Equity Research Report 16 November 2015 Ways2Capital

TECHNICAL TREND ( NIFTY - BANK NIFTY FUTURES ) CNX NIFTY - The Nifty Future is open on Monday 7788 in down trend. Nifty traded in 7800-7900 range and made a high of 7937 .on Wednesday Nifty given the gap down opening of 7955 and made low of 7929 but traded in the range of 7900-8000. range and close at 7783. The Nifty Future can trade above 7834 Level Nifty in Future could cross 7848—7854-–7872. Resistance seen at 7880. For the next week. The nearest Nifty Future support for Nifty is 7700. The target for sell is 7729 and 7650. The market may open in Red on Monday also but nifty will not fall below the 7500 level. In the US market, Wall Street posted its biggest decline in six weeks. Equities closed lower as investors weighed a possible Federal Reserve rate hike in December.The probability of rate hike by federal reserve is nearly 70 percent. So we could expect the gap down opening of Nifty for next week.

Bank Nifty Future: The Bank nifty is also give gap down opening at 16667 and made the high of 17069 and low 16587 and traded between 16600-17000 the Bank Nifty is currently 16965 and for next we could expect the that nifty can create firework there is chance of Bank Nifty to cross the level of 17200-17350 the Resistance for Bank Nifty is 17138-17343 we are expecting to cross both the level by Bank nifty on Monday trading session. The Support of Bank Nifty is 16657-16381. Some hot stock in Banking sector is Axis Bank, Bank of Baroda And NCC, we could take Buy Position on these script.

TECHNICAL VIEW (NIFTY- BANK NIFTY FUTURES ) NIFTY DAILY

R2 7799

R1 7780

PP 7756

S1 7737

S2 7713

WEEKLY

R2 8016

R1 7889

PP 7810

S1 7683

S2 7604

MONTHLY

R2 8225

R1 8007

PP 7869

S1 7624

S2 7486

DAILY

R2 17097

R1 17014

PP 16879

S1 16796

S2 16661

WEEKLY

R2 17343

R1 17138

PP 16862

S1 16657

S2 16381

MONTHLY

R2 17871

R1 17402

PP 16994

S1 16525

S2 16117

BANK NIFTY

MOVING AVERAGE

21 DAYS

50 DAYS

100 DAYS

200 DAYS

NIFTY

8112

7992

8206

8374

BANK NIFTY

17488

17217

17871

18274

PARABOLIC SAR

DAILY

WEEKLY

MONTHLY

NIFTY

8055

7760

8532

BANK NIFTY

17480

15960

20025

PATTERN FORMATION ( NIFTY AND BANK NIFTY )

Depiction of Chart - On the above given weekly chart the SMA is indicating if nifty is About to cross the moving average line then we could expect the gap down opening of Nifty in Short Term Period. But there is a pressure on Nifty due to globle cues.However it is all depend on the news and always worry that globle market affect for long time. According to weekly technical chart of Nifty can give Gap up Opening on Monday expectation from nifty is positive. on the basis of technical Analysis Nifty resistance will be R1 7889-8016 and will go ahead There is a possibilities of nifty for next week it can break the Resistance . we can expect the gap up opening of nifty in Next week Resistance for nifty is R1 7889 R2 8016 and the support for Nifty is S1 7683 S2 7604.

BANK NIFTY MACD

Details of Chart - On the Above given chart of Bank Nifty WEEKLY SMA for week is in consolidated Trend so we can expect The Uptrend movement for Bank nifty in Next week trading Session Also. The Resistance for Bank Nifty is R1 17683 R2 18716 and the Support of bank Nifty is S1 15617 S2 16650. Although the Bank if Nifty could break the Resistance level 17138-17343 Level we can expect the upward movement of Bank Nifty for next week .

NSE EQUITY DAILY LEVELS COMPANY NAME

R2

R1

PP

S1

S2

ACC

EQ

1344

1336

1325

1317

1306

ALBK AMBUJACEM ASIAN PAINT AXISBANK BAJAJ-AUTO BANKBARODA BANKINDIA BHEL BHARTIARTL CIPLA COALINDIA DLF DRREDDY GAIL GRASIM HCLTECH HDFC HDFCBANK HEROMOTOCO HINDALCO HINDUNILVR ICICIBANK ITC INDUSIND BANK INFY JINDALSTEL KOTAKBANK LT M&M MRF MARUTI ONGC ORIENTBANK RCOM RELCAPITAL RELIANCE RELINFRA RPOWER

EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ EQ

77 199 816 495 2509 176 133 183 337 641 349 114 3455 286 3663 873 1196 1064 2664 81 803 265 337 904 1115 816 690 1370 1268 38814 4784 236 151 76 427 953 422 51 245 92 759 423 70 228 48

76 196 808 490 2445 174 132 181 334 632 343 112 3413 284 3640 858 1187 1058 2641 79 800 263 333 896 1107 802 680 1352 1261 38568 4712 232 149 71 418 944 408 50 242 90 749 414 69 225 48

76 194 800 481 2406 172 131 179 330 627 336 110 3355 281 3597 840 1172 1050 2626 78 796 261 330 888 1099 788 663 1341 1251 38173 4666 230 147 67 409 929 394 49 240 88 743 408 68 221 47

75 190 792 476 2342 170 129 176 327 618 331 108 3313 279 3574 825 1163 1044 2603 76 793 260 326 881 1091 773 653 1323 1244 37927 4594 227 145 62 400 919 380 47 238 86 733 398 68 218 46

74 188 784 467 2303 167 128 174 323 613 324 106 3255 277 3531 807 1148 1036 2588 75 789 257 323 872 1083 759 637 1312 1234 27532 4548 225 144 58 391 905 366 46 236 84 726 392 67 214 46

SBIN SSLT( VEDL) SUNPHARMA TATAMOTORS TATAPOWER TATASTEEL UNIONBANK

TOP 15 ACHIEVERS SR.NO

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15

PREV CLOSE

SCRIPT NAME

CMP

ESSAR OIL LTD. 187.15 1.

HEXAWAR 235.75 E

215 264.90

MOTHERSONSUMI 6.

RAJESH EXPORT KPIT TECHNOLOGIES BANK OF BARODA

245.80 639.50

273.95 698.10

143.70 161.85

154.30 173.30

TATA MOTORS LTD. JAIN IRRIGATION

382.05 63.55

403.65 66.70

JINDAL STEEL SHREERENUKA

76.00 11.77

79.75 12.29

TVS MOTORS LTD. BHARAT PETROLEUM

287.50 876.50

297.15 905.50

ORIENTAL BANK ANDHRA BANK

143.10 65.75

147.65 67.80

MARUTI SUZUKI

4480.50

4611.70

// % CHANGE

SR.NO

+14.88 %

1

+12.36 %

2

+11.45 %

3

+9.16 %

4

+7.38 %

5

+7.07 %

6

+5.65 %

7

+4.96 %

8

+4.93 %

9

+4.42 %

10

+3.36 %

11

+3.31 %

12

+3.18 %

13

+3.12 %

14

+2.93 %

15

TOP 15 LOOSERS SCRIPT NAME

DR.REDDY LABS RCOM

PREV CLOSE

4325.45 81.55

CMP

% CHANGE

3372 66.50

-22.04 % -18.45 %

CAIRN INDIA LTD. 155.20 ADANI 88.35 ENTERPRISES

131.10 75.70

-15.53 % -14.32 %

SUN PHARMA. 868.30 EICHER MOTORS 18003.25

742.00 15600

-14.55 % -13.35 %

IDFC LTD 59.40 JSW ENERGY LTD. 93.65

52.10 82.60

-12.29 % -11.80 %

AJANTA PHARMA 1536.85 LTD. ZEEL 415.05

1388.50 376

-9.65 % -9.41 %

KAVERI SEED ONGC LTD.

472.10 251.25

428.80 229

-9.17 % -8.86 %

GODREJ PROPERTIES CIPLA

349.20 675.30

319.15 618.60

-8.61 % -8.40 %

DLF

120.15

110.25

-8.24 %

NEXT WEEK STARS (AS PER TECHNICAL ANALYSIS PRIDICTION ) NSE FUTURE 1.

MARUTI FUTURE : WE CAN MADE LONG POSITION IN MARUTI FUTURE ABOVE 4644 TGT 4744 SL 4600.

2.

IDEA FUTURE : WE CAN MADE LONG POSITION IN IDEA FUTURE ABOVE 131 TGT 141 SL 128.

3.

AUROPHARMA FUTURE

: SELL AUROPHARMA FUTURE BELOW 816 TGT 750 SL 830.

