Goldman Sachs says Reliance Industries can potentially become a USD 100 billion stock by fiscal 2017 from its current market capitalisation of around USD 46.6 billion. The stock closed at 5-month high and above psychological mark of 800.
Rate cut? Not yet
The Reserve Bank today said it will assess if the declining trend in inflation is sustainable and accordingly take decision on reducing interest rate.
RBI Deputy Governor K C Chakrabarty said 5% inflation is India’s comfort zone. The Reserve Bank is scheduled to review its monetary policy on September 17. Bank Nifty sheds 1% in trade today.
The Sensex closed at 17657.21, down 70.99 points or 0.40% at 17657.21 and the Nifty ended at 5362.95 down 17.40 points or 0.32%. The breadth of the market was negative. About 1261 shares advanced, 1505 shares declined, and 678 shares remain unchanged.
Top news of the day
ITC lost over 3% on fears about regulatory action at home after Australia called on the world to match its tough new anti-tobacco marketing laws that will ban logos on cigarette packs.
Maruti Suzuki will lift the lock out at its Manesar plant on August 21, R C Bhargava, the chairman of India’s largest passenger car maker said on Thursday. Maruti had shut the Manesar plant last month, following a workers unrest that left a general manager dead and 96 supervisors and managers injured.
Shares in India’s software exporters Infosys and Tata Consultancy Services fall after MSCI’s decision to lower their weighting in the MSCI India index.
MSCI also increased the weightage of HDFC’s in its MSCI India Index by 120 basis points to 7.4%. The changes of MSCI index review would be effective after close of market hours on August 31.
Coal India (CIL) has agreed to certain changes in the fuel supply pact to be entered with state-nominated agencies. The development comes ahead of company board meeting early next month to approve model fuel supply agreement (FSA) which the coal major would sign with power companies.
Jet fuel or ATF price was today hiked by over 3.2%, the third straight increase since July, adding to the cost burden of cash-strapped airlines.
The price of aviation turbine fuel (ATF), or jet fuel, in Delhi was hiked by Rs 2,130.17 per kilolitre (kl), or 3.27%, to Rs 67,135.76 per kl, according to Indian Oil Corp, the nation’s largest oil firm. The rate hike comes on back of a steep 4.5% increase in rates effected from August 1 and has wiped off all of the reduction in prices done in May and June.
TCS to buy Computational Research Laboratories (CRL), a start-up group company, for Rs 188 crore. The move would boost its cloud computing services.
European markets weak
European stocks and the euro were lower on Thursday after global growth engine China warned its trade outlook was worsening and stronger US data tempered expectations of additional stimulus from the Federal Reserve.
Gold demand at 2-year low
Gold demand fell to its lowest level in more than two years in the second quarter, the World Gold Council said on Thursday, as a drop in buying in major consumers India and China outweighed a record quarter for central bank purchases.
Overall gold consumption fell 7% or nearly 76 tonnes to 990 tonnes in the three months to June, its lowest quarterly level since the first three months of 2010, the WGC said in its quarterly Gold Demand Trends report.