Market may open lower on weak Asian stocks

The market may open lower on weak Asian stocks. Trading of CNX Nifty futures on the Singapore stock exchange indicates that the Nifty could fall 38.50 points at the opening bell. Asian stocks dropped today, 26 September 2014, with Japanese shares retreating from a six-year high, after the Standard & Poor's 500 index dropped the most in almost two months overnight.

Among news of prominent companies, Cipla after market hours on Thursday, 25 September 2014 said that the medicines patent pool (MPP) announced six new sub-licences with Aurobindo, Cipla, Desano, Emcure, Hetero Labs and Laurus Labs to allow generic manufacture of TAF for 112 developing countries. MPP's announcement comes one day after Gilead released positive results on two of its TAF Phase III studies, suggesting that the medicine has the potential to play a large role in the international community's efforts to scale-up HIV treatment, the statement from MPP and Cipla said.

Hindalco Industries after market hours on Thursday, 25 September 2014, issued a clarification with regard to the Supreme Court cancelling coal block allocations. The company said that at a suggested levy of Rs 295 per tonne on coal, the total one time impact on the company would be around Rs 500 crore. In any case, the company was not expecting the captive coal immediately and it has plans to operate on purchased coal. The only incremental impact because of the cancelation of coal blocks would be on the cost of production at Hirakud smelter starting April 2015, which is not expected to be significant, Hindalco Industries said.

Reliance Industries said before market hours that Reliance Jio Infocomm (RJIL), a subsidiary of RIL has signed a $750 million loan backed by Korea Exim Bank on 24 September 2014. The loan is guaranteed by RIL and will be primarily used to finance goods and services procured from Samsung Electronics for the infrastructure rollout of RJIL.

This is the first loan between Reliance group and Korea Exim Bank and has a door to door tenor of 12 years including a 2 year availability period and repayable over 10 years thereafter. This deal is notably Korea Exim Bank's largest telecom infrastructure financing till date. It is also Korea Exim Bank's largest deal in India. Korea Exim Bank is funding $ 440 million of the above loan as a direct funding and the balance $ 310 million is being funded under the K-Exim covered guarantee by eleven of Reliance's relationship banks.

Jindal Steel & Power (JSPL) after trading hours on Thursday, 25 September 2014, said that the management is in the process of evaluating the impact of the Supreme Court's decision. The stock has been hit adversely by the Supreme Court's decision to cancel most coal blocks allocated since 1993 as the company has operating coal blocks which stand cancelled.

Prime Minister Narendra Modi left for a five-day visit to the United States yesterday, 25 September 2014. The Indian Prime Minister will meet US President Barack Obama at the White House on 29-30 September 2014. The two leaders will discuss a range of issues of mutual interest in order to expand and deepen the US-India strategic partnership. They will discuss ways to accelerate economic growth, bolster security cooperation, and collaborate in activities that bring long-term benefits to both countries and the world.

Indian stocks fell in choppy trade on Thursday, 25 September 2014, after the government once again deferred a decision on revising gas prices and as investors assessed the repercussion of previous day's Supreme Court verdict cancelling most coal block allocations made since 1993 due to irregularities in the allotment. The Sensex shed 276.33 points or 1.03% to settle at 26,468.36 on that day, its lowest closing level since 26 August 2014.

The provisional data released by the stock exchanges after trading hours on Thursday, 25 September 2014, showed that foreign portfolio investors (FPIs) sold shares worth a net Rs 851.24 crore on that day.

Asian stocks dropped today, 26 September 2014with Japanese shares retreating from a six-year high, after the Standard & Poor's 500 Index dropped the most in almost two months overnight. Key benchmark indices in Indonesia, Japan, South Korea, Hong Kong, Taiwan and Singapore fell 0.08% to 1.03%. China's Shanghai Composite rose 0.14%.

Japan's annual core consumer inflation eased in August, in another sign that the Bank of Japan could be forced into additional easing steps to meet its 2% price goal sometime next fiscal year.

US stocks dropped on Thursday, 25 September 2014, on a report that Russian lawmakers are drafting legislation that would allow the government to seize foreign assets in response to sanctions by US and the European Union imposed on account of Russia's agression in Ukraine.

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