4.

SUNPHARMA FUTURE : SELL SUNPHARMA FUTURE BELOW 730 TGT 680 SL 740.

5.

TATA STEEL FUTURE : BUY TATASTEEL FUTURE ABOVE 232 TGT 250 SL 225

NSE CASH 1.

BALRAMCHIN CASH : LONG POSITION CAN BE MADE IN BALRAMCHIN ABOVE 73.50 FOR TGT OF 78 WITH SL OF 72.

2.

INDIACEM CASH : INDIACEM IS LIKELY TO SHOW UPWARD MOMENTUM THIS WEEK. LONG POSITION CAN BE MADE ABOVE 79.20 FOR TGT OF 83.75 WITH SL OF 76.80.

3.

MMTC CASH : LONG POSITIONS CAN BE MADE IN MMTC ABOVE 46.40 FOR TGT OF 49.20 WITH SL OF 45.30.

4.

INDIANB CASH : INDIANB CAN SHOW POSITIVE MOMENTUM IN THIS WEEK ABOVE 130.50. LONG POSITION CAN BE MADE ABOVE 130.50 FOR TGT OF 139.70 WITH SL OF 127.70.

5.

VAKRANGEE CASH : LONG POSITION CAN BE MADE IN VAKRANGEE ABOVE 143.50 FOR TGT OF 152.50 WITH SL OF 140.

NSE - WEEKLY NEWS LETTERS TOP NEWS OF THE WEEK 1. A nervous Dalal Street dreads a selloff by FIIs on BJP's Bihar defeat - Bharatiya Janata Party (BJP)'s disappointing show in the Bihar elections may not go down well with investors in the near future. The stock market could drop early this week, extending its recent declines, as investors worry that the political capital available with Prime Minister Narendra Modi to push pro-business measures will wane following BJP's second consecutive state election defeat.

Comments from US Fed officials hinting at the possibility of rate hikes in December could also add to Dalal Street's near-term problems. Foreign investors have been watching the Bihar elections as the outcome had been widely considered a test of Modi's popularity after 17 months at the helm at the centre. "Many foreign investors would now be worried about further political gridlock in Parliament, as this (the Bihar poll results) could further embolden the Opposition," said Pratik Gupta, managing director & head equities, Deutsche Bank Group.

2. China policymaker says 6.5% a floor for 2016-2020 annual growth - China is making 6.5 per cent a floor or minimum level for annual economic growth in 2016 through 2020, a senior Chinese policymaker said on Monday, adding that the figure would be a base for setting a target for the five-year period. The economic growth target has not been fixed yet, as that is an objective that needs to be approved by the National People's Congress, Yang Weimin, Vice Minister of the Office of the Central Leading Group on Financial and Economic Affairs, told a news conference in Beijing. The National People's Congress holds an annual meeting of policymakers in March, which sets key economic targets for the year. "The 6.5 per cent itself is not a target. We still need to wait till next March to determine the final target," Yang said.

China's President Xi Jinping said last week that China needed to maintain annual economic growth of at least 6.5 per cent over the next five years to realise the country's goal of doubling 2010 GDP and per capita income by 2020.

3. FPIs take out Rs 4,300 cr in just 5 trading days - Foreign investors have pulled out more than Rs 4,300 crore from Indian capital markets in the past five trading sessions due to muted quarterly earnings and fears of a possible rate hike by the US Federal Reserve. The move comes after Foreign Portfolio Investors (FPIs) inflow had hit a 7-month high in October. As per data compiled by the depositories, net outflow in equities stood at Rs 2,667 crore between November 2-6, while it was Rs 1,689 crore for debt, translating into a total of Rs 4,356 crore.

Prior to that, FPIs had made a net investment of Rs 22,350 crore last month, making it the

highest investment by these investors since March, when they had poured in Rs 20,723 crore into Indian markets. The huge inflows during October also reversed the outflows seen during the past two months. FPIs pulled out over Rs 23,000 crore from the capital markets (equities and debt) in the past two months on fears of an economic slowdown in China, which triggered a global sell-off.

4. No impact of Bihar on rating outlook, FII flows: Fitch - Rating agency Fitch has said that the Bharatiya Janata Party's rout in the Bihar election would not impact the medium-term economic outlook for India. The agency has also said that foreign investors are unlikely to review their position. "The BJP's defeat in the Bihar state assembly election does not change our view on the medium-term economic outlook for India. The loss may complicate politics for the central government, but we don't expect major implications on the economic front. The election results are not likely to impact decisions by foreign investors in other states and a big win for the BJP in Bihar would not have led to sufficient support in the Rajya Sabha anytime soon anyway," said Thomas Rookmaaker, director in Fitch Ratings' Asia-Pacific Sovereigns team.

5. India-China ties globally significant, says President Pranab Mukherjee - Relations between India and China have a regional and global significance, President Pranab Mukherjee said when Chinese Vice President Li Yuanchao called on him, said a statement on Saturday. Li called on Mukherjee on Friday and the two leaders reviewed ties between India and China , according to a Rashtrapati Bhavan statement. Mukherjee pointed out that Li was the first ever vice president of China to visit India. India-China relations have witnessed all round progress in recent years, he said. The two countries have expanded high level political exchanges. As two emerging economies, relations between the two countries have a regional and a global significance. India-China trade now stands at $70.59 billion.India welcomed Chinese companies to participate in 'Make in India' campaign, the president said 6. F&O total turnover stood at Rs 2,84,800.07 crore on November 09 - Future & Option (F&O) total turnover stood at 2,84,800.07 crore on November 09 and the total number of contracts traded on the day were 49,57,624. Of the total turnover, Index Futures contributed Rs 20,179.89 crore, Stock Futures Rs 28,471.35 crore and Index Options Rs 2,19,755.70 crore, while the contribution of the Stock Options was of Rs 16,393.13 crore.For the day, the total F&O Put Call ratio stood 0.72 while Index Options PutCall ratio was 0.74 and that of Stock Options was 0.53.The top five scrips with highest PCR on OI were STAR (1.78), CESC (1.50), Bank of Baroda (1.29), Hexaware (1.21) and Titan Company (1.17). Among most active underlying, Tata Motors witnessed an addition of 3.74 million of Open Interest in the

November month futures contract, followed by State Bank of India witnessing an addition of 1.26 million of Open Interest in the November month contract; Dr. Reddy's Laboratories witnessed an addition of 0.12 million of Open Interest in the November month contract, Maruti Suzuki India witnessed an addition of 0.30 million of Open Interest in the November month contract and Reliance Industries witnessed an addition of 0.22 million units of Open Interest in the November month's future contract.

7. GE, Alstom land $5.6 billion deals to supply Indian railway - General Electric and Alstom have won contracts worth a combined $5.6 billion to supply India's railways with new locomotives, as the vast but dilapidated state-owned network looks to foreign companies to help it modernise. France's Alstom has been picked to supply 800 electric locomotives and will also build a factory in the eastern state of Bihar, railways spokesman Anil Saxena told Reuters on Tuesday. The total value of the contract and the new factory is about 200 billion rupees ($3 billion), he said. GE will meanwhile provide the railways with 1,000 diesel locomotives over the next 11 years, as well as investing $200 million in a plant and maintenance sheds, in a deal worth $2.6 billion that is the U.S. company's biggest in India.The contracts are two of the first and the largest to be awarded to foreign firms since India last year allowed 100 percent foreign direct investment in certain parts of its railways, and comes as New Delhi embarks on a huge modernisation programme to overhaul the world's fourth-largest train network. "In most of our growth markets, localisation is typically a key part of any infrastructure deal we do," Jamie Miller, chief executive officer of GE Transportation, said on Monday.

GE and Alstom won against competition from rival manufacturers such as Canada's Bombardier Inc and Germany's Siemens.

8. China data, US rate talk weigh on Asia stocks - A further slowdown in Chinese inflation compounded worries about the world's number-two economy Tuesday, adding to selling pressure in Asian markets and extending a global retreat as talk of a December US interest rate hike increases. The below-forecast reading on China's consumer price index -- the weakest since May -- comes days after Beijing data showed a sharp fall in imports and exports, and is the latest in a string of reports pointing to a growth slowdown in the country. Officials said prices rose 1.3 percent last month, down from 1.6 percent year-on-year in September. Also, the producer price index, a measure of factory gate prices, fell 5.9 percent -matching the previous two months and marking a six-year low. The news will add to pressure on Beijing as it struggles to transform the nation's growth model to a more stable one driven by domestic consumption and away from decades of export reliance and state investment.

