Dow Jones Industrial Average up 1 percent on energy stocks

(29/6/09 DJIA stocks updates) - It's bright morning out here and US stock markets are singing as they are full of Energy today, i mean Energy stocks are talking high and have turned DJIA , Nasdaq, S & P 500 into green territory and today's future look same till the end so go and bring some energy stocks home. will see you and update with latest US stocks updates.

U.S. stocks extended gains on Monday with the Dow industrials up nearly 1 percent as higher oil prices boosted energy shares.

The Dow Jones industrial average (DJIA) rose 79.88 points to 8,518.27. The Standard & Poor's 500 Index (S & P 500) added 7.02 points to 925.92. The Nasdaq Composite Index (Nasdaq) increased 6.06 points to 1,844.28.

BSE | Nifty growth looks deceptive wrto FII's made

The Indian stock market has risen sharply on the back of renewed foreign inflows in recent weeks. The Sensex is up 45% compared to its level in both January and April. FII inflows, which were negative in 2008-09, have turned positive. In April and May, we had $5 billion of net FII inflows into the Indian stock market.

First, it would be unwise to make any linear extrapolation from the FII inflows seen so far. In 2008-09, foreign investors fled the Indian market just as they did other emerging markets. FII inflows in 2008-09 were minus $11 billion. This was a panic reaction to troubled conditions in the US and Europe. In such conditions, there is a ‘flight to safety’- investors tend to pull their money out of risky assets and park it in US treasuries.

Since 1991, only once before have we seen negative FII flows and that was in 1998-99 when FII flows were minus $390 million. At that time, the crisis was centred in East Asia. Now, it’s centred in the US, which is by far the biggest source of portfolio flows. That is why FII outflows in 2008-09 have been far larger than in the East-Asian crisis.

Investors see the global situation as stabilising although recovery will be a long drawn-out affair. They also think that some emerging markets, such as India and China, will do better than thought a few months ago. The withdrawal of FII funds from India last year caused valuations to drop to a level where entry became attractive. So, FII flows have returned with a bang.

But this does not mean that FII inflows will continue at anywhere near the same pace as in April-May. FII flows attained their peak of $20 billion in 2007-08 at the height of the global boom. The next highest level was $11 billion in 2003-04. It is unlikely that FII flows in the current year can match the 2007-08 level.

courtesy economictimes

SEBI constitutes committee for its investor protection fund

Market regulator SEBI has constituted an eight-member advisory committee for its Investor Protection and Education Fund to educate market participants and protect their interest .

The committee will recommend investor education and protection activities that may be undertaken directly by the regulator or through any other agency, SEBI said in a release while announcing the members of the committee.

The committee comprises SEBI Executive Director R K Nair, Retired IAS S G Kale, Head of Department of Financial Studies of Delhi University's Sanjay Sehgal, D N Raval Partner from , Raval & Raval Associates and Mala Banerjee President, Federation of Consumer Associations, West Bengal.

While other members are A K Narayan President, Tamil Nadu Investors Association and two general managers from SEBI G P Garg and Suresh Menon.

New companies to be included in NIFTY

National Stock Exchange (NSE) said five companies will be included in Nifty Midcap 50 Index with effect from June 26.

IDBI Bank, JSW Steel, United Phosphorous, Cummins India and Educomp Solutions would be included stocks in Nifty Midcap 50 Index from June 26, the exchange said in a notice.

Besides, five others stocks Bombay Dyeing, Mahindra Lifespace, Peninsula Land, Kesoram Industries and TVS Motor Company would also be excluded from the index.

The Futures and Options contracts for new expiry months in the following securities will not be issued on expiry of existing contract months, the exchange said.

BSE - Election-To fill in the vacancy of a Trading Member Director

The Trading Members of Bombay Stock Exchange Limited (the Exchange) are hereby informed that a vacancy shall arise at the ensuing Fourth Annual General Meeting of the Exchange to be held on Friday the 7th August, 2009 due to completion of two consecutive terms pursuant to Article 13.18A of the Articles of Association by one of the Trading Member holding office as a Director in the Trading Member Director category at the said meeting.

The Board of Directors of the Exchange has decided to fill in the said vacancy in the Trading Member Director category under the provisions of Rules, Bye-laws and Regulations and Articles of Association of the Exchange.

Accordingly, nominations are invited from the eligible Trading Members of the Exchange pursuant to Article 13.16.2 of the Articles of Association to fill in ONE vacancy in the Trading Member Director category, at the Fourth Annual General Meeting of the Exchange.

The timetable for filling in the vacancy as per the provisions of the Articles of Association (Article 13.16.3 & 13.22), Rules, Bye-laws and Regulations (Rule 100-104) is as under.

