Breaking News & Stocks

give some thing good just copy & past.good going buddy.

Oil futures jump to record over $115 on supply concerns
Wednesday April 16, 2:45 pm ET

Oil futures pass $115 for the first time on supply concerns; investors shrug off tepid demand

NEW YORK (AP) -- Crude futures rose past $115 Wednesday for the first time, propelled by concerns about how much gas will be available during the peak summer months.
In its weekly inventory report, the Energy Department's Energy Information Administration said inventories of gas fell by 5.5 million barrels, much more than analysts surveyed by Dow Jones Newswires had expected. Light, sweet crude for May delivery responded by rising as high as $115.07 on the New York Mercantile Exchange, and later was up $1.15 at $114.94 a barrel.

The report said crude inventories fell by 2.3 million barrels last week, compared to the gain analysts expected.

But the market was torn and traded sharply lower at times by data deeper in the report showing that the country's appetite for increasingly expensive gas is declining.

"Demand for gasoline is terrible," said Phil Flynn, an analyst at Alaron Trading Corp. in Chicago. Gas demand has fallen an average of 1 percent each of the last four weeks compared to the same period last year. "Demand should be rising this time of year."

Still, May gasoline futures rose 5.39 cents to $2.9349 a gallon on the Nymex after earlier rising to a trading record of $2.9427.

The EIA report also said inventories of distillates, which include heating oil and diesel, unexpectedly rose last week by about 100,000 barrels. Analysts had expected a sharp decline. May heating oil futures rose 0.73 cents to $3.2812 a gallon.

Demand for gasoline has been falling for months as consumers reacted to a series of price records by driving less. The national average price of a gallon of regular unleaded gas rose 1.3 cents Wednesday to a record $3.399 a gallon, according to a survey of stations by AAA and the Oil Price Information Service. That's 53 cents higher than a year ago, and is expected to keep climbing along with futures prices and as the summer driving season draws near.

The average national price of a gallon of diesel, meanwhile, rose a cent to a record $4.129 a gallon, the survey showed. High prices for diesel -- used to fuel most trucks, trains and ships -- is a large part of the reason food prices are rising.

Gas and diesel prices are following crude futures, which have risen from about $64 a barrel last spring, mostly because of the falling dollar. Many investors buy commodities such as oil as a hedge against inflation and a falling greenback. Also, a weaker dollar makes oil cheaper to investors overseas.

The dollar fell to a new low against the euro on Wednesday, supporting oil prices.

Prices also have been supported in recent months by a view that demand for oil remains strong globally, although it may be falling in the United States. But that could change, if U.S. demand continues to weaken, analysts say.

"We're seeing a major slowdown in U.S. demand growth," Flynn said.

Still, analysts expect gas prices to rise higher before they fall. Many see retail prices peaking around $3.65 a gallon next month. The Energy Department, in a recent forecast, said prices could average as high as $3.60 a gallon this summer on a monthly basis, but could spike to $4 on a national average basis at times.

In other Nymex trading, May natural gas futures rose 21.9 cents to $10.424 per 1,000 cubic feet.

In London, June Brent crude futures rose $1.02 to $112.60 a barrel on the ICE Futures exchange.

Bharti launches retail operations; opens 1st store in Ludhiana

Ludhiana/New Delhi, April 16: Bharti Retail, a subsidiary of Sunil Mittal-promoted Bharti Enterprises, on Wednesday launched its operations by opening first store in Ludhiana, Punjab.

The stores, known as 'Easy Day', would be a one-stop shop to cater to every family's day-to-day needs, company officials said, adding that "it will bring together a relevant and wide product range, good quality products and great-in-experience and service-all under one roof".

JGB futures hit 6-week low as Nikkei extends rally
Wed Apr 16, 2008 10:31pm EDT

TOKYO, April 17 - Japanese government bond futures slid to a six-week low on Thursday as the Nikkei share average rallied for a third day, boosted by solid gains on Wall Street after an array of reassuring earnings reports.

A tumble in U.S. Treasuries on the back of the gains in stocks also added to selling pressure in JGBs as investors shifted funds away from the safe-haven bonds.

JGBs have retreated as investors hope that the worst of the financial crisis stemming from defaults on U.S. subprime mortgages has passed, with quarterly results from top U.S. banks JPMorgan Chase (JPM.N: Quote, Profile, Research) and Wells Fargo (WFC.N: Quote, Profile, Research) showing they were coping with the troubles. [ID:nN16365624]

The renewed stability in equity markets has also prompted investors to see less risk of the Bank of Japan cutting rates later in the year, with the implied chance of a quarter-point cut falling to around 15 percent from near 50 percent earlier in the month.

"The chance of a rate cut is very low," said Nhan Ngoc Le, an interest rate strategist at ABN AMRO.

The Nikkei share average .N225 pushed up 2.3 percent and is now up some 15 percent from its lows this year.

Analysts said that comments from new BOJ Governor Masaaki Shirakawa indicated he was set to maintain the central bank's hawkish stance emphasising the need to normalise monetary policy and short-term rates in the long run.