9.RBI Governor Raghuram Rajan appointed Vice Chairman on BIS Board - Reserve Bank Governor Raghuram Rajan has been appointed as Vice Chairman of the board of the Bank for International Settlements. Headquartered in Basel, Switzerland, BIS fosters international cooperation amongst central banks with a view to ensuring global monetary and financial stability. The BIS board meets at least six times a year. The BIS board includes US Federal Reserve Chair Janet Yellen, Bank of England Governor Mark Carney and Bank of Japan Governor Haruhiko Kuroda. "Dr Raghuram Rajan...was elected as the Vice-Chairman, the Board of Directors of the BIS, at its meeting in Basel held yesterday for a period of three years from November 10, 2015," Reserve Bank of India said in a statement. Rajan joined the BIS Board of Directors in December 2013. BIS Board Chairman Jens Weidmann welcomed Rajan in his new role and thanked him for his continued service to the Bank.

10. Moody's: Muted global growth for another two years - Global growth will be lacklustre over the next two years as the slowdown in China and other emerging markets continues to weigh on the world economy, Moody's Investors Service said in a report published today.

Moody's forecasts that G20 GDP growth will average 2.8% in 2015-17, only 0.3 percentage point higher than in 2012-14 and below the 3.8% average recorded in the five years before the global financial crisis. The rating agency's latest forecasts are broadly unchanged from its last quarterly Global Macro Outlook in August. "Muted global economic growth will not support a significant reduction in government debt or allow central banks to raise interest rates markedly," said the report's author Marie Diron, Senior Vice President, Credit Policy.

"Authorities lack the large fiscal and conventional monetary policy buffers to protect their economies from potential shocks." The report, "Global Macro Outlook 2015-17: Lacklustre Global Economic Recovery Through 2017 Diminishes Resilience to Shocks", is now available on www.moodys.com. Moody's subscribers can access this report via the link at the end of this press release. The research is an update to the markets and does not constitute a rating action.

11.India, UK announce 9 billion pound worth of deals - India and the UK today announced deals worth 9-billion pound as they signed a civil nuclear pact and decided to collaborate in the field of defence and cyber security besides launching a railway rupee bond. British Prime Minister David Cameron described the relations between the two sides as a "new dynamic modern partnership" and reiterated his country's support for India's permanent membership of the UN Security Council."During this visit British and Indian companies are announcing new collaborations together worth 9 billion pounds," he said at a joint press conference with Modi here. "We want to become the number one partners to finance the immense economic vision Prime Minister (Narendra) Modi and make London the centre for off-shore rupee trading with

the launch of 1-billion worth of bonds including the first government-backed rupee denominated bond," Cameron added.

12. FDI reforms to Revitalise India-UK partnership: CII - The reforms in foreign direct investment (FDI) are likely to set the tone for a revitalised investment partnership between India and the UK, industry chamber CII said today. The liberalisation of FDI rules announced by the government on Tuesday came just two days before Prime Minister Narendra Modi's first visit to the UK. "As Prime Minister Narendra Modi embarks on a state visit to the UK, the FDI reforms announced by the Government this week are likely to set the tone for a revitalised investment partnership," CII said in a statement.

13. Invest in India: Prime Minister Narendra Modi to British investors - Calling India an easy and simple place to business in, Prime Minister Narendra Modi on Thursday invited British investors to invest in his country."We have worked aggressively to make India an easy and simple place to do business," Modi said while addressing at the Old Library in Guildhall on the first day of his three-day visit to UK."There is significant potential for India and UK to further strengthen their economic ties," he said. The hallmark of our strategy now is policy-driven governance," he said, adding that India was one of the most open countries for foreign investments.He said the results of the hard work are now visible.

14.Federal Reserve should wait with liftoff to see firm inflation signs: IMF note - The US Federal Reserve should wait to see firm signs of rising inflation as well as a stronger labor market before hiking benchmark interest rates, an International Monetary Fund paper said on Thursday. In a report prepared for the upcoming Group of 20 meeting in Turkey, IMF staff said spare economic capacity and very low inflation justified keeping monetary policy loose in most major advanced economies. The contrast between rising US rates and probable further easing in other developed countries was one risk overshadowing the global outlook, along with a shift in gears in China and an end to the commodities super cycle, the surveillance note said.

15. RBI Dec rate cut unlikely but Fed may hike: Morgan Stanley - Inflation for the month of October was at 4-month high and the September Index for Industrial Production (IIP) came in at a 4-month low. However, Chetan Ahya, Co-Head-Global Economics & Chief Asia Economist Morgan Stanley is not overly worried about the down-tick in the Consumer Price Index (CPI) numbers since it was only 10 basis points higher than their estimate, adding that IIP numbers have always been volatile. According to the CSO CPI data , the prices in the pulses and products category rose to a staggering 42.20 percent in October. While the price rise in the

food and beverage category came in at 5.34 percent in October, inflation in cereals and products was also higher at 1.46 percent.

16. Oil falls to lowest in over 2 months on swelling inventories - US crude fell for the third session in a row on Friday to trade at the lowest in more than two months, as a relentless climb in oil stockpiles helped trigger a 10 percent drop in prices since the beginning of November.

Benchmark US crude futures were at USD 41.47 a barrel at 0139 GMT, down 28 cents from Thursday, when prices tumbled 4 percent on the back of rising US stocks. The contract was trading at the lowest since Aug 27. Internationally traded Brent crude futures were at USD 44 a barrel, down six cents. "Crude prices dropped to the lowest level in more than two months after US oil stockpiles climbed for a seventh week," ANZ bank said on Friday referring to official US data that saw crude inventories rise by 4.2 million barrels last week against a market expectation of a 1.3 million barrel gain. ANZ also said that big price rebound this year was unlikely: "A year end recovery in commodity prices remains unlikely with a stronger USUSD and EM (emerging market) growth concerns." Oil markets have been dogged by oversupply, which analysts estimate to be between 0.7 and 2.5 million barrels of oil being produced everyday without a buyer, and which has resulted in prices falling by almost two-thirds since June 2014.

17. Conditions for take-off of economy to get better: PM Modi - Wooing British investors, Prime Minister Narendra Modi on Thursday said that "necessary conditions" for take-off of the Indian economy have been created and held out an assurance that it will get "better and better" in the coming days. Modi said India is among the "most open" countries for foreign investments with the latest round of FDI reforms, asserting, at this point of time, it is "wiser to be in India." Stating that he is personally eager to work with the British Government and companies, Modi vowed "my personal care in making your dreams a reality."

18. India to be $6 trillion economy, buy stocks to capture that growth - Investment is all about patience, and to create wealth, investors need to endure some pain in the equity market. A recovery in the economy marked by earnings revival and beginning of the investment cycle will be the biggest trigger for the domestic equity market, which has been rangebound over the past few months waiting for fresh triggers to move up. While Asia's third largest economy is recovering slowly, analysts say it has the potential to touch double-digit growth in a few years.

When that materialises, India's GDP would grow to $5 trillion-$6 trillion in 5 to 10 years from $2 trillion now.

19. No more retrospective taxes in India: Prime Minister Narendra Modi - Prime Minister Narendra Modi has said that India will no longer resort to retrospective taxation, while acknowledging that such steps were adversely affecting the mood of existing and potential investors. "There were a number of regulatory and taxation issues which were adversely impacting on the sentiments of foreign investors. We have taken very decisive steps to remove a number of long pending concerns," the prime minister told the Indo-UK Business Meeting late on Thursday. We have clearly articulated that we will not resort to retrospective taxation and demonstrated this position in a number of ways. This includes not going for imposition of minimum alternate tax on foreign portfolio investors," he said 20. October WPI seen at -3.82%; core inflation at -1.87% - The wholesale price index (WPI) for the month of October is expected to decline (-) 3.8 percent this month, compared to a decline of negative 4.4 percent on a month-on-month (MoM) basis. The contraction is expected to come down on a MoM. The core inflation number is also expected to contract, but will remain in the negative zone. It is expected a decline of around 1.87 percent versus 1.93 percent.

The build-up in inflation rate so far this year has been around 0.28 percent and compare this to 2.61 percent on a year on year (YoY) basis. The decline is 3.5 percent to a decline of 4 percent.

As per the estimates, lesser contraction is expected in all numbers in comparison to the previous month. They will still be in negative zone, but the contraction will be lesser. The quarter-on-quarter (Q-o-Q) pick-up or the MoM pick-up is likely to be led by fuel as well as food inflation. Pulses rose over 40 percent, which is possibly is going to weigh to some effect on the WPI data as well.

