Silver’s hitting new highs

Many readers kept calling me for a while, since I gave call to buy on silver when the precious metal was trading near $16. They had been asking what is the real cause of the price touching the sky every alternate day. No doubt the silver price has tripled in just few months, but there is still more room left for the price to move up before some correction. Here are some of the facts as why the silver hitting new highs everyday.

Reason 1:

The Silver inventory as off now is well below the 1 billion ounce. But in 1990 the world had nearly 12 billion in inventory. Most of the silver produce is directly consumed by the photography, in medical, defence, electronics and many other things. Almost 85-90% goes into this. And in the coming years the demand for the silver will keep on increasing and the production will decrease. The demand for precious result won’t come down anytime, but the production will. Industrial demand has been outstripping mining supply for almost last 15-20 years. The inventory of almost all the country has gone down.

Reason 2:

Some ask whether the price will collapsed as it did in 1980 when the Hunt brother’s cornering the silver market came in notice. The Hunt brothers were cornering the silver as to protect themselves from a collapsing US dollar. When this came into notice they had to sell off their investments and the price crashed within few days. At that point they had long position of nearly 100 million ounces. JP Morgan today has a naked short position in silver of approximately 122.5million ounces. The selling of such a huge positions of the Hunt brothers after the margin calls, had to impact the silver price and it did. Silver collapsed once again to its lowest levels. But now when JPM has such a huge position of shorts, you can imagine what will happen to price of silver when they come out to square up their positions.

Reason 3:

Correlation between Gold and silver had gone absurd. In the recent last 2 years the price of gold has gone up heavily as compared to the co-relation with the silver. Until last few months back when the silver price have gone multiples. According to the ratio the price of the silver should be much much ahead of this.

Lets talk about the Indian Equity market. Nifty and Sensex gained almost 1%. Smallcap and Midcap Index gained marginally. Auto index rallied 2.3%, Metals 2%, Banking index gained 1.2%. But losers were the Reality sector which lost 1.2%, Cap goods 2.3% & IT lost 0.60% after the TCS announced its results this week.

In the stocks Hindalco, Hcl tech, Ongc, M&M & Hul gained in the range of 5-7%. Bhel tanked nearly7% while Infosys closed down2.7%, Grasim lost 4% & Hero Honda 2.5%. After the announcement Corromendel lost 4.1%. Cromtom closed down 2.7% & Srf 2.6%. Some of the midcap stocks that gained were Fag bearing 7%, Thomas Cook 6%, Titan 3.3%, Fincable 4%.

In the last week’s article I had mentioned that the Nifty will fall down to make a low of 5800-5765-5735 levels. Nifty made a low of 5693 to take support at its 200DMA to close at 5885. Nifty bounce back from its 50% retracement levels to find stiff resistance at 61.8%. At the start of the month Nifty tanked after facing resistance at the same levels. Decisive breakout above the same will take Nifty to 5925-6000 levels. Nifty close above the 5925 levels will take the nifty to 5940-5989 -6000 levels. The journey ahead will be not so easy. Nifty will face many resistance levels above.

RSI has given a buy signal but the MACD has still not given any buy triggers. Nifty will continue to find support at its 200DMA. Nifty above 5900 will continue to rise till 6000 levels, but below 5806 will again drop down till 5725 levels or even further. As the next week is the expiry week, we might see some rough movement in the market.

Last weeks call.

Buy Pipavav Ship above 83.50 with tgt of 95. Made a high of 92.

Buy Bajaj Auto above 1420 SL 1403. Made a high of 1484.

Sell Cairn India below 342 SL 345. Made a low of 333.

Sell DLF below 242 SL 244.50. Made a low of 229.

This weeks call

Buy Bajaj Auto close above 1470 SL 1459.

Sell Bhel below 2048 SL 2059.

Buy Dlf above 253 SL 247.

Buy Hdfc bank above 2417 SL 2405.

Buy Hdfc above 738 SL 731.

Sell Pfc below 227 SL 228.50

Thursday, Apr 21 - Morning brief for the stock market

Stocks To Watch: Reliance Ind, TCS, SBI, Unity Infraprojects

Thursday, Apr 21 - Morning brief for the stock market:

TOP EVENTS TODAY

* Primary articles inflation for week to Apr 9 to be detailed.