Sr.No. Nature of activity Date
1 Issue of nomination forms. 24.06.2009
2 Last date for submission of duly filled in nomination forms. 23.07.2009
3 Last date for withdrawal of nomination forms. 28.07.2009
4 Election of Trading Member Director by Shareholders. At the Fourth Annual General Meeting to be held on Friday the 7th August, 2009.

Blank nomination forms can be downloaded from the Exchange’s website www.bseindia.com or collected in person and duly filled in nomination forms may be submitted in person at the following address between 11 a.m. to 4 p.m. on all the working days.

Secretarial Department,
Bombay Stock Exchange Limited,
25th Floor, P.J. Towers,
Dalal Street, Fort, Mumbai 400 001.

Trading Members are advised to note the following terms and conditions of election:

The manner of election, appointment, tenure, resignation, vacation etc. of trading member directors shall be governed by Companies Act, 1956 save as otherwise specifically provided under or in accordance with the Securities Contracts (Regulation) Act, 1956, The BSE (Corporatisation and Demutualisation) Scheme, 2005 and the Circulars issued by SEBI from time to time specifying the Governance of the Exchange.
The conditions of eligibility and the method of appointment of Trading Member Directors shall be governed by the Articles of Association, Rules, Bye-laws and Regulations and SEBI’s letter dated 31st August, 2005 prescribing the manner of appointment of Directors and other incidental and consequential matters related to the governance of the Exchange.
Since the election if required by ballot, shall be conducted under the provisions of the Companies Act, 1956, Rules 96 to 112 given under the Chapter “Election of the Governing Board and Office Bearers” framed prior to Corporatisation of the Exchange to suit its requirement as an “Association of Persons” as per its constitution and objects, shall apply only to the extent it is not contrary to the provisions of the Companies Act, 1956, Articles of Association of the Exchange and SEBI directives on the governance of the Exchange issued from time to time.
Trading Members are advised to carefully examine the provisions of the Companies Act, 1956, Articles of Association, and Rules, Bye-Laws and Regulations of the Exchange, the provisions of The BSE (Corporatisation and Demutualisation) Scheme, 2005 and directives in respect of governance of the Exchange issued by SEBI from time to time before submission of the duly filled in nomination forms.
The contents of the nomination forms and the annexures/undertakings attached thereto shall form an integral part of the nomination form. Incomplete application forms would be liable for rejection.

BSE to halt trading in derivatives of seven firms

The companies are Dr Reddy's Laboratories, Ambuja Cements, Ashok Leyland, Tata Chemicals, Indian Oil Corporation, Canara Bank and Petronet LNG Ltd, the BSE said in a circular.

"Derivatives contracts for the far month, ie., September 2009 and onwards would not be introduced upon expiry of June 2009 contracts ie on June 25, 2009," the circular said.

Existing contract months - July and August - would, however, continue to trade till they expire on the last Thursday of their respective expiry months, it added.

SEBI removes entry load on MF schemes

SEBI's new guidelines stipulates that investors directly make payments to distributors instead of MF companies deducting it from the investment made in any scheme.

"There shall be no entry load for the schemes, existing or new, of a Mutual Fund. The upfront commission to distributors shall be paid by the investor to the distributor directly," SEBI said in a statement after its board meeting.

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Further, the upfront commission to distributors shall be paid by the investor to the distributor directly, the statement said.

The equity schemes of MFs are likely to be hurt the most as they attract the most entry load among schemes.

Share rule changes - approved by SEBI

The Securities and Exchange Board of India (SEBI) approved the "anchor investor" concept under which an investor can subscribe to up to 30 percent of the quota for institutional investors in an initial public offering, said Chairman C.B.Bhave.

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"This is in response to (the) requests of issuers that there was a need for investors with prior commitment who will enhance their ability to sell the issue and bring more confidence," Bhave told reporters after a board meeting.

Under the new rules, an anchor investor would pay 25 percent of the total investment at the time of applying for the initial public offering, and the balance within two days of the closure of the issue.

Such anchor investors would have to adhere to a lock-in period of one month from the date of the share allotment.

Earlier this year, the regulator amended rules for declaring the price band of initial public issues and changed its rules on mandatory open offers in a drive to make the capital markets more investor friendly.

Bhave said SEBI had also decided to rationalise disclosure in the rights issues offer documents as information relating to the listed company offering such an issue was already available in public domain for investors.

In a rights issue, a company issues new shares to existing shareholders. Analysts say the upturn in the stock market is expected to see many firms rushing to tap this route to raise finances for either cutting debt or to fund expansion plans.

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"The revised disclosure would make the process of rights issue faster for companies and also reduce overall costs for such issues," said a SEBI statement.

The market regulator also said entry load for investments in mutual funds would be removed, which is expected to result in increased participation. It would also cut registration fees for market intermediaries by about 50 percent.

courtesy - economictimes