TOP ECONOMY NEWS 1. Bridging gender gap may add Rs 46 lakh crore to India's GDP in 2025: McKinsey Pushing gender equality can deliver a sizeable additional economic growth and could add Rs 46 lakh crore to India's GDP in 2025, a McKinsey report says.According to the new report by McKinsey Global Institute titled The Power of Parity: Advancing Women's Equality in India', bridging the gender gap will have a huge economic impact and the boost could translate into 1.4 per cent per year incremental GDP growth for India. Advancing gender equality can deliver sizeable additional economic growth and broad-based prosperity to the world -- nowhere more so than in India," the report said, adding that delivering that impact will require tackling significant gender gaps in society and driving a national agenda for change that involves all stakeholders. About 70 per cent of the increase would come from raising India's female

labour-force participation rate to 41 per cent in 2025, from 31 per cent at present. This would bring 68 million more woman into the economy over this period.

1. NDA defeat in Bihar no setback to economy - Arun Jaitley - Attributing the NDA's defeat in Bihar assembly elections to 'huge index of opposition unity', Finance Minister Arun Jaitley on Monday said it will not impact the economic reforms process. "I don't see it as a setback to the economy... structural reforms will continue. They should continue at a rapid pace," he said.

Admitting that some irresponsible statements by certain BJP functionaries during the course of elections did change the narrative, Jaitley said the "index of opposition unity" was one of the biggest factors that led to the victory of the Mahagathbandhan in the Bihar assembly elections.

2. Hoping Nitish’s GST Support continues post Bihar win : FM - As far as the outcome of Bihar polls and the one-way result is concerned, the arithmetic of the Grand Alliance was bigger than NDA, says Finance Minister Arun Jaitley. But be that as it may, the development agenda of the government will continue, he says. Going ahead, he feels Bihar has huge scope for growth in terms of power generation and agri industries. "Nitish contested the Bihar election on the plank of governance and development. In his first 10 years, development happened at a very elementary level — building roads, hospitals, etc. He can't continue to do just that... If he conitnues on the path of development, he will have the support of the Centre," he told CNBC-TV18.

3. After Bihar defeat, investors tell PM Narendra Modi to speed up reform - Foreign investors shook off turbulence in financial markets on Monday after a defeat for the NDA-led government in Bihar Assembly Elections, but they pressed Prime Minister Narendra Modi to do more to accelerate promised reforms. Modi needs to win most state elections in the next three years to secure full control of parliament, and the heavy loss in the northern state of Bihar prompted some to fret he could struggle to push through key economic reforms. After falling as much as 2.3 per cent on Monday to its lowest level since Sept. 29, the NSE was 1.2 per cent lower as of 1345 India time (0815 GMT).

4. Indirect tax collection up 36% in first seven months - Excise duty rises on oil, along with a couple of other measures, pushed up indirect tax collection by 36.8 per cent to Rs 58,691 crore in October and 35.9 per cent to Rs 3.82 lakh crore in the first seven months (April to October) of the current financial year, official data showed on Monday. However, for gauging industrial growth, the impact of additional measures have to be taken out. In that case, these collections were up only 13.5 per cent in April-October 2015-16, finance minister Arun Jaitley had earlier said. Beside excise duty rises on petroleum, additional steps include withdrawal of concessions here for automobiles and capital goods, and an increase in the service tax rate in

June to 14 per cent from the earlier 12.66 per cent. The effect of the additional measures was evident, as the bulk of the growth in indirect taxes came from excise duty collection, which grew 68.6 per cent to Rs 1.47 lakh crore till October.

5. Piyush Goyal sees $ 30 billion savings from discom revival by FY19 - Union Power Minister Piyush Goyal today said the implementation of the revival package of the near bankrupt state-run discoms will result in total saving of nearly $ 30 billion by FY 2018-19. “If all goes as planned, the Uday Scheme will help save nearly $ 30 billion in total by FY15, “ Goyal told investors here. The Banking sector as a whole has a huge exposure to the near bankrupt state-run discoms to the tune of Rs. 4.3 trillion in principle alone and over Rs. 5 trillion if interest and unpaid dues are counted. These discoms have accumulated losses of about Rs. 3.8 trillion. Goyal assured that the state-run power finance corporation and Rural Electrification Corporation, which have an exposure of around $ 20 billion to the discoms, will not be forced to buy the bonds to be issued by the respective states under the scheme at 8.8.5 percent yield.

6. Govt signs loan deal with ADB - ICRA expects wind energy capacity addition during the current fiscal to grow at 20% over the last year to about 2800 MW and will be driven both by the IPP and non-IPP segments. In the rating agency’s view, the demand drivers for the wind energy sector remain favourable in the long run. This is mainly aided by strong policy support in place at the Centre and in key states having wind potential, favourable regulatory framework in the form of renewable purchase obligation (RPO) regulations, as well as the cost competitiveness of wind-based energy vis-à-vis conventional energy sources. (BL) Government has signed a USD273 million loan agreement with the Asian Development Bank (ADB) to improve rural roads in Assam, Chhattisgarh, Madhya Pradesh, Odisha and West Bengal.

7. PM's UK visit to give boost to trade and investment:GP Hinduja - Leading NRI businessman G P Hinduja has said that Prime Minister Narendra Modi's visit to the UK this week will give boost to the trade and investment between the two countries. Speaking at a Diwali celebrations hosted by the Hinduja brothers here last night, he said that Prime Minister Modi's visit would give "a boost to the bilateral trade and investment between India and the UK. 8. Apr-Oct indirect tax mop up reflects healthy GDP growth:CEA - Finance Ministry on Tuesday said the increase in indirect tax collection during first seven months of the current fiscal reflects a healthy rise in GDP. “ April-October indirect tax growth: 35.9 percent. And 11.6 percent w/o new measure. Latter shows tax base-nominal GDP-growth healthy, “ Chief

Economic Advisor Arvind Subramanian said in a tweet. Indirect tax collection have registered an increase of almost 36 percent in the first seven month of the current fiscal at Rs. 3.83 lakh crore on spurt in economic activity. These collection reflect additional measure like the excise increase on diesel and petrol, the increase in clean energy cess, the withdrawal of exemptions for motor vehicles, capital goods and consumer durables and the hike in service tax rates to 14 percent from 12.36 percent. Stripped of all these additional measure, indirect tax collections increased by 11.6 percent during April-October.

9. Big bang in FDI, Modi government to open up as many as 14 sectors - Seeking to allay concerns that reforms may slowdown after Bihar setback, the Narendra Modi government is set to announced big bang FDI reforms.As many as 14 sectors could be opened up more in one of the biggest review of the foreign investment regime. The government has been working towards simplifying the FDI policy. India got FDI of $19.39 billion in the April-June period, according to government data, up 29.5% over the year earlier. The Modi government has been pushing hard to drum up overseas investment, easing FDI regulations in various sectors including the railways, medical devices, insurance, pension, construction and defence.

10. Fiscal deficit to reduce to 3.7% of GDP by FY18: Deutsche Bank - India's fiscal deficit is likely to reduce to 3.7 per cent of GDP by financial year 2018 and the consolidation process would be gradual, says a Deutsche Bank report.According to the global financial services major, in the path of fiscal consolidation, the easy part is done while the hard work is ahead. "It will be an uphill task to reduce the headline fiscal deficit to 3 per cent of GDP by FY18, unless such consolidation is supported by a strong pick-up in revenue, particularly tax revenue," the report said. We are forecasting fiscal deficit for FY17 to be 3.8 percent of GDP, improving modestly thereafter to 3.7 per cent of GDP FY 18 it added. The report noted that in order to achieve the medium term goal, the authorities would need to push fiscal deficit down to 3.5 per cent of GDP in the next fiscal year (FY17), which "we think would be challenging given the sluggish economic recovery", it said.

11. Broadly support Modi government's economic reforms: IMF - The International Monetary Fund has said it broadly supports the series of economic reforms undertaken by India, which is moving in the right direction. "We have been broadly supportive of the reforms being undertaken by Modi's government," IMF spokesman Gerry Rice, told reporters at a news conference yesterday.

Rice was responding to questions about the recent economic reforms announced by Modi early this week. "We have been broadly supportive that those reforms are in the right direction," Rice

said. Rice added that the IMF Managing Director Christine Lagarde would be Travelling to Turkey to attend the G-20 summit, which would be attended by PM Modi and US President Barack Obama among others.