* Nifty companies detailing Jan-Mar earnings:

+ Jindal Steel & Power.

+ Reliance Industries. (Net profit seen 55.42 bln rupees, up 18% on year)

+ Tata Consultancy Services. (Net profit seen 23.59 bln rupees)

* Jan-Mar earnings to be detailed by: Aditya Birla Money, Chowgule

Steamships, Coromandel International, FAG Bearings India, Honeywell

Automation, Hindustan Zinc, MindTree, Noida Toll Bridge, Nestle India,

Premier, Raymond, Timken India, and Zensar Technologies Ltd.

* Annual General Meet of: FAG Bearings India, Honeywell Automation India,

Timken India, and Aventis Pharma.

* Board Meetings of:

+ Foseco India, to consider interim dividend.

+ GS Auto International, to consider dividend.

+ IL&FS Investment Managers, to consider dividend.

+ Ram Kaashyap Investment, to consider fund raising via GDR/FCCB/ ADR issue.

INDICATORS (previous session)

* NSE provisional net buy/(sale) in bln rupees, Apr 20: FII 1.93, DII (0.23)

* Institutional net buy/(sale) in bln rupees, Apr 19: FIIs 20.64, MF 0.73

* FII NSE futures net buy/(sale) in bln rupee, Apr 20: index 8.58, shr (1.21)

* Sensex 19470.98, up 349.15 points; Nifty 5851.65, up 110.90 points.

* Crude: $112.22/bbl; Rupee: 44.32/$1; Gold: $1,507/ounce; 10-yr yld: 8.0357%

OUTLOOK

* Domestic stock indices are seen opening positive today following firm cues from shares overseas with investors eyeing Jan-Mar earnings from Tata Consultancy Services and Reliance Industries.

GLOBAL STOCK MARKETS

* US shares ended up on Wednesday, with the Dow Jones Industrial Average rallying to its highest level since Jun 2008, due to robust first-quarter earnings from Intel Corp and Yahoo! Inc and an estimate-beating rise in existing home sales in March.

* ASIA: Asian indices were up in early session today as estimate-beating earnings from US companies boosted investors' confidence in economic recovery.

IPO WATCH

* Innoventive Industries 2.2-bln-rupee issue price band 117-120 rupees/share; to open Apr 26, close Apr 29.

SECTOR NEWS

* AUTOMOBILE: Korean automaker S&T Motors has announced a manufacturing and distribution partnership with Garware Motors to sell Hyosung brand of motorcycles in India.

Harley-Davidson's local arm may develop India-specific model. (Mint)

Hyosung to launch two superbike models by June. (FC)

* AVIATION: Lenders to take a call on whether to convert some of Air India's debt into equity as part of the airline's financial restructuring plan. (BL)

* CONSUMER DURABLES: Philips Electronics India looks to expand into healthcare segment through organic, inorganic routes. (BL)

Toshiba India to pump in $100 mln on advertising, marketing this year. (FC)

* DUTIES: India imposes anti-dumping duty of up to $94.96 per tn on imports of a chemical used in the manufacture of alcohol and rubber from Japan and Thailand. (PTI)

* FINANCE: Barclays Bank likely to review its credit card business in India. (BS)

Credit Information Bureau (India) permits individuals to access credit scores for a fee, giving them bargaining chip for cheaper loans. (var)

* FOREIGN DIRECT INVESTMENT: Ministers' panel to look into FDI in the pharmaceutical sector. (ET)

* HOTEL: Four Seasons to manage 3C Company's Noida hotel. (BL)

* INFRASTRUCTURE: City & Industrial Development Corp moves to meet ecology clearance conditions, plan changes for the proposed Navi Mumbai international airport. (BS)

Karnataka urges railway ministry to expedite projects in the state. (FE)

* MEDIA: Consumer group to challenge Competition Commission of India's recent order which found direct-to-home operators 'not guilty' of unfair practice. (FE)

* METALS & MINING: International Coal Ventures close to acquiring Australian coal assets. (BS)

Mines ministry describes the steep hike in iron ore export duty as ill advised. (var)

Essar Steel achieves record crude stell output in March at 380,000 tn, up

24% on year. (BL)

Rio Tinto buys Cia Siderurgica Nacional's 19.35% stake in Riversdale. (var)

* POWER: Power ministry seeks curbs on used equipment imports. (BL)

* REAL ESTATE: Reserve Bank of India proposes ban on use of compulsory convertible debentures in the sector as they are more in the nature of debt than equity until converted, and thereby circumvent external commercial borrowing guidelines for the sector. (FE)

* RENEWABLE ENERGY: Union Cabinet has approved setting up of empowered committee to identify technology and investors for two semiconductor wafer fabrication plants in India.

