5th December, 2010 ISSUE 3

STAYING UPDATED IS NOW A BIT EASIER…

Finance
club
Sensex snaps 3-week losing streak, gains 830
points
The equity indices notched up their first weekly gain in four
weeks despite closing with marginal losses on Friday as in-
vestors booked profits following a four-day rally, supported
by an upbeat domestic economic outlook. Foreign institu-
tional investors (FII) have bought a record $29 billion worth
of equities so far in 2010 compared with $17 billion in 2009,
driving up the benchmark Sensex by about 14%.
Indian economy grows by robust 8.9% in July-
September quarter: India's economy grew by a robust 8.9
per cent in the second quarter (July-September) of 2010-11
to Rs 11,46,637 crore from Rs 10,53,057 crore in the same
quarter of 2009-10. The growth rate during the period de-
picts India as the second fastest growing large economy after
China which registered a growth of 9.6 per cent in the Sep-
tember quarter. Sectors that showed significant growth are
as follows:

MOIL IPO subscribed 56.43 times

Sectors Growth(%)
The 3.36 crore equity shares' initial public offering of MOIL re-
ceived tremendous response from non-institutional as well as retail Construction 8.8
investors.It was subscribed more than 49 times in the portion re- Manufacturing 9.8
served for institutions. The portion reserved for wealthy, or high
Transport and Com- 12.1
net worth individuals , was bid 143 times, while the retail portion,
where limit was doubled to Rs 2 lakh per application was subscribed
munication
more than 28 times. Most of the bids were at the top end of the Rs Financial Services and 8.3
340-375 a share price band. Insurance
The Centre will divest a 10 per cent stake in the company through
the IPO, while the state governments of Madhya Pradesh and Ma-
ITC shuts cigarette units on uncertainty over
harashtra will offload 5 per cent each.
At the upper end of the price band, MOIL's IPO would be worth warnings
nearly Rs 1,260 crore and at the lower end, it would fetch about Rs ITC, India's top cigarette maker, has stopped production in all its
1,142 crore. units because of lack of clarity about pictorial warnings to be car-
Edelweiss Capital, IDBI Capital Market Services and JP Morgan In- ried on packets starting this month. ITC’s shares plunged by 3.5
dia Private are the book running lead managers to the issue. per cent in the early trade on BSE after the company said it has
halted production of cigarettes at all its 5 manufacturing units.
Quotes from INVEstors
Price is what you pay. Value is what you get. Warren Buffet
Bull markets are born in pessimism, grow on skepticism, mature on optimism, and die of euphoria. John Templeton
The Market is my altar - I am Its God - Anyone want to form an alliance? Rakesh JhunJhunwala
The worse a situation becomes the less it takes to turn it around, the bigger the upside. George Soros
Invest in what you know. Peter Lynch
Telephone subscriber base touches 723.28 mil- Food inflation eases to
lion in September 18-month low
The number of tele- India's food inflation rate
phone subscribers in dropped significantly to 8.60
India rose to 723.28 mil- per cent for the week ended
lion at the end of Sep- November 20 from 10.15 per
tember this year, an in- cent in the previous week,
crease of 2.39 per cent marking a return to single-
over the figure of 706.37 digit levels after several
million at the end of weeks. Food items have a weightage of just over 14 percent
August. With this, the in the wholesale price index, the most widely watched gauge
overall teledensity in of prices in India. India's wholesale price index rose 8.58 per-
India has reached 60.99. cent in October from a year earlier -- its lowest in 10 months
The wireless subscriber -- compared with 8.62 percent in September.
base increased from
670.60 million in August 2010 to 687.71 million at the end Nicolas Sarkozy in Delhi, to meet PM
of September 2010, registering a growth of 2.55%. Wireless India and France likely to
teledensity stands at 57.99. The wireline subscriber base sign some agreements related
declined from 35.77 million in August 2010 to 35.57 mil- to space, technology, nuclear
lion at the end of September 2010. Public sector telecom cooperation and culture after
service providers Bharat Sanchar Nigam Limited (BSNL) the talks. Besides giving a
and Mahanagar Telephone Nigam Limited (MTNL) hold fresh impetus to bilateral ties,
83.48% of the wireline market share. Manmohan Singh and Sar-
kozy are expected to discuss
India's forex reserves slump by over $4bn global issues like reform of
India's foreign exchange the international financial institutions, the G20 forum of major
(forex) reserves declined and emerging economies, climate change and non-proliferation.
by over $4 billion to
$293.98 billion for the
2G scam: Ratan Tata
week ended Nov 26, fall- asks Supreme Court to
ing sharply for the third stop Radia tapes leak
straight week because of Tata group chairman Ratan
heavy loss in foreign cur- Tata on Monday moved
rency reserves. the Supreme Court seeking
A sharp decline in the foreign currency assets, the biggest an immediate injunction
component of the forex reserves kitty, has been the main
on leaks of the corporate
lobbyist Niira Radia tapes, saying the disclosure of her tele-
reason for the loss of forex reserves for the third consecu-
phonic conversations had violated his right to privacy and
tive week.
those responsible deserved to be punished.
Special Drawing Rights (SDRs) fell by $62 million to
$5.082 billion and the reserve with the IMF declined by American International Group returned to the bond mar-
$24 million to $1.974 billion. ket for the first time since its bailout raising $ 2 billion.

ICICI raises lending and deposit rates by 50 basis Wall-Mart offered 16.4 billion Rand ($2.3 billion) for a
points , reason being uptick in demand for credit. 51% stake in Massmart, a south-African retailing group.

WikiLeaks loses major source of revenue after the The federal trial began of a former Goldman Sachs Pro-
online payment service provider PayPal cut off its account grammer who is accused of stealing the source code for the
used to collect donations, saying the website is engaged in investment banks high frequency trading platform.
illegal activity.