12. G20: PM Narendra Modi to push for low transaction cost for remittances - With India being the largest recipient of remittances in the world, Prime Minister Narendra Modi will at the G20 Summit this weekend press for cutting transaction cost for transferring money from abroad. Modi, who will attend the 10th G20 Summit at Antalya, Turkey, on November 15 and 16, will also voice concern over delay in implementation of the quota reform of the International Monetary Fund (IMF) are aimed at giving more voice and voting power to the emerging economies.

13. Relaxing FDI norms to spur investments in country: Economic Affairs Secretary Shaktikanta Das - Finance Ministry today said the relaxation of FDI norms in as many as 15 sectors by the government will help open floodgates of investment in the country. this (relaxation of FDI rules in 15 sectors) is a welcome decision of the government. One would expect this to spur a lot of investments in the country," Department of Economic Affairs Secretary Shaktikanta Das told reporters here. In a major reform push, the government today relaxed the foreign investment rules in 15 sectors, including civil aviation, banking, defence, retail and news broadcasting, and also eased the process for the Foreign Direct Investment (FDI) approval.

14. FIPB gets more power; can clear proposals up to Rs 5k crore - With an aim to expedite FDI clearance process, the government today enhanced FIPB's monetary limit to approve foreign investment proposals of up to Rs 5,000 crore. Earlier, the FIPB, which is headed by DEA Secretary, was allowed to approve foreign investment proposals of worth up to Rs 3,000 crore. "In order to achieve faster approvals on most of the proposals, it has been decided that the threshold limit for FIPB approval may be increased to Rs 5,000 crore," the Commerce and Industry Ministry said in a statement.

15. Economy not out of danger zone as inflation up, IIP down - Industrial growth came in below expectations in September and higher food prices pushed consumer inflation to a four-month high, marking a twin setback for the economy and dampening hopes of a rate cut next month. Industrial output growth slowed to 3.6 per cent in September, the lowest in four months and down sharply from an almost three year high of 6.3 per cent in August, data released on Thursday showed. The consensus estimate was growth of 4.5 per cent. Separately,

the Consumer Price Index showed retail inflation at 5 per cent in October, accelerating for the third successive month and higher than expectations of about 4.8 per cent. Rising prices may dampen expectations of a cut in interest rates to support an economy that's now seen expanding at about 7.5 per cent or lower and may find the going difficult once the festival-led spike in demand eases.

16. Highway to growth: Government spending on roads likely to go up by 50 per cent to Rs 1.5 lakh crore - The government plans to raise its roads construction target for the next fiscal by a steep 50%, taking the total spend to Rs 1.5 lakh crore.Road, Transport and Highways Minister Nitin Gadkari is expected to set an aggressive target of awarding around 15,000 km of roads next year, of which 30% will be done through private participation and the rest through the government-funded engineering, procurement and construction (EPC) model. His ministry will be seeking a budgetary support of more than Rs 60,000 crore for 2016-17 while tax free bonds and securitization of toll revenue will be used to meet the gap. The target for this financial year was 10,000 km. In 2014-15, the government was able to award only 8,000 km.

According to a senior official at the road, transport and highways ministry, Gadkari had recently made a presentation to the Prime Minister's Office (PMO) on the targets set by his ministry.

17. India can be next global powerhouse, barriers remain: Economist Intelligence Unit India can be a China-like global growth powerhouse of 2020s, but it needs to address several challenges including infrastructure and gender gap to realise the potential, Economist Intelligence Unit has said. "India is the only country that has the potential to change the world in the 2020s in the way that China changed it in the 2000s. It will probably take a little longer than that before India really takes off but, even so, it is going to be a global growth powerhouse of the 2020s," EIU's Chief Economist Simon Baptist said. In a newsletter, Baptist further said that a key driver could be expanding India's industrial base. Acknowledging that this was indeed the idea behind the government's ambitious 'Make in India' campaign, a policy to turn the country into a manufacturing hub, he said "the preconditions for a Chinese-style take-off of manufacturing do not yet exist in India".

18. India's Q3 gold demand jumps 13% to 268 tonnes: WGC - old demand in India during the July-September period increased by 13 percent to 268.1 tonnes mainly due to softening of the prices at the beginning of the quarter, World Gold Council has said. The demand during the corresponding period last year stood at 238.2 tonnes. In terms of value, the demand was up 5.8 percent to Rs 62,939 crore compared with Rs 59,480 crore in Q3 last year, Gold Demand Trends report of WGC said.

19. Government for revenue neutral reduction of corporate tax - The finance ministry has decided to sequence the withdrawal of exemptions and the reduction in corporate tax rates in a way that the whole exercise is revenue neutral. In 2015-16 Budget, FM Arun Jaitley had unveiled the government's intention to reduce corporation tax rates from 30% to 25% over a four-year period, while also pruning exemptions. Due to the exemptions, the effective rate is around 23% but the 30% rate conveys that taxes are higher in India than in several economies that it competes with for attracting investment. The move is expected to reduce the tax burden on companies and stop them from shifting out of India. Several firms have shifted to cities such as Singapore due to the favourable tax structure and rates. Sources said several rounds of discussions have already been held and the finance ministry is in the process of identifying the exemptions and would seek public feedback before going ahead with the move. Jaitley had said that the government did not want the changes to be sudden and had therefore decided to undertake them gradually.

20. Will address all concerns on GST: Nirmala Sitharaman - The government on Tuesday eased foreign direct investment (FDI) norms in 15 major sectors. Speaking to CNBC-TV18's Rituparna Bhuyan, Commerce Secretary Nirmala Sitharaman says the decision will be vetted by the Cabinet in one month. Sitharaman explained the government will assess the proposals on multi-brand retail once companies apply to the Foreign Investment Promotion Board (FIPB), adding that the government has ensured that the manufacturing companies are able to sell their goods online. On the FDI in defence wherein the government has allowed foreign investment up to 49 percent under the automatic route, Sitharaman says the government will take a call on allowing 100 percent FDI on a case-by-case basis. Furthermore, she adds the government will meet all the parties involved and try and convince them on the issue of Goods and Services Tax (GST).

21. Arun Jaitley to meet heads of PSU banks on November 23 - Finance Minister Arun Jaitley will meet heads of PSU banks on November 23 to discuss various issues, including bad loans and credit flow to productive sectors of the economy. The performance review meeting of public sector banks (PSBs) on November 23 will also take stock of the credit flow to productive sectors to spur economy and review of ‘Indradhanush’ plan, the seven-point agenda to revive the fortunes of PSBs, sources said. The government in August announced seven-point agenda, including Rs 70,000 crore capital infusion in PSBs in four-year period starting with Rs 25,000 crore in the current fiscal and measures to de-stress the banks of NPAs by introducing governance reforms. The gross NPA of the PSBs rose to 6.03 percent at the end of June 2015 as

against 5.20 percent in March 2015. According to sources, the meeting is expected to review credit offtake by sectors such as home, education and corporates as well as the progress made under the Jan Dhan Yojana and Prime Minister's social security schemes, among other issues.

TOP CORPORATE NEWS 1. Dena Bank Q2 net down 25% at Rs 39 cr - Dena Bank reported a fall of 24.85 percent in net profit at Rs 38.76 crore during July-September quarter of 2015-16. The bank's net profit during the same period of the previous fiscal was at Rs 51.58 crore. Total income for the said quarter decreased from Rs 2,885.22 crore in the year-ago period to Rs 2,872.08 crore, it said in a BSE filing. Bank's gross non-performing assets slipped further to 6.84 percent of gross advances as of September 2015, from 5.12 percent a year ago. Net NPAs were at 4.65 percent of net advances, as against 3.59 percent during the same quarter last fiscal. Provisioning for bad loans and contingencies were at Rs 283.52 crore for the quarter under review, down from Rs 315.22 crore parked by the bank during the year-ago period 2. Tata Steel may sell Long Products Europe business by March 2016 - Forced to go for more restructuring of its UK business due to a "challenging marketplace", Tata Steel will sell its Long Products Europe business by the end of the current financial year. The long products business in Europe manufactures plates, sections, wire rod and semi-finished steel for different markets, the including construction, ship-building & engineering, energy and wire drawers.

These products are made at its mills in Teesside and Scunthorpe in the UK. When asked about the long products business, Tata Steel Europe Chief Executive Karl Koehler last week said: "Our stated strategy stays unchanged. Long products will not have a future within Tata Steel.

"And that means we will come to one of the possible options which I don't need to spell out and decisions about that have to happen within the timeframe of this fiscal year, to say the very least." The steel maker, which reported Rs 16,948 crore turnover from Europe in September quarter, said a "sharp deterioration" in market conditions impacted performance in the UK with an EBITDA loss of Rs 238 crore.