* SHIPPING: Jaisu Shipping, whose dredgers were detained by the Kochi port following a court injection for non-completion of dredging works, got a reprieve with the Ernakulam District Court vacating the temporary injunction. (BL)

* TAX: Karnataka High Court asks Cyprus-based Richter Holdings, which took control of SESA GOA in 2007, to return to the Income Tax department to settle a tax dispute. (ET)

* TECHNOLOGY: Pilot scheme to develop satellite towns around seven mega cities will spill over to the 12th plan period (2013-2018) against original deadline of April 2012. (BS)

* TELECOM: UNITECH, Anil Dhirubhai Ambani Group, DB group officials move high court for bail in 2G case; Delhi High Court to hear bail plea on Thursday.

Telenor asks UNITECH to replace Chairman Chandra while 2G case goes on.

Department of Telecom goes slow on issuing notices to telecom companies who defaulted on 2G network rollouts, issues just eight notices even as the telecom regulator recommended cancellation of 69 licences for failure to launch mobile services. (FE)

STOCKS

* AMRUTANJAN HEALTH CARE: Enters into pain management services.

* APOLLO TYRES: Expects Europe after-market sales of branded tyres to 60,000-65,000 from next winter (from September). (BL)

* ESSAR STEEL: Crude steel production rose over 24% in March to 0.38 mln tn, its highest ever in a single month.

* ICICI BANK: The Indian Banks' Association backs bank's microfinance loans recast proposal. (ET)

To provide a soft loan of 220 mln rupees to the Energy and Resources Institute. (BS)

* INFOTECH ENTERPRISES: Has appointed Ajay Aggarwal as chief financial officer.

* ING VYSYA BANK: Has posted Jan-Mar net profit of 913 mln rupees; To pay 3 rupees per share as dividend.

* JYOTHY LABORATORIES: Likely to rope in private equity fund Apax Partners, which will invest $100 mln for a 10-12% stake in the company, to stick up the acquisition of HENKEL INDIA's business. (BS)

* KINGFISHER AIRLINES: Raises salaries of a section of pilots. (BS)

* LIBERTY SHOES: Plans to expand in South India. (FC)

* MARG: Hopes to pump out refined products through a pipeline for CHENNAI PETROLEUM CORP via its Karaikal port. (FE)

* OIL AND NATURAL GAS CORP: Follow-on public offer may hit market in June-July. (ET)

* RAINBOW PAPERS: Shareholders have approved issuances of 4 mln shares and 6 mln warrants to promoter Orient Newsprint on a preferential basis.

* RELIANCE COMMUNICATIONS: Ties up with STATE BANK OF INDIA to launch mobile banking services. (BS)

* RELIANCE INDUSTRIES: Oil ministry to discuss decline in company's Krishna-Godavari block output today. (ET)

* SADBHAV ENGINEERING: Has posted 2010-11 (Apr-Mar) consolidated net profit at 933.1 mln rupees, and income from operations at 23.4 bln rupees.

* SHILPI CABLE: Has approved merger of arm Shilpi Cabletronics with self.

* SOBHA DEVELOPERS: Plans to develop over 11 mln sq ft in 2011-12 at an estimated project cost of 25 bln rupees. (BL)

* STATE BANK OF INDIA: Withdraws 'teaser' home loan scheme.

* TATA ELXSI: Looks to adopt long-term evolution technology for 4G services; expects revnues from wireless technology solutions to improve to at least 50% from one-third now in the current fiscal. (DNA)

* TATA STEEL: Has inked a licensing pact with Rio Tinto for technological and commercial development of an environmentally friendly iron smelting process.

* TRANSGENE BIOTEK: Plans to restructure its active pharmaceutical ingredient and research and development divisions businesses.

