RBI's foreign exchange reserves rise by $3.16 bn

The Reserve Bank of India's (RBI) foreign exchange reserves rose by $3.16 billion for the week ending December 19 to $320 billion, shows Reserve Bank of India (RBI) data released Friday.

Foreign exchange reserves are now very close to the all-time high level which was seen in the week ending September 2, 2011 at $320.79 billion. The rise in reserves was the second sharpest rise in 2014. The previous was in the week ending March 28 by a little over $5 billion to $303.67 billion Personal Numerology Trading Tips

Foreign currency assets, a key component of reserves rose by $3.31 billion to $295.67 billion. The rise was despite weakening in the euro which also forms a part of foreign exchange reserves. Euro had weakened against the dollar by nearly 2% during the week. Gold reserves remained unchanged during the week at $18.99 billion.

“Between December 13-19 this type of money had not come to India. It was other way round when the rupee was under pressure. This would have been a result of RBI's forward buying earlier this year. The maturity of the same would have fallen during this week,” said Ashutosh Khajuria, president (treasury), Federal Bank.

For the week under review, the Special Drawing Rights (SDRs) fell by $29.2 million to $4.20 billion, while India's reserve position with the International Monetary Fund was down $117.6 million to $1.14 billion Commodity Trading Tips

Axis Bank in talks for tie-up with payments bank

Private sector lender Axis Bank is open to partnering a payments bank and is in talks with a few aspirants for a potential partnership, according to a senior official.

The Reserve Bank came out with final guidelines for Payments Banks (PB) last month, wherein the aspirants have been allowed to enter into joint ventures with lenders Free Stock Share Tips

"We are open for a tie-up and working with a Payments Bank. We are in conversation with a few people (for a tie-up)," Axis Bank, President - Retail Lending, Jairam Sridharantold PTI.

While he did not identify the parties Axis Bank is in talks with, Sridharan reiterated that the bank is "certainly" willing to forge a tie-up.

Asked about the timing of such a tie-up, Sridharan hinted that it may be done inside the deadline for application, as it will be beneficial for an applicant while submitting a business plan.

The PB aspirants have to apply by January 16 next year Intraday Trading Tips

The RBI kick started the process of differentiated banking with the release of the final guidelines for operationalising the PBs and Small Finance Banks, which are aimed at deepening financial inclusion. The PBs are aimed at encouraging savings and help with the remittances.

There is a cap on the stake which can be held by commercial banks in a PB.

Existing non-bank lenders, prepaid payment instrument issuers, corporate business correspondents, mobile telephone companies and super market chains have been allowed by the RBI to enter the fray.

Axis Bank's network spanned 2,505 branches and 13,146 ATMs as on September 30, 2014 Personal Numerology Trading Tips

Ordinance boost: RCap eyes foreign funds in insurance ventures

Within days of government allowing more overseas investment in insurance sector through an ordinance, Anil Ambani-led Reliance Group has initiated a process for inducting foreign partners in its general and health insurance ventures with up to 49% stakes.

Besides, the group's financial services arm Reliance Capitalwould soon begin "active discussions" for Japanese giant Nippon Life hiking its stake in Reliance Life Insurance Company (RLIC) to 49%, from 26% at present Stock Market Trading Tips

"Initial discussions have already been held with Nippon for additional stake in our life insurance venture, while preliminary talks have taken place with some prospective partners for health insurance and the rest of general insurance businesses as well," Reliance Capital CEO Sam Ghosh told PTI in an interview.

The discussions could not move to advanced levels earlier, as the investors were waiting for clarity on foreign investment policy for the sector. Active discussions would now begin as the government has allowed up to 49% foreign investment by promulgating an ordinance Intraday Trading Tips

While Nippon Life is interested in hiking its stake in Reliance Life to 49%, Reliance Capital may bring in a new foreign partner for up to 49% stake in its general insurance venture as well, Ghosh said.

Besides, the company plans to hive off its health insurance business into a separate company and would look at bringing in a strategic partner there as well with up to 49% stake, he added.

