ask for confirmation of folios from investors.It is also being learnt that the regulator has slammed AMCs for inconsistent practices. However, it has prohibited no objection certificate (NOC) requirement for change in MF distribution.SEBI has slammed AMCs on two accounts that have been concerning the regulator for a very long time. The first being the asset management companies demand for a NOC for investors wanting to change their MF distributors. SEBI says no NOC is required for a change in MF distributors. SEBI also says that this is an inconsistent practice causing hardships to investors. It has asked Associations of Mutual Funds in India (AMFI) which is the industry body to ensure that this practice is discontinued.Earlier in 2007 AMFI had come out with a set of guidelines to discontinue this practice but some AMC’s had insisted on asking for the NOC. The second development is that SEBI has asked AMCs to maintain documents relating to the KYC and the POA of all investors. SEBI says that maintaining documentation is a responsibility of the AMC, now distributors have been asked to provide all the relevant documents to the AMC and SEBI has taken a tough stance saying that no commission would be paid to distributors who do not comply with this.AMC’s have also been asked to seek documents of all past transactions and what they are doing is to send a statement across to investors to get a confirmation on the folio and transactions.AMC’s are also being asked to set up an investor grievance mechanism to redress investor grievances. These two matters have been bothering SEBI for a while have now seem to be sorted.

Central Bank launches reverse mortgage loan for elderly

State-run lender Central Bank of India in association with Star Union Dai-chi Life Insurance launched a loan product that will provide regular income to senior citizens throughout their lives against the house as an asset.

"Central Bank of India and Star Union Dai-chi Life Insurance Co have launched reverse-mortgage enabled loan annuity product branded as CENT Swabhiman Plus," the bank chairman and managing director S Sridhar said.

The product will help senior citizens avail of regular payments throughout their lives by mortgaging their house with the bank.

The scheme is open for senior citizens above the age of 60 and a spouse with a minimum of 55 years.

"They can also continue to stay in the house as long as the last surviving spouse is alive," Sridhar added.

This annuity product is an improvement to the reverse mortgage loan product, Cent Swabhiman, offered by Central Bank and by some other banks and Housing Finance Companies.

The new product assures lifetime payment against a maximum of 20 years in the existing similar products. Besides, the quantum of monthly payment is significantly higher.

Vineet Nayyar is Satyam’s chief

Mahindra Satyam has announced the appointment of Vineet Nayyar as the company’s chairman. Nayyar was so far heading the company as vice chairman.
Announcing this after the company’s board meeting, a Mahindra Satyam statement also said that the company had appointed former Sebi chairman M Damodaran and Gautam Kaji as additional directors with immediate effect, expanding its board to eight members.

Meanwhile, the company said it had appointed Deloitte Haskins & Sells as the company’s statutory auditor for fiscal year ended March 31, 2009 as well as fiscal year ended March 31, 2010. Deloitte Haskins & Sells, one of the two audit firms roped in by the postscam Satyam Board to restate accounts, will vet the accounts of Mahindra group company for the 2008-09 and 2009-10 fiscals as statutory auditor.

The company, which was acquired by Tech Mahindra in April, has secured time until June 2010 from the Company Law Board to file financials

, including quarterly results.

Volkswagen to buy 19.9% stake in Suzuki

Volkswagen AG, Europe's largest car maker and Suzuki Motor Corporation, Japan's third largest automaker have reached a common understanding to establish a comprehensive partnership, a release from the Japanese giant stated.

A framework agreement has been signed by representatives of both companies today.The companies plan a joint approach to the growing worldwide demand for environmentally friendly vehicles.

VW will purchase 19.9 per cent stake in Suzuki's issued shares, while the Japanese major intends to invest up to one half of the amount received from VW into the shares of German carmaker.

"The management of Volkswagen and Suzuki have concluded that the complementary strengths of each company make for a perfect fit in exploiting their respective advantages as well as rising to the challenge of the global market", stated the release.

The deal is expected to close by January 2010 subject to approval of relevant authorities."Both parties are focused on achieving synergies in the areas of rapidly growing emerging markets as well as in the development and manufacturing of innovative and environmentally friendly cars", Suzuki said.

VW's move comes just days before the German giant's scheduled opening of its massive production facility at Chakan, Pune. VW will start production of the Polo hatchback from this new facility shortly.

"In terms of global presence and product diversity, the partnership marks an important step towards the future for both the companies. In terms of product portfolio global distribution and manufacturing capacities, VW and Suzuki ideally complement each other", said the release.
It should be noted that Suzuki holds 54 per cent stake in Maruti Suzuki, India's largest car maker by volume.