3. Corporation Bank Q2 net up 18% at Rs 189 crore - Public sector lender Corporation Bank reported a rise of 17.5 percent in net profit to Rs 188.60 crore for the September quarter.

The bank's net profit stood at Rs 160.51 crore during the same July-September period of the previous fiscal. "Total income of the bank increased to Rs 5,434.65 crore for the quarter ended September 30, 2015, from Rs 5,229.06 crore for the quarter ended September 30, 2014," it said in a regulatory filing

4. Make in India: Boeing & Tata announce JV to produce Apache fuselages - In a leg up for Modi government's 'Make in India' campaign, Boeing and Tata Advanced Systems on Monday announced a joint venture (JV) that will manufacture aerostructures for aircraft and collaborate on integrated systems development opportunities in India. According to the Boeing press release, "The JV will initially create a manufacturing center of excellence to produce aerostructures for the AH-64 Apache helicopter and to compete for additional manufacturing work packages across Boeing platforms, both commercial and defense.

5. Andhra Bank Q2 net jumps 74% to Rs 251 crore - State-run lender Andhra Bank said net profit for the September quarter grew by 74 percent to Rs. 251 crore on the back of low deposit cost and higher net interest margin. The bank’s net profit during the same quarter last fiscal was Rs. 144 crore. Bank’s total income increased by Rs. 7.2 percent to Rs. 4.744 crore during the quarter under discussion against Rs. 4,424 crore in the second quarter of financial year 2015’ Andhra Bank MD and Chief Executive Suresh N patel told reporters here.

6. Adani coal mine in Australia faces fresh legal challenge - Indian conglomerate Adani Enterprises is facing possible further delays in constructing a giant coal mine in Australia after an environmental group lodged a fresh legal challenge on the grounds the project would harm the Great Barrier Reef and contribute to climate change. Australia's Environment Minister on Oct. 15 reissued an environmental permit for construction of the mine, costing an estimated $7 billion, after clearing concerns raised in an earlier legal challenge over two rare outback species that set the project back by several months. On Monday, lawyers for the Environmental Defenders Office acting for the Australian Conservation Foundation launched a review of that approval.

7. Coal India to invest Rs 6,000 crore to set up solar power units - State-run Coal India (CIL) will invest Rs 6,000 crore to set up 1,000 MW of solar power generation capacity over the next five to six years, according to a senior company executive. "We will fund 70% of the project cost through debt, which will come mostly from banks, while the rest will be through internal resources," said the executive, who did not wish to be named adding that land for the plants will be provided by the states. As a first step, Coal India has prepared a detailed project report for setting up 200 MW of solar generation capacity.

8. Tata group will focus on four key areas to drive business - The Tata Group will focus on the four key areas of defence and aerospace, realty and infrastructure, consumer and retail, and financial services, Chairman Cyrus Mistry said, adding that individual companies will leverage digital and analytics to drive business. I think the next five years will be of building strength

and reconfiguring and reconstructing our businesses to be more resilient in the future and at the same point in time planting seeds for growth in the future," Mistry told 250 human resource managers at more than 70 group companies in the first week of October. "Then, there will be the next five years where we will amplify the growth from the seeds that we have planted today." The conglomerate will have to build a stronger global presence, said Mistry, 47, who has been running the 147-year-old group for about four years.

9. Nestle relaunches Maggi noodles, begins market Rollout - Nestle India on Monday relaunched its popular Maggi noodles in India, five months after they were banned due to alleged presence of excessive lead content. Besides, the Swiss food major has partnered with online marketplace Snapdeal for the rollout. Most states do not have a ban on sale of Maggi noodles. For states where specific directions are required, we are engaging with them," Nestle India said in a BSE filing.

10. Havells Q2 net rises marginally to Rs 120.72 crore - Electrical goods maker Havells India today reported a marginal increase in standalone net profit at Rs 120.72 crore for the second quarter ended September 30, 2015-16. The company had posted net profit of Rs 119.61 crore for the same period of previous fiscal, Havells India Ltd said in a BSE filing. Its net sales during July-September quarter of the current financial year declined by 1.04 per cent to Rs 1,339.01 crore as compared to Rs 1,353.12 crore during the same period 2014-15, it said.

11. REC Q2 net profit grows 8 per cent to Rs 1,619 crore - The state-owned Rural Electrification Corporation today announced a 7.64 per cent growth in September quarter net profit at Rs 1,619.19 crore on account of increase in interest income. "The company has posted a net profit of Rs 1,619.19 crore for the quarter ended September 30, 2015 compared with Rs 1,504.30 crore for the quarter ended September 30, 2014," REC informed BSE today in a statement. According to the statement, the interest income of the company rose to Rs 5,827.05 crore in the quarter under review, compared with Rs 4,986.19 crore a year ago.

12. Jet Airways orders 75 Boeing 737 Max planes - Jet Airways on Monday announced an order for 75 Boeing 737 Max aircraft as a part of its fleet replacement strategy. Jet's order, which includes options for 50 additional planes of the type, is valued at $8 billion and its largest.Other domestic airlines IndiGo, GoAir and SpiceJet have booked fuel-efficient aircraft like the Boeing 737 Max or the Airbus A320Neo. This deal ensures Jet does not lose on cost competitiveness. Jet's deal was announced at the Dubai air show on Monday, but a portion of the order was finalised two years ago. The order for 50 of the 737 Max planes was finalised in

2013. Later, Jet decided to swap the order for 25 current generation Boeing 737s with a similar number of 737 Max planes. While Boeing had booked the Jet order earlier, it was attributed to an unidentified customer.

13. Adani to buy L&T's port for Rs 2,000 cr - Adani Kattupalli Port, a subsidiary of Adani Ports, has entered into an in-principle agreement for acquisition of Kattupalli Port in Tamil Nadu from L&T Shipbuilding (L&TSB), a subsidiary of Larsen and Toubro.While neither disclosed the acquisition cost, industry sources and people familiar with the deal have said the deal value was estimated at Rs 2,000 crore.Currently, L&TSB operates both the port and shipyard. The strategic sale is subject to approval from the Tamil Nadu government and the Centre and the port being demerged from L&TSB. Sources said the process would take at least six months to get completed. Till that time Adani would have management control of the port.

14. Bank of India posts, Rs. 1,126-cr loss in Q2 - Bank of India, the country’s fourth-largest state-run bank, posted a huge net loss for the second quarter at Rs. 1,126 crore, hit by a spike in provisions for bad and doubtful assets that more than doubled from the same period a year ago and lower net interest and other income.In the same quarter to September last year, the bank’s profit was Rs. 786 crore.Overall, the bank made provisions, including for bad and doubtful assets and pension liabilities, aggregating to Rs. 3,237 crore (Rs. 963 crore in the year-ago period).“The loss was largely due to the backlog in provisioning towards pension and lower interest income...Flat NII is also a function of the advances portfolio dropping,” said Melwyn Rego, Managing Director and CEO of Bank of India.

15. Allahabad Bank profit up 25% - Bank on Monday reported 25.2 per cent rise in net profit at Rs 177.10 crore during the second quarter ended September 30. The bank had a net profit of Rs 141.44 crore in the July-September quarter of 2014-15. However, the total income decreased to Rs 5,317.06 crore during the quarter under review from Rs 5,416.63 crore in the year-ago period, it said in a filing to the BSE. On asset quality, the gross non-performing assets (NPAs) were trimmed to 5.26 per cent of gross advances as against 5.36 per cent in the July-September period of FY15.Net NPAs, however, grew to 3.61 per cent from 3.54 per cent of net advances in the year-ago period.

16. RBI allows FIIs to buy up to 49% stake in Prestige Estate Projects -- The Reserve Bank of India on Monday allowed Foreign Institutional Investors (FIIs) to invest up to 49 per cent of the paid up capital of The Prestige Estate Projects Limited under the Portfolio Investment Scheme (PIS)."The Reserve Bank has further advised that the foreign shareholding by FIIs in

The Prestige Estate Projects Limited have gone below the revised threshold limit. Hence, the restrictions placed on the purchase of shares of the above company are withdrawn with immediate effect," the apex bank said in a notification.The Reserve Bank has stated that the company has passed resolutions at its Board of Directors' level and a special resolution by the shareholders, agreeing for enhancing the limit for the purchase.