"While initial discussions have been continuing with some prospective partners in these areas, they were awaiting clarity on policy front and active discussions are likely to start now pursuant to the promulgation of the insurance ordinance," Ghosh said.

Health insurance accounts for 25% of total general insurance business and this business has strong growth potential in the long term, he added Nifty Trading Tips

Health insurance industry is currently estimated at around Rs 20,000 crore and is growing at a CAGR of 30%.

The overall general insurance industry is today estimated at around Rs 78,000 crore and it is expected that in coming years health insurance would be at least equal to the size of the rest of the general insurance industry, if not bigger. Worldwide also, health insurance businesses are kept separately from the rest of the general insurance industry.

On Nippon Life hiking its stake in life insurance venture with the government promulgating anordinance to facilitate up to 49% stake in the insurance sector, Ghosh said that Reliance Capital would soon begin active discussions with the Japanese partner in this regard.

"The work is already on with regard to Nippon hiking its stake in mutual fund venture and the companies are currently awaiting CCI approval for their recent agreement wherein Nippon Life is hiking its stake from 26% to 49% in phases," he said Jackpot Trading Tips

Sumitomo Mitsui may take up to 10% stake in Reliance Bank

As it awaits final RBI guidelines to apply for a universal banking license, Reliance Capital will consider giving up to 10 per cent stake to its newly-signed strategic partnerSumitomo Mitsui Trust Bank of Japan in its proposed bank.

Besides, the financial services arm of industrialist Anil Ambani-led business conglomerate Reliance Group is also open to the idea of another Japanese partner, Nippon Life, acquiring a further up to 10 per cent stake in its banking venture, as and when RBI's policies permit formation of such a bank Stock Market Trading Tips

Reliance Capital last week roped in Sumitomo Mitsui Trust Bank (SMTB) as a strategic partner to collaborate on various businesses. SMTB, Japan's largest financial institution with asset under custody of $1.8 trillion, will take an initial stake of 2.77 per cent in Reliance Capital at an investment of Rs 371 crore as part of a "comprehensive long-term strategic alliance between the two companies."

"The deal is likely to close in about four weeks from now. We need clearance from the Competition Commission of India (CCI), while shareholders' approval would be sought at the Extraordinary General Meeting (EGM) scheduled to be held on January 23," Reliance Capital CEO Sam Ghosh told PTI.

"As part of the deal, SMTB will get a 2.77 per cent stake in Reliance Capital, while we have already begun discussions on various areas where we can work together Personal Numerology Trading Tips

"They have come in as a long-term strategic partner at the group company and we are looking into areas of businesses where this partnership can be extended. This would include the banking venture that we intend to start after getting a universal banking licence as and when RBI decides to grant such licenses," he added.

Ghosh said SMTB will certainly be a partner in the banking venture and given their expertise in running a bank and the exposure they will get to Indian banking sector, it would be a win-win situation for both the partners Commodity Trading Tips

Asked about the quantum of stake that SMTB might take in the banking venture, he said the extant regulations, under which RBI has issued two new licenses, a foreign entity can take up to 10 per cent stake and Reliance Capital would like the Japanese partner to take the maximum possible equity.

To a question about another Japanese giant Nippon Life, which is already a partner in Reliance Cap's life insurance and mutual fund ventures, also having evinced interest in partnering in its banking venture, Ghosh said that a new bank can have up to 49 per cent overall foreign stake.

This leaves the scope for another partner to take further up to 10 per cent stake, he said, while adding that no talks were underway at the moment with Nippon in this regard Jackpot Trading Tips

Ghosh further said that RBI was likely to come out with its final guidelines about on-tap universal banking license regime by March 2015 and the company will wait for those norms for its foray into banking business.

He also ruled out applying for payment bank or small finance bank license, saying these structures do not fit into its scheme of things and the group was interested in the universal banking licence Nifty Trading Tips

RBI's upper age limit of 70 for private bank CEOs may not be good news for everyone

The Reserve Bank of India (RBI)’s decision to allow the heads of private banks to hold office till they attain the age of 70 might not be good news for all. While the move has erased doubts on the eligibility of HDFC Bank Managing Director Aditya Puri and IndusInd Bank Managing Director and Chief Executive Officer Romesh Sobti for re-appointments, the wait for the top job will be extended for many senior bankers.