* UNITY INFRAPROJECTS: Gets two orders worth 892.9 mln rupees.

* VIP INDUSTRIES: May sell its 17.49% stake in WINDSOR MACHINES to Renaissance Equipment; deal could be valued around 1.25 bln rupees, open

offer may not be necessary since it is a Board for Industrial and Financial Reconstruction case. (BS)

* VISAKA INDUSTRIES: Looks to diversify into businesses with higher margins; actively considering expanding capacities in yarn and building products businesses. (FC)

* ZEN TECHNOLOGIES: Order book size currently at 1.08 bln rupees.

Wednesday, Apr 20- Morning brief for the stock market

Stocks To Watch: Power Finance; HCL Tech; CONCOR; JK Tyre, Vivimed

Wednesday, Apr 20- Morning brief for the stock market:

BIG PICTURE

* IMD forecasts normal monsoon in 2011 at 98% of long period average.

* Plan panel Montek says FY12 GDP growth seen at around 9%.

TOP EVENTS TODAY

* Nifty companies detailing Jan-Mar earnings:

+ HCL Technologies (net seen 4.2 bln rupees, up 23% on year)

* Jan-Mar earnings to be detailed by: Coromandel Engineering Co, Hind Syntex,

Infotech Enterprises, ING Vysya Bank, Sadbhav Engineering, Sonata Software,

Yes Bank.

* Board Meetings of:

+ ACIL Cotton Industries to consider allotment of bonus shares.

+ Infronics Systems to consider conversion of 200,000 warrants into shares.

+ Shakti Pumps India to consider allotting warrants, shares and optionally

convertible debentures.

INDICATORS (previous session)

* NSE provisional net buy/(sale) in bln rupees, Apr 19: FII (76.90), DII 2.08

* Institutional net buy/(sale) in bln rupees, Apr 18: FIIs (7.91), MF 0.27

* FII NSE futures net buy/(sale) in bln rupee, Apr 19: index (5.56), shr (2.12)

* Sensex 19,121.83, up 30.66 points; Nifty 5,740.75, up 11.65 points.

* Crude: $108.40/bbl; Rupee: 44.48/$1; Gold: $1,496.70/ounce; 10-yr yld: 8.0011%

OUTLOOK

* Share indices may open slightly up today on firm cues from global markets, but trade is likely to range-bound as investors will book profits at every gain. Jan-Mar earnings will further lend direction to the market.

GLOBAL STOCK MARKETS

* US shares ended up on Tuesday due to better-than-expected earnings from healthcare and materials companies, but gains were capped by weak results from Goldman Sachs.

* Asian markets were up today, taking firm cues from the Wall Street, as technology shares jumped on better-than-expected first-quarter earnings from Intel Corp and Yahoo Inc, reported after the US markets closed on Tuesday.

IPO

* Online travel firm Yatra to raise 2 bln rupees; company's IPO likely in 12-18 months. (ET)

* Aanjaneya Lifecare to raise around 1.2 bln rupees in next few weeks; issue price expected at 240 rupees a share. (ET)

SECTOR NEWS

* AGRICULTURE: Gujarat to raise Bt cotton seed price by 200 rupees for a packet of 450 grams of BG1 and BG2 hybrid cotton seed, Maharashtra to follow. (BS)

* BANKS: Government-run banks to take a hit of 40 bln rupees this fiscal as central bank asking them to provide for pension liabilities of their retired staffers in the balance sheet for FY10-11. (ET)

* EXCHANGES: The National Stock Exchange may get a three-month extension to dilute its stake in National Commodity and Derivatives Exchange to 5% from 11%. (BS)

* FINANCE: Insurance companies may be allowed to offer unit-linked pension products with capital guarantee against the current mandatory guarantee of 4.5%. (ET)

* FOREIGN DIRECT INVESTMENT: Minister of state for commerce and industry Jyotiraditya Scindia says recommendations on FDI in multi-brand retail likely in one-two months. (ET)

* INFRASTRUCTURE: The Mumbai Metropolitan Region Development Authority plans to build new flyovers worth 2 bln rupees at various entry points to the Mumbai metropolitan region. (ET)

Centre asks states to form panels to hasten infrastructure projects. (BS)

Golden Quadrilateral project, scheduled to be completed in June, delayed by a year on contractual and structural issues. (DNA)