17. NHPC net jumps 72.62 per cent, in talks to buy projects in Arunachal Pradesh State-run NHPC has posted a 72.62 per cent jump its net profit in the september quarter, even as the company announced it is in talk with private firms to buy stake in hydro-power projects in Arunachal Pradesh. "I got the offer from private players (implementing projects) from Subansiri basin to come (join) as a joint venture partner," NHPC Chairman & Managing Director K M Singh told reporters at a press conference here.Singh also confirmed that NHPC is in touch with the Arunachal Pradesh government, which is now asking the company to implement certain ongoing projects in the state."But that will not serve the purpose because first they have to cancel the allotment of the project. Earlier NHPC was there in big way but state allowed these projects to private players because of their attractive offers," Singh said.

18. M&M Dhanteras sales up 70%, sells 11,500 vehicles - Mahindra & Mahindra, a leading UV maker today said that it had sold 11500 vehicles in the domestic market on the day of Dhanteras (November 9), a growth of more than 70% for the company compared to last years Dhanteras day; on the back of a strong demand for its portfolio of products which includes Bolero, Scorpio, XUV500 and TUV300. Sales over the last couple of months have seen an upward trend for most vehicle manufacturers. Dhanteras is considered an auspicious day for buying new products and precious metals and most manufacturers look to cash in on this day leading upto Diwali.

19. Hindalco Industries Q2 net profit at Rs.103.3 crore, up 31 percent - Hindalco Industries Ltd has announced the following Unaudited Standalone results for the quarter ended September 30, 2015 . The company reported 31 per cent rise in its net profit at Rs.103.3 crore for the quarter ended September 30, 2015 as compared to Rs.78.8 crore for the same quarter in the previous year. The company’s total income has increased by 6.4 per cent to Rs.9,342.1 crore for the quarter under review from Rs.8,777.7 crore for the corresponding quarter of the previous year.

20. Kotak Mahindra Bank net profit up 31% at Rs 942 cr - Private sector lender Kotak Mahindra Bank reported a 31 per cent growth in consolidated net profit for the July-September

2015 quarter to Rs 942 crore from Rs 718 crore in the year-ago period. The rise in net profit was on the back of strong growth in advances, which led to higher net interest income. On standalone basis, net profit rose 28 per cent to Rs 569.5 crore. On consolidated basis, net interest income — the difference between interest earned and interest expended — grew 44 per cent to Rs 2,278 crore. However, other income which includes fees, income from treasury etc grew only five per cent to Rs 1,732.50 crore. The moderate growth in other income was on account of loss on sale of investments at Rs 62.83 crore in the quarter ended September, compared to a profit of Rs 278 crore in the corresponding quarter in FY15.

21. Vodafone commits to invest Rs 13,000 crore in India - British telecom giant Vodafone has said it plans to invest of over Rs 13,000 crore in the country to upgrade and expand its network in India, and in its payments bank operations. The announcement through a statement was made after Vodafone's global head Vittorio Colao met Prime Minister Narendra Modi in London on Thursday. Vodafone, which is India's No. 2 telecom operator with over 188 million subscribers, however didn't provide a timeline for the investments. Vodafone said that out of the total proposed investment, Rs 8,000 crore would go towards enhancement, upgradation and expansion of its network coverage. Vodafone has called this investment in "Digital India".

22. Hindalco Industries Q2 profit surges 31 per cent to Rs 103 crore - Hindalco Industries, the flagship company of Aditya Birla Group , on Tuesday posted a 31.10 per cent jump in standalone net profit at Rs 103.27 crore for the quarter ended September 30, on the back of higher sales. The company had reported a net profit of Rs 78.77 crore in the year-ago period, it said in a regulatory filing. The total income increased to Rs 9,342.14 crore over Rs Rs 8,777.66 crore in the year period.The company said in a statement that the revenues for the quarter were higher by 4 per cent over the corresponding quarter of the previous financial year despite a sharp decline in realisations.

23.Tata Steel announces partnership with IDC in Middle East - Tata Steel has joined hands with a leading UAE-based petrochemical company, aimed at broadening its market base for energy sector products in the Middle East.

Recognising the need to have local representation in Abu Dhabi, Tata Steel has announced collaboration with International Development Company (IDC) which will support it in obtaining in national oil company approvals, that are required in the region.

"Tata Steel , along with IDC, will introduce its supply capabilities to oil and gas companies in

the region, providing them with an opportunity to work with a supplier who has an excellent track record of providing for offshore and onshore line pipe projects worldwide," said Richard Broughton, Commercial Manager, Energy and Power, Tata Steel.

24. Hindustan Petroleum reports Rs 320 crore net loss on Rs 1,400 crore inventory hit Hindustan Petroleum Corporation on Monday reported a Rs 320 crore net loss for the three months to September against a net profit of Rs 850.31 crore a year ago, on high inventory losses following low crude oil prices, but a marginal rise in gross refining margins to $2.74 a barrel cushioned deeper cuts. The state-run company has booked an inventory loss of Rs 1,400 crore during the quarter. The city-headquartered oil refiner and marketer had earned $2.12 on turning every barrel of crude oil into products in the year ago period, which had helped it report more than double its net income to Rs 850.31 crore.

25. NHPC net jumps 72.62 per cent, in talks to buy projects in Arunachal Pradesh State-run NHPC today posted a 72.62 per cent jump in its net profit in the September quarter, even as the company announced it is in talks with private firms to buy stake in hydro-power projects in Arunachal Pradesh."I got the offer from private players (implementing projects) from Subansiri basin to come (join) as a joint venture partner," NHPC Chairman & Managing Director K M Singh told.

26. SpiceJet flies into Rs 24-crore Q2 profit on lower expenses - Staying profitable for the third consecutive quarter, low-cost carrier SpiceJet today reported a net profit of Rs 23.77 crore in the three months ended September driven by a steep fall in fuel costs and other expenses.

The no-frills carrier, which saw the return of its original promoter Ajay Singh at the helm earlier this year, had a net loss of Rs 310.45 crore in 2014 September quarter.The airline has flown into the black despite its total income from operations declining over 28 per cent to Rs 1,040.13 crore in July-September of the current fiscal, according to a release.In year-ago period, the same stood at Rs 1,449.94 crore.

27. Airtel plans to list Rs 5k cr bond issue on London Exchange - Bharti Airtel on Friday said it intends to issue Sterling Bond of up to GBP 500 million (around Rs 5,000 crore), which will be listed on the London Stock Exchange. Airtel said the amount will be used for refinancing its existing loan portfolio. The country's top telecom operator said the issue and its timing remains subject to necessary Authorisations and approvals, global credit environment and market conditions. Airtel in a regulatory filing said that it intends to issue its maiden

Sterling Bond of up to GBP 500 million. This bond, when issued will be listed on London Stock Exchange."

TOP BANKING AND FINANCIAL NEWS OF THE WEEK 1. Bad loan problem gradually bottoming out, say Indian banks - Indian banks believe their bad loan problem is bottoming out even as sticky loans continued to haunt both public and private sector lenders in the quarter-ended September. Lenders expect their asset quality to start getting better here on as economic activity improves cash flows. "We are getting to the bottom of the pile, State Bank of India chairman Arundhati Bhattacharya had said last week after announcing a 25% rise in the quarterly net prof it of the country's largest Bank. The World Bank expects the Indian economy to expand 7.5% this year, up from 7.3% last year. The Reserve Bank of India has, however, reduced its real GDP forecast for 2015-16 to 7.4% from 7.6% earlier, saying growth is expected to pick in the latter part of the fiscal.

2. Hitting at economic revival, large Banks see surge in big corporate loans - In a sign of economic revival, large banks, including State Bank of India, the biggest player, are seeing a surge in big corporate borrowings, which have exceeded the sector's lending growth rate.

Bankers expect loan demand to pick up further by the end of the financial year in March.

Private sector banks, including HDFC Bank and Axis Bank, posted a 25% year-on-year growth in large corporate loans in September, while SBI recorded a 21% increase. ICICI Bank's corporate lending rose 7%, still higher than the banking sector's growth of 5.5% in September, according to an RBI data on sectoral credit flows.

3. Devise flexible education loans, default on rise : Raghuram Rajan - Expressing concern over rising defaults in education loans, Reserve Bank Governor Raghuram Rajan said they should be devised in a flexible manner, providing options like automtic moratorium if borrowers are "under a period of unemployment". He also stressed on making know-your-customer norms simplier. There are "lots of NPAs in the education sector. They have been rising in the last few years. It's a matter of concern," he said at the 6th Delhi Economic conclave here.