Before RBI had announced the upper age limit for private bank chiefs on September 9, HDFC Bank had named Paresh Sukthankar as deputy managing director, while IndusInd Bank had short-listed a few from within the bank as Sobti’s successor. Though no such limit was specified for private bank chiefs till then, it was widely believed the central bank wasn’t in favour of appointing those aged more than 65. Both Puri and Sobti will turn 65 next year Stock Market Trading Tips 

Experts say despite a proposed increase in the number of banks, it might not be difficult for most private lenders to retain senior executives. “Most private banks in India are still going through a strong growth phase and expanding horizontally in the BFSI (banking, financial services and insurance) space, creating room for professionals to grow in the larger ecosystem of their subsidiaries,” said Shashwat Sharma, partner (management consulting) at KPMG in India.

According to human resource (HR) consultants, assigning new roles to senior management executives helps. “A new position such as that of deputy chief executive or chief strategy officer can be a good tool to retain officials in the rank just below the chief executive’s post. This has been experimented by banks abroad to give a greater sense of belonging to an employee in the company, especially those who have worked at the organisation for more than a decade,” said a Mumbai-based HR consultant specialising in financial services Financial Astrology Trading Tips

Analysts say not many bankers will be tempted to leave big brands and build a new bank from scratch. “While new types of banks are coming up, creating opportunities for some of these individuals, an immediate job switch might not be viable in all cases,” said Sunil Goel, director of HR firm GlobalHunt. Some of these bankers sought greater responsibilities, rather than higher remuneration, which their existing jobs might offer because of growth in business, he added.

Many say the move to set an upper age limit for the chiefs of private banks ensures continuity of leadership, which will benefit banks. “In banking, decision-making is often judgement-based. Good judgement comes with experience. Some chief executives have demonstrated their leadership skills in growing their banks successfully. If they continue, the institutions will benefit,” said Ashvin Parekh, managing partner at Ashvin Parekh Advisory Services Intraday Trading Tips

Spending rate outpaces credit card issuance growth in 2014

For banks, 2014 might have been one of the worst years in terms of loan growth. However, things are different in credit cards. The growth in credit spends is at a three-year high, according to latest data from the Reserve Bank of India (RBI).

While the growth in the total number of credit cards in the system at end-October was 7.5 per cent compared to 0.3 per cent in the previous year, spends logged a robust growth of 27 per cent — from Rs 17,314 crore to Rs 13,639 crore. Overall loan growth of the banking system was 10.9 per cent till December 12, according to RBI data Stock Market Trading Tips

The number of cards at the end of October was 19.9 million, up from 18.5 million in the year-ago period. In 2013, while loan growth was 14.5 per cent, card spend grew 24 per cent.

A number of factors, including improved reward and loyalty points, better offers and the boom in e-tailing have pushed credit card spends. So, banks are unfazed by the single-digit growth in the number of cards in the system Financial Astrology Trading Tips

“The number of cards is growing at a slower pace than we would like, but the spends have increased. The credit card spends for the entire year has been in high double digits. And we have been focusing on growing that by giving out better offers in order to improve customer experience of shopping via cards,” said Sumit Bali, executive vice-president (personal assets) at Kotak Mahindra Bank.

Even during the festival season, lenders had tailor made several offers on credit cards to encourage consumers to use plastic money.

HDFC Bank continues to be the largest issuer of credit cards. At the end of October, the lender had a credit card base of 5.57 million, followed by ICICI Bank that has the second largest credit card base with 3.30 million card users Nifty Trading Tips


Bankers believe that with the use of credit information bureau, they can extend credit cards to consumers with more confidence. “This time is different from 2008; now all banks access the credit score before giving a credit card and therefore, they lend it only to consumers with a good credit history. This has ensured that defaults have come down and lenders are also more confident about the credit card business.”

Banks have so far been restricting themselves to issuing credit cards only to consumers with whom they have a banking relationship. However, there are some lenders such as RBL Bank (formerly known as Ratnakar Bank) that have from this year onwards started offering cards to new consumers.