* INVESTMENT: Norwest Venture Partners, IDG Ventures India invest 110 mln rupees each in competitive test preparation firm iProf India. (Mint)

Reliance Venture Asset Management exits French chipset maker Sequans Communications. (PTI)

* METAL & MINING: The European Union imposes five-year tariffs on stainless steel from India, saying EU producers including Acerinox are victims of subsidies to Indian competitors such as MUKAND. (ET)

KIOCL plans to invest 4.3 bln rupees in next two years to boost iron ore pellets production by more than 40% to 3 mln tn. (Mint)

Coal ministry against proposed royalty-linked compensation to local residents. (BS)

* ORDERS: Fernas Construction India bags 19-bln-rupee order from ONGC Petro addition for integrated utilities and offsite packages for Dahej

petrochemical complex. (BL)

* POWER: Nuclear Power Corp of India to proceed with first foreign bond sale to built the world's largest reactor complex; plans to raise 30 bln rupees via bonds, loans this year. (Mint)

* REGULATORY: Government includes video chats offered by telecom players, Nokia's push email service and Skype into ambit of security issues for possible interception solution. (BS)

Insurance regulator relaxes accounting norms for insurers to allow them to amortise the additional liability on account of gratuity over a period of five years starting from 2010-11. (FC)

The Reserve Bank of India says DE Shaw violated external commercial borrowings norms while picking up 18% stake in Amar Ujala for 1.17 bln rupees in 2007. (FE)

Securities and Exchange Board of India's board to reconsider its decision to clear the National Securities Depositories of irregularities related to initial public offerings. (FE)

* SECURITY: Railways to install advanced fire alarm system on trains post Rajdhani fire incident. (BL)

* SUBSIDY: Group of ministers may moot dual system of food subsidy. (BS)

* TELECOM: Vodafone looks to list Indian arm. (var)

Defence forces may get a waiver of 1.18 trln rupees for vacating spectrum which Department of Telecommunications will commercially assign to telecom service providers. (BS)

Delhi High Court clears Vodafone's tower business demerger. (BL)

* TRADE: India ended financial year 2010-11 (Apr-Mar) with exports of $245.9 bln compared to the target of $200 bln.

STOCKS

* BIRLA POWER SOLUTIONS: To foray into power generation. Plans a 1,320 MW, 70-bln rupees thermal project in Gujarat and a 270 MW, 13.5-bln-rupee plant in Rajasthan.

* BRIGHT BROTHERS: Faridabad unit has started partial ops after Saturday fire.

* CONTAINER CORP OF INDIA: Jan-Mar net 2.01 bln rupees, up 16.6% on year; net sales 9.95 bln rupees, up 4.7% on year.

* FORTIS HEALTHCARE (INDIA): Its proposed acquisition of 86% stake in Super Religare Labortories will be benchmarked against the private equity fund Avigo Capital's 9.27% stake buy in the company for 1 bln rupees.

* GLAXOSMITHKLINE CONSUMER HEALTHCARE: Supreme Court rejects company's plea against Heinz; latter had alleged that GSK's advertisement was intended to specifically target its consumers. (FE)

* HOTEL LEELAVENTURE: Shareholders have approved increase in borrowing limit to 50 bln rupees from 40 bln rupees now.

* IDBI Bank: Reserve Bank of India has authorised the bank to carry out primary dealership operations.

The state-owned bank will raise $250 mln via Swiss franc-denominated medium term notes in the first week of May.

* IDEA CELLULAR: Has denied a media report that Malaysian strategic investor Axiata Group Berhad is looking to sell stake in the company.

* INFOSYS TECHNOLOGIES: Plans to hire 4,000 engineers for Hyderabad special economic zone. (BL)

* JK TYRE: Forms team to look for overseas buys. (Mint)

Plans foray into footwear from used tyres. (FC)

* KILPEST INDIA: Has launched diagnostic services.

* LARSEN & TOUBRO: Schneider Electric, Eaton Corp in race to buy company's electrical and automation business. (ET)

* LLOYDS STEEL: UTTAM GALVA promoters close to acquiring the company. (BS)

* MMTC: Government is likely to divest stake in the company in September or October.