4. YES Bank adopts IBM API Management - YES Bank has implemented IBM API Management solution. With this, the bank can now reveal its core business assets and data to an ecosystem of industry partners and end users transforming the way banking is done in India.

The API Banking platform opens up multiple business channels by helping the bank build new digital partnerships with its clients and tap into the growing market of inward remittance from

Indians abroad. YES Bank senior president and chief information officer Anup Purohit said the Indian banking industry is at an inflection point and the bank needed a proven partner in its digital transformation. IBM API Management helps further enhance the offerings to clients seeking seamless integration of their financial supply chain with the bank, while enabling the bank to improve business performance and IT costs, he said.

5. Union Bank implementing new treasury system - Union Bank of India is proposing to implement an integrated treasury management system. The bank has sought proposals form service providers to undertake the implementation. The Bank has implemented Finacle CBS across all the domestic and overseas branches and at present, it has Kastle software for treasury operations and it is catering to domestic, forex and derivatives operations of the treasury. In overseas branches, it is Finacle treasury solution that is working at present. In addition, the bank is also implementing Oracle GL, Enterprise Data Warehouse and Integrated Risk Management from SAS and it wants the proposed solution to be integrated with these systems also. The Bank is looking for a complete end to end treasury management solution. The selected service provider will be required to supply, install, implement, customize, integrate and test the system besides undertaking migration, training, onsite support and maintenance of all the software, RDBMS and other utilities at the primary site - treasury branches and the DR site at Bangalore/Ernakulam. The solution should support web-based / web- enabled 3-tier architecture.

6. Bank of India’s borrowing downgraded due to weak asset quality - Bank of India has lost the triple A status. Rating company Icra has downgraded the borrowings of the bank to AA+. The bank has an outstanding borrowings of Rs 1587 crore. Icra said that rating is revised due to pressure of profits due to deterioration in asset quality over the last few quarters.

However the rating continues to draw comfort from government owning 70% stake in the bank.

Icra has said that the bank's ability to prevent further asset quality deterioration will remain a key rating sensitivity. Of the total borrowings, Rs 200 crore is lower tier II bonds, Rs 732 crore is upper tier II bonds and remaining Rs 655 crore is innovative perpetual debt instruments. "The subdued growth of its loan book coupled with high proportion of exposures that would keep credit costs high and relatively weaker capitalization levels necessitating sizeable capital to meet the regulatory minimum capital under Basel III norms are likely to continue exert adverse pressures on the key performance indicators of the bank over the near term,"Icra said in a statement issued today.

7. SBI's CP portfolio more than doubles to Rs 23,000 cr in Q2 - The nations largest lender State Bank of India is also the largest players in the commercial paper market, with its exposure

in this segment of the money market jumping by a whopping Rs. 16,000 crore in the september quarter to Rs. 23,000 crore. CP portfolio was only 7,000 crore at the end of the June quarter.

This rose to Rs. 23,000 crore as of end-September, The Bank deputy managing director said.

She said the Bank’s corporate bond portfolio also grew by Rs. 8,000 crore i the september quarter Rs. 35,000 crore. This makes SBI the single largest player in the CP market among bank’s, with over 40 % share of the Rs. 51,000 crore exposure of banks in the segment.

8. Private banks to gain with easing of FDI - Axis Bank, Kotak Mahindra Bank and YES Bank are likely to be the biggest beneficiaries of the central government’s decision to ease foreign investment limits in the sector.The decision was to scrap the sub-limits for foreign direct investment and foreign institutional investment, instead having a composite cap of 74 per cent. HDFC Bank and ICICI Bank already have a very high foreign shareholding and won’t benefit from this change in norms. As the process of capital raising will become simpler, lenders actively looking to do so will gain. For instance, YES Bank was planning to raise Rs 6,607.5 crore; it might now go for qualified institutional placement, instead of an issue of American or global depository receipts. It had said it was preparing for both routes of doing so.

9.General insurers see 13% growth in premium in Apr-Oct - General insurance companies reported a 12.6 per cent growth in premium collection for the April to October period 2015-16 against the same period last financial year. According to data from the General Insurance Council, non-life insurers collected total premiums of Rs 55,005 crore as against Rs 48,841 crore in the same period previous financial year. Here, public sector insurers collected Rs 27,422.83 crore in this period, up 11 per cent. Private non-life insurers collected Rs 22,535 crore premium, also seeing a growth of 11 per cent. Standalone health insurers saw the steepest rate of growth of almost 45 per cent and collected Rs 1,974.60 crore for the period.

10. Government working on plan to curb NPAs in public sector banks - The government is working on a detailed plan to tackle bad loans at public sector banks that curtail their ability to lend and stifle private investment, thus posing a significant threat to the broader Indian economy. "Discussions are on... A plan is being worked upon to address this issue," said a senior government official. The government wants to kickstart private investment and there is a growing feeling among policy makers that a more radical and focused approach is needed to address the issue besides capital infusion in the long term. The plan is being discussed by Prime Minister's Office and the finance ministry.

11. Emirates bank, SBI join hands for easier remittances - A leading UAE-based bank has announced a partnership deal with State Bank of India to help NRI customers in the gulf carry

out their remittances instantly and more conveniently.Emirates NBD has expanded its partner bank network in India to include State Bank of India for the DirectRemit 60 seconds remittance platform. With this partnership, the bank's Non-Resident Indian customers who also bank with SBI can now avail themselves of the fastest remittance service in the UAE more easily. The tie-up with SBI will help strengthen Emirates NBD's DirectRemit platform which is set to benefit a large additional customer base in the UAE. 12. Indiabulls Housing Finance buys 40 per cent in UK bank - Indiabulls Housing Finance has acquired about 40 per cent stake in UK-based OakNorth Bank for $100 million, making it the lender's biggest shareholder and aiding its expansion into new business areas overseas. The bank set up in 2013 by Rishi Khosla, a startup investor, specialises in lending to small businesses. This is the first time an Indian housing Finance company is buying a stake in a UK-based bank. Indiabulls promoter and chairman Sameer Gehlaut plans to make a personal investment of up to 10 per cent in the bank at the same valuation, subject to regulatory approvals.

13. Banking & securities firms to spend about Rs 50,000 crore on IT - Indian banking and securities companies will spend Rs 49,900 crore on technology products and services in 2015, an increase of 9.8% over 2014 spend of Rs 45500 crore, according to statement by research firm Gartner. This forecast includes spending by financial institutions on internal IT , hardware, software, external IT services and telecommunications. "Established firms in the industry are investing to strengthen their operational infrastructure to support regulatory needs, as well as sustain increasing demands from the digital channels. Moreover, Reserve Bank of India has issued licenses for 11 payment banks and another 10 small finance banks, "said Rajesh Kandaswamy, research director at Gartner.

14. PE investments in India touch $14 billion till October: Thornton - Private equity investment in India till October this year soared close to $ 14 billion, registering a steady growth over last year but the average deal size has come down, says a report by Grant Thornton. According to the assurance, tax and advisory firm, there were 863 private equity deals worth $ 13.83 billion during January- October period, as against 497 such transactions worth $ 10 billion in the same period a year ago. The sharp rise in PE transactions was largely driven by sectors like IT & ITES, energy & natural resources, manufacturing, banking & financial services, telecom and pharma, which attracted large investments. Meanwhile, the October private equity deal tally saw a 73 per cent rise in investment volumes, but values

declined by 40 per cent due to shrinking size.

15. Bank credit growth still lingers in H1 as debt market soars - Bank credit growth continued to disappoint during first half of the current fiscal with an annual growth of just 8.4 per cent at Rs 62.02 trillion, down 20 bps, as per Care Ratings. Debt market growth was, however, robust with debt issuances increasing 18.6 per cent. Reflecting the lingering pain of the manufacturing sector, which accounts for 42 per cent of bank credit, the demand remained negative yet again. Services come second at 23 per cent of the total and agriculture at third with a share of 13 per cent and personal loans 20 per cent. The decline in the services sector demand is mainly due to a steeper decline in loan demand from NBFCs which have been raised 16 per cent more funds from the debt market. This suggests a shift in sourcing funds for NBFCs from banks to the debt market where interest rates have moved downwards at a faster rate. For the first half, credit demand would have been much lower had it not been for the agriculture loans and personal loans segments. Out of the total Rs 62.02 trillion loan of the system in H1, food credit stood at Rs 1.03 trillion, up 3.6 per cent, while in the year-ago period demand grew by 15.6 per cent, while non-food credit 1.6 per cent to Rs 60.99 trillion, against 1.5 per cent pick-up in the year ago period.

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