JGBs may be in store for more losses as the lead futures contract broke below chart levels.

June 10-year futures 2JGBv1 fell 0.46 point to 139.03. It hit a six-week low of 138.84, breaking support levels at 139.13 and near 139.00 along the way.

The next level of chart support comes at 138.64 and then near 138.45.

The benchmark 10-year yield <JP10YTN=JBTC> rose 2.5 basis points to 1.375 percent.

The five-year yield <JP5YTN=JBTC> jumped 3.5 basis points to 0.895 percent and hit a two-month high of 0.905 percent. The two-year yield <JP2YTN=JBTC> climbed 2 basis points to 0.640 percent and hit a three-month peak of 0.645 percent.

But longer-dated bonds outperformed on steady demand from institutional investors looking for higher yields further out the curve, putting more pressure on the yield curve to flatten.

Thirty-year yields <JP20YTN=JBTC> rose a basis point to 2.420 percent.

The market shrugged off more data showing deteriorating sentiment among Japan's major manufacturers.

The Reuters Tankan survey, which closely tracks the BOJ's quarterly poll, fell to a five-year low of plus 1 in April from plus 8 in March due to rising raw material costs and sluggish demand. [JP/TAN1]

High inflation prompts states to refuse VAT rate hike: Dasgupta

New Delhi, April 16: The official panel on Value-Added Tax (VAT) on Wednesday attributed their decision of not hiking the VAT rate to high level of inflation, even though some states have already proposed to do so by imposing cess or additional tax.

"Among many other considerations, increasing any VAT rate now will be inflationary. In this prevailing situation, state Finance Ministers in their wisdom thought against it," VAT panel Chairman Asim Dasgupta told reporters here.

Immediately, there would not be any VAT rate hike, Dasgupta said.

As part of the package to compensate states for revenue loss due to proposed cut in Central Sales Tax from three to two percent from this fiscal, states are understood to have earlier agreed to increase the floor VAT rate from four to five percent, sources said.

However, they have refused to hike the VAT rate and conveyed their decision to Finance Minister P Chidambaram earlier this month.

As such, the VAT panel met today to deliberate on other ways to compensate states.

"At the level of states, we have finalised the package (for compensation). Now we will give it to Union Finance Minister in writing in a couple of days," Dasgupta said.

CST, a levy imposed on inter-state trade of goods, was being phased out as it comes in the way of common Indian market, aimed at by state-level VAT now and proposed Goods and Service Tax.

It was reduced from four to three percent last fiscal and is proposed to be cut to two percent from this fiscal. However, the slated date of April 1 is already gone, and the proposed cut could not happen in a retrospective effect.

"Generally, in tax matters, we do not resort to retrospective effect," Dasgupta said.

u.s. stock market jumps high..... SENSEX 16244.19 90.53



NIFTY 4887.30 7.65
DJIA 12619.27 256.80
NASDAQ 2350.11 64.07
RS/$ 39.96 0.02

BHEL may bag NTPC deals at set price
17 Apr, 2008, 0501 hrs IST.............

NEW DELHI: The power ministry has finally agreed to give power equipment manufacturer Bharat Heavy Electricals (BHEL) a few of NTPC’s supercritical 660mw and 800mw projects on a negotiated basis. This would ensure smooth transfer of technology for supercritical units between Alstom-Siemens and BHEL.

A formula has been worked out that would ensure both competitive bidding as well as an opportunity for BHEL to ensure an effective technology transfer. A cabinet proposal to this effect will be taken up for consideration soon.

Sources said the proposal seeks to give some NTPC projects to BHEL at a predetermined price. Of the proposed projects, some would be given out through competitive bidding. The lowest bid in these competitively bid projects would become the price that BHEL will have to pay for the projects that it is awarded on a negotiated basis. BHEL has maintained that it would require eight to 10 units to effect the technology transfer for the supercritical units.

This, power ministry officials said, would help ensure NTPC gets the best possible price while at the same time ensuring that the “nation gets the opportunity to acquire advanced technolgy to indigenise.” The change of heart, which comes close to two years of talks between two the PSUs, may have something to do with problems at NTPC’s Barh project.

BHEL has a technology transfer arrangement with Alstom and Siemens for the 800mw supercritical units. BHEL has asked that 8-10 units of NTPC’s projects which would use 800mw supercritical technology be awarded to it, so that technology transfer from Alstom and Siemens can take place. This would allow it to internalise and develop indigenous capacities to manufacture units with supercritical technology.

The power ministry views the issue of qualitative advancement in terms of technology upgrade to be a matter of great concern; however, it was unwilling to give the projects at a negotiated price. Even though the power ministry acknowledged that only NTPC was in a position to place orders for as many as eight units simultaneously, it was unwilling to do so. The ministry felt that BHEL was not competive enough when it came to price, as was evident in at least two international NTPC tenders—Sipat (1320 mw) and Barh (1980 mw).

