Wednesday, January 13, 2010

Financial News Flash


Industrial Output Growth in India Accelerates at Fastest Pace in 25 Months India’s industrial production grew at the fastest pace in 25 months in November, strengthening the case for the central bank to raise interest rates in the first half of this year.

India to Sell NTPC Stake to Institutional Investors in February First Week The Indian government will offer a 5 percent stake in NTPC Ltd., the country’s biggest power producer, to institutional investors in the first week of February as part of a plan to raise funds for spending on roads and ports.

Bharti Takes Over Warid in First Purchase Overseas; to Spend $300 Million Bharti Airtel Ltd., India’s largest mobile-phone operator, agreed to acquire a 70 percent stake in Warid Telecom in its first overseas acquisition.

Sensex Index Falls Most in Three Weeks; State Bank Drops on Rate Concern Indian stocks fell the most in three weeks. State Bank of India led lenders lower on concern the central bank may soon tighten borrowing costs.

India's Technology Shares Rise as Infosys Forecasts Sales Growth on Demand Indian technology stocks gained as Infosys Technologies Ltd., the nation’s second-largest software exporter, reversed a forecast for annual sales to drop.

Bajaj Auto Third-Quarter Net Income Triples on India's Motorcycle Demand Bajaj Auto Ltd., India’s second- largest motorcycle marker, reported third-quarter net income almost tripled after motorcycle sales surged.

Rupee Falls Most in Three Weeks on Speculation Importers May Buy Dollars India’s rupee fell on speculation local importers will increase dollar purchases to take advantage of the local currency’s gain to a 15-month high.


HDFC Said to Hire DBS Group for Arranging $200 Million of Three-Year Loans Housing Development Finance Corp., India’s biggest mortgage lender, hired DBS Group Holdings Ltd. to arrange $200 million in three-year loans, according to a person familiar with the matter.

Mukesh Ambani's Retail Unit to Spend $87 Million on India Footwear Stores Reliance Retail Ltd., a unit of a company controlled by Asia’s richest man, plans to spend 4 billion rupees ($87 million) to add 100 outlets in India to sell branded footwear by Asics Corp., Stylo Plc and Adidas AG.

Fed Will Be Subpoenaed by House's Towns in Probe of AIG `Backdoor Bailout' The Federal Reserve Bank of New York will be compelled to hand over documents related to American International Group Inc.’s government bailout after a House oversight committee chairman said he will issue a subpoena.

Obama Plans to Raise as Much as $120 Billion From Bank Fees to Refund TARP President Barack Obama plans to raise as much as $120 billion through a fee on financial institutions to help recoup losses from the Troubled Asset Relief Program and reduce the deficit, according to an administration official.

Stocks, Oil Drop as Treasuries Rally on Concern Economic Recovery to Slow The Standard & Poor’s 500 Index dropped for the first time this year while European stocks fell the most in three weeks and Treasuries rose on concern the economic recovery will slow as governments withdraw stimulus.

FDIC Proposes Linking Executive Compensation With Bank Risks, Deposit Fees The Federal Deposit Insurance Corp. proposed punishing banks for risky pay practices with higher insurance premiums, building on the government’s effort to rein in pay that spurs excessive risk taking.

SEC Files Suit Claiming Bank of America Hid Merrill Losses Before Takeover The U.S. Securities and Exchange Commission filed a new lawsuit claiming Bank of America Corp. failed to disclose billions of dollars in losses at Merrill Lynch & Co. before the bank’s shareholders voted on a takeover of Merrill Lynch in 2008.

Aetna Drops on Insurer's Forecast for `Modestly Lower' Earnings This Year Aetna Inc. forecast “modestly lower” earnings this year than in 2009, driving the shares of the health insurer down as much as 6.6 percent.

source : Bloomberg