Indian markets rose over 2% yesterday on hopes the central bank would cut interest rates and after Prime Minister Singh outlined plans to boost infrastructure spending. Asian stocks also rose on hopes of monetary easing in the US and Europe. The document provides an analysis of movements in various Indian and global market indexes, and economic and corporate news from India and abroad.

1. K E Y N O T E
India Morning Note
Thursday, June 07, 2012
Domestic Markets Snapshot Views on markets today
Name of Index Jun 5 Jun 6 Change (%) • Indian markets rose well over 2% yesterday, posting
Sensex 16,020.64 16,454.30 2.71% their biggest daily percentage gains since Jan. 3, as
continued hopes the central bank would cut interest
CNX Nifty 4,863.30 4,997.10 2.75%
rates sparked a rally in sectors such as autos and
BSE Mid-cap 5,828.46 5,932.30 1.78%
banks. Expectations that Prime Minister Manmohan
BSE IT 5,556.62 5,638.81 1.48% Singh's meeting with ministers later in the day would
BSE Banks 10,891.31 11,218.78 3.01% result in fresh steps to boost the sagging
FII Activity (`Cr) infrastructure sector.
Date Buy Sell Net • Gains in global markets also aided rally in domestic
markets. Global markets rose on expectations of an
5-Jun 1,237 1,866 -629
announcement from the European Central Bank (ECB)
4-Jun 1,496 2,071 -575
later in the global day of a schedule for an additional
Total Jun 4,559 5,901 -1342 long-term refinancing operation (LTRO) as insurance
2012 YTD 287,593 246,996 40596 against a further flight of bank deposits in Europe.
MF Activity (`Cr) • The hopes for monetary relief boosted domestic stocks
Date Buy Sell Net for a third consecutive day, marking a recovery from
5-Jun 650 359 291
steep falls in May, when markets were hit by a toxic
mix of global risk aversion and worries about India's
4-Jun 495 404 91
economic and fiscal fundamentals.
Total Jun 1,392 1,044 348
• The BSE Sensex jumped 433.66 points or 2.71%, up
2012 YTD 55,256 61,375 -6119
about 354 points from the day's low and off close to
Volume & Advances / Declines 40 points from the day's high. The market breadth was
NSE BSE strong. All the 13 sectoral indices on BSE were in the
Trading Volume (Cr) 69.02 20.96 positive zone.
Turnover (`Cr) 11,678 2,060 • Market breadth was strong at ~2.07x as investors
Advances 1,168 1,849 bought large cap stocks. On provisional basis, both FIIs
and domestic institutions bought equity of `2.69bn
Declines 319 894
and `4.89bn, respectively in the cash segment.
Unchanged 67 123
• Asian stocks rose sharply today, as investors hoped for
Total 1,554 2,866
U.S. and European monetary easing to counter
Global Markets growing economic woes.
Index Latest Values Change (%) • We expect a gap up opening for the Indian markets
DJIA 12,414.79 2.37% today following the cues from the Asian markets and
NASDAQ 2,844.72 2.40% rising expectations of policy rate easing in the next
Nikkei * 8,641.31 1.26% monetary policy scheduled on June 18.
Hang Seng * 18,824.30 1.64% Economic and Corporate Developments
* as of 8.25AM IST • Prime Minister Manmohan Singh outlined the
Currencies / Commodities Snapshot government’s agenda for pushing the infrastructure
sector projects with specific targets for 2012-13 to
Latest Previous
Quote Close take the GDP growth rate to 9 per cent at a high-level
Indian Rupee per $ 55.21 55.36 inter-ministerial meeting chaired by him. Two new
major ports in Andhra Pradesh and West Bengal,
Indian Rupee per € 69.36 69.63
three-four international airports, airline hub policy,
NYMEX Crude Oil($/bbl) 85.46 85.02
elevated freight corridor in Mumbai and bullet train
Gold ($/oz) 1,621.20 1,632.80 from Mumbai to Ahmedabad are part of the plan
Silver ($/oz) 29.18 29.49 announced today after the meeting.
Keynote Capitals Institutional Research (research@keynotecapitals.net) (+9122-30266000)
Keynote Capitals Institutional Research is also available on
Bloomberg KNTE <GO>, Thomson One Analytics, Reuters Knowledge, Capital IQ, TheMarkets.com and securities.com
Keynote Capitals Institutional Research - winner of “India’s Best IPO Analyst Award 2009” by MCX-Zee Business
To unsubscribe from this mailing list, please reply to unsubscribe@keynotecapitals.net