According to experts, convenience and better offers on credit cards will push the usage of plastic money even further Personal Numerology Trading Tips

Double digit earnings to cheer markets in FY16

Despite a massacre in the equity and currency markets earlier this week, the view on India remains healthy. While 2015 is expected to have risks, the acceleration in earnings and domestic investments is expected to keep the markets well-oiled. Strategists are believers in the mean reversion theory. So, when something declines sharply, the assumption is it will reverse. The market is betting on this for corporate earnings, expected to see a pickup in FY16. A cyclical pickup in the economy is expected to drive earnings upgrades the next financial year Stock Market Trading Tips

Over recent years, operating margins and the net profit growth of India Inc have declined to a 15-year low. The net debt-to-equity ratio has hit an all-time high. The return on equity has halved from FY07.

Analysts are assuming earnings are set for a pickup.Goldman Sachs says a cyclical recovery has begun and demand is picking up, while high inflation is trending down. Also, a sharp fall in commodity prices will help India save $30 billion, equal to the current account deficit of FY14, say analysts. They expect the demand to pick up for steel, cement, aluminium, petrochemicals and coal. The demand for most has remained flat or contracted, as the industrial output contracted. But most sectors are expected to see five to seven per cent growth in demand Financial Astrology Trading Tips

According to IIFL, only 273 companies were part of the BSE 500 index 15 years ago and it is a fair representation of the investible universe for foreign and domestic investors. The brokerage says for these, yearly sales growth has fallen to single digit, from 20-25 per cent during much of the decade. Operating margins and the net profit have fallen sharply. The return on equity has halved to 12.1 per cent, from a peak of 21.5 per cent in FY07.

IIFL expects earnings to accelerate for 159 companies under its coverage from the nine per cent compound annual growth over three years to 18.6 per cent in FY16 and 17.6 per cent in FY17. Goldman Sachs says earnings will accelerate to 16 per cent in 2015 and 18 per cent in 2016. The potential for earnings upgrades is high in consumer discretionary, financials and industrials. If the rupee continues to depreciate further, the information technology sector could also see earnings upgrades Nifty Trading Tips

Sebi bars 260 entities from markets

In its biggest crackdown on suspected tax evasion and laundering of black money via stock-trading platforms, the Securities and Exchange Board of India on Friday barred 260, including individuals and companies, from the securities markets.

While it will further probe the cases, it has decided to refer the matter to the income-tax department, the enforcement directorate, and the financial intelligence unit, among others Stock Market Trading Tips

Through two separate interim orders, Sebi said that these 260 entities would be restrained from accessing the securities market and from buying, selling or dealing in securities, either directly or indirectly, with immediate effect till further directions.

It has also asked stock exchanges and the depositories to ensure that all its directions are strictly enforced.

While 152 entities have been barred in a case relating to an entity named First Financial Services, another 108 have faced action in a case related to Radford Global Financial Astrology Trading Tips

The action comes at a time when the central government has sharpened its focus on unearthing black money stashed abroad and within the country, while Sebi also has tightened its surveillance of shell companies created for tax evasion or money laundering or both.

In the first case, the suspected dealings took place on thestock market for two years till March 31, 2014. The second case relates to a period of little more than a year starting January 2013.

Sebi said the way of the entities typically involved stock-market dealings aimed at evading long-term capital gains tax and showing the source of income as legitimate from stock markets Intraday Trading Tips

"... The schemes, plan, device and artifice employed in this case, apart from being a possible case of money laundering or tax evasion which could be seen by the concerned law enforcement agencies separately, is prima facie also a fraud in the securities market in as much as it involves manipulative transactions in securities and misuse of the securities market," the regulator said Nifty Trading Tips

Monte Carlo shares fall 12% on debut

Monte Carlo Fashions had a lukewarm market debut, with its shares ending 12 per cent lower compared to the issue price, despite gains in the broader market.

