Market may edge lower in early trade on weak Asian stocks

The market may edge lower in early trade tracking weak Asian stocks. Trading of CNX Nifty futures on the Singapore stock exchange indicates that the Nifty could fall 14.50 points at the opening bell. Asian stocks declined on Thursday after a private gauge of China's manufacturing in January unexpectedly contracted.

Cairn India, Dish TV India, Indian Bank, L&T Finance Holdings, Mastek, Novartis India, Bharti Infratel and Essar Ports will announce their October-December 2013 earnings today, 23 January 2014.

Metal stocks may edge lower as a private gauge of China's manufacturing in January unexpectedly contracted. China is the world's largest consumer of copper and aluminum.

Bank of India turns ex-dividend today, 23 January 2014 for the interim dividend of Rs 5 per share for the year ending 31 March 2014.

IDBI Bank turns ex-dividend today, 23 January 2014 for the interim dividend of Rs 0.73 per share for the year ending 31 March 2014.

L&T said after market hours on Wednesday, 22 January 2014, its recurring profit after tax rose 12% to Rs 1136 crore on 12% growth in gross revenue to Rs 14534 crore in Q3 December 2013 over Q3 December 2012. L&T said the results are excluding the performance of the hydrocarbon business segment, which has been transferred to a wholly-owned subsidiary of the company with effect from 1 April 2013. Consequently, the figures for the previous periods have been restated to make a like-to-like comparison, L&T said.

L&T said its order inflow rose 21% to Rs 21722 crore in Q3 December 2013 over Q3 December 2012, shrugging off prevailing weak investment climate. The international order inflow during the quarter at Rs 8237 crore, more than doubled on the back of major orders secured in the Middle East. The order backlog rose 13% year-on-year at Rs 171184 crore as on 31 December 2013. International order book constituted 15% of the total order book.

L&T said that while the company continues to focus on maximizing the domestic opportunities, it is strengthening its international presence in select overseas markets. Competitive value proposition to the clients and disciplined execution have helped the company sustain its profitable growth momentum, L&T said. Presence in the diverse sectors, healthy order book, proven track record and strong balance sheet are the key enablers for the company to steer through the near to medium challenges and meet its growth aspirations, L&T said in a statement.

Assuring global investors that India is prepared to face the impact of the US Fed tapering, finance minister P Chidambaram on Wednesday said the country is poised to clock 5% growth in 2013-14 and over 6% in 2014-15. Addressing a meeting of the World Economic Forum (WEF), Chidambaram said the Indian economy has "stabilised and it is poised to return to high-growth path and step by step we will go back to 8% growth rate".

On the impact of the calibrated tapering of bond purchases by the US central bank, Chidambaram said: "We were concerned in May. But now I think we have done a lot of preparatory work. There will be some consequences in developing and emerging economies but I think we are better prepared for the taper than when we were surprised in May".

The Reserve Bank of India's Third Quarter Review of Monetary Policy for 2013-14 is scheduled on 28 January 2014. The RBI kept its main lending rate viz. the repo rate unchanged after its last policy review in December and said at that time that it expected inflation to ease in the following months.

Key benchmark indices edged higher in choppy trade on Wednesday, 22 January 2014 as index heavyweights viz. Infosys, Reliance Industries and HDFC rose. The S&P BSE Sensex garnered 86.55 points or 0.41% to settle at 21,337.67 on that day, a record closing high.

Foreign institutional investors (FIIs) bought shares worth a net Rs 279.45 crore on Wednesday, 22 January 2014, as per provisional data from the stock exchanges.

Asian stocks declined on Thursday after a private gauge of China's manufacturing in January unexpectedly contracted. Key benchmark indices in South Korea, Singapore, China, Taiwan and Hong Kong were down 0.05% to 1.05%. Key benchmark indices in Japan and Indonesia rose 0.24% to 0.41%.

A Chinese manufacturing index showed a slowdown in January as output and orders cooled, with the gauge slipping to a level that signals a contraction. The preliminary reading of 49.6 for a Purchasing Managers' Index released today by HSBC Holdings Plc and Markit Economics, a six-month low, compares with a final figure of 50.5 in December. A number above 50 indicates expansion.

US stocks Wednesday finished mixed as investors continued to react cautiously to a series of uneven earnings reports.

The Federal Open Market Committee (FOMC) holds a two-day monetary policy meeting on 28 and 29 January 2014. By a 9-to-1 vote, the Fed on 18 December 2013 decided to trim its asset-purchase program by $10 billion to $75 billion per month starting in January 2014.

Powered by Capital Market - Live News