Sensex gains further; oil& gas stocks hit

Indian equities opened in the positive Tuesday, tracking gains in Asia after US Federal Reserve Chairman Bernanke said the economic recovery is intact.

Japan’s Nikkei was up 0.70 per cent, Topix was higher by 0.42 per cent, Hang Seng gained 0.32 per cent and Singapore’s Strait Times inched up 0.18 per cent.

At 9:40 am, the Sensex was up 81.11 points or 0.48 per cent at 16,862.18. The Bombay Stock Exchange sensitive index opened marginally lower at 16,760.60 against previous close of 16,781.07. The 30-share index moved between a high of 16,872.88 versus a low of 16,757.23.

Nifty was trading at 5059.50, higher by 25.5 points or 0.51 per cent. The National Stock Exchange benchmark opened the day flattish at 5036.70 versus Monday’s close of 5034. The 50-share index moved between 5064.40 and 5028.30.

“In line with mixed global markets, today we may see flat opening. Nifty support has shifted to psychological 5000 levels and if it sustains below these levels then we may see selling pressure till 4950 or even lower. On the upside if Nifty has sustains above 5050 levels then we may see recovery towards 5080-5100 levels,” said brokerage Anand Rathi.

Oil and gas stocks were lower after the government postponed a decision on raising fuel prices on Monday. However, a panel of ministers led by Finance Minister Pranab Mukherjee is set to meet again to take a final decision.

The BSE Oil & Gas Index was down 0.49 per cent, weighed down by losses in HPCL (-3.42%), BPCL (-3.19%), Indian Oil (-3.16%), ONGC (-1.61%), Essar Oil (-1.22%).

All other sector indices were in the positive, with the BSE FMCG Index gaining the most by 1.39 per cent.

Top Sensex gainers were Hindustan Unilever (1.89%), State Bank of India (1.65%), Maruti Suzuki (1.36%), Sterlite Industries, DLF, ACC, Hindalco Industries, ITC, Jaiprakash Associates, Tata Motors, HDFC, BHEL, Reliance Infra, among others.

The only losers among the 30 Sensex stocks, besides ONGC, were Reliance Communications (-0.68%), Bharti Airtel (-0.50%), Infosys Technologies (-0.40%) and ICICI Bank (-0.11%).

Source http://economictimes.indiatimes.com/markets/stocks/market-news/Sensex-gains-further-oil-gas-stocks-hit/articleshow/6022407.cms

No fuel hike for now

A decision on whether to increase the price of petrol and diesel, expected to lead to political whiplash, has been deferred by the government.

The Empowered Group of Ministers (EGoM), headed by Finance Minister Pranab Mukherjee, met on Monday evening to consider whether to deregulate the price of petrol, one of the main recommendations of the Kirit Parikh Committee. The meeting ended with a decision to have another meeting soon on the issue.

In February this year, the committee, headed by economist Kirit Parikh, presented its report to Petroleum Minister Murli Deora. It also suggested raising petrol prices by Rs 6 a litre, and LPG rates by Rs 100 a cylinder. The Parikh report hazarded that the government's subsidies on fuel are costing it nearly 40,000 crores.

In the morning, experts suggested that if petrol and diesel prices were decontrolled, prices would climb by about Rs 3 a litre, which is the difference between what the import price that the government pays for petrol, and its retail price.

The government-owned Indian Oil Corporation, Hindustan Petroleum and Bharat Petroleum currently lose Rs 203 crore per day on selling fuel at subsidised rates.

Besides Mukherjee, the EGoM on fuel prices includes Oil Minister Murli Deora, Agriculture Minister Sharad Pawar, Chemical and Fertiliser Minister M K Alagiri, Railway Minister
Mamata Banerjee, Road Transport Minister Kamal Nath and Planning Commission Deputy Chairman Montek Singh Ahluwalia.

Ahead of the ministerial meeting on Monday, Ahluwalia said, when asked about whether this is the right time to raise prices, "For six months, I have been saying we should...I haven't changed my mind."

Earlier, Ahluwalia had told PTI in an interview, "India's international economic reputation requires us to say that fuel prices are going to be linked to global prices. I think that linkage (of fuel prices with global prices) is unavoidable."

