Share market updates

The Indian rupee depreciated further against the US dollar on Friday with the USDINR Feb future contract reached 46.00 marks. In the interbank market, the spot USDINR reached 45.80 to close at 45.7475.

Symbol	Expiry	Open	High	Low	Close	Chg	% Chg	Volume	O.I.
USDINR	24-Feb-2011	45.8800	46.0650	45.8800	45.9925	0.1900	0.4148	3,501,120	677,620
EURINR	24-Feb-2011	62.7400	63.0875	62.7400	63.0500	0.1950	0.3102	99,803	41,189
GBPINR	24-Feb-2011	72.8000	73.0475	72.8000	72.9200	-0.0425	-0.0582	18,885	17,017
JPYINR	24-Feb-2011	55.4425	55.6500	55.4425	55.5500	0.2800	0.5066	13,088	10,080

The rupee depreciation has been attributed by rising current account deficit along with liquidation of foreign funds from the local stock market. Global funds sold $755 million more Indian equities than they bought this year through Jan. 25, exchange data show. Reserve Bank of India said on Jan. 25 that the current-account shortfall will equal 3.5 percent of gross domestic product in the fiscal year through March while the market participants expects the figure to be around 4% of GDP.

In cross pairs, the EURINR Feb contract closed up 19 paisa on gains in the EURUSD along with USDINR advances. It settled at 63.05, after posting a high of 63.08. The GBPINR closed almost flat, down by 4 paisa at 72.92.The Yen advanced against the Indian after falling on Thursday due to rating downgrade by the S&P. The Feb JPYINR contract closed at 55.55, up 28 paisa.

In the global market, the US dollar is witnessing safe haven buying following Egypt crisis. The euro fell as low as $1.3571 against the US dollar, having fallen about 0.2 percent from a New York close of $1.3608 on Friday, extending its decline further from a two-month high of $1.3760 marked last week.

USDINR Feb: The market is expected to take resistance at 46.25 levels and above that buying can be seen toward 46.35-46.40 levels. The support is seen at 46.02-46.05 levels. Buying at the support is ideal for the day.

EURINR Feb: The pair is expected to take resistance at 62.95-63.00 mark, below which upside should be limited. The opening suggests lower moves with support at 62.53 levels.

GBPINR Feb: The pair is expected to trade sideways for the session. The market is expected to see resistance at 73.21 levels and above that may see momentum buying. Support is seen at 72.98 and then 72.85.

EXCHANGE HOLIDAYS 2011

Holiday Date	Purpose	Day
26-Jan-11	Republic Day	Wednesday
2-Mar-11	Mahashivratri	Wednesday
12-Apr-11	Ram Navmi	Tuesday
14-Apr-11	Dr. Ambedkar Jayanti	Thursday
22-Apr-11	Good Friday	Friday
15-Aug-11	Independence Day	Monday
31-Aug-11	Ramzan Id	Wednesday
1-Sep-11	Ganesh Chaturthi	Thursday
6-Oct-11	Dasera	Thursday
26-Oct-11	Diwali Amavasya(Laxmi Puja)	Wednesday
27-Oct-11	Diwali (Balipratipada)	Thursday
7-Nov-11	Bakri Id	Monday
10-Nov-11	Gurunanak Jayanti	Thursday
6-Dec-11	Moharram	Tuesday

Currency market update

The Indian rupee opened the day’s trade a bit higher against the US dollar, however, the momentum from the previous session’s gains faded away as the stock markets were pulled down. The lingering strength in the European currency against the US dollar following the European Financial Ministers meeting on Tuesday had put pressure on the US dollar against the rupee. In the spot currency market, the Indian unit ended at 45.46, lower by around 2 paise or 0.04% as compared to previous close at 45.44.

The European currency climbed over to towards an eight week high on Wednesday against the US dollar as the momentum after the Financial Ministers meeting and the better than expected economic numbers from the European Union kept the sentiments positive. However risks for the single currency remain as debt costs of the peripheral countries remain high. The Fitch rating agency had downgraded the rating of Greece to BB+ on 14^th of January 2011.

Sintex Result Update

Sintex is one of the largest Private sector providers of Plastic & related products in India and has strong footing in 9 countries across Europe, America, Africa and Asia directly or through its subsidiaries. The company's acquisition of Durha Construction shall only strengthen its base in the high growth monolithic construction space in the country.

Over the past three months the stock has fallen more than 30% from its high of Rs 237 in Nov. Currently at the Trailing market price of Rs 165, the stock is trading at 11X and 9.3X its FY 11E and FY 12E, EPS of Rs 15 and 17.7 respectively which we feel attractive. We continue to value the company at 13X, FY 12E and maintain our “Accumulate” rating on the stock with a modified Target of Rs 230 in Twelve Months.

Share market updates : Nifty support levels

US stocks markets finished on a mixed note on Monday as renewed concerns about European debt coupled with a slew of corporate news pulled sentiment in opposite directions. Back in Asia, stock markets are trading mixed today morning.

Amongst the key indices in India, The NSE Nifty is expected to open with limited gains and move sideways between the first Support at 5740 and the Critical level 5816. The overall bearish mood may continue as long as the market stays below the Critical level 5816. However, an Intra-day trend change is possible if Nifty breaks the Critical level with conviction wherein we may see some short covering towards the first Major Resistance at 5878. If the index manages to sustain above this, we may see the rally strengthening towards the higher Target at 5915. However a fall below 5740 may pull the Index towards the Major Support at 5704.

Tata Steel Limited FPO Details

Tata Steel Limited FPO.

BRLM	Kotak / Citi/ Deutsche Equities/ HSBC Sec/ RBS Equities/ SBI Cap/ Standard chartered Sec.
Syndicate	Kotak Sec/ SBI Cap Sec
Issue Period	January 19, 2011– January 21, 2011
Price Band	Rs.594/- to Rs.610/- per equity share
Lot Size	10 Equity Shares and Multiple of 10 shares thereof
Registrar	Link Intime India Private Limited

Anchor Open / Close: January 18, 2011.

Retail Appl Size: Rs.2,00,000/-

Issue size: 5,70,00,000 Equity Shares of Face Value Rs.10 each.

Employee Reservation	15,00,000 Equity Shares for Eligible Employees
Net Issue	5,55,00,000 Equity Shares
QIB Book	2,77,50,000 Equity Shares (50% of Net issue size)
Retail Book	1,94,25,000 Equity Shares (35% of Net issue size)
HNI Book	83,25,000 Equity Shares (15% of Net issue size)

TATA STEEL LTD
ISSUE OPENS ON on 19/1/2011 & CLOSES ON 21/1/2011
PRICE BAND : Rs. 594/- to Rs. 610/-
BID LOT : 10 SHARES
NO OF SHARES	AMOUNT @ Rs. 610/-
10	6,100
20	12,200
30	18,300
40	24,400
50	30,500
60	36,600
70	42,700
80	48,800
90	54,900
100	61,000
110	67,100
120	73,200
130	79,300
140	85,400
150	91,500
160	97,600
170	103,700
180	109,800
190	115,900
200	122,000
210	128,100
220	134,200
230	140,300
240	146,400
250	152,500
260	158,600
270	164,700
280	170,800
290	176,900
300	183,000
310	189,100
320	195,200
Cheques/Demand Drafts to be drawn in favour of :
" Tata Steel - FPO - Escrow Account - R "