Shares of the company, a maker of woollen clothing, ended at Rs 566 apiece compared to the issue price of Rs 645 apiece on the National Stock Exchange (NSE). The stock moved in a range of Rs 530-632, 7.6 million shares traded Free Stock Share Tips

Carlo was year 2014’s first Initial Public Offering (IPO) that ended below its issue price on debut. Excluding small and medium-sized enterprises’ IPOs, five launched issues this year.

Carlo’s shares fared poorly despite a good response to its IPO. The 5.4-million share offering had got 24.9 million bids.

Market players said the shares had ended weak on heavy selling pressure from institutional investors, which had subscribed to the IPO. The portion meant for these was subscribed 14 times during the IPO.

The quota reserved for retail investors — those investing up to Rs 2 lakh — had seen sixfold subscription. High networth (wealthy) individual segment was subscribed less than two times Financial Astrology Trading Tips

Carlo had raised over Rs 100 crore from anchor investors, which included Aditya Birla Private Equity, Tata Mutual Fund and Birla Mutual Fund.

Analysts said a strong balance sheet and an asset-light model were positives but valuations were fairly valued at over 20 times one-year forward earnings estimate.

The company's promoters and private-equity firm Samara Capital had pared their holdings in the company through the IPOto raise Rs 350 crore Intraday Trading Tips

Including Monte Carlo, a total of just Rs 1,200 crore has been raised from the IPO market this year, the lowest figure in more than a decade. Shemaroo Entertainment, Snowman Logistics, Sharda Cropchem and Wonderla Holidays are the other four companies to have come out with IPOs this year.

Investment bankers expect next year to be good for the IPO market. At present, there are about 20 companies that have filed their offer documents with the capital market regulator, Securities and Exchange Board of India. Bankers expect the queue of companies lining up for IPO approvals to get longer Nifty Trading Tips

Sebi's prisoner number one

Kolar Biotech Chairman Vinod Hingorani had told his mother he would return to his rented apartment on Mira Road here by 2 pm on Thursday. But by evening, he found himself in Byculla Jail, the first person to be sent to jail by the Securities and Exchange Board of India (Sebi).

The market regulator said Hingorani had defaulted on penalties of Rs 1.65 crore Free Stock Share Tips

Hingorani, born and brought up in Andheri here, studied commerce in RD National College, Bandra. He shifted to Mira Road 20 years ago. His mother says the rent for their apartment is Rs 12,000 a month.

Hingorani told Sebi he had sold the flat two years ago and was now staying there on a lease-back agreement.

After trouble started brewing up at Kolar, he separated from his wife. His daughter stays with his wife.

Hingorani is accused of being involved in the release of false advertisements of a bonus issue at the company, according to a 2010 Sebi order. The subsequent rise in the share price was used to unload stake by entities linked to Raj Kumar C Basantani, the company’s promoter Financial Astrology Trading Tips

Sebi imposed penalties on those involved in the market manipulation, including Hingorani. However, Hingorani said he was non-executive chairman and had no role in the matter; he didn’t pay any money towards the penalty.

“Bade bade logon ka naam hain par isiko arrest kiya hain (big names are involved but he alone has been arrested),” his mother says, in tears.

Through the past eight years, he is said to have spent most of his time at home. Recently, he, along with a few friends, took a shop on rent, though the business hasn’t fared well Commodity Trading Tips

At the end of the last quarter, there were 1,627 entities declared defaulters by Sebi, according to data on the regulator’s website. At least half a dozen had been directed to pay penalties higher than that announced for Hingorani.

Following Thursday’s Sebi directive, Hingorani was sent to a civil prison, meant for those jailed for non-criminal offences. Though such prisoners are typically segregated from criminals, a PIL filed in 2007 alleged in Byculla Jail, about 9,000 prisoners occupied the space meant for 200 Jackpot Trading Tips

Before being taken to jail, Hingorani was taken to King Edward Memorial hospital in Parel. His mother says he is diabetic and has blood pressure and hernia ailments.

Kolar Biotech was incorporated as Kolar Securities Services on January 13, 1994. Subsequently, it became an information technology company, renaming itself Kolar Information Technologies. After the dotcom bust, it became Kolar Biotech.