However, he favoured providing subsidised kerosene to the poor - stressing on the need for exploring the possibility of giving direct subsidy.

State-owned Indian Oil Corp, Hindustan Petroleum and Bharat Petroleum currently sell petrol at a loss of Rs 3.35 a litre, while that for diesel is Rs 3.49, Rs 18.82 for PDS kerosene and Rs 261.90 for every 14.2-kg LPG cylinder.

Read more at: http://www.ndtv.com/news/india/no-fuel-hike-for-now-30348.php?u=1807&cp

Sensex falls 400 points on weak global cues

Indian markets opened with a gap-down Monday as jobs data from the US and as debt crisis in Hungary hurt sentiments. All the sectoral indices were in the red led by metals, realty and auto stocks.

At 9:10 am, Bombay Stock Exchange’s Sensex was at 16736.99, down 380.70 points or 2.22 per cent. The index hit a low of 16686.73 and high of 17069.77 in early trade.

National Stock Exchange’s Nifty was at 5020.45, down 115.05 points or 2.24 per cent. The 50-share index hit a low of 5004.25 and high of 5132.95 in trade so far.

Broader markets were also witnessing selling pressure. BSE Midcap Index fell 2.13 per cent and BSE Smallcap Index moved 2.08 per cent lower.

Amongst the sectoral indices, BSE Realty Index was down 3.77 per cent, BSE Metal Index declined 3.74 per cent and BSE Auto Index fell 2.56 per cent.

Hindalco Industries (-5.11%), DLF (-4.58%), Sterlite Industries (-4.31%), Tata Motors (-3.56%), Reliance Infrastructure (-3.51%) were the top Sensex losers.

Reliance Communications (2.82%) and ONGC (1.28%) were the only two gainers.

The Reliance Communications board gave its approval to divestment of 26% in the company to a strategic or private equity investor and exploring merger and acquisition opportunities, the company said in a statement on Sunday.

Shares of oil&gas companies are likely to be in action as empowered group of ministers (EGoM) will meet to discuss deregulation of petrol, diesel and LPG prices today.

Meanwhile, the Asian markets were under pressure following disappointing economic reports from the US and Europe. Nikkei 225 fell 4.01 per cent, Taiwan Weighted was down 2.97 per cent and Hang Seng slipped 2.56 per cnet.

The US markets tumbled Friday on higher than expected unemployment in May's. The Dow Jones Industrial Average dropped 3.15 per cent, the Standard & Poor's 500 Index lost 3.44 per cent and the Nasdaq Composite Index fell 3.64 per cent.

Source http://economictimes.indiatimes.com/Market-News/articleshow/6018700.cms

Israel deportees due to arrive in Dublin

Five Irish nationals deported from Israel after trying to bring aid supplies to Gaza are due to arrive in Dublin on Monday.

The five were flown from Tel Aviv on Sunday after waiving their right to appeal.

Six Malaysians and a Cuban have already left Israel through the West Bank into Jordan.

The deportees include the Nobel peace laureate, Mairead Corrigan Maguire.
'Good health'

The former UN assistant secretary-general Denis Halliday was also on board the Rachel Corrie when it was seized on Saturday.

One of the five Irish detainees has been in touch with the Irish foreign minister Micheal Martin to assure him that all of those who were onboard are in good health.

Last Monday, Israeli forces killed nine activists on a Turkish ship who were also attempting to break the blockade.

One of the Malaysians deported to Jordan, Shamsul Akmar, said there had been no resistance when the Israelis boarded the Rachie Corrie.

"We sat down, we waited in the middle of the ship, and when they boarded they just moved around," he said.

"They were wearing balaclavas and all that stuff. They were armed to the teeth, and they said sit down so we sat down, we kept quiet."

The Israeli interventions have sparked anger, with hundreds of people taking part in protests in Belfast and Dublin on Saturday.

The Deputy First Minister Martin McGuinness described the Israeli intervention as a "raid" and said it was a "completely unacceptable and unjustified use of force".

"The Rachel Corrie should have been allowed to proceed to Gaza without Israeli aggression," he said.

"This is an attack on an Irish flagged vessel and it demands a strong response by the Irish government."
Defiant activists

Meanwhile, the leader of Catholics in Ireland, Cardinal Sean Brady, called for an end to the blockade of Gaza, describing its citizens as "trapped".