New phones: Nokia 2710 & LG Chocolate BL40

The options for cellphone buyers have just got wider, with both Nokia and LG expanding their cell phone portfolio.
Mobile phone giant Nokia has boasted its low-end portfolio with the unveiling of Nokia 2710. The Navigator branded handset comes pre-loaded with Nokia Maps with a lifetime maps license.
Other features include turn-by-turn driving navigation with full voice guidance, which recalibrates routes depending on the driver's current GPS location.
On specs front, Nokia 2710 boasts of a 2.2 inch display and a 2 megapixel camera. There's a 2GB MicroSD card with the phone,which claims an 18 day standby time and a 4.3 hour talktime.
The Nokia phone sports a 3.5mm jack as well as a car cradle that users can use while on the move. The 2710 Navigation Edition is expected to be hit the stands by the second quarter of 2010 for $163 (approximately Rs 7600).
No. 3 handset maker LG too expanded its Chocolate Edition mobile phone range in the Indian market with the launch of LG BL40.
LG BL 40 Chocolate comes with a 4-inch LCD screen, with 800x345 resolution and a 21:9 aspect ratio. The slim phone comes with a 5 megapixel camera with Schinder-Kreuznach lens and flash. Connectivity options include Wi-Fi, Bluetooth and an FM transmitter.
The device also comes with S-Class UI, which offers finger-friendly 3D graphics and according to the company is capable to offer faster email and internet services.
Courtesy LG's deal with Twentieth Century Fox, the new Chocolate phone will feature content from James Cameron's 3D fantasy, Avatar.
The LG Chocolate BL40 is available at a price tag of Rs 30,000.

Gold nosedives on heavy selling

Gold prices nosedived by a whopping Rs 500 per ten grams to Rs 17,600, the steepest fall ever since the yellow metal started its record breaking journey.here, on aggressive selling triggered by a sharp plunge in its prices in the overseas markets.
Silver

too witnessed high amount of selling by stockists. "Domestic gold bore the brunt of a sharp fall in the yellow metal in the international markets as the dollar took a sudden u-turn by appreciating against basket currencies," traders said.
Ever since gold crossed the psychological 18-K level, the market started experiencing nervousness and resistance at higher levels due to its astronomical value, they added.
Pure gold (99.9 purity) tanked by a margin of Rs 500 (like standard gold) per ten grams to end at Rs 17,690 from Rs 18,190 on Friday. Silver ready (.999 fineness) dropped by Rs 265 per kg to finish at Rs 29,445 as against Rs 29,710 earlier.
In New York, gold futures crashed by 4% on Friday sustaining their first major loss in a run that began early in November as the US dollar rose sharply after an upbeat US jobs data.
Gold for December delivery fell by $48.60 to end at $1,168.80 an ounce on the Comex Division of the NYMEX. December silver fell by 60.6 cent to $18.496

Acer 17-inch, Intel dual-core laptop falls to $479

Staples is selling a big-screen laptop with robust features that belie its low price.

Acer laptop packs a 17.3-inch 1600 x 900 screen, dual-core Intel processor, and 4GB of memory.

As 17-inch laptops go, it's a lot of laptop for the money, compared with higher-priced systems from vendors such as Hewlett-Packard. Big-screen, 17-inch-class laptops priced a couple of hundred dollars above the Acer typically offer slightly faster processors and higher-performance graphics. But for the average user, there's not much difference.

And what do you get for $479? The Acer Aspire AS7736Z-4809 comes with Microsoft Windows 7 Home Premium 64-bit, a dual-core Intel Pentium Processor T4300 (2.1GHz), 4GB of memory, a 320GB hard disk drive, 8X DVD double-layer optical drive, a Webcam, and a 17.3-inch LED display with 1600 x 900 resolution.

A 17-inch laptop with high-definition screen resolution and plenty of memory to run 64-bit Windows 7--that's nothing to sniff at.

Sensex trades marginally higher; telecom, metals, realty up

The Sensex resumed uptrend after a day of consolidation and was trading around 17,250 level. Telecom, realty, oil & gas exploration, metals and select technology stocks were seeing buying interest.At 9:56 am, the Nifty was up 20 points at 5,143 and the Sensex gained 76 points at 17,246. The CNX Midcap rose 47 points to 7,354. About 600 shares advanced while 120 shares declined on the NSE.

Among the frontliners, Unitech, Reliance Power, Bharti Airtel, Sterlite Industries, Idea Cellular, Hindalco, Reliance Communications, SAIL, Wipro and HCL Tech were witnessing buying interest.However, Tata Motors, Ambuja Cements, TCS and Infosys were losers in early trade.

Midcap space:ABG Shipyard and Bharati Shipyard were up 3% each. Great Offshore was flat.