The registered corporate address of Kolar Biotech has a coaching institute on the ground floor, a real estate firm on the first and a lodge on the second. No one here has heard of Kolar. Calls to the telephone number listed on an exchange website were responded to by a recorded message that said the number didn’t exist Free Stock Share Tips

The company hasn’t filed its financials since June 2003.

According to a regulatory source, Hingorani had alleged Basantani had appointed peons and drivers as directors in fraudulent companies, adding many of them were now facing criminal charges from various authorities, including the stock market regulator. Hingorani is facing more than 750 cases, filed by various investors in securities and fraudulent fund collective activities by the companies he was associated with

Markets gain second day: Sensex adds 660 points in two days

Shares climbed for a second session on Friday, buoyed by gains in the global markets that ended their last full week of 2014 on a high after the US Federal Reserve's decision on Thursday to hold on to lower rates for longer.

The BSE Sensex ended the day up one per cent, or 245 points, at 27,371, led by gains in technology and metal stocks. The National Stock Exchange Nifty closed at 8,225, up 0.8 per cent.

Buying was prompted by the positive sentiment in the global markets, which were up on the ongoing recovery in the US economy. Major US indices were up between two and three per cent each. Asian market indices gained two per cent each. But European markets remained subdued and most indices ended down one per cent each Stock Market Trading Tips

Daljeet Singh Kohli, the head of research, IndiaNivesh Securities, said, "What we saw on Friday was a bounce-back in the market. There was too much pessimism, stocks declining on falling crude oil prices and worries about global recovery. Investors were just looking for an opportunity to buy in again."

The rupee depreciated against the dollar, boosting the technology stocks. KPIT, up 5.9 per cent, was the best performer stock in the information-technology (IT) pack. Mphasis and Oracle Financial Services were up three per cent each. The BSE IT index was up two per cent.

The surge in metal stocks was due to the cheaper valuations, as many had been beaten on weak demand growth in the Chinese economy Personal Numerology Trading Tips

Dipen Shah, the head of PCG research, Kotak Securities, said, "Recent macroeconomic data from China have not been encouraging. We saw that reflected in the metal stocks that had fallen sharply. This is nothing but bottom-fishing by investors in the absence of any immediate trigger for buying."

The index, however, pared some gains during the last hour when the government's attempt to table the Goods and Services Tax (GST) Bill in the Lok Sabha was resisted by the opposition. The Bill was tabled in the lower house of Parliament after market hours Commodity Trading Tips

Kohli said, "The statements by the finance minister on GAAR and the justification for the petroleum products' excise duty rise were taken negatively by market participants. This led to some selling during the second half of the session."

Foreign portfolio investors (FPIs) were net sellers on Friday, selling equities of Rs 668 crore.  The domestic institutions came to the rescue, buying equities of Rs 622 crore in the net.

All sectoral indices, except realty, automobile and consumer durables, rose a per cent, with technology, metals and energy stocks gaining the most.

Among the Sensex stocks, ICICI Bank was the highest gainer, followed by Hindalco, Coal India, Wipro and Tata Power Nifty Trading Tips
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Sebi bans 260 entities from markets; accused of misusing exchanges

The Securities and Exchange Board of India (Sebi) has banned 260 entities, including two companies, their promoters, brokers and a clutch of investors, from accessing the securities markets. The regulator has accused them of misusing the stock exchanges to generate long-term capital gains of around Rs 485 crore, thus converting unaccounted cash into legitimate money. 

In its order, the regulator cited the actions of the promoters of two companies — First Financial Services and Radford Global — which had issued preferential shares to connected entities. Due to a lock-in of one year on shares issued through the preferential route, any gains made on the sale of these shares makes them eligible for longterm capital gains. All the 260 entities are linked to these two companies, the market regulator said in the order issued late on Friday evening Free Stock Share Tips 

Further, the funds infused into the companies by way of preferential allotment was utilised for purposes other than those disclosed and the money for purchase of shares was provided through so-called layering which means that the money moved through a number of entities before being used to buy shares, Sebi said. 

Promoters of these companies and entities related to them carried out trading among themselves to manipulate the share price, before and after the preferential allotment. 