He added that he "deeply regretted" the loss of life on board the Turkish ship.

He added: "I pray for the families and loved ones of those who were killed and for all those hurt or injured. It is clear that it is now time to lift the blockade on Gaza."

Israeli prime minister Benjamin Netanyahu has hailed the peaceful outcome of the latest operation.

He described those on board the Irish-owned Rachel Corrie as "peace activists", but labelled the other vessel - the Mavi Marmara - a "ship of hate organised by violent Turkish terror extremists".

The Cyprus-based Free Gaza Movement, which organised the attempts to break Israel's blockade on Gaza, vowed that further aid shipments would be sent.

The 1,200-tonne cargo ship was boarded about 16 nautical miles (30km) off the Israeli coast.

The ship was carrying hundreds of tonnes of aid, including wheelchairs, medical supplies and cement.

Israel says it will check the shipment and transfer all of the aid it deems acceptable into the Gaza Strip.

Foreign ministry spokesman Mark Regev told the BBC Israel had had an agreement with the Irish Republic for the vessel to go to the Israeli port of Ashdod to be checked - and from there the aid and the activists on board could have proceeded to Gaza.

Israel stepped up its blockade of Gaza in 2007, when the Islamist Hamas movement took control of the territory, and says its policies will not change while Hamas remains in power.

Defending the Israeli blockade, Mr Regev said there was no humanitarian crisis in Gaza - and accused Hamas of blocking the supply of aid into the territory.

Source http://news.bbc.co.uk/2/hi/world/middle_east/10252249.stm

Thousands pray in Istanbul for dead flotilla activists

Tens of thousands gathered here Thursday for prayers for activists killed in Israel's deadly raid on aid ships bound for Gaza, condemning the Jewish state and shouting support for Hamas.

"Damn Israel! Israel is the angel of death!" chanted the crowd which overflowed the sprawling courtyard of the Fatih Mosque, waving Turkish and Palestinian flags.

The NTV news channel put the number of the mourners at between 15,000 and 20,000.

"We are all soldiers of Hamas," the crowd shouted, referring to the Palestinian Islamist movement, which controls the Gaza Strip.

Nine people -- eight Turks and a US national of Turkish origin -- were killed in Monday's pre-dawn raid by Israeli forces on the Turkish ferry, Mavi Marmara, the lead ship in the aid flotilla aiming to break the crippling blockade of Gaza.

They were all shot dead, according to Turkish forensic experts, cited by the Anatolia news agency.

"May your martyrdom be blessed," read a huge banner in the colours of the Palestinian flag, hung on the wall surrounding the mosque courtyard.

The coffins of eight of the activists were laid on marble stands, covered with both Turkish and Palestinian flags, as several imams guided the mourners in the prayers.

One of the dead was to be buried in Istanbul later Thursday while the rest would be flown to their hometowns.

There will be a separate ceremony Friday for the last dead activist at another Istanbul mosque.

Turkey's Energy Minister Taner Yildiz, the mayor of Istanbul and the Iranian general-consul were among those who attended the ceremony, an AFP photographer said.

Turkish President Abdullah Gul said Thursday that the Israeli raid had delivered a heavy blow to bilateral ties and said his country would never forgive its estranged regional ally.

"From now on, Turkish-Israeli ties will never be the same. This incident has left an irreparable and deep scar" on relations, he said in televised remarks.

The raid "is not an issue that can be forgotten... or be covered up... Turkey will never forgive this attack," he added.

Ankara has already recalled its ambassador to Tel Aviv and scrapped joint military exercises with Israel in an angry response to the raid.

Muslim-majority Turkey has been a close ally of Israel since the two countries signed a military cooperation deal in 1996 but relations have taken a sharp downturn since Israel's devastating war on Gaza in late 2008 and early 2009, which Turkey has vehemently criticised.

Source http://www.google.com/hostednews/afp/article/ALeqM5juuJ1_2RCBVE-pjW-J58QFFygpMw

Gaza crisis shows fault lines among UK Jews

Up to 500 demonstrators from Britain's Jewish community have held a rally outside the Israeli Embassy in London, to offer support to the country following the death of nine activists on a ship bound for Gaza.