Edelweiss Capital was down 0.5%, as it bought 20 lakh shares of Great Offshore at average Rs 577.90/share. Edelweiss' MTM loss stood at Rs 13.50 crore.

Rama Newsprint was up 10%. Tata Elxsi jumped another 9%.

Mahindra Satyam up 5% post upgradation from brokerages and they are not worried about their clients.

However, Mastek fell 1.5%

Wipro to hire 5,000 people, revamp recruitment plan

IT firm Wipro Technologies on Wednesday said it will hire 5,000 people in the next couple of months and is looking at a fresh recruitment strategy of taking in graduates from non-engineering institutes.

"Our strategy is to recruit non-engineering graduates, in addition to engineering and make them fit into the slot. We are still working out the details," Wipro Technologies Joint CEO Girish Paranjpe today said. Refusing to divulge more details for next year's recruitments and outlook, Paranjpe said it would be a mix of 60 per cent freshers and 40 per cent experienced. Around 5000 will be taken into the company in a month or two, he said. Last year the company made offers to as many as 8,500 persons through recruitment drives in colleges and institutions. "We expect clients to make no further cuts in their budgets. We expect 2010 to be a better year than 2009," Paranjpe told reporters here on the sidelines of dedicating renovated Manikonda Lake at Hyderabad facility to the community. He said the new hiring strategies will be worked out in a month or two. Attrition rate in the company stood at ten per cent. On becoming energy efficient, he said the company is determined to reduce the carbon emission per employee by 45 per cent from the present 3.96 tonnes to 2.5 tonnes in the next five years. "Our power consumption went down by 12 per cent last year and we are planning to set up a micro windmill at our Hyderabad facility soon," Paranjpe said. The company consumes nearly 75 megawatt power from both Government and internal sources. He said the company's exposure in the Gulf market is around 4 per cent and the Dubai financial crisis will have no impact.

Car sales post double-digit growth in Nov; Maruti leads

Carmakers continued to see double-digit sales growth in November, helped by last year’s low base effect, when car sales had plummeted

Luxury cars to hit Indian roads Car buyers look the SUV way Bentley Mulsanne Lamborghini Gallardo

to its lowest level on negative customer sentiment impacted by the global financial meltdown. Even though November sales dipped from the previous month, car companies are bullish that the double-digit growth will continue for the rest of the fiscal.

Car sales had dipped 19.38% to 83,059 cars in November 2008 over 1.03 lakh cars sold in the same month of November 2007. Auto sales had started to grow from December last year, after the government cut excise duty by 4% on all vehicles under its stimulus package that revived demand and brought sales back on positive charts. This apart, the decline in interest rates helped revive car sales in the past one year, which peaked during the festive months of October, during which 1.6 lakh cars were sold.
Market leader Maruti Suzuki India continued to hold the sales momentum, recording 60% jump in sales to 76,359 cars. The major push came from the fast-growing hatchbacks Alto, WagonR, Estilo, Swift, A-Star and Ritz, which also witnessed 60% growth to 56,005 cars last month. Sales of the company’s erstwhile flagship brand, the M800, also grew 32% to 3,040 cars.

Korean carmaker Hyundai’s domestic sales jumped 93% to 28,162 cars in November compared with the same month last year. The company posted its highest increase in its decade-old operations last month. Hyundai senior vice-president (marketing & sales) Arvind Saxena said, “The base effect of lower sales last year has led to a major jump in numbers but the overall economic scenario has changed in the past one year and translated into more footfalls in our showroom.”
Tata Motors’ sales jumped 48% to 18,480 while Fiat’s sales grew six times to 1,965 cars. Utility vehicle maker Mahindra & Mahindra (M&M) saw its sales double to 15,193 units in November. The major push came from SUVs Scorpio, Xylo and Bolero its Sedan Logan continued to get muted response selling 279 cars last month compared with 300 cars in the year-ago month.

General Motors India, a wholly-owned subsidiary of troubled American car maker General Motors, reported its highest jump in sales at 65.27% to 7,118 cars against 4,307 sold in the same month last year. Honda Siel Cars India (HSCI) posted a marginal 2% increase in sales to 5,125 cars.

Two-wheeler sales were largely pushed by market leader Hero Honda, which sold 3.81 lakh two-wheelers last month, an increase of 32% over last year. “With the highest ever sales in November, we have crossed 3 million in the current fiscal. We will cross our target of 4 million two-wheelers much before the fiscal closes,” Hero Honda senior VP (marketing & sales) Anil Dua said.
Chennai-based two-wheeler company, TVS Motors, posted a 37% increase to 1.06 lakh two-wheelers. The increase came from higher demand for scooters, sales for which rose 38% to 25,000 units while motorcycle sales marginally declined to 45,080 units in November compared with 45,276 units sold in the same month last year.