ET in its edition dated December 18, 2014 had reported that Sebi is investigating several companies and entities for their alleged role in generating fictitious longterm capital gains to evade tax. In its order, Sebi has observed that certain entities acted in concert with the promoters of these companies to create artificial volume and manipulate the share price. Their relationship was unearthed from Know Your Client (KYC) details, their bank statements, off-market transactions and information available with the corporate affairs ministry Personal Numerology Trading Tips

"I prima facie find that First Financial group and allottees used securities market system to artificially increase volume and price of the scrip for making illegal gains and to convert ill-gotten gains into genuine one," said Rajeev Kumar Agarwal, Sebi's wholetime member.

Sebi also said that when it conducted an inspection of the office of First Financial it noticed that the company did not exist at the registered and corporate office addresses available as per the records of the exchange where it is listed. Besides, there was no employee available nor were any operations carried out by the firm from the address."..the schemes, plan, device and artifice employed in this case, apart from being a possible case of money laundering or tax evasion which could be seen by the concerned law enforcement agencies separately, is prima facie also a fraud in the securities market in as much as it involves manipulative transactions in securities and misuse of the securities market," Agarwal saidWith regard to Radford Global Services, Sebi said: "The modus operandi of allotting shares on preferential basis at a premium, pumping the share price artificially and then dumping the price so that the same cycle could be repeated, demonstrates the malafide of the Radford Group & Suspected Entities. Also the mechanism is being presumably used to deceive the authorities by laundering black money and raking in tax-free profits Nifty Trading Tips

Oil jumps three per cent to $63 as energy firms slash investments

 Brent crude jumped 3 percent to above $63 a barrel on Thursday, extending a rebound from five-year lows this week as oil's six-month price rout forced more energy firms to cut investments in new production.

Oil this week slumped as low as $58.50 and has almost halved since June as fast-growing US shale output overwhelms demand, with losses accelerating after producer group OPECdecided not to cut output at its meeting last month Free Stock Share Tips

But signs that lower prices are threatening future production have given some traders pause. Oil prices were volatile on Wednesday, briefly spiking as much as 6 per cent as players rushed to close short positions, before falling back.

At 1109 GMT on Thursday, Brent for February delivery LCOc1 was $2.09 higher at $63.27, after settling up $1.17 in the prior session.

US crude CLc1 for January delivery, which expires after Friday's settlement, was up $1.83 at $58.30 a barrel Intraday Trading Tips

"It looks like investors favour support around $60 a barrel," said Daniel Ang, an investment analyst at Phillip Futures in Singapore, adding that lower investment in production could be felt in the market as early as the second quarter of 2015.

Chevron Corp (CVX.N) has put a plan to drill for oil in the Beaufort Sea in Canada's Arctic on indefinite hold, while Marathon Oil (MRO.N) cut its capital expenditure for next year by about 20 per cent.

Canadian oil producers also deepened cuts in 2015 spending, as Husky Energy (HSE.TO), MEG Energy (MEG.TO) and Penn West Petroleum (PWT.TO) joined those hacking back capital budgets.

The oil minister of top OPEC producer Saudi Arabia said on Thursday he believes the drop in prices will be short-lived as demand for crude picks up Nifty Trading Tips

"I am optimistic about the future, what we are facing now and what the world is facing is a temporary situation and will pass," Ali al-Naimi was quoted by state news agency SPA as saying.

OPEC members that backed an output cut last month are coming around to the Saudi view that they need to focus on market share.

"We are just watching and selling oil at whatever the price is," said a delegate from an OPEC country that had wanted an output cut in November.

Saudi Arabia, which opposed cutting output, raised exports in October to 6.9 million barrels per day from 6.7 million bpd in September, data showed Jackpot Trading Tips

Buoyed by strong growth in cloud unit, Oracle Corp’s revenue increases 3.5%

Oracle Corp reported a 3.5% increase in quarterly revenue on Wednesday, beating Wall Street's expectations, as sales at its closely watched cloud services business rose 45%. 

Shares of Oracle, whose report was the first since co-founder Larry Ellison stepped down as chief executive, rose 2.5% to $42.20 in after-market trading. 

