Market cues: Asian markets gain, Wipro share sale and more
Investors will eye Tuesday's statement from the U.S. central bank's Federal Open Market Committee to see whether the Fed will cool down expectations of more easing of monetary policy, which might make it difficult to extend the rally.
Asian shares rose on Tuesday as the Japanese central bank decides on key interest rates. Most analysts expect Japan to leave rates untouched and they look forward to the sign of further easing of monetary policy. The MSCI Asia Pacific index rose 0.4 per cent. Overnight, US markets witnessed a flat trading session as investors took a breather after recent gains. Equities had traded modestly lower early in the session as weak data from China cast some doubts over the pace of global economic expansion.
Montek on 2G
Montek Singh Ahluwalia, deputy chairman of planning commission, has written to Kapil Sibal, telecom minister, to allow dynamic sharing of spectrum before the 2G auction. He said that clear spectrum sharing rules will lead to higher bidding for the spectrum. The letter suggests that both new and existing players be allowed to share the spectrum. NDTV also learns that the government plans to start auction of 2G spectrum by December 20 and allocate spectrum to players in March next year.
Jet troubles
Jet Airwaysis seeking an extension till 15 March 2012 for the payment of outstanding service tax dues. Sources say that Jet's IATA account has been frozen. Although the Jet management refutes those claims, the company did say that the tax department is in touch with IATA to remit proceeds. Jet Airways has an outstanding of Rs 69 cr as service tax arrears for the month of January and February 2012. Jet officials are expected to meet service tax officials today.
No SEZ for Infy
Ruling out SEZ status to IT major Infosys, West Bengal Chief Minister Mamata Banerjee today said the state government has decided against the special economic zones and will stick to it. The company was recently allotted 50 acre at Rajarhat area near the metropolis for setting up its first facility in the state. The chief minister said that the state government was committed to protecting the right of farmers and farmland would not be forcibly acquired.
Trent share sale
Trent, the retail arm of the Tata Group, received a good response from for the qualified institutional placement of Rs 250 crore overnight. The company has set the floor price at Rs 912 per share. JM Financial, Standard Chartered were bankers to the issue.
PNB capital infusion
Punjab National Bank (PNB) plans to undertake capital infusion to the tune of Rs 2,360 crore to maintain the financial strength of the bank. While the bank would go for capital infusion of Rs 1,075 crore from LIC of India, an amount of Rs 1,285 crore has been sought from the government, Chairman and Managing Director of PNB, K R Kamath said.
Wipro share sale
Azim Premji Trust, which owns a majority stake in Wipro, plans to sell up to 35 million shares of the country's No. 3 software exporter in market deals to finance the education activities of its non-profit arm. The share sale is valued at about Rs 1,532 crore at Wipro's Monday market close price of Rs 437.75.
SAIL hikes prices
SAIL, the country's largest steel maker, has implemented yet another price hike for both long and flat products. The company has raised prices by 2.7 per cent. The new price would be effective from 1 March 2012. It is the second such price hike in 3 months.