Fringe players in the two-wheeler industry like Suzuki Motorcycle

India posted a 48% growth in sales in November to 14,745 units while India Yamaha Motor grew 2.12% to 17,055 units last month.

50% rise in new HIV cases in year

The number of new cases of HIV in Northern Ireland rose by more than 50% in 2008, compared to the previous year.Latest figures from the Communicable Disease Surveillance Centre show there were 92 HIV diagnoses during 2008, compared to 61 in 2007.In 2008, 14 people were diagnosed with Aids, the first new cases since 2005. Five people died from the disease.There were also 63 diagnoses of syphilis reported in 2008, compared to 27 the previous year.The figures show chlamydia continues to be one of the most common bacterial sexually transmitted infections (STIs) diagnosed in clinics in Northern Ireland, accounting for 27% of all new STI diagnoses in 2008.While the number of new HIV cases rose sharply in 2008, figures for the first half of 2009 show an annual decrease is likely in 2009 - there have been 24 cases in the first six months of the year.The number of new HIV diagnoses has risen sharply in last 10 years - there were just nine in 1998.Just over half of the new cases of the virus in 2008, 55%, were acquired through sex between men and women.Three hundred and ninety six people with HIV were receiving care in Northern Ireland in 2008.An estimated 33.4 million people across the world are living with HIV/Aids.

Tuesday is World Aids Day and Dr Lorraine Doherty, of the Public Health Agency, said: "There is no cure for HIV, but treatment can keep the virus under control and the immune system healthy.

"People on HIV treatment can live an active life, particularly if they have been diagnosed early. More people are living with HIV than ever before due to more effective antiretroviral treatment.

"World Aids Day puts the spotlight firmly on the disease and also provides an opportunity to raise awareness about a range of other sexually transmitted infections, some of which are on the increase in Northern Ireland."

Antiretroviral treatment has become more effective

She said people who are sexually active and particularly those who don't know their partner's sexual or drug history, are at risk of catching STIs.

"For your own peace of mind contact your GP or local Genito Urinary Medicine (GUM) clinic and arrange to have a check-up if you think you may have put yourself at risk.

"If you do have an STI you should contact anyone you have had sex with to prevent them passing it on to another partner."

Airfone launches cheapest Dual SIM handset in India for Rs 1,499/-

Airfone Mobiles launched a new AF11 model in the Indian market for a price of Rs 1,499/-.

The handset supports dual SIM, has FM, MP3, talk-time of 420 minutes, standby time of 240 minutes and is available in Black+Grey, Black+Red and Black+Blue colour combinations.

According to Mr. Vishal Chitkara, Director, Airfone, “Our focus is to bring in the latest technology to provide our customers world class mobile handsets at local prices. AF11 is our latest offer to the Indian market, for commencing our aggressive expansion plans in major cities in India.”

HP launches touch-enabled All-in-One PCs

PC maker Hewlett Packard on Friday launched its new range of All-in-One (AIO) PCs, based on touch technology which is priced at Rs59,990 onwards. "HP's new range of All-in-One PCs combine the monitor and CPU and the result is a powerful, sleek and elegant desktop. HP has also introduced multi-touch computing for consumers with the introduction of HP TouchSmart300 All-in-One Desktop PC, HP said in a statement.

The HP TouchSmart300 PC and HP TouchSmart600 PC feature enhanced multi-touch technology, including gestures such as pinch, rotate, arc, flick, press and drag, enabling users to move, modify and share all digital content with natural and intuitive movements. The AIO PCs are priced at Rs 59,990 and Rs 89,990 respectively, it added.

The HP Pavilion MS200, which is the company's first non-touch consumer all-in-one desktop PC, is priced at Rs 36,990.

"From touch to entertainment and multimedia, HP continues to showcase its technology innovation and leadership," HP India Country Manager (Consumer Desktop PCs) Ketan Patel said.

Nifty gains momentum; oil & gas, metals up

Equities were witnessing sustained buying activity across the board led by gains in oil & gas, metals and auto stocks. The market is

Tips to pick potential stocks Tips for range-bound markets Risk while investing in midcaps

likely to turn volatile later in the day ahead of November series F&O expiry.

“With F&O expiry just a day away, it would be wise to remain non-committal. We expect a flat to cautious start and another choppy day. The main indices will remain mostly sluggish in a tight range. Global events will continue to drive the sentiment.

Concerns about banks came back to haunt China and Europe. In the US, stocks lost some ground amid persistent economic worries. A slow recovery is what the Fed predicts for the US along with high unemployment. This means rates will remain near zero for a few more months. The so-called ‘exit’ from the accommodative monetary policy is still some distance way. This holds true not just for the US, but for all the nations, including India.

