Profit Top 10: Sensex ends above 16K; Service sector growth at 3-month high

• Sensex ends above 16K; Rupee closes flat against dollar
• G7 to have emergency meet on Euro crisis; Spain issues distress signal
• Govt extends interest subsidy on some exports in revised trade policy guidelines
• EGoM meeting on 2G spectrum pricing ends; no decision taken
• India's services sector growth at 3-month high, shows HSBC PMI data
• Views turn dovish, RBI seen cutting rates
• Cash piles up at RIL; growth cycle slowing?
• George Soros on Euro crisis: German empire in the making?
• 5 facts about India's growing two-wheeler market
• What led to MF Global downfall: Ten facts

1) Sensex ends above 16K; Rupee closes flat against dollar

The BSE Sensex ended with modest gains Tuesday, rising 32 points to 16,020.64, while the broader Nifty index edged up 15 points to 4,863. The Sensex shed 120 points from the day's high amid increased selling in the last hour of trade. The Nifty nearly hit the 4,900 mark in intraday trade, but ended substantially lower. (Read More)

Also Read: Back up the truck and load it with stocks, says Morgan Stanley

However, the rupee ended flat on Tuesday at 55.64 against the dollar, just one paise higher than Monday’s close. The Indian currency had weakened in afternoon trade after hitting a week’s high of 55.27/$ as the demand for dollar rose from oil companies while the Euro fell sharply. (Read More)

2) G7 to have emergency meet on Euro crisis; Spain issues distress signal

Finance chiefs of the Group of Seven leading industrialized powers will hold emergency talks on the euro zone debt crisis on Tuesday in a sign of heightened global alarm about strains in the 17-nation European currency area. With Greece, Ireland and Portugal all under international bailout programmes, financial markets are anxious about the risks from a seething Spanish banking crisis and a June 17 Greek election that may lead to Athens leaving the euro zone. (Read More)

Meanwhile, Spain issued a distress signal on Tuesday that credit markets were closing to the euro zone's fourth biggest economy. Treasury Minister Cristobal Montoro said the impact of his country's banking crisis is causing borrowing rates to rise. “At current rates, financial markets were effectively shut to Spain,” he said. (Read More)

Also Read: India prepares contingency plan as Greece exit looms

3) Govt extends interest subsidy on some exports in revised trade policy guidelines

Commerce Minister Anand Sharma on Tuesday announced new measures aimed at boosting exports and closing the trade deficit, and said India would reached the $500 billion exports-mark by the end of fiscal 2014. (Read More)

Under the revised guidelines, a two per cent interest subsidy for exports has been extended through March 31, 2013.  The interest subsidy on handloom products has now been expanded to include readymade garments and toys, too. Here are highlights of the policy.

4) EGoM meeting on 2G spectrum pricing ends; no decision taken

The Empowered Group of Ministers (EGoM) that met on Tuesday did not take any decision on the pricing of telecom spectrum. The highly-watched meeting was expected to bring to an end the indecision over the pricing of spectrum scheduled to be acutioned later this year. However, it has taken a decision on refarming of spectrum. (Read More)

In its recommendations, TRAI had fixed the reserve prices for the auction of spectrum for 900 MHz was fixed at Rs 7244 crore, while that for 1800 MHz was fixed at Rs 3622 crore, estimated to be 10 times higher than what was fixed in 2008 under the then telecom minister A. Raja.

5) India's services sector growth at 3-month high, shows HSBC PMI data

India's services sector grew at the fastest pace in the last three months during May, driven by robust growth in new orders and optimistic business outlook, says a HSBC survey. The HSBC India Services Purchasing Managers Index (PMI) bounced to a three-month high of 54.7 in May from 52.8 in April, showing a marked increase in the volume of work in-hand (but not yet completed) held at Indian service providers' units and a continued expansion of India's services sector workforce. (Read More)

Meanwhile, the chief economic adviser to the finance ministry on Tuesday said he is optimistic about economic growth returning to 7.6 per cent, but admitted that one of the reasons for the growth decline was "slow decision-making". (Read More)

6) Views turn dovish, RBI seen cutting rates

Most economists polled now expect the Reserve Bank of India (RBI) to cut interest rates at its policy review later this month, driven by dismal economic data, falling oil prices and recent comments by a central bank official. For many, that marks a recent change in view. (Read More)

Nomura too expects the Reserve Bank of India to cut the repo rate by 25 basis points at its June 18 meeting, joining the growing chorus predicting that the RBI will ease policy this month. (Read More)

Also Read: Rate cuts not the solution in India - JPMorgan

7) Cash piles up at RIL; growth cycle slowing?

Billionaire Mukesh Ambani's Reliance Industries is piling up cash even as its profits shrink, fuelling investor disquiet over a tumbling share price and lack of clear vision at a company that was once India's most valuable. (Read More)

Oil regulator PNGRB has asked the government to cancel licence granted to Reliance Gas Transportation Infrastructure (RGTIL) to lay four gas pipelines, saying the company has been dragging its feet on implementation of the 2,175-km pipelines. Mukesh Ambani has a private stake in the company. (Read More)

8) George Soros on Euro crisis: German empire in the making?

Germany and its central bank are unlikely to lead the way out of the euro zone debt crisis within three months’ time, after which it will be too late, U.S. billionaire George Soros said at an economic conference in Trento, Italy. Here are excerpts from the text of the speech made by George Soros, the legendary investor, on 2 June 2012 in Italy. (Read More)

Also Read: Global downturn puts investors, companies in retreat

9) 5 facts about India's growing two-wheeler market

Two-wheeler company Hero MotoCorp on Monday said its first bike without the technology of erstwhile partner Honda will hit the market by 2014. The bike could be developed in India or anywhere but it would be on a completely new platform, managing director and CEO Pawan Munjal said. The two-wheeler uses Honda technology for its products even after the break-up of their joint venture, Hero Honda in December 2010. Here are five things to know about the Indian two-wheeler industry.

Meanwhile, a research found that at least 50 per cent of car buyers in India research online before making the purchase. According to the study conducted by Nielsen for Google India, car buyers spend 9-12 weeks in research before arriving at a decision. Here are the top 5 facts about the study.

10) What led to MF Global downfall: Ten facts

Jon Corzine failed to address MF Global Holdings growing liquidity needs as he tried to build the commodities broker into a global investment powerhouse, helping create the conditions that led to its downfall, a trustee in MF's bankruptcy said on Monday.

In a blistering 275-page report, James Giddens, the trustee liquidating the company's broker-dealer unit, said he might bring civil claims against former Chief Executive Corzine and other top MF Global executives for negligence and breach of duties to customers. Here are highlights.