NTPC had floated international tenders for supercritical 660mw unit rating for both Sipat and Barh. The BHEl-Alstom-Siemens consortium had lost out in these tenders as their prices were substantially higher. The ministry is worried that when it comes to the 800mw supercritical technology the consortium may not be competitive in its price as was the case in the Sipat and Barh international contract biddings.

Over talks that lasted for nearly two years, the price at which BHEL would provide the units became a stumbling block. The ministry insisted that they would like the 800mw technology to be transferred to the Indian manufacturing sector and that they understood BHEL’s attempt to secure order of six to eight units from NTPC over which it will acquire engineering and manufacturing capability. It was felt that it would be wrong if NTPC doesn’t seek to get the best price for the units, as it would affect the cost of power.

Shariah-compliant Indian stocks 3rd worst performer in Q1`08

New Delhi, April 16: Global index provider Standard and Poor`s on Wednesday said Islamic investors in Indian stocks have suffered the third highest losses in the first quarter of this year.

Shariah-compliant stocks, which refer to shares of companies deemed to comply with the Islamic Law, in Turkey and China topped the worst performer chart with the highest declines over the first quarter of this calendar year, an S&P statement said.

In Turkey, Shariah-compliant stocks fell by 26.67%, followed by China dropping by 26.57% and India, which gave negative returns of 26.43% in the reviewed period.

However, equity markets in Morocco, Egypt and Nigeria delivered the highest returns for the Islamic investors. During the first quarter of 2008, Shariah-compliant equities in Morocco returned 34.45% on a total return basis, followed by Egypt (18.93%) and Nigeria (13.42%), it said.

Standard & Poor`s has also expanded the S&P global Shariah index series with the launch of more than 60 new country plus sector-specific Shariah indices today, the statement said.

The enhanced index series screens more than 12,000 stocks from 52 developed and emerging markets as well as 10 GICS (Global Industry Classification Standard) sectors, making it by far the world`s broadest Shariah equity dataset available to date.

Inflation dips to 7.14%

New Delhi, April 17: The government on Thursday revealed that inflation has dipped by .27 percentage points, touching 7.14% for the week ended April 5, 2008. This is the first weekly decline in 8 weeks and a relief from the 40 month high of 7.41% that it had reached for the week ended March 29.

The cooling of figures could be attributed to the measures taken by govt in the Cabinet Committee on Political Affairs meet on March 31.

The wholesale price-based inflation had surged mainly on account of rising prices of fruits and vegetables, pulses, cereals, condiment and spices and some manufactured items.

Inflation soared despite high base of 5.94 per cent in the corresponding week a year ago, belying market expectations in the range of 7.05 per cent

PM to get own Air Force One in June: Times of India

New Delhi, April 16: Soon, very soon, in fact in June itself, Prime Minister Manmohan Singh will get a plush new office, thousands of feet up in the sky. It might not exactly be as high-tech as George W Bush's "Air Force One" or the "Flying Oval Office" but it will be somewhere there.

The first of three wide-bodied VVIP Boeing Business Jets, ordered in October 2005 at a total cost of Rs 937 crore, will touch down at Palam to join IAF's elite Communication Squadron, tasked with ferrying VVIPs, in the second half of June.

"After that, the second and third VVIP jets will come after a gap of three months each. Three sets of IAF air crew (with two pilots, a navigator and a flight engineer in each) have already been trained in Seattle and Texas to fly them," said an official.

Moreover, over 100 ground technicians are also undergoing training in batches in US to handle these specially-configured planes, which come with sophisticated self-protection suites (SPS), encrypted communication facilities and state-of-the-art navigation aids.

The PM, of course, will have a full-fledged executive office and bedroom to himself, apart from a secure communication chamber and facilities to host around 50 guests in the highly-customised aircraft.

While the three VVIP jets in themselves come for Rs 734 crore, another Rs 202.93 crore has been spent on equipping them with SPS to take care of hostile missiles and other threats.

Ordered directly through the US government, the SPS will include 'radar warning receivers' to alert the plane that a hostile radar has 'painted' it and a missile may be on the way.

Then, of course, the aircraft will have 'missile-approach warning systems' and 'counter-measure dispensing systems'.

This will help the planes take automated evasive action by shooting metal chaff to "fool" radar-guided missiles or flares to throw heat-seeking missiles off the track. There will also be enough advanced electronic counter-measures on board to jam hostile radars.

The American Air Force One, of course, has all this and much more "hush-hush" stuff.

It can even function as an effective military operations centre, with direct links to Pentagon and other establishments, during nuclear, chemical or biological attacks by adversaries. The Indian version of the American Air Force One is obviously a slightly poorer one.

For instance, unlike the Air Force One, which can fly halfway around the world without refuelling, the range of the Indian version is limited to 3,000 nautical miles.

This had come in for some sharp criticism in the latest Comptroller and Auditor General report, which had slammed the UPA for the VVIP jets’ deal since it "deviated from laid-down procedures and well-recognised norms of propriety".

The CAG held that despite spending Rs 937 crore, the new aircraft would not be able to fly VVIPs non-stop to international locations like London due to their limited range, "necessitating continued use of Air India aircraft with all its adverse consequences".