What this also means is there is no danger to the dollar carry trade. But, it would be interesting to see how the markets behave once the dollar bottoms out. That unwinding, whenever it unfolds will have a bearing on global equities. Whether the economic recovery picks up further momentum or fizzles out will also be keenly followed, said India Infoline report.

At 11:18 am, National Stock Exchange’s Nifty was at 5126.05, up 35.50 points or 0.70 per cent. The index touched an intraday high of 5126.45 and low of 5078.35.

Bombay Stock Exchange’s Sensex was at 17,248.18, up 117.10 points or 0.68 per cent. The 30-share index hit an intra-day high of 17254.79 and low of 17124.15.

“Trend deciding level for the day is 5086 / 17130. If Nifty trades above this level during the first half-an-hour of trade then we may witness a further rally up to 5118 – 5145 / 17232 – 17333. However, if Nifty trades below 5086 / 17130 for the first half-an-hour of trade then it may correct up to 5058 / 17029,” said Angel Broking note.

BSE Midcap Index was up 0.91 per cent and BSE Smallcap Index gained 0.95 per cent.

Amongst the sectoral indices, BSE Oil&gas Index was up 1.82 per cent, BSE Metal Index moved 1.28 per cent higher and BSE Auto Index gained 1.12 per cent. BSE Realty Index was down 0.12 per cent.

BPCL (6.91%), GAIL (2.33%), Reliance Industries (2.04%), SAIL (2.03%) and M&M (1.68%) were amongst the top Nifty gainers.

HCL Tech (-0.96%), Reliance Infrastructure (-0.95%), Tata Power (-0.84%), ICICI Bank (-0.63%) and Jaiprakash Associates (-0.55%) were amongst the losers.

Market breadth was positive on the BSE with 1550 advances and 721 declines.

Meanwhile, the US stocks fell on Tuesday on lackluster economic data in a session marked by low volume and choppy trading, but losses eased after the Federal Reserve raised its expectations for growth in 2010.

The Dow Jones Industrial Average dropped 17.24 points, or 0.16 per cent, to end at 10,433.71. The Standard & Poor's 500 Index inched down just 0.59 of a point, or 0.05 per cent, to 1,105.65. The Nasdaq Composite Index fell 6.83 points, or 0.31 per cent, to 2,169.18.

Asian markets were trading with modest gains after a weak session earlier. The Nikkei gained 0.34 per cent, Straits Times climbed 0.10 per cent and Shanghai Composite advanced 0.76 per cent.

Maruti to Mull Fresh Investment in January

The Indian unit of Suzuki Motor Corp. said Monday it will consider in January making fresh investment at its manufacturing plants.

"Our next board meeting is still two months away," I.V. Rao, managing executive officer for engineering at Maruti Suzuki India Ltd., told reporters. "We are internally discussing fresh investment proposals, but a final decision will be taken at the board meeting (in January)."

Mr. Rao declined to elaborate on the planned investment, but India's largest car maker by sales had said previously it may raise manufacturing capacity to meet rising demand for its hatchbacks and sedans.Maruti's factories are located at Gurgaon and Manesar in the northern state of Haryana.

The company wants to increase capacity as rising incomes, easier loan rates and the introduction of new models such as the Estilo and Ritz have lifted local demand. Exports are also showing a rising trend because of increasing global demand for fuel-efficient small cars.

Sale of Maruti cars grew 25% during April-October 2009 to 558,332 vehicles. Local sales grew 16% to 478,049 vehicles, while exports more than doubled to 80,283 vehicles from 35,599 a year earlier.

Mr. Rao said also that Maruti, which sells one in every two cars sold in India, has discontinued production of the Versa multipurpose vehicle because of low demand.

"The numbers were very low as it is for Versa and we were making the car only on demand," he said. "Now we have completely stopped production for the model."The Versa will be replaced with a new van, Mr. Rao said, without giving a timeframe.He said Maruti will likely touch one million unit annual car production by March.