Plans to import 50% more silver at 1,200 tn in 2011-12. (ET)

To introduce new gold jewellery brand; to set up more than 30 additional retail outlets to sell branded jewellery. (FC)

* NAVA BHARAT VENTURES: Plans to start coal mining in Zambia in the second quarter of the current financial year. (FC)

* PANTALOON RETAIL: Its 50:50 joint venture with UK's Clarks, Clarks Future Footwear, opens first exclusive retail store in New Delhi on Tuesday. (var)

* POWER FINANCE CORP: Jan-Mar net 6.07 bln rupees, up 1.3% on year; net sales 26.17 bln rupees, up 25.8% on year.

* POWER GRID CORP: In pact with Kenya Electric Transmission Co to develop power transmission network in Kenya. (FC)

* RAJOO ENGINEERS: Inks pact with Italan firm Bausano and Figli to make pipes and profile extrusion machinery. (BL)

* RELIANCE INDUSTRIES: Sets sights on next-generation security and disaster management business which will utilise its 4G telecom services for the initiative. (ET)

* RELIANCE INFRASTRUCTURE: Has commissioned three new 220 kV extra high voltage substations at Gorai, Goregaon and Saki in Mumbai.

In talks with ICICI Bank for a 20-bln-rupee loan, comprising $250 mln of external commercial borrowings, for the worli-Haji Ali project. (BS)

* SESA GOA: Has bought a 10.4% stake in CAIRN INDIA from Petronas International at an average price of 331.00 rupees per share.

* SPAN DIAGNOSTIC: Will sell its haematology analyser marketing business to the Indian subsidiary of Japan's Nihon Kohden Corp for 41 mln rupees.

* STATE BANK OF INDIA: Has hiked its lending rates by 25 basis points. The bank's Base Rate will be 8.50% and Benchmark Prime Lending Rate 13.25% from Monday.

* TATA MOTORS: Has entered into an agreement with STATE BANK OF INDIA to provide loan facilities to its dealers.

* VIVIMED LABS: In advanced talks with private equity firms to dilute minority stake to raise at least $30 mln to fund domestic expansion, global acquisition plans. (FC)

* WIPRO: To focus on emerging markets to speed up growth. (ET)

Wipro Group's division, Wipro Consumer Care & Lighting, loss patent infringement case against Bangalore-based furniture maker V3. (FC)

* YES BANK: Revives plan for broking arm. (BS)

Tuesday, Apr 19 - Morning brief for the stock market

Stocks To Watch: HDFC Bk, CMC, Sesa Goa, Orchid Chem, Modi Rubber

Tuesday, Apr 19 - Morning brief for the stock market:

BIG PICTURE

* S&P has downgraded its credit rating outlook for the US to negative.

TOP EVENTS TODAY

* Jan-Mar earnings to be detailed by: Automobile Corp of Goa, Container Corp, Compuage Infocom, IDBI Bank, Indo Asian Fusegear, Power Finance Corp, R S Software (India), Vesuvius India, and Zee Entertainment.

* Annual General Meet of: Elantas Beck India, Nestle India, and Vesuvius India.

* Board Meetings of:

+ Nestle India Ltd, to consider interim dividend.

+ Oracle Financial Services to consider allotment of securities.

+ Fame India to consider raising of equity share capital through rights issue.

+ Span Diagnostics to consider restructuring of instrument business.

INDICATORS (previous session)

* NSE provisional net buy/(sale) in bln rupees, Apr 18: FII (9.82), DII 6.61

* Institutional net buy/(sale) in bln rupees, Apr 15: FIIs 1.84, MF (3.33)

* FII NSE futures net buy/(sale) in bln rupee, Apr 18: index (557.4), shr (1.83)

* Sensex 19091.17, down 295.65 points; Nifty 5729.10, down 95.45 points.

* Crude: $107.01/bbl; Rupee: 44.45/$1; Gold: $1,491.80/ounce; 10-yr yld: 7.9832%

OUTLOOK

* Local share indices may open down today on weak cues from overseas markets triggered by the Standard & Poor's downgrade of US' long-term credit outlook to "negative" from "stable".

GLOBAL STOCK MARKETS

* US shares ended down on Friday after Standard & Poor's Ratings Service cut the nation's long-term credit outlook to "negative" from "stable". Concerns over the Euro zone debt crisis also weighed on sentiment.