They say that Israel is being unfairly demonised.

They were opposed by a smaller counter demonstration of pro-Palestinian activists.

Police say one man was arrested for possessing an offensive weapon.

Britain's Zionist Federation organised the protest at short notice, using Facebook and emails to urge people to come to the embassy in west London.

Protestors from both sides were herded into pens on Kensington High Street, while the gates leading to the private road on which the embassy is situated remained closed and guarded by several police officers.

The chairman of the Zionist Federation, Andrew Balcombe, told the crowd that Israel had enforced the blockade to protect itself.

He said that Hamas were terrorists, and had fired thousands of rockets into Israel. He said that - by comparison - Israel's actions on the high seas were perfectly legal.

"Israel and Egypt both blockade Gaza, it's not just Israel, it's Egypt as well and more people and goods go in through Israel than anywhere else".

Mr Balcombe also said that the situation in Gaza was not at crisis point.

Unfair demonisation?

"We want people to know that people aren't starving in Gaza. You go and have a look at the adverts for the clubs in Gaza, they're doing very very well thank you very much.

"There's lots of food. Israel takes in a day into Gaza, more than those ships brought".

Many of the people supporting Israel were teenagers, and several of them expressed their frustration at what they saw as unfair demonisation.

Douglas Stewart, 17, said that the media have used the situation in Gaza to target Israel.

"We're not here to support all of Israel's action - every state has its weaknesses - but we're here to support the image of Israel as a haven for the Jewish people, as a haven for any community.

"It's the most democratic state in the Middle East. There are so many good aspects about it".

He denied a charge made by some Palestinian supporters, that he and other young British Jews had been misled by their elders.

"There's some Jews over there [at the opposing demonstration]. I think they're indoctrinating the nation. They are a small minority of people.

Mr Stewart also said he thought that British Jews who supported Israel were also more likely to back the British state than Palestinian supporters.

"The vast majority of Jews support Israel, and support Britain. We're very patriotic".

'Brainwashed' by propaganda?

Further down the road at the opposing demonstration, Deborah Fink from the organisation Jews for Boycotting Israeli Goods (J-BIG), said it was "disgusting" that so many children were present to support the Israeli state.

"They've been brainwashed. We wouldn't bring loads of children out to things like this. They go to schools where they're brainwashed with Israeli propaganda.

Ms Fink is one of many British Jews who campaign for an end to the occupation of Gaza and the West Bank.

She says that a two-state solution is the only way that Israel can live securely.

"There will never be peace while there is an occupation of Gaza".

Ms Fink also said that she believed that some supporters of the English Defence League were also at the protest.

Organisers of the pro-Israel protest said they had made it clear that the EDL, who have been accused of Islamophobia, were not welcome but that a separate space had been reserved for them.

Both sides say they will continue to voice their opinions loudly, and more demonstrations by pro-Palestinian groups are expected in London this weekend.

Source http://news.bbc.co.uk/2/hi/uk/10222035.stm

RCom stock surges as Etisalat confirms stake buy report

Abu Dhabi's Etisalat could decide within weeks whether to take a stake in an Indian telecoms operator, its chairman said on Wednesday, after a newspaper said it was in talks with Reliance Communications.

Shares in Reliance rose as much as 10 percent after the earlier newspaper report said Etisalat, which is the Gulf region's biggest provider of telecoms services by market capitalisation, was in advanced talks to buy a quarter of the Indian cellular operator for 180 billion rupees ($3.8 billion).

"We are talking to several Indian operators and are evaluating several Indian operators but have not reached a final decision," Mohammad Omran, chairman of Etisalat, also known as Emirates Telecommunications Corp, told Reuters.

Omran declined to comment specifically about the Reliance report and said that Etisalat had not taken any final decisions. "It may take a few weeks or it may take a few months," he said.

A day earlier another media report linked Reliance Communications to possible tie-up talks with South Africa's MTN .

A person close to the Indian firm who declined to be identified said both reports were speculation.

Source http://economictimes.indiatimes.com/news/news-by-industry/telecom/Etisalat-says-in-India-talks-Reliance-Comm-surges/articleshow/6002265.cms