Pay just Rs 19 for portability

Come January 2010, consumers need to pay only Rs 19 and change their service provider, even as they retain the same mobile number.In a move could intensify the stiff competition in the world's fastest-growing telecom market and push call charges ever lower, the Telecom Regulatory Authority of India (Trai) on Friday said the porting charges for switching one's mobile operator 'cannot be more than Rs 19.'
The country is set to introduce mobile number portability (MNP) on December 31. MNP allows the subscribers to retain their existing mobile telephone number even as they move from one access provider to another. This move is irrespective of the mobile technology or from one cellular mobile technology to another of the same access provider, in a licensed service area. In other words, the consumer can switch from CDMA to GSM.
The move is expected to increase competition among operators and act as a catalyst to improve their quality of service. Operators are free to levy any amount less than or equal to Rs 19, the regulator has said in a statement.
The dipping charges, payable by an access provider or an international long distance operator to MNP service provider for dipping of each message, has been left to mutual negotiation between telecom service providers and respective MNP service providers, the statement added.
MNP was initially planned to be launched in the country by October. According to the Trai guidelines, porting or switching a mobile number from the existing service provider to the new one should be completed within a maximum time period of four days.
A shakeout is clearly indicated in the telecom field. The move is being looked at as one of opportunity for new licencees, which are clearly looking to connect with potential subscribers. Existing operators are also mulling the the opportunity to let go of those subscribers who are not profitable.
Four new firms, including ventures of international telecom operators Telenor, Etisalat and Batelco, are set to start services in India this year, and MNP would clearly make it easier for them to lure existing subscribers, according to an analyst tracking the telecom sector.
"The principal loss in any kind of number portability are the bigger players. The new ones, however, stand to gain tremendously," the analyst said, adding, that around 2-3% of the consumers "are likely to port."
"Number portability intends to increase churn rates since it gives consumers the ability to change service providers without changing their mobile phone numbers," said a senior official with a telecom firm, requesting anonymity. However, the official cautioned, "that the threat for operators is that regulators may use it as a tool to force tariffs down and create opportunities to license more operators."
MNP would "also lead to high implementation costs for the operators, including equipment costs

Airtel cuts mobile roaming rates by 60%

Telecom major Bharti Airtel today cut mobile roaming rates by 60 per cent for its 115 million users, opening a new turf in the ongoing tariff war.
Under the new plan 'Airtel Turbo', users will be charged 60 paisa per minute on all incoming calls while roaming. The 60 paise rate will also apply to local and STD calls within its own network.
Despite profitability getting affected with tariffs touching new-lows, companies are eager to catch the volume growth as subscriber numbers are going up.
The local and outgoing calls to another network on roaming will be charged at 80 paise a minute, a statement said.
"These reduced roaming tariffs spells huge benefits of up to 60 per cent for all Airtel users who would enrol under this plan," it said.
"Recent research has shown that customers need benefits while travelling and are not satisfied with just local calling benefits", Bharti Airtel President (Mobile Services) Atul Bindal said in a statement.
Airtel Prepaid mobile customers wishing to avail this benefit will be charged a plan enrolment fee of Rs 98, which will give an incoming validity of one year, while postpaid users can subscribe to a monthly rental plan.

Ambanis, Mittal in Forbes' list of richest Indians

Mukesh Ambani has emerged the wealthiest person in India with a net worth of $32 billion, as the number of Indian billionaires in Forbes'

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‘India Rich List’ this year has nearly doubled to 52, thanks to the rebound in stock markets.
London-based Lakshmi N Mittal with $30 billion, Anil Ambani with $17.5 billion, Azim Premji with $14.9 billion, Shashi and Ravi Ruia with $13.6 billion and K P Singh with $13.5 billion make up the top five billionaires on this year's list.
"The combined net worth of India's 100 richest people is $276 billion - almost a quarter of the country's gross domestic product," the magazine said, adding the number of Indian billionaires has also nearly doubled from 27 last year.
The number of Indian billionaires now is just two short of the peak reached in 2007 when the stock markets were booming.
"The head of Reliance Industries, Mukesh Ambani, is once again the wealthiest person in India. His net worth is put at $32 billion, an increase of 54 percent from nearly $21 billion last year."
While Mittal's net worth has jumped 46 percent, Anil Ambani has seen the value of his assets jump 40 percent.
"The story also highlights interesting differences between the rich in India and China. The 100 richest Indians are worth $276 billion: Their Chinese counterparts have a net worth of $170 billion," the magazine said.
"The list is also an indicator of how India's billionaires have done better than their counterparts in other parts of the world."
Forbes said even though the top 10 positions remain largely unchanged, there are some shifts in the fortunes of some. Sunil Mittal moved down from fourth position to eighth, while Premji moved up to fourth and the Ruias to Number 5.
Adi Godrej moved out of the top 10 to the number 12, while Savitri Jindal, non-executive chairperson of the O.P. Jindal group, made it to Number 7 and is one of only six women on the list.
The richest newcomers are two brothers of Torrent Power, Sudhir and Samir Mehta, ranked 23, even as another notable mention is Nandan Nilekani who stepped down from Infosys to join the government and ranks 43 with a net worth of $1.25 billion.
"Southern India's TV king, Kalanithi Maran, ranked 20, almost doubled his net worth to $2.3 billion from $1.2 billion," said the magazine, adding that it had featured him in a cover story.
The top 10 richest in India are:

1. Mukesh Ambani $32 billion

2. Lakshmi Mittal $30 billion

3. Anil Ambani $17.5 billion

4. Azim Premji $14.9 billion

5. Shashi & Ravi Ruia $13.6 billion

6. K.P. Singh $13.5 billion

7. Savitri Jindal $12 billion

8. Sunil Mittal $8.2 billion

9. Kumar Birla $7.8 billion

10. Gautam Adani $6.4 billion

Sensex closes below 17,000 points

A key index of the Indian equities markets slipped 52 points Wednesday to close below the 17,000-point mark amid selling pressure and weak cues from Asian markets.The 30-share sensitive index (Sensex) of the Bombay Stock Exchange (BSE), which opened lower at 17,032.01 points, closed at 16,998.78 points, down 51.87 points from its previous close.The index hit an intra-day high of 17,098.79 points, but failed to hold on to the gains as investors preferred to book profit in key scrips.At the National Stock Exchange (NSE), the broader S&P CNX Nifty also closed in the red at 5,054.7 points, down 0.15 percent from the last close.However, investors found favour with broader market indices, with the BSE midcap index closing 0.29 percent higher and the BSE small cap index 0.8 percent up.The market breadth was positive, with 1,598 stocks advancing, 1,166 declining and 82 remaining unchanged.Of 30 stocks on the Sensex, 12 ended on the gainers' list.Prominent among them were Tata Motors, up 3.14 percent; Tata Steel, up 1.68 percent; ITC Ltd, up 1.61 percent; and Infosys, up 1.54 percent.Among losers were Reliance Infrastructure, down 3.2 percent; Larsen and Toubro, down 1.72 percent; ICICI Bank, down 1.47 percent; and Reliance Industries, down 1.47 percent.According to data with the regulator, the Securities and Exchange Board of India (SEBI), foreign institutional investors bought shares worth $128.4 million Wednesday.Other Asian markets ended on a dull note.The primary index of the Hong Kong Stock Exchange, Hang Seng, closed 73.82 points or 0.32 percent lower at 22,840.33 points.The Nikkei, a key index of the Tokyo Stock Exchange, closed at 9,676.8 points, down 53.13 points.In China, the Shanghai Stock Exchange composite index closed marginally in the green at 3,303.23 points, up 0.62 percent.European markets were trading mixed.Britain's FTSE 100 index was ruling 22.75 points lower at 5,368.68 points, while its French peer, CAC 40, was trading 24.84 points up at 3,853.9 points.The German index, DAX, was ruling 46 points up at 5,824.43 points.

Nokia launches Nokia N97 mobile phone with Lifecasting news

Nokia on Monday launched the new addition to its N series mobile phone devices, Nokia N97, which enables users to lifecast. The N97 mini features Lifecasting with Ovi that will open up the next innovative chapter of personal and location-aware internet. The mobile phone is offered in partnership with the world's largest social network, and Lifecasting with Ovi is the first application to allow publication of user's location and status updates directly to their Facebook account from the user's mobile phone home screen.Lifecasting goes much beyond mere publication of user status, it makes for building deeper and closer connections between people. It builds new kinds of communication patterns, such as sending messages or status updates or even navigating to a friend or a place.The new device was launched during Nokia N-Tour-Age, a showcase of Nokia's premium devices and services.The device is aimed at the style-conscious consumer, active on social networks. The Nokia N97 mini is a small mobile computer featuring a tilting 3.2" display. It has a QWERTY keyboard and a fully customisable homescreen that gives the Nokia N97mini the uniqueness of a fingerprint

Sensex ends 184 pts up on strong global cues

The Sensex crossed the psychological 17,000 mark in early trade this morning as the bulls, backed by strong global markets and recent buoyant economic reports, stormed the ring and grabbed stocks almost across the board. The barometer then moved in a tight band for almost the entire duration of the session but was never really in any danger of losing ground as several front line stocks held on to their gains thanks to sustained buying support.While the Sensex, which rose to 17,083.20 in afternoon trades, ended the day at 17,032.51 with a sharp gain of 183.68 points or 1.09%, the Nifty index of the National Stock Exchange closed at 5058.05, slightly off the day's high of 5073.20, with a gain of 59.10 points or 1.18%.