* Asian indices slipped today after Standard & Poor's Ratings Service cut the US' long-term credit outlook to "negative" from "stable". Concerns over the Euro zone's ongoing sovereign debt crisis also weighed on shares.

IPO WATCH

* Paramount Printpackaging sets issue price band 32-35 rupees.

* Joyalukkas India Ltd is waiting for its Jan-Mar earnings before going ahead with its IPO.

SECTOR NEWS

* ACQUISITIONS: Aditya Birla Group buys Swedish pulp maker Domsjo Fabriker for $340 mln.

NewQuest Capital Partners buys Bank of America-Merrill Lynch's Asia non-real estate private equity portfolio; Merrill Lynch Global Private Equity's current Indian portfolio includes DRS Warehousing, PIPAVAV SHIPYARD, Vestas RRB India, and a five-star hotel project special purpose vehicle of Salarpuria Group. (BS)

* AVIATION: Air India plans better connectivity to smaller cities. (var)

* CONSTRUCTION: Gujarat government to spend 90 bln rupees on Narmada canals this year. (BL)

* CONSUMER DURABLES: Royal Philips Electronics to give up control of television business as prices fall. (ET)

* FERTILIZER: Ministry mulls polymer research and development centres in Chennai, Pune. (FE)

* MEDIA: Providence Equity Partners invests 2.6 bln rupees in UFO Moviez India. (BL)

* POWER: Solar power projecys could trip as poor prospects keep financers away. (ET)

Ministry of power to move Cabinet note seeking budgetary support to compensate NTPC for shutting down its Loharinag Pala hydro power plant in Uttarakhand on religious and environment grounds. (BS)

* REAL ESTATE: At least six real estate developers fail to repay bank loans due to shortage of funds and drop in property sales. (Mint)

* REGULATORY: Open offer trigger for sovereign funds may be raised to 20%. (var)

The Reserve Bank of India refuses to endorse NRI businessman C Sivasankaran's sale of nearly 33% stake in Tamilnad Mercantile Bank to Indian and foreign investors; says deal lacked transparency and violated Foreign Exchange Management Act.

* RETAIL: Reliance Retail's fashion apparel business Reliance Trends ties up with Austrialian firm lime door brands to launch Shane Warne sports apparel in India. (FC)

* SCAM: Comptroller and Auditor General blames Prime Minister's Office for not acting against Commonswealth Games chief Suresh Kalmadi. (FE)

* TAX: India to begin talks with Mauritius to review tax treaty. (ET)

* TELECOM: Telecom minister Kapil Sibal asks law minitry to examine a 2006 transaction in which Tata Group exited IDEA CELLULAR by selling its 48% stake to Aditya Birla Group. (ET)

Oarliament's public accounts committee reports on the 2G spectrum scam unlikely during monsoon session. (FE)

* TEXTILE: Aditya Birla Group has acquired Sweden-based pulp company Domsjo Fabriker for $340 mln.

* TRAVEL & TOURISM: US firm Concur acquires minority stake in travel portal Cleartrip for $40 mln. (var)

STOCKS

* AKSHARCHEM INDIA: Promoters make open offer to acquire 20% additional stake in the company at up to 18.50 rupees a share. (BS)

* BANK OF BARODA: Has started operations at 18 branches of the erstwhile Memon Co-operative Bank.

* BHARAT HEAVY ELECTRICALS: Chairman and managing director of its joint venture with NTPC, C P Singh, quits amid differences with promoters. (PTI)

* BHARTI AIRTEL: TO rejig top desk across businesses; revamp aimed at brinding international entities under a single leadership. (ET)

Partners Zoomin.com for photo service for its broadband customers. (BL)

* CALIFORNIA SOFTWARE: Sells outsource product development operations for 1 bln rupees.

* CMC: Posts Jan-Mar consolidated net profit at 439.7 mln rupees as against 443.0 mln rupees last year; Approves 1-for-1 bonus share issue.

* DECCAN CHRONICLE HOLDINGS: SEBI has exempted promoters of the company from making an open offer subsequent to the proposed share buyback offer.

