31 Oct -Financial Planning :: Business Line

   

DSP BlackRock Top 100 Equity - HOLD :: Business Line

Coal prices to remain under pressure :: Business Line

Special Muhurat Trading Session

Special Muhurat Trading Session Special Muhurat Live Trading Session shall be held onSunday November 3rd 2013 on account of Muhurat Trading on Diwali from 6:00 pm to 7:30 pm.

Business must pass the marshmallow test :: Business Line

Seeking instant gratification can be bad for the long-term interest of companies.

The ‘marshmallow’ test, which dates back to the 1960s, is one of the most popular psychological studies to test ‘delayed gratification’. Designed by Stanford professor Walter Mischel, the experiment explored self-control in a group of pre-schoolers and its ramifications as they grew into adults.

The children were put in a room, individually, and given a treat (a marshmallow). Each child was then told that the researcher had to leave the room for a few minutes, but the child had a choice. If he/she waited until the researcher returned (after 10-15 minutes) to eat the treat, he/she could have two treats. If the child couldn’t wait, he/she would have only one treat.

Most children said they would wait, but were unable to resist temptation and settled for just one marshmallow. Only a few had the self-control to sacrifice the immediate pleasure of a chewy marshmallow in order to indulge in two marshmallows at some later point.

IIFCLTax Free Bond FY 13-14 - Subscription - 30th Oct 2013 at 5 pm

IIFCLTax Free Bond FY 13-14 - Subscription Figures with Green Shoe Option
Sr. No	Category	Issue Size (Rs. In Crs)	No of times subscribed	Total Amt Bided (Rs. In Crs)	Unsubscribed Amt (Rs. In Crs)
1	Category I (QIB)	375.00	0.05	20.00	355.00
2	Category II (Corporate)	500.00	0.44	220.75	279.25
3	Category III (HNI)	625.00	0.66	410.74	214.26
4	Category IV (Retail)	1,000.00	0.55	545.03	454.97
	Total	2,500.00	0.48	1,196.52	1,303.48
			Updated as on 30th Oct 2013 at 5 pm

PFC Tax Free Bond FY 13-14 - Subscription - 30th Oct 2013 at 5 pm

PFC Tax Free Bond FY 13-14 - Subscription Figures with Green Shoe Option
Sr. No	Category	Issue Size (Rs. In Crs)	No of times subscribed	Total Amt Bided (Rs. In Crs)	Unsubscribed Amt (Rs. In Crs)
1	Category I (QIB)	581.38	0.97	565.00	16.38
2	Category II (Corporate)	775.18	1.60	1,242.43	(467.25)
3	Category III (HNI)	968.97	1.07	1,037.16	(68.19)
4	Category IV (Retail)	1,550.36	0.91	1,417.72	132.64
	Total	3,875.89	1.10	4,262.32	(386.43)
			Updated as on 30th Oct 2013 at 5 pm

HUDCO Tax Free Bonds - Tranche-1 : Link to Check Allotment Status

Dear All, 

Please find below given 

link to check he Allotment Status

 of HUDCO Tax Free Bonds - Tanche-1 .

Issue Period : September 17^th , 2013 to October 14^th , 2013. 

http://mis.karvycomputershare.com/ipo/

Why the rupee closed high on Wednesday

The rupee gained on Wednesday, recovering from earlier losses after a government panel recommended an immediate increase in diesel prices, reducing some of the concerns about the country's finances.

India should immediately raise diesel prices by about 9.5 per cent or Rs 5 a litre, a government panel said on Wednesday, along with other measures aimed at cutting the government's huge oil subsidy bill.

The rupee also got a boost after Reserve Bank of India (RBI) Governor Raghuram Rajan said on Wednesday the central bank risks excessive tightening given the lag in monetary policy.

The comments were seen as more dovish after the RBI raised interest rates for a second consecutive month on Tuesday.

"The market is getting more bullish after the diesel price hike recommendation. The immediate direction, however, depends on the (US) Fed meet outcome. Though nothing major is expected, one must be prepared to expect the unexpected," said Ashtosh Raina, head of foreign exchange trading at HDFC Bank.

"There is strong support for the dollar at 60.90, while 61.80 is the likely cap at the moment."

The partially convertible rupee closed at 61.2350/2450 per dollar compared with 61.31/32 on Tuesday. It moved in a range of 61.23 to 61.60 during the session.

Earlier in the day, weaker Asian currencies ahead of the outcome of the US Federal Reserve's two-day meeting pressured the rupee, but gains in local shares limited a very sharp downside.

The Sensex rose on Wednesday to close at a record high, helped by strong foreign flows.

In the offshore non-deliverable forwards, the one-month contract was at 61.66, while the three-month was at 62.65.

RBI may be done with rate hikes for now: Rajan

After two rate hikes in less than six weeks aimed at curbing inflation, RBI Governor Raghuam Rajan on Wednesday said the central bank may be done with interest rate increases as their impact on the economy is assessed.

"We think we have done enough on rate hikes given what we know about the economy to wait and watch and see what happens," Rajan told analysts in a customary post-policy conference call.

Rajan said the RBI does not have a target interest rate. "I won't say that we have a set of rate hikes in mind. It is not that we are trying to take baby steps towards some longer-term interest rate goal that we have in mind," he said.

Since taking over at the RBI on September 4, Rajan has hiked the repo rate at which it lends to banks to 7.75 per cent, seeking to tame inflation. The rate went up by 25 basis points each on September 20 and October 29.

The RBI has increased its estimate for wholesale price inflation to over 6 per cent and consumer price inflation to over 9 per cent for the end of the financial year.

A better way of describing what the RBI is doing on interest rates is that "when there is lot of uncertainty you may move a little less than what everybody thinks may be necessary...and also because there are forces that you can't quite estimate which may come in and help or hinder your effort," Rajan said.

On the rupee, Rajan said he would consider the local currency to be stable only when dollar demand from oil companies returns to the market. Oil companies currently have a special swap window provided by the central bank to meet their dollar requirements, a facility that Rajan said would be tapered gradually.

The Governor said the RBI does not have any value for the rupee. The RBI on Tuesday calibrated the window between the repo rate (7.75 per cent) and marginal standing facility (8.75 per cent) to 100 basis points, as stated in the September 20 mid-quarter review.

"Once there is adequate liquidity, the price of money in some sense will move down from the MSF to the repo very quickly," Rajan said.

"At this point, the system is still borrowing from the MSF window, which means that the term repos are priced closer to the MSF window rate and therefore the rate is still higher than the repo rate," Rajan said.

He went on to add that "the time frame we have for that coming down is not determined as much by monetary policy as by the concerns about the external sector and making sure that the external sector is fully in balance as we bring down that rate finally to the repo rate. I wouldn't say the time frame is of the order of quarters, which would be that consistent with monetary policy, but it is shorter than that."

On the liquidity front, Rajan said he still has some more tools. "There are a variety of instruments we have, but there are a variety of market forces that can also add liquidity into the system. For example, if government spending picks up that would certainly add liquidity into the system. Other instruments like OMO and deposit growth would also help." the Governor said.