Notwithstanding the recent upward revision in inflation forecast by the Apex bank and concerns over a possible hike in interest rates in the near future, investors remained upbeat thanks to a firm trend across the globe. The sentiment was also aided by strong industrial production data for September (announced on Thursday last week) and the government's plans to sell some of its stakes in several state run firms in order to raise funds for various social welfare schemes and to reduce the widening fiscal deficit.Realty stocks bounced back into the reckoning. Auto and metal stocks were the other impressive performers of the day. Oil stocks took time to settle down but rallied well in afternoon trades. Select consumer durables, bank, power and pharma stocks closed with sharp gains.Capital goods, PSU and FMCG stocks lacked support at higher levels and shed some of their gains. Information technology stocks remained subdued almost right through the session. It was a good day for several stocks from midcap and smallcap segments as well.Maruti Suzuki ended stronger by nearly 5.5%. Hero Honda moved up 3.85%. Tata Motors and Mahindra & Mahindra gained 2.35% and 1.8% respectively.DLF gained over 4.5%. Sterlite Industries, Reliance Communications, Tata Steel, Hindalco, Hindustan Unilever, Grasim Industries and State Bank of India ended higher by 2% - 3.75%. Sun Pharmaceuticals, Reliance Industries, ONGC, ACC, Jaiprakash Associates, Reliance Infrastructure andICICI Bank also closed on a firm note. Wipro, Bharti Airtel, Tata Power, ITCand Larsen & Toubro closed with modest gains.Tata Consultancy Services and Infosys Technologies ended with modest losses, while NTPC, HDFC Bank, BHEL and HDFC ended flat.Suzlon Energy closed with a strong gain of 7.35% on reports of a big order win. Reliance Power notched up over 5%. Siemens gained over 3%.Idea Cellular, Unitech, GAIL India, ABB, Ambuja Cements, Jindal Steel,Reliance Capital, Cairn India and Punjab National Bank also closed on a firm note today.Everest Kanto Cylinder shot up by 9.6%. Pantaloon Retail ended nearly 7% up. RECL, IRB Infrastructure, Jain Irrigation Systems, Lanco Infratech,Aban Offshore, Hindustan Zinc, Shriram Transport, GVK Power, Zee Entertainment, Koutons Retail, Bajaj Auto and Financial Technologies also closed with strong gains.Midcap stock BF Utilities ended with a hefty gain of 20%. Amtek Auto, HT Media, ING Vysya Bank, Gammon Infrastructure, SKF India, Motherson Sumi, IPCA Laboratories, Aban Offshore, Info Edge, Alfa Laval andKalpataru Power recorded impressive gains.The market breadth was strong right through the day. Out of 2864 stocks traded on BSE today, 1758 stocks closed higher. 1017 stocks declined and 89 stocks ended flat.

SEBI allows registered brokers to deal in MF products

In a move that could considerably widen the distribution network for mutual funds, Securities and Exchange Board of India (SEBI) on Friday allowed registered stockbrokers to transact mutual fund units on behalf of their clients through the stock exchange mechanism.

“The infrastructure that already exists for the secondary market transaction through the stock exchanges with its reach over 1,500 towns and cities, through over two lakh stock exchange terminals can be used for facilitating transactions in mutual fund schemes,” the SEBI circular said.

Stockbrokers will be eligible to be considered as official points of acceptance, the circular said. These stockbrokers need to pass AMFI’s (Association of Mutual Funds in India) certification examination, and become empanelled distributors.

Every mutual fund has to disclose the locations of its official points of acceptance in its offer documents and Web sites.

Selling through the stock exchange mechanism basically means an additional order routing system for buying or selling mutual fund schemes; there is no price discovery, said a senior official at a transfer agent’s office.

End-users can use the convenience of their neighbouring broker’s office for their mutual fund transactions, said Mayank Shah, CEO of Anagram Stock broking.

Whether brokers can charge a fee for the service or not is unclear. But Shah felt a fee structure would evolve once the system is in place.

This issue must be seen in the light of SEBI abolishing the entry load on mutual fund investments for distributors, starting August 1. This affected distributor income as well as inflows into equity schemes.

Currently investors roughly pay 1.25% as commission to distributors; 0.75% is upfront commission and the rest in the form of “trail commission” (when an investor remains invested in his fund).

“Once the broker starts acting as a distributor, there is an issue about what commission he might ask for and whether the client would be ready to pay that or not,” said a broker.

The SEBI circular on Friday also said that investors can hold units of mutual fund schemes in dematerialised form, and that the demat statement given by the depository participants would be deemed adequate compliance with SEBI norms.

Further, the stock exchanges should provide for an investor grievance handling mechanism to handle disputes between brokers and their clients. The time-stamping for transactions would be in the form of a confirmation slip issued through the stock exchange mechanism. The markets regulator has asked the stock exchanges to provide detailed operating guidelines for facilitating transaction in mutual funds on their platform by their member-brokers.