K E Y N O T E INSTITUTIONAL RESEARCHIndia Morning NoteMonday, May 14, 2012Domestic Markets Snapshot Views on markets today Name of Index May 10 May 11 Change (%) • Indian markets dropped on Friday, recording 6th fall in last 8 trading sessions, as industrial production data Sensex 16,420.05 16,292.98 -0.77% disappointed investors and a bit of recovery in the CNX Nifty 4,965.70 4,928.90 -0.74% afternoon session wiped out after European markets BSE Mid-cap 5,998.32 5,948.71 -0.83% tumbled on weak Chinese data. The markets opened BSE IT 5,540.27 5,481.94 -1.05% weak after Asian markets tumbled on weak Chinese BSE Banks 10,833.81 10,835.66 0.02% economic data. Chinas industrial production and retailFII Activity (`Cr) sales reported below expectations growth in April. The markets tumbled sharply, after the government Date Buy Sell Net announced industrial production data which reported a 10-May 1,933 1,591 342 negative growth of 3.5%, led by decline of 4.1% in 9-May 2,211 2,569 -357 manufacturing growth in March 2012. The production Total May 16,351 16,480 -130 number was negative mainly on account of higher 2012 YTD 252,729 209,398 43332 base effect, which provided some support to index and it started rising afterwards. Except auto and bank, allMF Activity (`Cr) sectoral indices closed on negative note with pharma, Date Buy Sell Net power, FMCG and metal stocks were major losers. 7-May 622 596 26 Pharma stocks fall after Reuters reported that the 4-May 472 675 -204 government announced an inquiry on Friday into the operations of the countrys main drug regulator, just Total May 1,798 2,272 -474 days after a parliamentary report exposed dysfunction 2012 YTD 46,792 53,366 -6574 within the agency and alleged serious irregularities inVolume & Advances / Declines the drug approval process. JSW Steel fell 5.1% after NSE BSE Indias top court had ordered the police agency to probe its alleged involvement with two other Trading Volume (Cr) 62.51 19.13 companies in illegal iron ore mining in the southern Turnover (`Cr) 9,264 1,924 state of Karnataka. SKS Microfinance ended 10.4% Advances 445 981 higher after the cabinet approved a bill to bring Declines 1,030 1,772 microlenders under the central banks oversight and Unchanged 72 118 away from more stringent state government rules. Total 1,547 2,871 • Market breadth was lower at ~0.55x as investors soldGlobal Markets large cap stocks. On provisional basis, FIIs bought equity of `1.58bn while domestic institutions sold Index Latest Values Change (%) equity of `2.43bn in cash segment. DJIA 12,820.60 -0.27% • Asian markets declined with weak global currencies NASDAQ 2,933.82 0.01% and concerns over weakening China. Nikkei * 8,952.66 -0.01% • We expect a weak opening for the Indian markets Hang Seng * 19,951.45 -0.07% today, following the cues from the Asian markets. The* as of 8.25AM IST markets may remain volatile ahead of the monthlyCurrencies / Commodities Snapshot inflation data. Latest Previous Economic and Corporate Developments Quote Close • Industrial production contracted 3.5% in March, Indian Rupee per $ 53.63 53.25 dragging the cumulative factory output growth last Indian Rupee per € 69.30 68.86 fiscal closer to the level of global financial crisis period NYMEX Crude Oil($/bbl) 95.42 96.13 of 2008-09. This indicated that economic expansion Gold ($/oz) 1,582.00 1,584.00 has really slowed down and it may not be possible for India to really grow its GDP by 6.9% during 2011-12 as Silver ($/oz) 28.78 28.87 was calculated in advance estimates.Keynote Capitals Institutional Research (email@example.com) (+9122-30266000) Keynote Capitals Institutional Research is also available onBloomberg KNTE <GO>, Thomson One Analytics, Reuters Knowledge, Capital IQ, TheMarkets.com and securities.com Keynote Capitals Institutional Research - winner of “India’s Best IPO Analyst Award 2009” by MCX-Zee Business To unsubscribe from this mailing list, please reply to firstname.lastname@example.org