2. K E Y N O T E
TOP GAINERS Buzzing Stocks
(BSE A-Group) • In order to strengthen its presence in Punjab, a state
Previous Current Change considered as one of the most lucrative market for
Company Name
Close(`) Price(`) (%) mobile operators, GSM player-Videocon
GMR Infra 19.40 21.55 11.08 Telecommunications Ltd. is planning to inject `486Cr
Pantaloon Retl 151.20 163.15 7.90 in the current financial year to extend its coverage
Apollo Tyres 78.15 84.05 7.55 across the state. The entire funding would be done
Essar Oil 49.90 53.40 7.01 by the Videocon Group.
IRB Infra 114.35 122.20 6.86 • Apollo Hospitals Enterprise Ltd will buy out partner
(BSE Mid-Cap) Imperial Hospital’s stake in a Bangalore hospital-
cum-research facility for around `100Cr.
Previous Current Change
Company Name • Coal India subsidiary Mahanadi Coalfields Ltd (MCL),
Close(`) Price(`) (%)
S Mobility 45.55 49.90 9.55 which intends to use huge reserves of coal lying at
Jai Corp 54.10 58.90 8.87 one of its mines for power generation, expects to
Pantaloon Retl 151.20 163.15 7.90 find a suitable partner for the proposed 1600 Mw
India Infoline 48.05 51.70 7.60 plant by January next year.
Apollo Tyres 78.15 84.05 7.55 • The Karnataka government has sanctioned a special
incentive package to Mangalore Refinery and
TOP LOSERS Petrochemicals Limited (MRPL), an ONGC company,
for the Phase-3 expansion and upgrade. The
(BSE A-Group)
package includes exemption from payment of entry
Previous Current Change tax on plant and machinery and capital goods during
Company Name
Close(`) Price(`) (%)
the initial period of four years from the date of
Wockhardt 869.65 848.95 -2.38
commencement of project implementation.
Glaxosmithk Con 2736.85 2680.00 -2.08
Colgate Palmoliv 1142.65 1120.80 -1.91
• A group of automobile dealers in the US has filed a
lawsuit against Mahindra & Mahindra, accusing
Oberoi Realty 255.85 251.95 -1.52
fraud, misrepresentation and conspiracy, which the
HPCL 304.85 301.10 -1.23
firm has denied. According to Michael Diaz,
(BSE Mid-Cap) managing partner of Diaz Reus & Targ, the lawfirm
Previous Current Change that is representing various dealers, the lawsuit
Company Name alleges that "Mahindra duped hundreds of US auto
Close(`) Price(`) (%)
HT Media 108.55 99.65 -8.20 dealers and walked away with more than $60 million
Hindusthan Nat 205.85 196.35 -4.62 in cash and trade secrets".
Shree Global Trd 87.65 85.00 -3.02 • Larsen & Toubro said its arm L&T Infrastructure
Monnet Ispat 356.55 346.95 -2.69 Development Projects (L&T IDPL) has emerged as a
Shriram City Uni 605.00 590.00 -2.48 successful bidder for the two contiguous NHAI road
projects worth `4,800Cr.
US markets
U.S. stocks rallied overnight, after the Federal Reserve
said the U.S. economy maintained a moderate pace of
growth from early April to late May. The Fed’s Beige
Book of reports from the 12 district banks offered
anecdotal evidence on the economy two weeks before
Fed officials hold their next monetary-policy setting
meeting. The European Central Bank left its benchmark
interest rate at 1% and ECB President Mario Draghi told
a news conference in Frankfurt that the euro area’s
recovery was expected to come gradually and
mentioned some members preferred a rate cut.
Keynote Capitals Institutional Research (research@keynotecapitals.com) (+9122-30266000)

3. K E Y N O T E
India and Global Economic Calendar
Countries / Thursday Friday Monday Tuesday
Regions 7-Jun 8-Jun 11-Jun 12-Jun
India Forex Reserves Data
Bank Loan Growth
US Consumer Credit Trade Balance Monthly budget
Change statement
Fed's Bernanke Wholesale
testifies Inventories
Global UK's Purchasing Japan Eco Watchers Germany Wholesale UK industrial
Manager Index Survey (Current & Price Index production
Services Outlook)
UK's BoE Interest UK Producer Price Japan Corporate UK Trade balance
Rate Decision Index - Input (YoY & goods price index
MoM)n.s.a
Japan's Leading UK Producer Price UK Housing price
Economic Index Index - Output (YoY balance
& MoM)n.s.a
KEYNOTE CAPITALS LTD.
The Ruby, 9th Floor, Senapati Bapat Marg, Dadar (W), Mumbai – 400 028.
Tel: +91-22-30266000, Fax: +91-22-30266088 • www.keynotecapitals.com
Disclaimer: This report is purely for information purpose and is based on public information. News content is attributable to
various media, unless specified otherwise. All market related statistical data pertains to the immediately preceding trading day,
unless stated otherwise. Neither the information nor any opinion expressed in this report constitutes an offer, or an invitation to
make an offer, to buy or sell the securities mentioned herein. We or any of our directors, officers or employees shall not in any
way be responsible for any loss arising from the use of this report. Investors are advised to apply their own judgment before
acting on the contents of this report. The report has not been edited due to time constraints.