* FORTIS HEALTHCARE: Private equity firm Avigo Capital Partners buys 9.27% stake in the group's medical diagnostics firm Super Religare Laboratories for 1 bln rupees ahead of the latter's initial public offer. (ET)

* GAIL: Moody's says company's US shale gas foray plan "credit negative".

* GUJARAT ALKALIES AND CHEMICALS: To invest 25 bln rupees in joint venture with German spciality chemicals major Evonik-Degussa GmbH to diversify product portfolio and cut dependence on caustic soda. (BL)

* HDFC BANK: Posts Jan-Mar net profit at 11.15 bln rupees as against 8.37 bln last year; Approves 5-for-1 stock split.

* HENKEL INDIA: Henkel Germany's board approves sale of its 50.97% stake in the Indian arm to JYOTHY LABORATORIES. (ET)

* ISMT: Workers' strike at Ahmednagar unit has been called off strike.

* HINDUSTAN DORR-OLIVER: Plans to expand manufacturing capabilities with another base near Pune-Sholapur industrial cluster. (BL)

* HOTEL LEELAVENTURE: Leela Group chairman CP Krishnan Nair said partnering Mukesh Ambani will be considered if there is a hostile takeover threat from ITC. (PTI)

* HSIL: Goes in for brand makeover for Hindware; to invest 1.5 bln rupees in expansion of 'Evok' retail chain. (FC)

* KANORIA CHEMICALS: May enter fine chemicals business, expand Vizag plant. (DNA)

* KEMROCK INDUSTRIES: Raises 750 mln rupees via 12.5% NCDs.

* LUPIN: And MATRIX LABORATORIES recall drugs from the US, the reason cited for former is adulerated presence of foreign tablets. (FE)

* MAHINDRA & MAHINDRA: In talks with Mitsubishi for global tie-up for farm equipment. (ET)

* MODI RUBBER: Unit Modi Tyres Co to be acquired by German tyre maker Continental; financial terms not disclosed. (var)

* NTPC: Company's proposed power plant in Jharkhand could face delays as the coal ministry has referred the matter to a group of ministers.

* OIL & NATURAL GAS CORP: Arm ONGC Videsh may raise stake in Satpayev block to 35%. (var)

* ORCHID CHEMICALS: Reaches out-of-court settlement with Pfizer over the low-cost version of anti-depressant drug Effexor-XR in the US. (ET)

* PERSISTENT SYSTEMS: Jan-Mar consolidated net profit at 331.35 mln rupees, net sales 2.13 bln rupees.

Persistent Systems approves merger of two arms with self.

* PETRONET LNG: Plans new terminal in the East Coast with $1.5 bln investment; looks to double imports as it braces for competition from the

proposed joint venture between RELIANCE INDUSTRIES and BP. (ET)

Amitava Sengupta, director (finance and commercial), quits company's board. (PTI)

* RELIANCE INDUSTRIES: Former Boeing executive Vivek Lall may join as head of company's new division. (Mint)

* RELIANCE INFRASTRUCTURE: Maharashtra Electricity Regulatory Commission rules in favour of KSK Power in offtake dispute with the company; direct Reliance Infrastructure to buy 260 MW from KSK, rejects proposal to terminate power purchase agreement. (DNA)

* RESURGERE MINES: To acquire Maharashtra iron ore mine; Sees total reserves in Maharashtra mine at 47.59 mln tn.

* SESA GOA: The Supreme Court has issued notices to the company and IFCI in the asset buy case of BELLARY STEELS AND ALLOYS.

* SHRIRAM TRANSPORT: Private equity firm in talks with sovereign funds of Singapore and Malaysia to sell its 20% stake in the company and instead buy 14% in Shriram Properties for 4.5 bln rupees. (ET)

* STATE BANK OF INDIA: Breather for bank as RBI seeks clarification on special loans. (FE)

* STATE BANK OF MYSORE: May raise funds via bonds; launches retail sale of gold chains. (BL)

* TATA MOTORS: To open standalone outlets for Nano. (var)

* TATA POWER: Plans to raise up to $400 mln via hybrid capital offer; Appoints Deutsche Bank AG, Goldman Sachs Group Inc, and UBS AG as joint bookrunners.

* VIVIMED LABS: International Finance Corp plans to invest up to $15 mln in the company.

* VOLANT TEXTILE MILLS: Approves 10-for-1 stock split.