Investors have been carefully watching how Oracle beefs up its cloud divisions, which deliver software over the Internet. Success on that front is a gauge for how well the company can fight off competition from cloud-software companies such as Salesforce.com Inc Free Stock Share Tips

"Oracle has been going through a transition as it rationalizes the hardware business and moves their software business to the cloud," said Pacific Crest Securities analyst Brendan Barnicle. "This is good evidence that they're making some progress there." 

Total revenue rose to $9.6 billion from $9.28 billion, beating analysts' expectations of $9.51 billion. Revenue from cloud services totaled $516 million. 

The company broke a string of disappointing quarters in which revenue grew more slowly than expected Intraday Trading Tips

In September, the company promoted co-presidents Safra Catz and Mark Hurd to co-chief executives. 

Ellison, the co-founder, remains executive chairman and chief technology officer, and spoke extensively on a conference call with analysts Wednesday, particularly on Oracle's growth in the cloud. 

"We think we will be number one in the cloud and will be number one in cloud very quickly," Ellison said, interjecting after Hurd briefly answered an analyst's question about cloud revenue. In 2008, Ellison called cloud computing "complete gibberish", but in recent years, the company has tried to catch up by making a string of acquisitions Nifty Trading Tips

Hurd cited several new customers for Oracle's cloud business, including Siemens, Honeywell International Inc, and Johnson & Johnson. 

"Nevertheless, the company has some 'wood to chop' in 2015 to accelerate top-line growth as its bread and butter database business remains under pressure," said Daniel Ives, an analyst at FBR Capital Markets. 

Oracle's net income slipped to $2.50 billion in its fiscal second quarter, ended Nov 30, from $2.55 billion a year earlier Jackpot Trading Tips

BlackBerry out with a 'Classic'

 BlackBerry Ltd launched its long-awaited Classic on Wednesday, a smartphone it hopes will help it win back market share and woo those still using older versions of its physical keyboard devices. 

The Canadian mobile technology company said the new device, which bears striking similarities to its once wildly popular Bold and Curve handsets, boasts a larger screen, longer %battery life, an expanded applibrary with access to offerings from Amazon.com Inc's Android App store, and %a browser three times faster than the one on its legacy %devices Stock Market Trading Tips

"The conversation about BlackBerry has changed in the last year," Chief Executive John Chen said as he launched the Classic at Manhattan's upscale Cipriani restaurant. "We are here to stay, there is no question about that. Now we have to engineer our growth." 

He said BlackBerry had listened to its fans and brought back the command bar functionality that helped make its legacy phones easy to navigate. When the company initially introduced its new BlackBerry 10 operating system and devices early in 2012 it put more emphasis on touchscreens, alienating many fans of its physical keyboard. reuters Free Stock Share Tips

Those who moved to the new physical keyboard phones that BlackBerry launched later were unhappy that command keys such as the Menu, Back, Send and End buttons, along with the trackpad had been dropped. 

With the Classic and the recent launch of its Passport smartphone, Chen is in some ways taking the company back to its roots, re-emphasizing the physical keyboard, rather than trying to compete directly against the touchscreen handsets of dominant rivals like Samsung Electronics and Apple Personal Numerology Trading Tips

"We expect the Classic to be the most popular BlackBerry enterprise device and the easiest transition for current BB7 (legacy device) users," said Wells Fargo analyst Maynard Um. 

The launch also coincided with an upgrade on BlackBerry's stock by BGC analyst Colin Gillis, who raised his price target to $12.50 from $11, and rating to "buy" from "hold." 

Shares in BlackBerry were up 5.2 percent at $10 in afternoon trading on the Nasdaq. 

The Waterloo, Ontario-based company, which also unveiled a new suite of enterprise applications and software bundles targeted at major corporate clients, said the Classic is on sale immediately on Amazon.com and shopblackberry.com. 

It said major Canadian carriers Rogers, Telus and Bell would have limited availability before Christmas, with major U.S. carriers Verizon and AT&T getting the Classic shortly afterward Nifty Trading Tips