K E Y N O T E INSTITUTIONAL RESEARCHTOP GAINERS Buzzing Stocks(BSE A-Group) • Lupin is expected to soon launch its generic version Previous Current Change of the anti-HIV drug, Combivir, in the United States. Company Name Close(`) Price(`) (%) The move was likely to lend a significant upside to Manappuram 20.15 23.05 14.39 the Mumbai-based company’s bottom line in the Finance JUBL FOOD 1050.90 1131.45 7.66 forthcoming quarters, a source said. Muthoot Fin 123.80 129.40 4.52 • Central Bank of India will be requiring over Jaiprakash Asso 60.40 62.85 4.06 `14,000Cr of fresh capital to meet the Basel-III Bajaj Auto 1502.90 1555.20 3.48 guidelines which will kick in from next fiscal.(BSE Mid-Cap) • Ansal SEZ Projects has approached the government seeking to surrender its special economic zone in Previous Current Change Company Name Gurgaon after the imposition of minimum alternate Close(`) Price(`) (%) Manappuram 20.15 23.05 14.39 tax and global economic uncertainties. Finance JUBL FOOD 1050.90 1131.45 7.66 • Jaguar Land Rover (JLR) will invest an additional one S Mobility-$ 61.65 65.00 5.43 billion pound (over `8,500Cr) in sourcing parts from Muthoot Fin 123.80 129.40 4.52 the UK-based suppliers for its latest sports utility Bajaj Corp 117.75 123.00 4.46 vehicle Range Rover Evoque over the next four years.TOP LOSERS US markets(BSE A-Group) U.S. markets mostly dropped Friday to a second weekly Previous Current Change decline after a rise in consumer sentiment failed to Company Name Close(`) Price(`) (%) outweigh J.P. Morgan Chase & Co.s $2bn trading loss, IRB Infra 121.45 105.20 -13.38 disclosed by the bank late Thursday. Indian Bank 196.30 179.65 -8.48 The Dow Jones Industrial Average fell 34.44 points, or TTK Prestige 3070.25 2886.55 -5.98 0.3%, to 12,820.60. The S&P 500 retreated 4.6 points, JSW Steel 661.40 627.05 -5.19 or 0.3%, to 1,353.39. The Nasdaq Composite managed Bharat Forge 337.75 321.00 -4.96 a fractional gain to close at 2,933.82.(BSE Mid-Cap) Previous Current Change Company Name Close(`) Price(`) (%) IRB Infra 121.45 105.20 -13.38 India Cements 84.30 79.25 -5.99 TTK Prestige 3070.25 2886.55 -5.98 Hindustan Oil 109.30 103.05 -5.72 JSW Ispat 11.03 10.40 -5.71Keynote Capitals Institutional Research (email@example.com) (+9122-30266000)
K E Y N O T E INSTIT UT IONAL R ES EAR C H India and Global Economic Calendar Countries / Monday Tuesday Wednesday Thursday Regions 14/May 15/May 16/May 17/May India Monthly WPI based M3 Money Supply inflation data US Retail Sales (MoM) Housing Starts Initial Jobless (MoM) Claims Retail Sales ex Autos Industrial Leading Indicators (MoM) Production (MoM) (MoM) Business Inventories FOMC Minutes Global Germanys Gross UKs Average Japan Industrial Domestic Product Earnings including production n.s.a (YoY) Bonus (3Mo/Yr) Germanys Gross Eurozones Domestic Product Consumer Price s.a (QoQ) Index (YoY) and (MoM) UKs Bank of England Quarterly Inflation Report KEYNOTE CAPITALS LTD. The Ruby, 9th Floor, Senapati Bapat Marg, Dadar (W), Mumbai – 400 028 Tel. : +9122-30266000 • www.keynotecapitals.comDisclaimer: This report is purely for information purpose and is based on public information. News content is attributable tovarious 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 tomake an offer, to buy or sell the securities mentioned herein. We or any of our directors, officers or employees shall not in anyway be responsible for any loss arising from the use of this report. Investors are advised to apply their own judgment beforeacting on the contents of this report. The report has not been edited due to time constraints.